LightPath announced it has been awarded a renewal of an annual supply agreement valued at $5M. The contract is for the purchase of a variety of infrared, or IR, optical lens elements by a major commercial infrared vision products customer. The agreement includes an option to increase the contract to $6M upon the acceptance of new designed chalcogenide lenses within 6 months from the date of the contract. Products under this contract will be shipped over the next 12 months beginning in December. This supply agreement from the industrial market is for commercial hand-held thermal monocular and thermal weapon-sight lenses to be supplied to a European manufacturer of night vision and thermal cameras. LightPath's optics will be used on cameras and other sporting and outdoor products designed for search and rescue, nature observation, hunting, maritime navigation and other commercial applications.
LightPath downgraded to Neutral with 75c price target at B. Riley FBR. B. Riley FBR analyst Marc Wiesenberger downgraded LightPath to Neutral from Buy with a price target of 75c, down from $2.00. The company's 12-month backlog declined by $1.7M quarter-over-quarter in fiscal Q1, the first time in the last five quarters that the 12-month backlog had a negative change from the prior year end period, Wiesenberger tells investors in a research note. The analyst is now "taking a more conservative posture on the business."
LightPath Technologies announced it has been awarded a greater than $500,000 purchase order as part of the new supply agreement, with Seek Thermal for high-volumes of multiple infrared lenses. Less than one year ago Seek placed their initial order, for a single lens design, with LightPath. As per the supply agreement Seek Thermal will update their forecast and place follow on orders on a quarterly basis.