Coherent Reports FY2025 Earnings: Revenue Up 23%, EPS Misses Expectations

Friday, Aug 15, 2025 8:23 am ET1min read

Coherent reported full-year 2025 revenue of $5.81 billion, up 23% from FY 2024. However, EPS missed expectations at $0.52, a significant improvement from a $1.84 loss in FY 2024. The net loss narrowed by 71% from FY 2024. Revenue is forecast to grow 9.3% p.a. on average during the next 3 years.

Coherent Corp. (NYSE: COHR) reported its fiscal year 2025 (FY2025) results, highlighting significant revenue growth and improvements in earnings per share (EPS) despite a net loss. The company's revenue reached $5.81 billion, marking a 23% increase from the previous fiscal year. This robust performance was driven by strong demand in key segments such as networking and lasers [2].

While the EPS of $0.52 missed expectations, it represented a substantial improvement from the $1.84 loss reported in FY2024. The net loss narrowed by 71% compared to the prior year, indicating a significant turnaround in the company's financial health [1]. The company's GAAP gross margin improved to 35.2%, up 424 basis points from the previous year, further underscoring the efficiency of its operations [1].

CEO James Anderson expressed optimism about the company's future, noting that it is well-positioned to drive long-term revenue and profit growth, particularly in AI datacenters. The company also announced plans to sell its Aerospace and Defense business, which is expected to refocus resources on data center, communications, and industrial growth opportunities [1].

Looking ahead, Coherent has provided revenue guidance for fiscal Q1 2026, expecting revenue in the range of $1.46–$1.6 billion, with non-GAAP gross margin projected at 37.5–39.5%. The company expects non-GAAP EPS of $0.93–$1.13, excluding expected post-sale A&D revenue [2].

The stock experienced mixed short-term price movements following the earnings report, reflecting market uncertainty. However, the company's long-term growth prospects and strategic initiatives suggest potential for recovery [2].

References:
[1] https://www.coherent.com/news/press-releases/fourth-quarter-and-fiscal-year-2025-results
[2] https://www.ainvest.com/news/coherent-2025-q4-earnings-wider-losses-revenue-growth-2508/

Coherent Reports FY2025 Earnings: Revenue Up 23%, EPS Misses Expectations

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