LightPath subsidiary G5 lands $4.9M defense order

Published 07/05/2025, 13:38
LightPath subsidiary G5 lands $4.9M defense order

ORLANDO, Fla. - LightPath Technologies, Inc. (NASDAQ: LPTH), a prominent provider of advanced optics and imaging systems with a market capitalization of $92 million, has secured a $4.9 million follow-on order from a current defense customer through its subsidiary G5 Infrared, which specializes in high-end infrared camera systems. This order is slated for delivery across the company’s fiscal year 2026. According to InvestingPro data, the company has shown strong momentum with a 44.94% price return over the past six months, despite a challenging year-to-date performance.

The CEO of LightPath, Sam Rubin, expressed confidence in the ongoing revenue growth stemming from G5’s substantial order backlog, which includes both new and existing clients. While InvestingPro analysis indicates the company currently operates with a 27.7% gross profit margin and annual revenue of $32.16 million, Rubin highlighted G5’s reputation for long-range imaging and infrared cooled camera solutions as a key factor in garnering orders for various applications like shipboard surveillance, border security, and anti-drone systems, as well as consistent federal and law enforcement programs.

Since acquiring G5, LightPath has seen opportunities to integrate its proprietary BlackDiamond™ glass into G5’s product offerings, potentially driving further growth for the combined entity. Rubin anticipates additional orders from this defense program and looks forward to expanding the partnership with the current customer.

LightPath Technologies is recognized for its vertically integrated solutions that encompass a range of custom optics, from BlackDiamond™ chalcogenide-based glass materials, exclusively licensed from the U.S. Naval Research Laboratory, to complete optical systems and thermal imaging assemblies. The company operates primarily out of Orlando, Florida, with additional facilities in Texas, New Hampshire, Latvia, and China.

The information regarding the follow-on order and the company’s outlook is based on a press release statement. While forward-looking statements within the release indicate an optimistic view of future orders and company growth, they are subject to various risks and uncertainties that could affect actual outcomes. Based on InvestingPro analysis, which includes over 30 financial metrics and key insights available to subscribers, the company appears overvalued at current levels. Investors seeking deeper analysis can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers, which provides detailed financial health scores and expert insights for over 1,400 US stocks, including LPTH.

In other recent news, LightPath Technologies reported its second-quarter financial results for fiscal year 2025, missing both earnings per share and revenue forecasts. The company recorded an EPS of -$0.07, falling short of the expected -$0.04, and reported revenue of $7.4 million, which was below the projected $8.36 million. Despite these setbacks, LightPath is actively expanding its capabilities, notably through the acquisition of G5 Infrared, which is expected to enhance its position in the defense and security markets. The acquisition has already yielded a $2.2 million contract from L3Harris Technologies for the U.S. Navy’s SPEIR Program, and a $4.8 million defense order for infrared camera systems. Additionally, Craig-Hallum initiated coverage on LightPath with a Buy rating, highlighting the company’s strategic shift towards higher-level integration in the infrared market. The firm emphasized potential growth opportunities in the defense sector and expressed confidence in LightPath’s future prospects. These developments indicate a strategic pivot for LightPath as it seeks to capitalize on emerging opportunities in high-stakes industries.

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