LightPath revenue surges as defence optics strategy gains traction

LightPath Technologies reported record fiscal fourth-quarter revenue of US$21.2 million and full-year revenue of US$71.7 million on 10 September, a 92.7 per cent increase from the previous year. Full-year gross margin rose to 36 per cent from 27.2 per cent, while fourth-quarter gross margin reached 39.4 per cent.

The optics supplier’s shift towards higher-value assemblies, modules and cameras accounted for 44 per cent of annual sales, according to management commentary reported by Yahoo Finance. Fourth-quarter net loss narrowed to US$4.1 million from US$7.1 million a year earlier, although full-year operating expenses increased to US$45.5 million from US$22 million.

Backlog reached US$110.9 million, including US$85.6 million scheduled for delivery within 12 months. LightPath also booked a further US$24 million in counter-unmanned aircraft systems orders after the fiscal year ended. Those orders are not included in fiscal 2026 revenue.

The company also completed the sale of its Chinese subsidiary for US$4.5 million, with payment spread over five years. LightPath entered fiscal 2027 with US$93.2 million in cash and no meaningful debt, according to the source.

Management identified several execution risks. The Army’s Next Generation Short Range Interceptor timeline has slipped by several months, the redesign of G5 Infrared’s cooled cameras is behind schedule, and detector lead times have extended to 10 months or more. Capital expenditure is also expected to rise in fiscal 2027 as the company expands melting and assembly capacity across its US and Latvian sites.