nLIGHT Stock Soars 21.84% on Strong Q2 Earnings

nLIGHT's stock surged 21.84% in pre-market trading on August 8, 2025, driven by strong second-quarter earnings and revenue performance.

nLIGHT reported quarterly earnings of $0.06 per share, surpassing the consensus estimate of a loss of $0.09 per share. The company's revenue for the quarter was $61.7 million, a 22.2% increase from the same period in 2024, and exceeded the consensus estimate of $55.2 million.

The company's Aerospace and Defense (A&D) segment showed significant growth, contributing 66% of total sales, up from 54% a year ago. This increase was driven by record defense product revenue, particularly from the Healy-2 program, a $171 million DOD initiative. nLIGHT has also made progress in transitioning its low size, weight, and power amplifier products into advanced production, optimizing for higher volumes.

Despite these positive developments, nLIGHT faces challenges in sustaining gross margin improvements and expects a decrease in product gross margins in the third quarter. The company also reported a GAAP net loss of $3.6 million for Q2 2025, although this was an improvement from previous quarters. nLIGHT is rationalizing investments in commercial markets, indicating potential pullbacks in certain areas due to less attractive growth opportunities.