This article first appeared on GuruFocus .
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Revenue:Approximately $33,000 for Q2 2026, compared with $26,000 in the prior year period.
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Deferred Revenue:Approximately $100,000 as of June 30, 2026, to be recognized upon achievement of certain milestones under an existing joint development agreement.
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Net Loss:$6.6 million, or $0.04 per share, compared with a net loss of approximately $5 million, or $0.04 per share, in Q2 2025.
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Research and Development Expense:Approximately $3.9 million for the quarter, compared with $2.6 million in the prior year period.
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General and Administrative Expense:Approximately $3.4 million for the quarter, compared with approximately $2.3 million in the prior year period.
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Cash and Marketable Securities:$95.9 million at the end of the quarter.
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Cash Used in Operating Activities:Approximately $9.9 million during the first six months of 2026, compared with $7.3 million in the prior year period.
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Capital Expenditures:Totaled approximately $1.5 million during the first six months of the year.
Release Date: August 11, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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Expanded to five Stage 3 customers, including a new Fortune Global 500 company, indicating strong commercial interest and progress.
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Made significant progress with foundry engagements, with four dedicated runs underway and wafers expected from two foundries in August.
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Strong financial position with $95.9 million in cash and no debt, providing runway to support commercialization efforts.
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Growing market demand for silicon photonics, as evidenced by foundry partners reporting significant revenue growth, which supports the company's technology adoption.
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Established a material supply and licensing agreement, with negotiations for a second agreement underway, moving toward commercialization.
Negative Points
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Revenue remains minimal at $33,000 for the quarter, indicating the company is still in early commercialization stages.
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Net loss increased to $6.6 million in Q2 2026 from $5 million in Q2 2025, reflecting higher operating expenses.
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Foundry pressures and delays persist, with some wafers not expected until Q4, potentially impacting timelines.
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The company faces intense competition and cannot confirm that its polymer technology is the only viable solution for all applications.
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Customer progression from Stage 1 and 2 to Stage 3 has been slow, with only five Stage 3 programs despite a pipeline of over 15 customers.
Q & A Highlights
Q: What are the biggest bottlenecks inside the foundry ecosystem todaycapacity, process development, yield learning, packaging, or test availability? A: Yves LeMaitre (President & CEO) explained that foundries are under pressure to increase capacity, establish new production sites, transition to 300-millimeter wafers, and integrate novel materials like electro-optic polymers. He highlighted that a key bottleneck is the "back end of line" (BEOL) processthe final integration of Perkinamine onto silicon photonic chipswhich is currently done in-house but is being outsourced for high-volume production. The company is working with a lead customer to build a scalable back-end production line to support scaling across Perkinamine production, front-end silicon fabrication, and BEOL processes.
Q: Does the current cash balance provide enough runway to reach the targeted production ramp, assuming no major change in the development timeline? A: Fred Graffam (CFO) confirmed that the company strengthened its balance sheet through capital raises in late 2025 and early 2026. With no debt and approximately $96 million in cash and marketable securities at the end of Q2 2026, he stated that the company has the financial flexibility to execute its current organic growth strategy and support its commercialization objectives and planned scale-up activities.
Q: What factors are considered when establishing licensing and technology transfer agreements, and what should investors expect in dollar terms? A: Yves LeMaitre (President & CEO) declined to comment on specific dollar values but outlined that the value of agreements will depend on pricing for materials, one-time or recurring licensing fees, and royalties over the contract period. He emphasized that the ultimate value will be driven by the success of customers' products and their ability to win market share and volume allocation with end users, typically hyperscalers and AI networking companies.
Q: From a physics standpoint, is Perkinamine the only viable material to advance co-packaged optics (CPO) in scale-up, scale-across, and scale-out applications? A: Yves LeMaitre (President & CEO) avoided making a bold claim, noting that competition is fierce and the industry is assessing various materials. He reiterated that electro-optic polymers offer unique characteristicsultra-fast bandwidth, efficient electro-optic conversion, and compact sizethat bring value across applications. He stated that Lightwave Logic is working with industry leaders to demonstrate Perkinamine's value in all three applications and will continue reporting progress toward design wins and volume production.
Q: In January 2026, the company showed more than 15 customers in Stage 1 and two in Stage 2, yet none have moved to Stage 3. Why is this? A: Fred Graffam (CFO) explained that the pipeline of Stage 1 and 2 customers remains strong, but bringing customers to Stage 3 requires confidence from wafer runs at foundry partners. He noted that results from ongoing and planned wafer runs will increase target customers' confidence. Additionally, while the technical team has expanded, the company has intentionally focused on executing key programs in chip design and production for its leading customers.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
