IPG Photonics Q2 2021 Earnings Report
Key Takeaways
IPG Photonics reported a strong second quarter with revenue of $372 million, a 25% increase year-over-year, and earnings per diluted share of $1.29, an 82% increase year-over-year. The company benefited from improved demand in Europe and the U.S., particularly in cutting and welding applications.
Revenue increased 25% year-over-year to $372 million, driven by improved demand in Europe and the U.S.
Earnings per diluted share increased 82% year-over-year to $1.29.
Materials processing sales accounted for 93% of total revenue, increasing 27% year-over-year.
Sales increased 10% in China, 50% in Europe, and 23% in North America.
IPG Photonics
IPG Photonics
IPG Photonics Revenue by Segment
Forward Guidance
For the third quarter of 2021, IPG expects revenue of $350 to $380 million and earnings per diluted share in the range of $1.10 to $1.40.
Positive Outlook
- Strength in battery and other precision applications in China
- Robust revenue expected outside of China
- Significant long-term growth opportunities
- Leading market position in cutting
- New product introductions such as the LightWELD handheld laser
Challenges Ahead
- More difficult comparison to the third quarter 2020
- Deliveries for cutting applications in China are likely to be extended
- Continued uncertainty due to the ongoing impact of supply chain constraints on our customers
- Impacts of COVID-19 on our business
- General economic conditions
Revenue & Expenses
Visualization of income flow from segment revenue to net income