Filing Flows › IPG Photonics (IPGP) › Q3 2025
IPG Photonics (IPGP) Q3 2025 earnings results (third quarter 2025)
10-Q filed Nov 4, 2025
IPG Photonics (IPGP) reported revenue of $251M for the third quarter 2025 (Q3 2025), +8% from a year earlier and 0% from the quarter before. Operating margin was 3.1%, net earnings $7.5M (3.0% of revenue).
IPG Photonics, Q3 2025: revenue $251M (+8% year over year), operating margin 3.1%, net earnings $7.5M, operating cash flow $35.3M. The chart follows the revenue to costs, profit and cash.
| Q3 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $251M | 0% | +8% |
| Gross profit | $99.0M | +6% | +83% |
| Operating profit | $7.9M | 76× | — |
| Net earnings | $7.5M | +13% | — |
| Operating cash flow | $35.3M | — | -47% |
| Free cash flow | $14.6M | — | -66% |
What changed
Revenue was $250.8M in Q3 2025, up 8% year over year and roughly flat from the previous quarter. High Power Continuous Wave ("CW") Lasers was the largest line at 31% of revenue. Other Revenue added $10.8M year over year (up 19%), 61% of the total change. High Power Continuous Wave ("CW") Lasers declined 6%.
Gross margin was 39.5%, up 16.3 points from a year earlier. Operating profit was $7.9M, a 3.1% margin (up 111.8 points year over year). Operating expenses fell 70% while revenue rose 8%. The fastest-growing cost line was Research & development (+12%). Net earnings were $7.5M. The effective tax rate was 52.3%. Non-operating items added $7.8M, 50% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was $35.3M (down 47% year over year), 473% of net earnings. Non-cash charges added back $15.6M of depreciation and amortization and $10.7M of share-based compensation. Capital expenditures of $20.7M left free cash flow of $14.6M.
Questions
What was IPG Photonics' revenue in the third quarter 2025?
IPG Photonics (IPGP) reported revenue of $251M for the third quarter 2025 (Q3 2025), +8% from a year earlier and 0% from the quarter before.
Was IPG Photonics profitable in the third quarter 2025?
Operating profit was $7.9M (3.1% of revenue) and net earnings $7.5M.
Source: IPG Photonics 10-Q on SEC EDGAR.