Vuzix Corporation

and welcome to VUSIC's third quarter, ending September 30th, 2025, financial results and business update conference call. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during the call, please press star zero on your telephone keypad. As a reminder, this call is being recorded. Now I would like to turn the call over to to Ed McGregor, Director of Investor Relations at Vuzic. Mr. McGregor, you may begin.

Thank you, operator, and good afternoon, everyone. Welcome to the Vuzic's third quarter 2025, ending September 30th, finance results and business update conference call. With us today are Vuzic CEO, Paul Travers, and CFO, Grant Russell. Additionally, Chris Parkinson, President of Enterprise Solutions, will be joining for a portion of this call. Before I turn the call over to Paul, I would like to remind you that on this call, management's prepared remarks may contain forward-looking statements which are subject to risks and uncertainties, and management may make additional forward-looking statements during the question and answer session. Therefore, the company claims protection of the safe harbor for forward-looking statements that are contained in the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those contemplated by any forward-looking statement as a result of certain factors, including but not limited to general economic and business conditions, competitive factors, changes in business strategy or development plans, the ability to attract and retain qualified personnel, as well as changes in legal and regulatory requirements. In addition, any projections as to the company's future performance represent management's estimates as of today, November 13, 2025. USICS assumes no obligation to update these projections in the future as market conditions change. This afternoon, the company issued a press release announcing its Q3 2025 financial results and filed its 10Q with the SEC. So participants in this call who may not have already done so may wish to look at those documents as the company will only provide a summary of the results discussed on today's call. Today's call may include certain non-GAAP financial measures. When required, Reconciliation to the most direct comparable financial measures calculated and presented in accordance with GAAP can be found in the company's filings at sec.gov, which is also available at www.vuzix.com. We'll now turn the call over to Vuzix CEO, Paul Travers, who will give an overview of the company's operating results and business outlook. Paul will then turn the call over to Chris Parkinson, President of Enterprise Solutions, who will also briefly discuss developments in the enterprise smart glasses space. We will then hear from Grant Russell, Vuzix CFO, who will provide an overview of the company's third quarter results, after which we'll move on to the Q&A session. Paul?

Thank you, Ed, and thank you to everyone else joining us today. The race to deliver production-ready waveguides and display engines for broad markets is fully underway, and Vuzix is in it with momentum. Inbound interest from leading ODMs and micro-display suppliers has accelerated over the last 12 months, led by Quanta Computer, one of the world's largest ODMs. Just over a year ago, Quanta made an initial $10 million strategic investment to support a long-term waveguide design and supply partnership. We received a second $5 million tranche in June and completed the third $5 million tranche in September after meeting or exceeding the agreed upon manufacturing milestones. This brings Quanta's total investment to $20 million. We are now into discussions with Quanta on how to ramp in a more significant way capacity-wise as the AI smart glasses industry begins to accelerate much further both of us want to be primed and ready to deliver. We also announced two new display ecosystem partnerships in Q3. One with TCL, China Star Optoelectronics Technology, to develop an integrated AR optical solution that combines our high transparency production ready wave guides with their micro LED display engines initially a monochrome green module with a roadmap to full color in 2026, and another with SAFLUX to co-develop next generation AR display engines, pairing their high brightness mono green micro LEDs with our wave guides, targeting a reference design and ultimately full color mass producible optical solutions. Beyond these public announcements, We've signed NDAs with multiple other ODMs, micro-display makers, and consumer electronics brands seeking a capable, cost-effective waveguide supplier. Put simply, demand for high-quality color waveguides continues to rise, and Vuzix is making sure it is well-positioned to serve it. In parallel, our OEM and defense business continues to accelerate. and active programs, engagements, and revenue, and our ties with prime contractors continues to deepen. We are now transitioning into production deliveries of the wave guides and display engines for a lightweight heads-up display for fielded military personnel with revenue contribution beginning in Q4 this year. We also have secured, as previously announced, a six-figure development order for a new program that was received and expected to be delivered in Q4. And finally, a third program is advancing pending a display engine modification that Vuzix needs to make to support the high dynamic range required for that unique application. On the enterprise side, which currently accounts for the majority of revenue, AI-enabled smart glasses are driving a new wave of interest as customers bring us their specific operational challenges. We've seen a real shift from push to pull. Customers now are coming to Vuzix with specific workflows and ROI targets and asking us to help deliver for them. A good example of this is Amazon. As we disclosed in May of this year, Amazon is using Vuzix's smart glasses to support reliability and maintenance engineering teams with see-what-I-see capabilities to reduce costs, speed repairs, and improve safety in large-scale logistics facilities. That program, which started in Europe, has now entered commercial rollout in the US and Canada, with discussions underway to expand to additional regions, business units, and use cases. And as a result, we expect this business to grow materially with Vuzix delivering more and more custom M400 kits for them as they scale. Overall business and revenue momentum is increasing in Q4, as quarter-to-date revenue and purchase order obligations have already exceeded Q3 levels, with both our OEM waveguide and products business performing well. Finally, our waveguide development efforts are not only focused on cost-effective high volume manufacturing, but we are developing advanced high index materials that are designed to deliver on the future performance requirements that this industry is going to demand as the industry matures. We will have more to share on this in 2026 as these new developments unfold, but you can imagine technology that revolves around all the way to silicon carbide waveguide solutions. In September, we welcomed Dr. Chris Parkinson, co-founder and former chief technology officer and CEO of RealWear, as president of Vuzix Enterprise Solutions Business. Chris's mandate spans the entire enterprise stack, product portfolio and roadmap, solutions architecture, sales, strategic partnerships, customer adoption, and global channels. so we can capture the clear, measurable value smart glasses deliver in the enterprise, higher productivity, faster time to resolution, better safety, and more consistent quality. Chris's leadership of our enterprise business also frees me to double down on core waveguide and optical technology, the defense business, and strategic development funding opportunities, ensuring we solidify being the supplier of choice for brands, and prime contractors with the Made in USA operations. Of course, we also have our eye on Asian operations for some of our high volume, broad market programs. His arrival coincides with the formal introduction of the LX1, our purpose built, warehouse ready, voice and vision smart glasses, designed for full shift duty and fast time to productivity. Early customer feedback has been excellent, and Chris is already engaging with multiple key accounts that will shape this market. And with that, I'm delighted to introduce you all to Chris Parkinson. Chris?