Kopin (NASDAQ:KOPN) Posts Quarterly Earnings Results, Misses Estimates By $0.01 EPS

Key Points

• Kopin reported a quarterly loss of $0.02 per share, missing analysts’ estimate by $0.01, while revenue of $18.19 million exceeded the $15.96 million consensus and rose 52% year over year.
• The operating loss narrowed by $3 million sequentially to $0.5 million, and operations generated $2.4 million in cash. Management said fourth-quarter GAAP profitability remains achievable, while noting some recent product-cost improvements may not recur.
• Kopin received an additional $18.6 million sole-source color MicroLED award, bringing total IBAS funding to $34 million, and said about half of expected 2027 revenue is already in backlog. Drone-program purchases have been slower than expected, though the company maintained its roughly $10 million 2027 drone-goggle revenue outlook.

Kopin (NASDAQ:KOPN - Get Free Report) released its quarterly earnings data on Tuesday. The company reported ($0.02) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.01) by ($0.01), FiscalAI reports. The company had revenue of $18.19 million for the quarter, compared to the consensus estimate of $15.96 million. Kopin had a return on equity of 14.79% and a net margin of 18.26%. During the same period last year, the company earned $0.02 EPS.

Here are the key takeaways from Kopin's conference call:

• Positive sentiment: Revenue rose 52% year over year to $18.2 million, and the operating loss narrowed by $3 million sequentially to $0.5 million; operations generated $2.4 million in cash. Management said fourth-quarter GAAP profitability remains achievable, though it cautioned that some of the quarter’s product-cost improvement came from nonrecurring benefits.
• Positive sentiment: Kopin received an additional $18.6 million sole-source award for color MicroLED work, bringing total IBAS funding to $34 million, and demonstrated its Soldier Borne Mission Command display ahead of schedule. The company is targeting MicroLED manufacturing in mid-2027 and reported initial prototype orders from program primes.
• Positive sentiment: Neural I/O development with Fabric.AI is progressing toward CES and Photonics West demonstrations in early 2027, with production silicon and a goal of commercial revenue in 2028. Kopin cited modeled potential data-center throughput gains, but these are not yet demonstrated commercial results.
• Positive sentiment: Defense opportunities include new European OLED business and expanding customer interest across thermal sights, aviation displays, and other programs; management said about 50% of expected 2027 revenue is already in backlog. Kopin also expects its domestic OLED deposition line to come online in early 2027.
• Negative sentiment: Drone Dominance Program purchasing has moved more slowly than expected after an additional evaluation phase delayed FPV headset volumes. Kopin nevertheless maintained its expectation of roughly $10 million in drone-goggle revenue in 2027.

Kopin Price Performance

Shares of NASDAQ KOPN traded down $0.06 during mid-day trading on Tuesday, reaching $3.32. 3,016,708 shares of the company's stock traded hands, compared to its average volume of 5,017,642. The stock has a market cap of $617.09 million, a P/E ratio of 83.02 and a beta of 3.72. The business has a 50-day simple moving average of $4.16 and a 200 day simple moving average of $3.78. Kopin has a 1-year low of $1.81 and a 1-year high of $6.61.

Wall Street Analyst Weigh In

KOPN has been the subject of a number of research analyst reports. Oppenheimer assumed coverage on Kopin in a research report on Thursday, September 17th. They issued an "outperform" rating and a $7.00 target price for the company. Weiss Ratings cut Kopin from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Friday, October 23rd. Wall Street Zen raised Kopin from a "sell" rating to a "hold" rating in a research note on Saturday, August 15th. Canaccord Genuity Group boosted their price objective on Kopin from $6.25 to $6.50 and gave the company a "buy" rating in a report on Friday, August 14th. Finally, Stifel Nicolaus set a $6.50 target price on Kopin in a research report on Friday, September 25th. Six research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $7.17.

About Kopin

Kopin Corporation develops and supplies microdisplays, optical components and wearable display systems. Its technologies include active-matrix liquid-crystal, liquid-crystal-on-silicon and OLED displays, along with related optics and electronics used to create compact, high-resolution viewing systems. The company's products serve defense, enterprise, medical and other markets. Applications include helmet-mounted displays, night-vision and thermal-imaging systems, industrial and training equipment, and medical devices.

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