OXFORD, Mass., Feb. 15, 2013 — Fiber laser maker IPG Photonics ended 2012 with double-digit growth in its primary sales market, materials processing, the company announced Friday. The company also provided positive guidance for the first quarter of 2013.
"Materials Processing sales, which make up the majority of our business, grew 14 percent for the fourth quarter," said IPG Photonics CEO Dr. Valentin Gapontsev. "Revenues for the quarter increased 17 percent over the prior year, and net income increased by 12 percent, driven by high-power laser sales for materials processing applications."
Gapontsev added that the company's 19 percent revenue growth [$562.5 million, up from $474.5 million in 2011] and 23 percent net income growth for fiscal 2012 [to $145 million], which ended Dec. 31, "demonstrates the wide and growing acceptance of IPG's technology across a variety of applications."
"High-power laser sales increased 10 percent from the prior year, driven by cutting and welding applications, primarily used by automotive, heavy industry and general manufacturing," he said. Geographically, "we performed well across most regions, particularly in North America and Asia."
Looking ahead to the first quarter of 2013, Gapontsev said that, while first-quarter revenue historically is lighter due to seasonality, "We are excited by IPG's prospects for growth in 2013. We expect to report sequential growth over Q4 2012, as well as year-over-year."
IPG said it expects Q1 revenue in the range of $145 million to $155 milion, with earnings per share in the range of 65 to 75 cents.
"We are pleased with the start of the year as order flow was very strong in January, despite a book-to-bill that was less than one in Q4," Gapontsev said. "We are making progress on increasing sales to current major OEMs and new applications. We believe that fiber laser technology continues to make market share gains over legacy laser technologies and nonlaser technologies."
That continued market penetration gives the company confidence that "IPG will grow in 2013 as we strengthen our technology and competitive lead in the laser market, expand our product portfolio and enter into new applications," Gapontsev said.
For more information, visit: www.ipgphotonics.com