nLIGHT (NASDAQ:LASR), a prominent manufacturer of high-power semiconductor and fiber lasers, announced preliminary fourth-quarter results for 2025 that exceeded its previous financial targets.
The Camas, Washington-based company now expects to report revenue between $78 million and $80 million, surpassing the upper end of its prior guidance range of $72 million to $78 million.
The revenue beat was primarily fueled by sustained momentum in the Aerospace & Defense (A&D) market, which has become the company's primary growth engine.
nLIGHT expects Laser Products revenue to land between $54 million and $55 million, while Advanced Development revenue—often tied to high-stakes defense contracts—is projected at $24 million to $25 million.
"We ended 2025 on a strong note, particularly with respect to the performance of our Aerospace & Defense market," said Scott Keeney, nLIGHT’s President and CEO.
"We enter 2026 with good visibility across multiple programs in both directed energy and laser sensing."
The company's strategic pivot toward defense applications, such as high-energy laser weapons and directed energy systems, has paid off significantly throughout the fiscal year.
By the third quarter of 2025, A&D revenue already accounted for nearly 70% of total sales, helping to offset persistent weakness in the industrial and microfabrication sectors.
The strong Q4 finish follows a transformative year where nLIGHT reached a record funded backlog and secured key roles in U.S. government "Iron Dome" style air defense initiatives.