Coherent Inc delivered QQ3 2025 revenue of $1.498 billion, up 23.9% year over year and 4.38% quarter over quarter, underscoring robust demand for laser-based systems across OEM laser sources and industrial laser applications. Gross profit reached $527.69 million with a gross margin of 35.2%, supported by favorable product mix and scale efficiencies. Operating income totaled $145.52 million (operating margin ~9.72%), and EBITDA was $146.00 million. Net income was $15.71 million (net margin ~1.05%), but diluted earnings per share were negative at -$0.11, largely reflecting a substantial non-cash or one-time negative item within “other income/expenses” (-$135.63 million) that weighed on pre-tax results and tax allocations. The quarter also produced solid cash flow: operating cash flow of $162.96 million and free cash flow of $51.14 million, with free cash flow per share of $0.329. Balance sheet metrics show a strong liquidity position (cash & equivalents of $0.89 billion; current assets of $3.70 billion; current ratio 2.47) and a sizable assets base dominated by goodwill and intangibles (~$7.74 billion combined). Total debt stood at $3.94 billion with net debt of $3.05 billion, and net cash generation support a cautious deleveraging path if earnings quality improves. In sum, QQ3 2025 demonstrates meaningful top-line expansion and healthy cash generation, but earnings quality is sensitive to non-operating items and impairment-type considerations tied to the company’s substantial intangible asset base. Investors should monitor margin progression, the sustainability of operating cash flow, and the evolution of the balance sheet given high goodwill/intangible levels and leverage.