Kopin Stock Falls On Q2 Earnings Miss Following Mixed Segment Results

Kopin Corp KOPN reported second-quarter FY21 revenue growth of 12% year-on-year to $9.9 million, missing the analyst consensus of $11.16 million.
Cost of Product Revenues increased 25% to $6.0 million primarily due to lower manufacturing efficiencies driven by lower volumes of FWSi production.
Revenues from Defense Applications declined 15.6% Y/Y to $3.8 million, Industrial Applications rose 85.7% to $2.6 million, and Consumer and Other Applications reduced 37.5% to $0.5 million.
Research and Development revenue increased 58.8% Y/Y to $2.7 million, while License and Royalties revenue declined 25% to $0.3 million.
Net product revenues grew 3.9% Y/Y to $6.93 million. Research and development and other revenues expanded 38.8% Y/Y to $2.98 million.
Non-GAAP loss per share of $(0.04) missed the analyst consensus for a loss of $(0.02).
The company used $5.4 million in operating cash flow during the quarter. It held $30.8 million in cash and equivalents as of June 26, 2021.
Kopin continued to see growing demand for its products across its key business segments, including defense, enterprise, and consumer, CEO John C.C. Fan stated.
Kopin developed a 35,000 nit HDR Green OLED Microdisplay. It collaborated with a Japanese Company for Color LED Microdisplay. Kopin also introduced the First All-Plastic Pancake Optics for VR and MR.
Price action: KOPN shares traded lower by 17% at $5.51 on the last check Tuesday.