Syntec Optics Holdings, Inc. (Nasdaq: OPTX) Reports Fourth Quarter and Full Year 2025 Results

ROCHESTER, NEW YORK, March 31, 2026 (GLOBE NEWSWIRE) -- Syntec Optics Holdings, Inc. (Nasdaq: OPTX) (“Syntec” or the “Company”), a leading provider of technology across defense, biomedical, communications, and consumer end-markets, today reported that the previously announced Company’s focus on operations efficiency had a positive impact on financial results for the fourth quarter and full year ended December 31, 2025.

Q4 2025 Highlights

• Gross margin saw significant expansion, nearly doubling compared to the same-year previous quarter and prior-year quarter (Gross Margin for Q4 2024 was 13%, Q3 2025 was 12%, and Q4 2025 was 24%).
• Gross profit also saw significant improvement, increased 100% sequentially and increased 80% compared to the prior year (Gross Profit for Q4 2024 was $1 million, Q3 2025 was $0.9 million, and Q4 2025 was $1.8 million).
• SG&A expense also saw significant improvement, decreased 30% sequentially and decreased by 40% compared to the prior year (SG&A expense for Q4 2024 was $2.4 million, Q3 2025 was $2.1 million, and Q4 2025 was at $1.5 million).
• As a result of the above improvements, Adj EBITDA increased by nearly $1 million (Adj EBITDA for Q4 2024 was $0.5 million, Q3 2025 was negative $0.01 million, and Q4 2025 was $0.9 million).
• These improvements in the fourth quarter were achieved on Net Sales of $7.5 million, an increase of 8% from Q3 2025, and similar to Q4 2024 Net Sales.

Results for the year-end followed a similar path, reflecting enhanced yields, cost discipline, and operational execution.

Full Year 2025 Highlights

• Gross margin increased by 3.3% as compared to the prior year (Gross Margin for full year 2024 was 20%, full year 2025 was 23.3%).
• Gross profit increased by 13% as compared to the prior year (Gross Profit for full year 2024 was $5.7 million, and full year 2025 was $6.5 million).
• SG&A expense decreased by $1.2 million as compared to the prior year (SG&A for full year 2024 was $8.2 million, and full year 2025 was $7.0 million).
• Adj EDITDA also saw significant improvement, increased by 36% versus the prior year (Adj EBITDA for full year 2024 was $2.2 million, and full year 2025 came in at $3.0 million).
• These improvements for the full year were achieved even with Net Sales of $28.1 million, down $0.4 million from full year 2024.   
• As a result of the improvements above, EPS of $(0.05) in 2025 improved from $(0.07) in 2024.
• Cash provided by operations increased to $0.7 million and was used for facility improvements and equipment. Cash, including line of credit availability, was at $1.1 million.

Operational Execution

• Yield and throughput improvements across key programs, including LEO satellite optics, night vision optics, and integrated optical assemblies, continued.
• Night shift staffing expanded to support scalable production capacity.
• Multiple programs advanced from design → pilot → initial production.
• Ongoing cost reduction initiatives contributed to margin expansion.

2026 Outlook

Syntec expects growth in 2026, supported by:

• Ramp of next-generation communications, new space and AI/data center optics products.
• Expansion in defense programs driven by onshoring tailwinds.
• Steady growth across biomedical and consumer end markets.
• Conversion of design-stage programs into production revenue.

Near-Term Guidance

Compared to Q4 2025 Net Sales of $7.5 million, Q1 2026 Net Sales are expected to be below $7.5 million, and Q2 2026 Net Sales are expected to be above $7.5 million. 2026 started with space optics production increasing to a record level, the beginning of the production stage for the artificial intelligence data center product line, and the previously announced addition of a new product line in defense tech. Additional product lines for defense tech are anticipated to add to Net Sales in Q2 and beyond.

About Syntec Optics

Syntec Optics Holdings, Inc. (Nasdaq: OPTX), headquartered in Rochester, NY, is one of the largest custom and diverse end-market optics and photonics manufacturers in the United States. Operating for over two decades, Syntec Optics runs a state-of-the-art facility with extensive core capabilities of various optics manufacturing processes, both horizontally and vertically integrated, to provide a competitive advantage for mission-critical OEMs. As more products become light-enabled, Syntec Optics continues to add new product lines, including recent Low Earth Orbit (LEO) satellite optics for communications, lightweight night-vision goggle optics for defense, biomedical optics for diagnostics and surgery, and data center optics for Artificial Intelligence. According to SPIE, across the entire field of optics and photonics, the monetary value of all light-enabled products and related services amounts to over 15% of worldwide economic output (nearly $16 trillion of the total $106 trillion value of all finished goods and services produced worldwide in 2023).To learn more, visit www.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, including certain financial forecasts and projections. All statements other than statements of historical fact contained in this press release, including statements as to the transactions contemplated by the business combination and related agreements, future results of operations and financial position, revenue and other metrics, planned products and services, business strategy and plans, objectives of management for future operations of Syntec Optics, market size, and growth opportunities, competitive position and technological and market trends, 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 including registration statement on Form S-4 filed with the SEC. 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.
CONSOLIDATED BALANCE SHEETS
DECEMBER 31, 2025 AND 2024

  2025  2024 ASSETS        Current Assets        Cash $358,867  $598,787 Accounts Receivable, Net  6,241,768   5,739,205 Inventory  7,884,943   6,953,278 Prepaid Expenses and Other Assets  655,827   596,589 Income Tax Receivable  -   9,794          Total Current Assets  15,141,405   13,897,653          Property and Equipment, Net  9,172,703   11,668,859          Deferred Tax Asset  -   439,942          Total Assets $24,314,108  $26,006,454          LIABILITIES AND STOCKHOLDERS’ EQUITY                 Current Liabilities        Accounts Payable $2,691,748  $2,706,392 Accrued Expenses  683,397   814,600 Federal Income Tax Payable  169,582   - Deferred Revenue  66,420   36,512 Line of Credit  6,763,863   6,263,863 Current Maturities of Debt Obligations  93,358   467,742 Current Maturities of Debt Obligations - Related Party  406,495   - Current Maturities of Debt Obligations  406,495   - Current Maturities of Finance Lease Obligations  354,499   284,002          Total Current Liabilities  11,229,362   10,573,111          Long-Term Liabilities        Long-Term Debt Obligations  860,548   2,614,812 Long-Term Debt Obligations - Related Party  1,268,732   - Long-Term Debt Obligations  1,268,732   - Long-Term Finance Lease Obligations  1,414,611   1,784,449          Total Long-Term Liabilities  3,543,891   4,399,261          Total Liabilities  14,773,253   14,972,372          Commitments and Contingencies  -   -          Stockholders’ Equity        CL A Common Stock, Par value $.0001 per share; 121,000,000 authorized; 36,920,226 issued and outstanding as of December 31, 2025; 36,688,266 issued and outstanding as of December 31, 2024  3,692   3,669 Additional Paid-In Capital  2,677,181   2,377,204 Retained Earnings  6,859,982   8,653,209          Total Stockholders’ Equity  9,540,855   11,034,082          Total Liabilities and Stockholders’ Equity $24,314,108  $26,006,454 

SYNTEC OPTICS HOLDINGS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024

  2025  2024        Net Sales $28,083,985  $28,449,941          Cost of Goods Sold  21,554,285   22,747,615          Gross Profit  6,529,700   5,702,326          General and Administrative Expenses  7,047,300   8,278,720          Loss from Operations  (517,600)  (2,576,394)         Other (Expense) Income        Other (Expense) Income  (39,875)  346,835 Interest Expense, Including Amortization of Debt Issuance Costs  (795,810)  (764,934)Total Other Expense  (835,685)  (418,099)         Loss Before Provision for (Benefit) Income Taxes  (1,353,285)  (2,994,493)         Provision (Benefit) for Income Taxes  439,942   (514,832)         Net Loss $(1,793,227) $(2,479,661)         Net Loss per Common Share        Basic and diluted $(0.05) $(0.07)         Weighted Average Number of Common Shares Outstanding        Basic and diluted  36,920,226   36,688,266 

SYNTEC OPTICS HOLDINGS, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024

  2025  2024 Cash Flows From Operating Activities        Net Loss $(1,793,227) $(2,479,661)Adjustments to Reconcile Loss to Net Cash (Used In)        Provided By Operating Activities:        Adjustments to Reconcile Loss to Net Cash (Used In) Provided By Operating Activities:        Depreciation and Amortization  2,613,229   2,765,713 Amortization of Debt Issuance Costs  15,501   15,057 Stock-Based Compensation  300,000   450,000 Gain on Disposal of Property and Equipment  -   (309,000)Change in Allowance for Expected Credit Losses  15,869   (121,767)Change in Reserve for Obsolescence  80,667   186,285 Deferred Income Taxes  439,942   (514,832)(Increase) Decrease in:        Accounts Receivable  (518,432)  1,182,626 Inventory  (1,012,332)  (1,305,454)Prepaid Expenses and Other Assets  (59,238)  (237,146)Increase (Decrease) in:        Accounts Payables and Accrued Expenses  381,372   (231,163)Federal Income Tax Payable  179,376   (380,000)Deferred Revenue  29,908   36,512 Net Cash Provided By (Used In) Operating Activities  672,635   (942,830)         Cash Flows From Investing Activities        Purchases of Property and Equipment  (644,292)  (1,239,866)Proceeds from Disposal of Property and Equipment  -   309,000          Net Cash Used in Investing Activities  (644,292)  (930,866)         Cash Flows From Financing Activities        Borrowing on Line of Credit, Net  500,000   (273,729)Borrowing on Debt Obligations  -   1,100,388 Borrowing on Debt Obligations - Related Parties  1,268,732   - Repayments on Debt Obligations  (1,737,654)  (420,802)Repayments on Finance Lease Obligations  (299,341)  (91,619)         Net Cash (Used In) Provided By Financing Activities  (268,263)  314,238          Net Decrease in Cash  (239,920)  (1,559,458)         Cash - Beginning  598,787   2,158,245          Cash - Ending $358,867  $598,787          Supplemental Cash Flow Disclosures:                 Cash Paid for Interest $756,519  $738,010          Cash Paid for Taxes $-  $568,143          Supplemental Disclosures of Non-Cash Investing Activities:                 (Decrease) Increase in Assets Acquired and Included in AP $527,219  $198,584 Issuance of finance lease for acquisition of equipment     $2,160,070          De-recognition of PPE and Intangible Asset transaction $-  $560,000 

NON-GAAP RECONCILIATION OF EBITDA
FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024

  2025  2024 Net Loss $(1,793,227) $(2,479,661)Stock-Based Compensation Expense BOD (1)  300,000   450,000 Depreciation & Amortization  2,613,229   2,765,713 Amortization of Debt Issuance Costs  15,501   9,222 Interest Expenses  756,519   738,010 Taxes  439,942   (514,832)Non-Recurring Items                 Executive Transition (2)  579,161   379,389 Nonrecurring Banking Fees (3)  63,416     Nonrecurring professional Fees (4)      174,500 Technology Start-up Costs (5)      344,496 Optical Molding Evaluation Expenses (6)      201,908 Glass Molding Evaluation Expenses (6)      130,196 One-time Contract exit costs  21,063     Non-recurring property damage  21,261              Adjusted EBITDA $3,016,865  $2,198,941