Slide 1: Earnings Presentation Q1 2025
Earnings Presentation Q1 2025 May 8, 2025 This presentation contains nLIGHT, Inc. proprietary information. No part of it may be circulated, quoted, or reproduced for distribution without prior written approval from nLIGHT, Inc.
Slide 2: Safe Harbor Statement
Safe Harbor Statement Certain statements in this presentation are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. Words
Slide 3: First Quarter 2025 | Key Messages
First Quarter 2025 | Key Messages Strong Start to the Year Record Quarter for A&D Q1’25 Revenue, Gross Margin and Q1’25 A&D revenue increased 50%+ Adj. EBITDA all outperformed year-over-year driven by record A&D expectations on upside from product sales Aerospace & Defense (A&D) market Strength in D
Slide 4: Q1 2025 Summary | Strong Start to Fiscal Year
Q1 2025 Summary | Strong Start to Fiscal Year • Q1 revenue above the high-end of guidance – $51.7M of total revenue, products revenue of $35.7M and development revenue of $16.0M – Record quarterly A&D products revenue, up 150%+ y/y • Gross margins & Adjusted EBITDA above high-end of guidance – 26.7%
Slide 5: Revenue by Market | A&D Driving Growth
Revenue by Market | A&D Driving Growth Quarterly Revenue Q1 ’25 Total Revenue $ Millions • $51.7 million • +16% y/y $60 • +9% q/q $56 $54 $53 $52 $52 $51 $51 25% $47 Q1 ’25 Microfab Revenue 24% 23% • $10.1 million 20% $45 20% $45 24% 20% 17% • -6% y/y • +25% q/q 24% 17% 21% 29% 19% 26% 31% Q1 ’25 In
Slide 6: Financial Update
Financial Update
Slide 7: Q1 2025 Summary Financial Results
Q1 2025 Summary Financial Results | Strong Start to the Year Q1 2025 Q1 2024 Q4 2024 • Q1 ’25 Revenue grew 16% Y/Y Total Revenue ($ in millions) $51.7 $44.5 $47.4 • Product revenue +22% Y/Y Products Revenue $35.7 $29.4 $31.7 • Development revenue +5% Y/Y Development Revenue $16.0 $15.2 $15.7 Total G
Slide 8: Gross Margin | Product Gross Margin Trends
Gross Margin | Product Gross Margin Trends Product Revenue & Gross Margin – Quarterly $ Millions; % of Revenue Products GM % $50 40% 35% 33.0% 33.5% $40 30.3% 30% 28.6% 28.8% $30 25% 23.8% 22.0% 20.9% 20% $20 $41.1 $39.6 $41.1 $41.1 $38.1 $37.9 $35.7 15% $34.5 $31.7 10% $10 5% $0 0% Q1 Q2 Q3 Q4 Q1 Q
Slide 9: Operating Expenses | R&D and SG&A
Operating Expenses | R&D and SG&A Operating Expenses (Non-GAAP) $ Millions; % of Revenue $20 50% $18.0 $18.3 $17.4 $17.7 $17.8 $17.3 $17.2 $16.6 $16.0 40% $15 7.9 8.6 9.2 8.2 8.3 8.5 7.8 8.3 8.2 30% $10 20% $5 9.5 9.4 9.1 9.6 9.4 8.8 8.8 8.9 7.7 10% $0 0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2023 2024 2025 No
Slide 10: Strong Balance Sheet and Working Capital Management
Strong Balance Sheet and Working Capital Management Cash and Investments ($M) Accounts Receivable ($M) and Inventory ($M) and Days Sales Outstanding (DSO) Days of Inventory (DOI) $90 73 75 $100 180 $200 70 71 68 152 65 $90 144 $175 $80 62 62 140 160 58 60 $70 $80 $150 53 122 128 140 123 $70 $67 $60
Slide 11: Outlook | Q2 2025
Outlook | Q2 2025 • Q2 2025 Revenues of $53 million to $59 million; midpoint of $56 million – Products: ~$38 million at midpoint – Advanced Development: ~$18 million at midpoint • Q2 2025 Gross Margin of 19% to 25% – Products: 27% to 33% – Advanced Development: ~8% • Q2 2025 Adjusted EBITDA of ($4)
Slide 12: Simply brilliant
eee Simply brilliant
Slide 13: Appendix
Appendix
Slide 14: Supplemental Information | Revenue & Gross Margin
Supplemental Information | Revenue & Gross Margin nLight, Inc. 2022 2023 2024 2025 (in thousands, except per share data) Q1 Q2 Q3 Q4 Totals Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Revenue: Products $ 51,061 $ 48,180 $ 48,042 $ 45,375 $ 192,658 $ 41,107 $ 39,592 $ 38,103 $ 37,864 $ 156,666 $ 29,370 $
Slide 15: GAAP to Non-GAAP Reconciliation | Operating Expenses
GAAP to Non-GAAP Reconciliation | Operating Expenses nLight, Inc. 2022 2023 2024 2025 (in thousands, except per share data) Q1 Q2 Q3 Q4 Totals Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 R&D expense (GAAP) $ 13,711 $ 13,788 $ 12,716 $ 13,558 $ 53,773 $ 11,301 $ 12,004 $ 10,744 $ 12,114 $ 46,163 $ 10,659
Slide 16: GAAP to Non-GAAP Reconciliation | Adjusted EBITDA, Net Income and EPS
GAAP to Non-GAAP Reconciliation | Adjusted EBITDA, Net Income and EPS nLight, Inc. 2022 2023 2024 2025 (in thousands, except per share data) Q1 Q2 Q3 Q4 Totals Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Stock-based compensation included in following: Cost of revenues $ 709 $ 684 $ 712 $ 572 $ 2,677 $ 70
Slide 17: Supplemental Information | Key Revenue Metrics
Supplemental Information | Key Revenue Metrics nLight, Inc. 2022 2023 2024 2025 (in thousands, except per share data) Q1 Q2 Q3 Q4 FY 2022 Q1 Q2 Q3 Q4 FY 2023 Q1 Q2 Q3 Q4 FY 2024 Q1 Revenues by end market Industrial $ 23,996 $ 21,899 $ 22,217 $ 22,986 $ 91,098 $ 19,902 $ 16,569 $ 19,607 $ 14,966 $ 71