nLIGHT, Inc.

Thank you for joining us and welcome to NLIGHT's second quarter 2026 earnings conference call. After today's prepared remarks, we will host a question and answer session. If you would like to ask a question, please press star 1 to raise your hand. To withdraw your question, press star 1 again. I will now hand the conference over to John Marchetti. John, please go ahead.

Good afternoon, everyone. Thank you for joining us today to discuss Enlight's second quarter 2026 earnings results. I'm John Marchetti, Enlight's VP of Corporate Development and the Head of Investor Relations, and with me on the call today are Scott Keeney, Enlight's Chairman and CEO, and Joe Corso, Enlight's CFO. Today's discussion will contain forward-looking statements, including statements related to our financial projections and plans for our business, Our growth opportunities and demand for our products, the impact of export controls and related supply chain challenges on our product manufacturing and delivery, and our mitigation strategies to address such supply chain challenges. These forward-looking statements are subject to risks, uncertainties, and assumptions that could cause our actual results to differ materially from these statements, including the risks mentioned in today's earnings release as well as other risks and uncertainties described from time to time in our SEC filings including, without limitation, our most recent annual report on Form 10-K and our subsequent quarterly reports on Form 10-Q. We undertake no obligation to update any forward-looking statement except as required by law. During the call, we will also be discussing certain non-GAAP financial measures. We have provided reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures in our earnings press release and in our earnings presentation, both of which can be found on the investor relations section of our website. I will now turn the call over to Enlight's chairman and CEO, Scott Keeney.

Thank you, John. Q2 represented another strong quarter of execution for Enlight with revenue, gross margin, and adjusted EBITDA at or above our expectations. Thank you for joining us. Our pipeline of new opportunities in direct energy significantly expanded with the recent award of the Department of War's Joint Laser Weapon System Contract. Our laser sensing and advanced manufacturing opportunities also continue to grow, providing us with a broad base of new and existing programs and customers that we expect will continue to provide long-term growth opportunities for NLIGHT. Directed energy is an increasingly important priority for the U.S. and our allies, driven by the need for highly scalable, low-cost-per-shot solutions to counter a rapidly evolving threat environment. Our focus remains on supporting customers across a broad range of power levels and mission profiles, and we are increasingly engaged not only as a laser supplier, but also as a system-level partner. NLIGHT's high-energy lasers are differentiated across three key dimensions, power, brightness, and atmospheric correction. We believe all are essential to the successful deployment of directed energy laser weapons. And it's across all three dimensions where we believe our HADES family of directed energy products outperforms competing solutions. HADES can scale from tens of kilowatts to a megawatt of power while maintaining exceptional beam quality. When combined with our proprietary atmospheric correction technology, HADES provides defense customers with an operational solution capable of neutralizing a wide range of threats. Designed to be low swab, HADES can be delivered in a variety of form factors, enabling rapid deployment across a broad range of military platforms and battlefield environments. Hades was instrumental in helping us win the recent Joint Laser Weapon System, or JLWS, award, a new multi-year DOW agreement with a contract ceiling of over $600 million. Under JLWS, NLIGHT will develop, integrate, and deliver multiple high-energy laser weapon systems that build on the successful delivery of our 300-kilowatt high-energy Hel-C-1 laser and our 50-kilowatt high-energy DEM shorehead laser. NLIGHT will leverage its proprietary coherent beam combination and atmospheric correction technology and its vertically integrated manufacturing to deliver modular containerized systems that can be integrated across a variety of platforms and rapidly deployed in theater. With increasing U.S. defense prioritization of direct energy lasers and planned demonstrations of operational systems expected as early as 2028, JLWS represents a critical step forward fielding production-ready laser weapon systems at scale. We also continue to make progress with existing directed energy programs in the second quarter. Our work on the production of our one megawatt CBCI energy laser as part of Healthy2 continues to go well, and we remain on track for this program. Importantly, this laser is based on the same architecture that we use across our HADES portfolio of CBC lasers, demonstrating the scalability of the platform to deliver solutions that address a wide range of mission scenarios. We are making steady progress on the U.S. Navy's HELCAP program for anti-ship cruise missile defense, where we are integrating our 300-kilowatt CBC laser that we delivered under the HELC-1 program with a proprietary advanced beam control system that incorporates our adaptive optics for atmospheric correction. We believe this work will continue to accelerate the development and deployment of future multi-hundred kilowatt systems over the coming years. We also continue to see increased interest in our defense products outside of directed energy. In the second quarter, we delivered strong growth in our products for kinetic weapons, which remains an important growth driver within our defense markets. These products are delivered into longstanding programs of record, Thank you for joining us. Thank you for joining us. Thank you, Scott.