Overview
- Coherent reported third-quarter revenue of $1.806 billion, up about 20% year over year and above the $1.780 billion analyst estimate.
- Gross margin improved to 37.7% on a GAAP basis and 39.6% on a non-GAAP basis, and earnings rose to $0.97 GAAP EPS and $1.41 adjusted EPS.
- For the fourth quarter, the company guides revenue to $1.91 billion to $2.05 billion and expects adjusted earnings of $1.52 to $1.72 per share.
- Management said it will ramp capital spending to add capacity, citing strong order visibility tied to accelerating AI data center build-outs.
- The company reaffirmed that it refined its non-GAAP reporting in fiscal Q2 2025 and recast prior periods, with no impact on GAAP results or cash flow.