Coherent beats Q4 revenue estimates

Coherent

13/08/2025 21:15

Overview

Coherent Q4 revenue of $1.53 bln beats analyst expectations, per LSEG data

Non-GAAP EPS of $1.00 for Q4 exceeds analyst estimates, per LSEG data

Co announces sale of Aerospace and Defense business to focus on growth areas

Outlook

Coherent expects Q1 2026 revenue between $1.46 bln and $1.60 bln

Company anticipates Q1 2026 non-GAAP gross margin of 37.5% to 39.5%

Coherent forecasts Q1 2026 EPS between $0.93 and $1.13

Company projects Q1 2026 operating expenses of $290 mln to $310 mln

Result Drivers

REVENUE GROWTH - Coherent achieved a record FY25 revenue of $5.81 bln, a 23% increase year-over-year, driven by strong performance in AI datacenters, according to CEO Jim Anderson

GROSS MARGIN EXPANSION - Co's non-GAAP gross margin expanded by 358 basis points to 37.9% in FY25, attributed to revenue growth and margin expansion, per CFO Sherri Luther

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Beat
$1.53 bln
$1.51 bln (18 Analysts)
Q4 Adjusted EPS
Beat
$1
$0.91 (18 Analysts)
Q4 Adjusted Net Income
Beat
$192 mln
$145.90 mln (12 Analysts)
Q4 Adjusted Operating Income
Beat
$275 mln
$272.80 mln (15 Analysts)
Q4 Adjusted Operating Margin
18.0%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 18 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the electronic equipment & parts peer group is "buy"

Wall Street's median 12-month price target for Coherent Corp is $104.00, about 12.1% below its August 12 closing price of $116.56

The stock recently traded at 26 times the next 12-month earnings vs. a P/E of 15 three months ago

Press Release: ID:nGNX218124

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)