ROCHESTER, NEW YORK, Aug. 10, 2026 (GLOBE NEWSWIRE) -- Syntec Optics Holdings, Inc. (Nasdaq: OPTX), a leading provider of deep tech for the defense, space, AI data center, and other vibrant end-markets, today reported financial results for the second quarter ended June 30, 2026, where Defense and Space Tech product lines ramped to drive all-time high revenue, margin expansion, and increased earnings. Syntec products have a typical 6-8 year life cycle and yearly recurring revenues.
Earnings Call information:
Date: Wednesday, August 12, 2026
Time: 5:00 p.m. ET
Register in Advance (Required): https://us06web.zoom.us/meeting/register/dw9jrC8DSaW4EzSyA1vFAQ
(After registering, you will receive a confirmation email containing information about joining the meeting.)
Webcast: A recording of the conference call will be available under the Latest Events section on the Investors page of Syntec Optics' website at www.syntecoptics.com.
Replay: A replay of the webcast will be available approximately three hours after the call concludes. It will remain accessible until Tuesday, August 26, 2026, in the Investor Relations section of Syntec Optics' website at www.syntecoptics.com.
Management Commentary
Dean Rudy, Chief Financial Officer of Syntec Optics, commented:
"The second quarter represented an important inflection point for Syntec Optics. We delivered 26% year-over-year revenue growth, significantly expanded gross profit, returned to profitability, strengthened our balance sheet, and continued expanding our presence across multiple complementary growth markets. Most importantly, these results demonstrate that the operational improvements we have been implementing over the past year are beginning to translate into improved financial performance.
During the quarter, we completed our public equity offering, generating approximately $21.4 million in net proceeds. We used a portion of those proceeds to eliminate our revolving line of credit while ending the quarter with approximately $14 million in cash. Today, we have the financial flexibility to invest in advanced manufacturing capabilities, expand alongside our blue-chip customers, and pursue complementary strategic opportunities that enhance long-term shareholder value."
Financial Highlights
Revenue Growth
-- Revenue increased 26% to $8.3 million, compared to $6.6 million in the
second quarter of 2025.
-- Growth was driven primarily by communications (+74%), defense (+36%), and
consumer (+23%) markets, while biomedical revenue returned to more
normalized run rates compared to the first quarter of 2026. Management
believes this increasingly balanced revenue mix reflects continued
execution of the Company's strategy to diversify across multiple
high-growth technology platforms while reducing dependence on any single
end market.
Profitability
-- Gross profit increased 34% to $2.1 million.
-- Gross margin expanded to 26%, compared to 24% in the prior-year quarter
and 15% in the first quarter of 2026. The company is targeting an
increase to 35%-40%, seen in the past, as revenue increases with an
improved cost structure. With both efforts to decrease COGS and SG&A,
EBITDA is targeted in the 18-20% range, as demonstrated in the past.
-- Operating income improved to $0.3 million, compared to an operating loss
of $(0.1) million last year.
-- Net income improved to $0.3 million, or $0.01 per share, compared to a
net loss of $(0.3) million, or $(0.01) per diluted share, in the
prior-year quarter.
-- The quarter ended with approximately $14.0 million in cash and cash
equivalents, compared to $0.4 million at December 31, 2025.
-- Repaid approximately $6.8 million of indebtedness, eliminating the
Company's revolving line of credit and resulting in reduced current
liabilities by approximately 56%, from $11.2 million to $5.0 million,
while reducing total liabilities by approximately 43%, from $14.8 million
to $8.4 million.
-- Generated positive operating cash flow during the first six months of
2026.
-- Successfully completed a public equity offering generating approximately
$21.4 million in net proceeds.
Management believes the Company's transformed balance sheet provides the financial flexibility to accelerate investments in advanced manufacturing equipment, automation, metrology, and technical capabilities needed to support the expanding technology roadmaps of its blue-chip customers. The strengthened capital position also enhances Syntec's ability to evaluate complementary strategic opportunities that can broaden its technology portfolio and create long-term shareholder value.
Expanding Customer Relationships and Solidifying our Market Position
Matt Carey, Vice President of Business Development and Delivery, commented:
"One of the most encouraging trends we're seeing is that customers continue expanding Syntec's participation within their technology platforms. Rather than simply winning isolated new programs, we're increasing the number of products we manufacture for existing customers while simultaneously entering adjacent technologies. That expansion reflects years of investment in building one of the industry's broadest vertically integrated optical manufacturing capabilities."
Business Highlights
Space Tech
-- Increased production throughput on Low Earth Orbit satellite optics.
-- Expanded recent production awards for optical communications products to
approximately $4.3 million.
-- Added a new production program supporting orbital collision-avoidance
optics.
Defense Tech
-- Expanded missile guidance programs.
-- Increased missile laser guidance orders by approximately 40%.
-- Expanded AI-enabled military AR/VR wearable product portfolio.
-- Added new ballistic display window products supporting U.S. defense
modernization.
Biomedical & Life Sciences
-- Secured a $4.6 million follow-on production order supporting
critical-care diagnostics.
AI Infrastructure
-- Since entering the AI infrastructure market approximately two years ago,
the Company has accumulated approximately $4 million in orders for
products supporting AI data centers, including advanced optical
interconnects, fusion-energy systems, and related technologies.
Operational Highlights
-- Continued improving manufacturing throughput, automation, yield, and
production efficiency, contributing to higher gross margins.
-- Invested approximately $0.7 million during Q2 in additional manufacturing
equipment while expanding production staffing to support anticipated
customer demand.
-- Multiple development programs advanced toward full production,
strengthening the Company's future revenue pipeline.
Outlook
-- Management expects operational momentum to continue during the second
half of 2026 as multiple production programs continue ramping.
-- For the third quarter of 2026, the Company expects revenue
between $8.3 million and $9.0 million, driven primarily by
biomedical production, AI-enabled AR/VR micro-camera systems, and
prototype engineering activity supporting future production
programs.
-- For the fourth quarter, the Company expects revenue between $8.75
million and $9.25 million, supported by continued expansion in Low
Earth Orbit satellite optics, advanced optical interconnects, and
initial production activity supporting emerging fusion-energy
systems.
Beyond our near-term operating outlook, management continues evaluating opportunities to accelerate Syntec's long-term growth strategy through disciplined investment in advanced manufacturing capabilities, expansion of our technology platform, and other strategic initiatives that further strengthen the Company's competitive position.
About Syntec Optics
Headquartered in Rochester, N.Y., Syntec Optics Holdings, Inc. (NASDAQ: OPTX) is one of the nation's largest bespoke manufacturers of high-precision optics and photonics. With a dedicated team of nearly 180 employees, the company pushes the limits of light-based technologies to connect and protect the world. Syntec supports critical missions ranging from low-Earth-orbit satellites to advanced defense platforms and AI data centers. As light-enabled technologies continue to account for a significant portion of global economic output--representing nearly $16 trillion of the $106 trillion in total worldwide production as of 2023--Syntec Optics remains positioned at the forefront of the modern optical revolution.
For more information, visit syntecoptics.com.
Forward-Looking Statements
This press release contains certain "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended (the "Securities Act") and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact contained in this press release, including statements as to the intended use of net proceeds from the public offering, are forward-looking statements. Some of these forward-looking statements can be identified by the use of forward-looking words, including "may," "should," "expect," "intend," "will," "estimate," "anticipate," "believe, " "predict," "plan," "targets," "projects," "could," "would," "continue, " "forecast" or the negatives of these terms or variations of them or similar expressions. All forward-looking statements are subject to risks, uncertainties, and other factors (some of which are beyond the control of Syntec Optics), which could cause actual results to differ materially from those expressed
or implied by such forward-looking statements. All forward-looking statements are based upon estimates, forecasts and assumptions that, while considered reasonable by Syntec Optics and its management, as the case may be, are inherently uncertain and many factors may cause the actual results to differ materially from current expectations which include, but are not limited to: 1) risk outlined in any prior SEC filings; 2) ability of Syntec Optics to successfully increase market penetration into its target markets; 3) the addressable markets that Syntec Optics intends to target do not grow as expected; 4) the loss of any key executives; 5) the loss of any relationships with key suppliers including suppliers abroad; 6) the loss of any relationships with key customers; 7) the inability to protect Syntec Optics' patents and other intellectual property; 8) the failure to successfully execute manufacturing of announced products in a timely manner or at all, or to scale to mass production; 9) costs related to any further business combination; 10) changes in applicable laws or regulations; 11) the possibility that Syntec Optics may be adversely affected by other economic, business and/or competitive factors; 12) Syntec Optics' estimates of its growth and projected financial results for the future and meeting or satisfying the underlying assumptions with respect thereto; 13) the impact of any pandemic, including any mutations or variants thereof and the Russian/Ukrainian or Israeli conflict, and any resulting effect on business and financial conditions; 14) inability to complete any investments or borrowings in connection with any organic or inorganic growth; 15) the potential for events or circumstances that result in Syntec Optics' failure to timely achieve the anticipated benefits of Syntec Optics' customer arrangements; and 16) other risks and uncertainties set forth in the sections entitled "Risk Factors" and "Cautionary Note Regarding Forward-Looking Statements" in prior SEC filings. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Nothing in this press release should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. Syntec Optics does not give any assurance that Syntec Optics will achieve its expected results. Syntec Optics does not undertake any duty to update these forward-looking statements except as otherwise required by law.
For further information, please contact:
Investor Relations
InvestorRelations@syntecoptics.com
SOURCE: Syntec Optics Holdings, Inc. (Nasdaq: OPTX)
SYNTEC OPTICS HOLDINGS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
JUNE 30, 2026 AND DECEMBER 31, 2025
2026
(unaudited) 2025
-------------- -----------
ASSETS
Current Assets
Cash $ 14,047,104 $ 358,867
Accounts Receivable, Net 7,261,303 6,241,768
Inventory 7,578,694 7,884,943
Prepaid Expenses and Other Assets 763,851 655,827
---------- ----------
Total Current Assets 29,650,952 15,141,405
Property and Equipment, Net 9,187,500 9,172,703
---------- ----------
Total Assets $ 38,838,452 $24,314,108
========== ==========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Accounts Payable $ 2,058,881 $ 2,691,748
Accrued Expenses 981,993 683,397
Federal Income Tax Payable 169,582 169,582
Deferred Revenue 816,134 66,420
Line of Credit - 6,763,863
Current Maturities of Debt
Obligations 95,718 93,358
Current Maturities of Debt
Obligations - Related Party 473,206 406,495
Current Maturities of Finance Lease
Obligations 369,082 354,499
---------- ----------
Total Current Liabilities 4,964,596 11,229,362
Long-Term Liabilities
Long-Term Debt Obligations 1,231,040 1,267,043
Long-Term Debt Obligations - Related
Party 957,721 862,237
Long-Term Finance Lease Obligations 1,209,916 1,414,611
---------- ----------
Total Long-Term Liabilities 3,398,677 3,543,891
---------- ----------
Total Liabilities 8,363,273 14,773,253
---------- ----------
Commitments and Contingencies -
Stockholders' Equity
CL A Common Stock, Par value $.0001
per share; 121,000,000 authorized;
40,279,878 issued and outstanding
as of June 30, 2026; 36,920,226
issued and outstanding as of
December 31, 2025; 4,028 3,692
Additional Paid-In Capital 24,252,789 2,677,181
Retained Earnings 6,218,362 6,859,982
---------- ----------
Total Stockholders' Equity 30,475,179 9,540,855
---------- ----------
Total Liabilities and Stockholders'
Equity $ 38,838,452 $24,314,108
========== ==========
SYNTEC OPTICS HOLDINGS, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2026 AND 2025
June 30, June 30, June 30, June 30,
2026 2025 2026 2025
----------- ----------- ----------- -----------
Three Months Ended Six Months Ended
------------------------- -------------------------
June 30, June 30, June 30, June 30,
2026 2025 2026 2025
----------- ----------- ----------- -----------
Net Sales $ 8,273,858 $ 6,559,455 $14,787,224 $13,628,497
Cost of Goods
Sold 6,130,794 4,961,489 11,683,368 9,721,913
---------- ---------- ---------- ----------
Gross Profit 2,143,064 1,597,966 3,103,856 3,906,584
General and
Administrative
Expenses 1,821,676 1,744,216 3,558,515 3,524,382
---------- ---------- ---------- ----------
Income (Loss)
from Operations 321,388 (146,250) (454,659) 382,202
Other (Expense)
Income
Other Income 78,182 11,298 147,482 16,995
Interest
Expense,
Including
Amortization
of Debt
Issuance
Costs (143,333) (208,969) (334,443) (409,865)
---------- ---------- ---------- ----------
Total Other
Expense (65,151) (197,671) (186,961) (392,870)
---------- ---------- ---------- ----------
Income (Loss)
Before Provision
for (Benefit)
Income Taxes 256,237 (343,921) (641,620) (10,668)
Provision for
Income Taxes - - - 9,588
---------- ---------- ---------- ----------
Net Income (Loss) $ 256,237 $ (343,921) $ (641,620) $ (20,256)
========== ========== ========== ==========
Net Income
(Loss) per
Common Share
Basic and
diluted $ 0.01 $ (0.01) $ (0.02) $ 0.00
========== ========== ========== ==========
Weighted Average
Number of Common
Shares
Outstanding
Basic and
diluted 39,191,966 36,920,226 38,078,711 36,920,226
========== ========== ========== ==========
SYNTEC OPTICS HOLDINGS, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 2026 AND 2025
2026 2025
----------- -----------
Cash Flows From Operating Activities
Net Loss $ (641,620) $ (20,256)
Adjustments to Reconcile Net Loss
to Net Cash Provided By Operating
Activities:
Depreciation 1,072,164 1,387,427
Amortization of Debt Issuance
Costs 12,416 4,834
Stock-Based Compensation 150,000 -
Change in Allowance for Expected
Credit Losses 135,611 75,727
Change in Reserve for
Obsolescence (13,107) (18,881)
Changes in Operating Assets and
Liabilities:
Accounts Receivable (1,155,146) (374,827)
Inventory 319,356 (1,020,458)
Prepaid Expenses and Other
Assets (108,024) 275,288
Accounts Payables and Accrued
Expenses (350,747) (344,470)
Federal Income Tax Payable - 179,376
Deferred Revenue 749,714 (2,519)
---------- ----------
Net Cash Provided By Operating
Activities 170,617 141,241
Cash Flows From Investing Activities
Purchases of Property and Equipment (1,070,485) (604,772)
---------- ----------
Net Cash Used in Investing Activities (1,070,485) (604,772)
Cash Flows From Financing Activities
Borrowing (Repayments) on Line of
Credit, Net (6,763,863) 500,000
Borrowing on Debt Obligations -
Related Parties 200,000 -
Repayments on Debt Obligations (46,059) (231,430)
Repayments on Debt Obligations -
Related Parties (37,805) -
Repayments on Finance Lease
Obligations (190,112) (116,741)
Gross Proceeds from issuance of
common stock 23,000,003 -
Payment of common stock issuance
costs (1,574,059) -
---------- ----------
Net Cash Provided By Financing
Activities 14,588,105 151,829
---------- ----------
Net Increase (Decrease) in Cash 13,688,237 (311,702)
Cash - Beginning 358,867 598,787
---------- ----------
Cash - Ending $14,047,104 $ 287,085
========== ==========
Supplemental Cash Flow Disclosures:
Cash Paid for Interest $ 105,411 $ 409,579
========== ==========
Cash Paid for Taxes $ - $ -
========== ==========
Supplemental Disclosures of Non-Cash
Investing Activities:
Assets Acquired and Included in
accounts payable $ 16,476 $ 40,362
Issuance of common stock for
stock-based compensation $ 7 $ 23
NON-GAAP RECONCILIATION OF EBITDA
FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2026 AND 2025
Three Months Ended Six Months Ended
-------------------- -----------------------
June 30, June 30, June 30, June 30,
2026 2025 2026 2025
-------- --------- ---------- ----------
Net (Loss) Income $256,237 $(343,921) $ (641,620) $ (20,256)
Stock-Based
Compensation
Expense BOD
(1) 75,000 150,000
Depreciation 532,482 676,623 1,072,164 1,387,427
Amortization of
Debt Issuance
Costs 8,246 2,418 12,416 4,834
Interest
(Earned)
Expense (54,303) 207,623 105,411 409,579
Taxes - - 9,588
Non-Recurring
Items
Executive
Transition
(2) - 135,246 - 249,189
One-time
Contract exit
costs - 11,750 - 21,063
Non-recurring
property
damage - - 23,211 21,261
------- -------- --------- ---------
Adjusted EBITDA $817,662 $ 689,739 $ 721,582 $2,082,685
======= ======== ========= =========
In the quarters ended June 30, 2026 and 2025:
(1) Stock-based compensation was issued to independent
Board members.
(2) A succession plan was required for the transition
of the CEO at the 2024 year-end.