IPG reports strong Q1 results
May 10--For the first quarter IPG Photonics grew revenue by 28%, increased operating income by 48%, and increased net income by 113%
May 10--IPG Photonics has reported financial results for the first quarter ended March 31, 2007. Revenue increased by 28% to $41.8 million for the first quarter of 2007 from $32.7 million for the first quarter of 2006 primarily driven by sales to materials processing applications, which increased by 53% to $33.2 million.
For the first quarter of 2007, as compared to the same period in 2006, operating income increased 48% to $11.1 million from $7.5 million, net income increased 113% to $6.6 million from $3.1 million, and earnings per diluted share increased 114% to $0.15 from $0.07. Operating expenses increased by $3.3 million to $8.3 million or 20% of revenue as a result of growth in revenues and expenses associated with being a public company.
"IPG has continued to solidly execute on its business plan in the first quarter of 2007 as we reported another quarter of strong top- and bottom-line performance," said Dr. Valentin Gapontsev, IPG's CEO. "Our first-quarter growth was driven by increased sales of fiber lasers into the materials processing market, particularly our high-power kilowatt lasers in automotive cutting and welding, as well as our pulsed lasers for marking applications."
For the second quarter of 2007, the company expects revenues in the range of $42 million to $45 million. The company anticipates earnings per diluted share in the range of $0.14 to $0.17 based on 45,602,000 common shares, which includes 42,909,000 basic common shares outstanding and 2,693,000 potentially dilutive options.