Kopin Corp (KOPN) 2025 Q2 法說會逐字稿

Good morning, everyone, and welcome to the Kopin Corporation second quarter 2025 earnings call. Please note, this event is being recorded.

大家早上好，歡迎參加 Kopin Corporation 2025 年第二季財報電話會議。請注意，此事件正在被記錄。

At this time, I would like to turn the conference over to Brian Prenoveau, Investor Relations for Kopin.

現在，我想將會議交給 Kopin 投資者關係部的 Brian Prenoveau。

Thank you. Good morning, everyone. Before we get started, I'd like to remind everyone that today's call taking place on August 12, 2025, we'll be making forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. These statements are based on the company's current expectations, projections, beliefs and estimates and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those forward-looking statements.

謝謝。大家早安。在我們開始之前，我想提醒大家，今天的電話會議將於 2025 年 8 月 12 日舉行，我們將根據 1995 年《私人證券訴訟改革法案》的定義做出前瞻性陳述。這些聲明是基於公司目前的預期、預測、信念和估計，並受到許多風險和不確定因素的影響，可能導致實際結果與這些前瞻性聲明有重大差異。

Potential risks include, but are not limited to, demand for our products, operating results of our subsidiaries, market conditions and other factors discussed in our most recent annual report on Form 10-K as amended and other documents filed with the Securities and Exchange Commission.

潛在風險包括但不限於我們產品的需求、我們子公司的營運表現、市場條件以及我們最近修訂的 10-K 表年度報告和向美國證券交易委員會提交的其他文件中討論的其他因素。

Although the company believes that the assumptions underlying these statements are reasonable, any of them can be proven inaccurate and there can be no assurances that the results will be realized.

儘管公司認為這些陳述所依據的假設是合理的，但其中任何一個假設都可能被證明是不準確的，並且不能保證結果會實現。

The company undertakes no obligation to update the forward-looking statements made during today's call. In addition, references may be made to certain non-generally accepted accounting principles or non-GAAP measures, for which you should refer to the appropriate disclaimers and reconciliations in the company's SEC filings and press releases.

該公司不承擔更新今天電話會議中所做的前瞻性陳述的義務。此外，可能會引用某些非公認會計原則或非 GAAP 指標，您應參考本公司 SEC 文件和新聞稿中的相應免責聲明和對帳。

Kopin Corporation's Chief Executive Officer, Michael Murray, will begin today's call with an overview of Kopin's progress within the company's strategy. Paul and Michael, Kopin's CFO, Rich Sneider, will review the company's second quarter 2025 financial results. I would now like to turn the conference over to Michael Murray. Michael?

Kopin Corporation 執行長 Michael Murray 將在今天的電話會議上概述 Kopin 在公司策略中取得的進展。Paul 和 Michael、Kopin 財務長 Rich Sneider 將審查公司 2025 年第二季的財務表現。現在我想將會議交給邁克爾·莫瑞。麥可？

Thank you, Brian. Good morning to everyone, and welcome to our second quarter earnings call. It's been quite a busy and transformational time at Kopin and we believe some of our best and most exciting opportunities still lay ahead of us. We recently announced the hiring of Erich Manz as our new CFO, who will officially start on September 2.

謝謝你，布萊恩。大家早安，歡迎參加我們的第二季財報電話會議。Kopin 經歷了一段相當忙碌和變革的時期，我們相信，一些最好和最令人興奮的機會仍然在我們面前。我們最近宣布聘請 Erich Manz 擔任我們的新任財務官，他將於 9 月 2 日正式上任。

Erich joins us from Allegro MicroSystems, where he spent the last 27 years in various financial and accounting and leadership roles. We're excited to have Erich onboard as we believe these are truly transformative times here at Kopin. As I hope you all saw yesterday, we announced a $15 million strategic investment from Theon International, a global developer and manufacturer of advanced thermal imaging and night vision systems for global defense and thermal imaging markets.

Erich 來自 Allegro MicroSystems，在該公司工作了 27 年，擔任過各種財務、會計和領導職務。我們很高興 Erich 能加入我們，因為我們相信 Kopin 正處於真正的變革時期。正如我希望大家昨天看到的，我們宣布了來自 Theon International 的 1500 萬美元戰略投資，Theon International 是一家面向全球國防和熱成像市場的先進熱成像和夜視系統的全球開發商和製造商。

Due to ongoing military conflicts, rising uncertainty and the approved increase in European defense spending, Kopin and Theon decided that this strategic partnership can drive increased revenue, market share and technology developments in Europe, Southeast Asia and with NATO allies specifically.

由於持續的軍事衝突、日益增加的不確定性以及歐洲國防開支的批准增加，科平和西翁認為，這種戰略夥伴關係可以推動歐洲、東南亞以及北約盟國的收入、市場份額和技術發展的成長。

Furthermore, there are large pursuits here in the United States that may make sense for both companies to pursue as well. With Theon's expertise in night vision sensors and systems, coupled with Kopin's capabilities in all 4 types of microdisplays and optical assemblies, we collectively believe the combination will bring the most advanced technology to market sooner at a lower price and within sovereign content required to be successful together on much larger pursuits and contracts globally.

此外，美國也存在一些大型投資項目，這對兩家公司來說也是有意義的。憑藉 Theon 在夜視感測器和系統方面的專業知識，再加上 Kopin 在所有 4 種微型顯示器和光學組件方面的能力，我們共同相信，這一結合將以更低的價格更快地將最先進的技術推向市場，並在全球範圍內共同獲得更大規模的追求和合約所需的自主內容範圍內取得成功。

It has been reported that the European nations and NATO allies will spend over $1 trillion in defense spending, which makes this region critical for our growth and ambitions. Theon is a market maker, a leading defense firm and is one of the fastest-growing companies in Europe for the second year in a row.

據報道，歐洲國家和北約盟國將花費超過1兆美元的國防開支，這使得該地區對我們的成長和抱負至關重要。Theon 是一家做市商、領先的國防公司，並且連續第二年成為歐洲成長最快的公司之一。

Theon, which is publicly traded on the Amsterdam Stock Exchange, focuses on developing and delivering mission- critical thermal weapon sights, night vision and sensing systems to many countries in Europe, Southeast Asia and NATO.

Theon 在阿姆斯特丹證券交易所公開上市，專注於開發和向歐洲、東南亞和北約的許多國家提供任務關鍵型熱武器瞄準器、夜視和感測系統。

Their growth has been astounding with over 50% compound annual growth rate in the last past six years, resulting in revenues of over USD 381 million last year. Now as the only manufacturer in the United States of four types of microdisplays, we feel we are in a very unique position to capitalize on macro trends across the globe and grow our business, and we believe the investment by Theon will further help us achieve this.

他們的成長令人震驚，過去六年複合成長率超過 50%，去年的營收超過 3.81 億美元。現在，作為美國唯一一家生產四種微型顯示器的公司，我們感到自己處於一個非常獨特的位置，可以利用全球宏觀趨勢來發展我們的業務，我們相信 Theon 的投資將進一步幫助我們實現這一目標。

Part of the investment will go towards our facility in Dalgety Bay, Scotland.

部分投資將用於我們位於蘇格蘭達爾吉提灣的工廠。

This facility supports manufacturing and sales for Europe, Southeast Asia and now NATO specific countries enabling collaborative innovations across key global regions. Kopin and Theon will have a nonexclusive licensing and development agreement for several of our technologies and products.

該工廠支持歐洲、東南亞以及現在的北約特定國家的製造和銷售，從而實現全球主要地區的協作創新。Kopin 和 Theon 將對我們的多項技術和產品達成非排他性授權和開發協議。

The second part of the investment by Theon is in the form of preferred shares. These shares will have a fixed conversion price of $3 and a forced conversion price of $4.50 if the stock trades above that level for 10 days in a 30-day window.

Theon 的第二部分投資是以優先股的形式進行的。這些股票的固定轉換價格為 3 美元，如果股票在 30 天內有 10 天的交易價格高於該水平，則強制轉換價格為 4.50 美元。

With this agreement, we expect sales with Theon to commence in the fourth quarter of this year. Kopin and Theon have developed and agreed upon an aggressive three-year strategic plan for revenue, technology sharing, and growth, which makes both companies stronger, more profitable and competitive together. Importantly, our firms will be able to partner together and compete on much larger projects and contracts, higher up the value chain.

根據該協議，我們預計與 Theon 的銷售將於今年第四季開始。Kopin 和 Theon 已經制定並同意了一項積極的三年策略計劃，旨在實現收入、技術共享和成長，從而使兩家公司更加強大、盈利能力更強、競爭力更強。重要的是，我們的公司將能夠合作並在價值鏈更高、更大的項目和合約上競爭。

Global defense contractors and integrators are looking for more than simple commodity products to plug into systems. They want application-specific solutions tailored to their individual needs and products. Now turning to the second quarter of 2025.

全球國防承包商和整合商尋求的不僅僅是能夠連接系統的簡單商品產品。他們希望獲得根據其個人需求和產品量身定制的特定應用解決方案。現在轉向 2025 年第二季。

Specifically, we did not meet our expectations. This was largely the result of government budget uncertainty and subsequent customer confidence that was reduced which created a sales vacuum in the second quarter.

具體來說，我們沒有達到我們的期望。這主要是由於政府預算的不確定性以及隨之而來的客戶信心下降，造成了第二季的銷售真空。

However, we are very pleased to report that the order book is recovering, and many of those orders will be fulfilled in the third quarter. As an example, standard products for 3D AOI and training and simulation devices were delayed and will be recognized in third quarter as well as fourth quarter.

不過，我們很高興地報告，訂單量正在恢復，其中許多訂單將在第三季完成。例如，3D AOI和培訓及模擬設備的標準產品被推遲，將在第三季和第四季確認。

Additionally, we had several millions of orders expected in the second quarter, which we expect to announce shortly, and we expect to announce several significant research and development awards shortly as well.

此外，我們預計第二季會有數百萬份訂單，我們很快就會公佈這項消息，我們預計很快也會宣布幾個重要的研發獎項。

Although there were some roadblocks to recognizing revenue in the second quarter, we continue to make substantial progress for the long-term health and growth of the company. Within the quarter, we introduced our first phase of optical inspection, which is now up and running. We expect to introduce the second phase by the end of this year, which we believe will save the company significant operating expenses in the second half of 2025 while increasing our overall throughput and increasing our inspection quality as well.

儘管第二季確認收入時遇到了一些障礙，但我們仍在為公司的長期健康和成長取得實質進展。在本季度，我們推出了第一階段的光學檢測，目前已啟動並運行。我們預計將在今年年底前啟動第二階段，我們相信這將為公司在 2025 年下半年節省大量營運費用，同時提高我們的整體吞吐量並提高我們的檢驗品質。

We are holding our quality rates at a much higher level, more consistent and more predictable levels as well. Recently, we received the best overall quality level from all three of our top customers since I joined Kopin almost three years ago. On the technology front, Kopin's latest AI-enabled neural display hardware prototype built on an OLED technology with MicroLED capability, now enables eye image capture, gaze tracking and dynamic controls.

我們將品質率維持在更高水準、更一致、更可預測的水準。最近，我們從三大客戶那裡獲得了自我加入 Kopin 近三年以來最好的整體品質水準。在技術方面，Kopin 最新的 AI 神經顯示硬體原型基於具有 MicroLED 功能的 OLED 技術構建，現在可以實現眼部影像捕捉、凝視追蹤和動態控制。

This breakthrough delivers valuable insights into the requirements of custom optics and we continue to focus on future developments. Key discoveries address design challenges and optimize performance, propelling ongoing innovation.

這項突破為客製化光學的要求提供了寶貴的見解，我們將繼續關注未來的發展。關鍵發現解決了設計挑戰並優化了效能，推動了持續創新。

As Kopin continues refining this design, the next steps will be to focus on enhancing silicon architectures to improve color accuracy, brightness and sensor sensitivity. These upgrades will further bolster the neural display's capability and propel development toward the next generation of innovative display technology.

隨著 Kopin 不斷完善這項設計，下一步將專注於增強矽架構，以提高色彩準確度、亮度和感測器靈敏度。這些升級將進一步增強神經顯示器的功能，並推動下一代創新顯示技術的發展。

We demonstrated the technology for the first time in a wearable headset live at the AWE show in Long Beach and during our very successful technology roadshow in June. During the second quarter, Kopin received a contract to illustrate what technical requirements a color MicroLED, microdisplay will be needed for the next-generation soldier vision systems, including head-mounted see-through displays, handheld devices, platform-mounted systems and advanced weapon systems like the next-generation squad weapon fire.

我們在長灘的 AWE 展會上以及 6 月非常成功的技術路演中首次在可穿戴耳機中展示了該技術。在第二季度，Kopin 獲得了一份合同，以說明下一代士兵視覺系統對彩色 MicroLED 微顯示器的技術要求，包括頭戴式透視顯示器、手持設備、平台安裝系統和下一代班組武器射擊等先進武器系統。

The soldiers -- the soldier display trade study focuses on identifying ultra-bright MicroLED trade-offs to optimize see- through XR applications, prioritizing daytime readable displays that are brighter, more efficient and capable of delivering clear visibility across diverse lighting conditions from intense daylight to overcast starlight.

士兵——士兵顯示器交易研究專注於確定超亮 MicroLED 權衡，以優化透視 XR 應用，優先考慮更亮、更高效且能夠在從強烈日光到陰天星光的各種光照條件下提供清晰可見度的日間可讀顯示器。

Our research in the monochrome and color MicroLED displays for aviation, automotive, and soldier systems continue, and we expect to advance the monochrome display into full rate production soon while we continue to advance our color MicroLED strategy for aviation, land and soldier worn systems as well.

我們繼續研究用於航空、汽車和士兵系統的單色和彩色 MicroLED 顯示器，我們期望很快將單色顯示器推進到全速率生產，同時我們將繼續推進用於航空、陸地和士兵穿戴系統的彩色 MicroLED 戰略。

Through the US Department of Defense, we are excited about several opportunities to supply our existing programs across the military. We continue to supply several types of advanced thermal weapon sights and we are dedicating more focus on armored vehicles as well as within the advancements of recently announced research and development into the next generation of electric armored vehicle programs.

透過美國國防部，我們很高興有機會為整個軍隊提供現有的項目。我們繼續提供多種類型的先進熱武器瞄準器，並將更多精力放在裝甲車上，以及最近宣布的下一代電動裝甲車項目研發的進步上。

The largest of these opportunities is clearly IVAS, which is now referred to as Soldier Borne Mission Command or SBMC. This $22 billion Army program was recently novated by Anduril. SBMC is an all-encompassing program that has software, hardware and networking elements.

這些機會中最大的顯然是 IVAS，現在被稱為士兵攜帶任務指揮或 SBMC。這項耗資 220 億美元的陸軍計畫最近由 Anduril 進行了革新。SBMC 是一個包羅萬象的程序，包含軟體、硬體和網路元素。

As warfare evolves, and increases in complexity, having tools that deliver the right information quickly and intuitively become increasingly urgent. We expect prime contractors to be selected soon for this technology upgrade to the existing IVAS platform, which we believe will continue until SBMC becomes available.

隨著戰爭的發展和複雜性的增加，擁有能夠快速直觀地提供正確資訊的工具變得越來越緊迫。我們預計，很快就會選定總承包商對現有 IVAS 平台進行技術升級，我們相信該升級將持續到 SBMC 可用為止。

Along with the prime contractor selections, we expect announcements and awards for critical technology acquisition areas where Kopin fits into to be announced shortly as well. Given the long-term nature of many of the existing programs and the contract wins so far for 2025, our current pipeline is very strong and growing.

除了主承包商的選擇之外，我們預計 Kopin 所涉及的關鍵技術收購領域的公告和獎項也將很快公佈。鑑於許多現有項目的長期性以及迄今為止贏得的 2025 年合同，我們目前的儲備項目非常強大且還在不斷增長。

As a reminder, several of our programs have congressional budget demands through 2030 and several of the program contracts we have are indefinite demand and indefinite quantity, or IDIQs, which allow for even greater revenue demands than we currently have on order.

提醒一下，我們的幾個項目都有到 2030 年的國會預算要求，而且我們擁有的幾個項目合約都是不定期需求和不定期數量（或 IDIQ），這允許比我們目前訂購的更大的收入需求。

Now increasing geopolitical tensions. I mean defense spending is unlikely to decrease and the way wars are fought is evolving. Soldiers in the field are tasked with needing more information sooner to assess threat levels and how to make the best decisions for themselves and their teams.

現在地緣政治緊張局勢日益加劇。我的意思是國防開支不太可能減少，而且戰爭方式也在不斷演變。戰場上的士兵需要更快地獲得更多資訊來評估威脅等級以及如何為自己和團隊做出最佳決策。

Our products and technology can help make our soldiers and the soldiers of our allies safer, meaning more men and women in uniform make it home safe. I'm truly -- we are truly excited about yesterday's announcement with Theon and what this means for the future of Kopin as a player on the global scale. Furthermore, Theon has announced other key investments and acquisitions that will also help Kopin and

我們的產品和技術可以幫助我們的士兵和盟友的士兵更加安全，這意味著更多的男女軍人可以安全回家。我真的——我們對昨天與 Theon 宣布的消息感到非常興奮，這對 Kopin 作為全球參與者的未來意味著什麼。此外，Theon 還宣布了其他重要投資和收購，這也將有助於 Kopin 和

Theon, be successful in our new ambitions and business plans. I'll now turn the call over to our CFO, Rich Sneider, to review our results from the second quarter and full year in further detail.

席恩，祝福我們的新抱負和商業計劃取得成功。現在，我將把電話轉給我們的財務長 Rich Sneider，以更詳細地回顧我們第二季和全年的業績。

Thank you, Michael. Turning to our financial results for the second quarter. Total revenues from Q2 '25 were $8.5 million versus $12.3 million for the prior year. The decrease was primarily related to government budgeting process that impacted orders from several customers. Product revenues for the second quarter of '25 were $7.5 million compared to $11.1 million in the second quarter of '24.

謝謝你，麥可。談談我們第二季的財務表現。2025 年第二季總營收為 850 萬美元，去年同期為 1,230 萬美元。下降主要與政府預算流程有關，該流程影響了多個客戶的訂單。25 年第二季的產品收入為 750 萬美元，而 24 年第二季的產品收入為 1,110 萬美元。

In the second quarter of '25, funded research and development revenues decreased by $900,000 from $1.2 million in Q2 '24, primarily because of the completion and development of our CR3 medical headset. Cost of product revenues for the second quarter of '25 was $7.1 million or 94% of net product revenues compared to $8.7 million or 79% of net product revenues for the second quarter of '24.

2025 年第二季度，資助的研發收入比 2024 年第二季的 120 萬美元減少了 90 萬美元，這主要是因為我們的 CR3 醫療耳機的完成和開發。25 年第二季的產品收入成本為 710 萬美元，佔淨產品收入的 94%，而 24 年第二季的產品收入成本為 870 萬美元，佔淨產品收入的 79%。

The decrease in cost of product revenues was primarily the result of lower sales, which were insufficient to absorb fixed costs. R&D expenses for the second quarter of '25 were $1.9 million, an increase of approximately $100,000 from the year ago quarter.

產品收入成本的下降主要是因為銷售額下降，不足以吸收固定成本。25 年第二季的研發費用為 190 萬美元，比去年同期增加約 10 萬美元。

Customer-funded R&D expenses decreased approximately $200,000 and internal R&D expenses increased by $300,000. Funded R&D decreased largely to development programs moving into full production, the CR3 program I mentioned previously, and internal R&D increased due to transition of displays to Europe and automating our production line. SG&A expenses were $7.9 million in the second quarter of '25 compared to $7.3 million in the second quarter of '24. The decrease was primarily due to a decrease in legal fees of approximately $2.8 million.

客戶資助的研發費用減少約 20 萬美元，內部研發費用增加 30 萬美元。研發資金的減少主要是因為開發項目進入全面生產階段，也就是我之前提到的 CR3 項目，而內部研發則由於顯示器向歐洲轉移和生產線自動化而增加。25 年第二季的銷售、一般及行政費用為 790 萬美元，而 24 年第二季為 730 萬美元。減少的主要原因是法律費用減少了約 280 萬美元。

Turning to the bottom line, the net loss for the second quarter of '25 was $5.2 million or $0.03 per share compared with a net loss of $5.9 million or $0.05 per share for the second quarter of '24. Net cash used in operating activities was $7.6 million for the first half of '25. Listeners should review the 10-Q for the quarter ended June 28 for additional disclosures.

談到底線，25 年第二季的淨虧損為 520 萬美元或每股 0.03 美元，而 24 年第二季的淨虧損為 590 萬美元或每股 0.05 美元。25 年上半年經營活動所用淨現金為 760 萬美元。聽眾應該查看截至 6 月 28 日的季度 10-Q 以了解更多披露資訊。

And with that, I'll turn the call back over to Michael for closing remarks, and we'll take your questions.

說完這些，我會把電話轉回給麥可做結束語，然後我們會回答你們的問題。

Thanks, Rich. Before concluding my prepared remarks and moving to Q&A, I'd like to take a moment to thank Rich for his decades, literally decades, of hard work at Kopin. Rich joined Kopin in 1988 (sic) [1998] and has been through many ups and many downs over his 26 years with the company. Rich has helped me tremendously in the almost three years that I've been at Kopin as both a financial adviser and a friend due to his deep knowledge of the company.

謝謝，里奇。在結束我的準備好的演講並進入問答環節之前，我想花點時間感謝里奇幾十年來，確切地說是幾十年來，在 Kopin 的辛勤工作。里奇於 1988 年 [1998] 加入 Kopin，在公司工作的 26 年裡經歷了許多起起落落。在我在 Kopin 工作的近三年時間裡，Rich 對我幫助很大，他既是財務顧問，也是我的朋友，他對公司有著深入的了解。

His operational knowledge and his relationships with all of the people here at Kopin. The Kopin team is going to miss him dearly. We wish him the best wherever his path takes him next. As a leading provider of application-specific optical solutions for high-performance and mission-critical virtual reality and augmented reality applications, we have a unique opportunity in front of us.

他的營運知識以及他與 Kopin 這裡所有人的關係。Kopin 團隊將會非常想念他。無論他接下來的路將走向何方，我們都祝他一切順利。作為高效能和關鍵任務虛擬實境和擴增實境應用專用光學解決方案的領先供應商，我們面臨著獨特的機會。

Our products and our technology can be applied to a variety of industries across the landscape but we have chosen to focus on a few, which we think have the greatest and highest demand and growth opportunities for return and provide the clearest path to profitability. We believe we're at an exciting inflection point for the company.

我們的產品和技術可以應用於各個行業，但我們選擇專注於少數幾個我們認為具有最大和最高需求以及回報增長機會並提供最清晰盈利途徑的行業。我們相信，公司正處於一個令人興奮的轉折點。

With our existing products, technologies and customers, we believe we are in a great position to continue supplying defense departments across the world with the tools and applications to make their jobs safer. I believe the best is yet to come. The improvements the team has made in a relatively short period of time is truly commendable and we're not done yet. We're just getting started. Operator, we can open the call for questions.

憑藉我們現有的產品、技術和客戶，我們相信我們完全有能力繼續向世界各地的國防部門提供工具和應用程序，使他們的工作更加安全。我相信最好的還在後頭。團隊在相對較短的時間內取得的進步確實值得稱讚，但我們還沒有完成。我們才剛開始。接線員，我們可以開始提問了。

(Operator Instructions)

（操作員指示）

Jason Schmidt with Lake Street.

傑森·施密特 (Jason Schmidt) 與 Lake Street 合作。

Yeah, thanks for taking my questions. Just want to start on the Theon investment news. Michael, you mentioned that you expect to see sales start in Q4. But can you help us think about the sort of the size of this opportunity longer term? Obviously, they're a massive company, and it seems like a great way to address some of the international markets, but how should we think about the size?

是的，感謝您回答我的問題。只是想開始了解 Theon 投資新聞。邁克爾，您提到您預計銷售將在第四季度開始。但是您能幫助我們思考這個機會的長期規模嗎？顯然，他們是一家大型公司，這似乎是解決部分國際市場的好方法，但我們該如何看待規模？

Sure. There's a number of pieces of our opportunity with Theon. The first piece is an internal spend. As you know, Theon acquires a tremendous amount of microdisplays. In their announcement, they didn't mention one of our competitors in OLED, and they have a supply agreement with them for a number of years. But we do expect to receive some of the internal spend in OLED.

當然。我們與 Theon 合作有很多機會。第一部分是內部支出。如您所知，Theon 購買了大量微型顯示器。在他們的公告中，他們沒有提到我們在 OLED 領域的競爭對手之一，並且他們與他們簽訂了多年的供應協議。但我們確實希望獲得一些 OLED 內部支出。

We don't make every OLED display. Our competitors don't make every OLED display we make, but there are several opportunities for us to supply OLED as well as LCD, FL costs. And of course, MicroLED internal within Theon, so that's number one. But the big opportunity with Theon is actually our application-specific solutions like DayVAS and DarkWAVE.

我們並不生產所有 OLED 顯示器。我們的競爭對手不會生產我們生產的每個 OLED 顯示器，但我們有幾個機會以與 LCD、FL 成本相同的價格供應 OLED。當然，Theon 內部有 MicroLED，所以這是第一位的。但 Theon 的巨大機會實際上在於我們的特定應用解決方案，例如 DayVAS 和 DarkWAVE。

Theon has a significant franchise in night vision goggles in Southeast Asia as well as Europe. And with our DayVAS and DarkWAVE strategy, we think these are great products for Theon to take to market with Kopin. And I think that was a real driving factor for their investment. And our plan is to build those systems in Europe for European customers.

Theon 在東南亞和歐洲擁有重要的夜視鏡特許經營權。憑藉我們的 DayVAS 和 DarkWAVE 策略，我們認為這些都是 Theon 可以與 Kopin 合作推向市場的優秀產品。我認為這是他們投資的真正驅動因素。我們的計劃是在歐洲為歐洲客戶建立這些系統。

So we think that's going to be the first level of investment and revenue that we'll see in Q4 is in those application-specific solutions for Theon's customers that they already have. Then thirdly, we have several pursuits that we want to engage on that are fairly near term to the companies, specifically in Europe. And we expect to see some research and development dollars flow through this relationship in Q4.

因此，我們認為這將是我們在第四季度看到的第一筆投資和收入，這些收入來自 Theon 已經擁有的針對其客戶的特定應用解決方案。第三，我們有幾個想要參與的追求，這些追求對公司來說相當短期，特別是在歐洲。我們預計第四季將有一些研發資金透過這種關係流入。

Got you. And then I know you mentioned it's nonexclusive from a tech standpoint. Do they get any sort of priority when it comes to your capacity?

明白了。然後我知道您提到從技術角度來看它是非排他性的。當涉及到您的能力時，他們是否享有任何優先權？

Yeah, Great question. Right now, in Dalgety Bay, which primarily focuses on our FL costs and 3D AOI markets, we're going to utilize that facility to a much greater rate which will help our absorption rate and cost structure. So that would be number one.

是的，很好的問題。目前，在達爾吉特灣，我們主要專注於 FL 成本和 3D AOI 市場，我們將更有效率地利用該設施，這將有助於我們的吸收率和成本結構。所以這是第一位的。

Number two, we're going to focus more on the application-specific solutions that I mentioned earlier that will also increase the fab utilization rate in Dalgety Bay as well as potentially Reston, Virginia. So we're focused in on driving the IP around DarkWAVE, DayVAS and some of our display technologies through Dalgety Bay. And then in Reston, where we'll be working with them, them being Theon, to develop some of the USA.-based solutions that we're targeting. So we think the utilization rate of Kopin's fabs will increase greatly because of this relationship, and that will transfer into the bottom line.

第二，我們將更專注於我之前提到的特定應用解決方案，這也將提高達爾吉提灣以及維吉尼亞州雷斯頓的晶圓廠利用率。因此，我們專注於透過 Dalgety Bay 推動 DarkWAVE、DayVAS 和一些顯示技術的 IP。然後在雷斯頓，我們將與他們（Theon）合作，開發一些我們所針對的基於美國的解決方案。因此，我們認為，由於這種關係，Kopin 晶圓廠的利用率將大幅提高，並將轉化為利潤。

So -- but from an IP perspective and a capacity perspective, we're really focused on driving input into the Reston facility as well as Dalgety Bay.

所以 — — 但從 IP 角度和容量角度來看，我們真正關注的是推動對雷斯頓工廠以及達爾吉提灣的投入。

Okay. That makes sense. And then last one for me, and I'll jump back into queue. Maybe I missed it, but did you give a sort of book- to-bill number or bookings number in Q2?

好的。這很有道理。這是我的最後一個，然後我將重新回到隊列中。也許我錯過了，但您是否給出了第二季度的訂單出貨量或預訂量？

Q2 was a positive book-to-bill, although it wasn't as high as we had expected or hoped. Much of the bookings that we missed were actually within the quarter turns, meaning book ship orders that we could turn within the quarter as well as some of the funded

第二季的訂單出貨比為正值，儘管沒有我們預期或希望的那麼高。我們錯過的大部分訂單實際上都在本季度內完成，這意味著我們可以在本季度完成的訂單以及一些資金到位的訂單

research and development orders that we are expecting. It was a positive book-to-bill in Q2, probably because the revenue wasn't as exciting as we thought it was going to be. But having said that, Jaeson, I'm happy to report that we've received the vast majority of the orders that we were expecting, and we still have about $20 million of funded research and development orders that we have a high degree of expectation that will come in, in the second half of 2025.

我們期待的研發訂單。第二季的訂單出貨比為正值，可能是因為營收並不像我們想像的那麼令人興奮。不過話雖如此，Jaeson，我很高興地報告，我們已經收到了預期的絕大多數訂單，我們仍然有大約 2000 萬美元的資助研發訂單，我們對這些訂單將在 2025 年下半年到賬抱有很高的期望。

Okay, really helpful.

好的，真的很有幫助。

Thanks a lot guys.

非常感謝大家。

Thanks, Jason.

謝謝，傑森。

(Operator Instructions)

（操作員指示）

We'll take our next question from Glenn Mattson with Ladenburg.

我們將回答拉登堡 (Ladenburg) 的格倫馬特森 (Glenn Mattson) 提出的下一個問題。

Hi, thanks for taking the question and apologies that I'm toggling between 2 calls, so you may have hit this already. But can you just talk about the -- in the quarter, prior year call, you talked about how you were going to reorganize manufacturing a little bit and bring in automation. Can you just say how much of that has been completed, if it's done and what kind of advantage you would think you would see in gross margin going forward?

你好，感謝您回答這個問題，抱歉，我正在兩個電話之間切換，所以您可能已經遇到這個問題了。但是您能否談談—在去年同期的電話會議上，您談到如何稍微重組製造業並引入自動化。您能否說一下其中完成了多少？如果完成了，您認為未來的毛利率會有什麼樣的優勢？

You bet. Thanks, Glenn. In Q2, we introduced our optical inspection solutions into the fab. Those are now up and running. We expect to receive $1 million to $1.5 million of operation expense recovery in the second half from that automation. Our second phase of automation for the plant will go in by the end of this year. And we have fairly significant amounts of capital that has already been spent that we'll introduce into the fab by Q4, end of Q4, and we expect to see around $1 million of OpEx reduction from that over the course of 2026.

當然。謝謝，格倫。在第二季度，我們將光學檢測解決方案引入了晶圓廠。這些現在都已啟動並運行。我們預計下半年透過自動化可收回 100 萬至 150 萬美元的營運費用。我們工廠自動化的第二階段工程將於今年底完成。我們已經投入了相當多的資金，我們將在第四季末將這些資金投入到晶圓廠，我們預計到 2026 年營運支出將減少約 100 萬美元。

Great. That's helpful. And with this new partnership with Theon, who were they using previously for the same type of work they're going to be contracting the new JV for? Just curious on who you're replacing there in that process.

偉大的。這很有幫助。在與 Theon 建立新的合作關係後，他們之前曾與誰合作完成與新合資公司相同類型的工作？我只是好奇你在這個過程裡取代了誰。

Yeah, I think hard to say. That's more of a question for Theon. But our focus is developing new technology around our OLED, our MicroLED as well as some LCD technologies, quite frankly. I think LCD is still a very strong technology for thermal weapon sights based on its robustness.

是的，我覺得很難說。這對 Theon 來說更是一個問題。但坦白說，我們的重點是圍繞我們的 OLED、MicroLED 以及一些 LCD 技術開發新技術。我認為，基於其堅固性，LCD 仍然是熱成像武器瞄準器的一項非常強大的技術。

But our real goal is to take some of our application-specific solutions like DayVAS and DarkWAVE to production in Europe and build those systems in Europe. So that's the goal. I think Theon and Kopin are very much aligned. The CEO of Theon, Christian (sic) [Christianos], is very focused, very driven on keeping technology for Europe in Europe and so am I. So I think that's the main goal for both companies..

但我們真正的目標是將一些特定應用的解決方案（如 DayVAS 和 DarkWAVE）在歐洲投入生產並在歐洲建立這些系統。這就是目標。我認為 Theon 和 Kopin 非常一致。Theon 的執行長 Christian (原文如此) [Christianos] 非常專注、非常致力於將歐洲的技術留在歐洲，我也是如此。所以我認為這是兩家公司的主要目標。

Great, thanks and congrats on that, new development.

太好了，謝謝，恭喜你取得新的進展。

Yeah, And one other point to make, Glenn, when I started with the firm almost 3 years ago, we put a lot of effort into moving our OLED production line, if you recall, into Europe at that point in time. So now Kopin is able to develop, design and ship OLED from

是的，格倫，還有一點要說，當我大約 3 年前開始在公司工作時，如果你還記得的話，當時我們投入了大量精力將我們的 OLED 生產線轉移到歐洲。因此，現在 Kopin 能夠開發、設計和交付 OLED

Europe to Europe and to Greece to Theon without it touching the United States which is a big advantage for Theon and our customers in Europe. So that proved to be a wise move for the firm. That's something that we will certainly support with Theon, and we will take the next step, which is building those application-specific solutions in Dalgety Bay for Theon and for other customers. And again, that will increase our utilization rate and decrease costs in Dalgety Bay.

從歐洲到歐洲、從希臘到 Theon，無需經過美國，這對 Theon 和我們在歐洲的客戶來說是一個很大的優勢。事實證明這對該公司來說是明智之舉。我們肯定會為 Theon 提供支持，並且我們將採取下一步行動，即在達爾吉特灣為 Theon 和其他客戶構建特定於應用程式的解決方案。再次，這將提高我們的利用率並降低達爾吉蒂灣的成本。

Great, thanks again, Michael, for all the color. Take care.

太好了，再次感謝邁克爾，謝謝你提供的所有顏色。小心。

Yes, thanks, man.

是的，謝謝，老兄。

It appears we have no further questions at this time. I will now turn the program back over to Michael Murray for any additional or closing remarks.

目前看來我們沒有其他問題。現在我將節目交還給邁克爾·默里，請他發表任何補充或結束語。

Thank you, operator. Thank you all for joining the call today. Whether the application is a weapon sight, a helmet mounted display or a high refresh display in armored vehicles, the goal is the same, to increase the safety of the soldier using it.

謝謝您，接線生。感謝大家今天參加電話會議。無論應用是武器瞄準器、頭盔顯示器還是裝甲車中的高刷新顯示器，目標都是相同的，即提高使用它的士兵的安全性。

We take that responsibility seriously, and that's one of the reasons we have focused on partnering with Tier 1 defense contractors and that's why we are the sole source provider of microdisplays for several programs of record within the Department of Defense.

我們認真對待這項責任，這也是我們專注於與一級國防承包商合作的原因之一，也是我們成為國防部多個記錄專案的唯一微型顯示器供應商的原因。

And moreover, this new partnership with Theon is truly a transformational note for the company in our milestone and our progress and our evolution. Thank you all for joining. I look forward to speaking with you next quarter.

此外，與 Theon 的這項新合作對於我們的里程碑、進步和發展確實是一個變革性的標誌。感謝大家的加入。我期待下個季度與您交談。

This does conclude today's program. Thank you for your participation. You may disconnect at any time.

今天的節目到此結束。感謝您的參與。您可以隨時斷開連線。