Coherent, Inc. Provides Preliminary Fiscal First Quarter 2021 Financial Results

SANTA CLARA, Calif., Jan. 19, 2021 /PRNewswire/ — Coherent, Inc. (NASDAQ, COHR), one of the world’s leading providers of lasers, laser-based technologies and laser-based system solutions in a broad range of scientific, commercial and industrial applications, today announced preliminary financial results for its first fiscal quarter ended January 2, 2021.

Preliminary Results for the Fiscal First Quarter 2021

  • Revenue in the range of $325 – $327 million
  • GAAP gross profit in the range of $119.0M to $120.5M
  • GAAP operating income in the range of $16.4M to $17.6M
  • Non-GAAP gross profit in the range of $128.1M to $130.0M
  • Non-GAAP operating income in the range of $36.1M to $37.9M

Although the preliminary financial results and operating metrics presented above have been prepared in good faith on a consistent basis with prior periods, these preliminary estimates are based solely upon information available to management as of the date of this press release. The Company has not completed its financial closing procedures for the three months January 2, 2021, and its actual results could vary materially from these preliminary estimates. In addition, the Company’s independent registered public accounting firm has not reviewed this information or performed procedures for the quarter January 2, 2021, and does not express an opinion or any other form of assurance with respect to these preliminary estimates. During the course of the preparation of the Company’s consolidated financial statements and related notes as of and for the quarter ended January 2, 2021, the Company and its auditors may identify items that would require the Company to make material adjustments to the preliminary estimates presented above. As a result, investors should exercise caution in relying on this information and should not draw any inferences from this information regarding financial or operating data not provided. This preliminary revenue estimate should not be viewed as a substitute for full financial statements prepared in accordance with GAAP. In addition, these preliminary estimates are not necessarily indicative of the results to be achieved in any future period. Investors are cautioned not to place undue reliance on such preliminary estimates. Investors should read the company’s consolidated financial statements for the quarter ended January 2, 2021 once they become available.

Related Announcements

In a separate announcement today, the Company announced entering into a transaction to combine with Lumentum.

Lumentum will host a conference call today, January 19, 2021, at 5:30 am PT/8:30 am ET to discuss the announced transaction. Information about today’s call and the related transaction announcement is available on the Lumentum website at

On August 20, 2020 the Company and Kevin Palatnik, the Company’s Executive Vice President and Chief Financial officer, entered into an Executive Transition Agreement (the “Transition Agreement”) pursuant to which Mr. Palatnik was to retire from the Company no later than February 28, 2021. As a result of the announced transaction with Lumentum, the Company and Mr. Palatnik terminated the Transition Agreement so that Mr. Palatnik will remain in his current position.

Use of Non-GAAP Financial Measures

In this press release, the Company provides investors with gross profit, gross margin, operating income, and operating margin on a non-GAAP basis. The Company believes this non-GAAP financial information provides additional insight into the Company’s on-going business operations and results, as well as cash generation, and has therefore chosen to provide this information to investors for a more consistent basis of comparison and to help them evaluate the results of the Company’s on-going operations and enable more meaningful period to period comparisons. In addition, the Company believes that providing certain of these measures allow investors to better understand the Company’s cash flows and, importantly, to evaluate the efficacy of the methodology and information used by management to evaluate and measure such cash flows. However, these measures may be different from non-GAAP measures used by other companies, limiting their usefulness for comparison purposes. The non-GAAP financial measures used in this press release should not be considered in isolation from measures of financial performance prepared in accordance with GAAP. Investors are cautioned that there are material limitations associated with the use of non-GAAP financial measures as an analytical tool. In particular, many of the adjustments to our GAAP financial measures reflect the exclusion of items that are recurring and will be reflected in our financial results for the foreseeable future. Further, these non-GAAP financial measures may not be comparable to similarly titled measurements reported by other companies.

Non-GAAP operating income and non-GAAP operating margin exclude (i) stock-based compensation, (ii) amortization of acquired intangibles, (iii) restructuring and (iv) related tax adjustments. The presentation of these and other similar items in Coherent’s non-GAAP financial results should not be interpreted as implying that these items are non-recurring, infrequent or unusual.


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January 2, 2021

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This press release contains forward-looking statements, as defined under the Federal securities laws. These forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause our actual results to differ materially and adversely from those expressed in any forward-looking statement. Coherent and its business, including the aforementioned forward-looking statements, are subject to risks and uncertainties, including, but not limited to, risks associated with the ability of Lumentum and Coherent to meet the requisite closing conditions of their announced transaction, risks associated with the recovery of global and regional economies from the negative effects of the COVID-19 pandemic and related private and public sector measures; the impact of COVID-19 related matters on our business; global demand, acceptance and adoption of our products; the worldwide demand for flat panel displays and adoption of OLED for mobile displays; the pricing and availability of OLED displays; the demand for and use of our products in commercial applications; our ability to generate sufficient cash to fund capital spending or debt repayment; our successful implementation of our customer design wins; our and our customers’ exposure to risks associated with worldwide economic conditions; our customers’ ability to cancel long-term purchase orders; the ability of our customers to forecast their own end markets; our ability to accurately forecast future periods; continued timely availability of products and materials from our suppliers; our ability to timely ship our products and our customers’ ability to accept such shipments; our ability to have our customers qualify our products; worldwide government economic policies, including trade relations between the United States and China; our ability to manage our expanded operations; our ability to successfully transfer the manufacturing of our High Power Fiber Lasers and related business and operations between facilities; our ability to successfully manage our planned site consolidation projects and other cost reduction programs and to achieve the related anticipated savings and improved operational efficiencies; and other risks identified in Coherent’s SEC filings. Readers are encouraged to refer to the risk disclosures and critical accounting policies described in Coherent’s Forms 10-K, 10-Q and 8-K, including the risks identified in today’s financial press release, as applicable and as filed from time-to-time.

Founded in 1966, Coherent, Inc. is one of the world’s leading providers of lasers, laser-based technologies and laser-based system solutions in a broad range of scientific, commercial and industrial customers. Our common stock is listed on the Nasdaq Global Select Market and is part of the Russell 1000 and Standard & Poor’s MidCap 400 Index. For more information about Coherent, visit the company’s website at for product and financial updates.

5100 Patrick Henry Dr. P. O. Box 54980, Santa Clara, California 95056–0980. Telephone (408) 764-4000

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SOURCE Coherent, Inc.