Modulight shares fall 2.7% premarket despite narrower adjusted loss per share
Key Facts
Modulight shares fell 2.7% to $1.08 in premarket trading on October 26, 2026, compared with a previous close of $1.11, according to Investing.com, after the company reported third-quarter results. On an adjusted earnings-per-share basis, the company posted a loss of $0.0096 per share, narrower than the expected loss of $0.0257. Revenue was $1.89 million, in line with expectations, rather than exceeding them as stated in the initial draft. In figures reported in euros, quarterly revenue rose 7% year over year to €1.886 million, from €1.765 million in the corresponding period of 2025. The results combine a marked improvement in some profitability and order indicators with a continued quarterly net loss of €395,000.
The clearest shift was in operating metrics: Modulight posted positive EBITDA of €1.003 million, compared with a loss of €184,000 in the third quarter of 2025. The EBITDA margin was about 53.2%, versus a negative margin of 10.5% a year earlier. The EBIT loss narrowed to €393,000 from €1.220 million in the comparable period, while the period’s loss was €395,000, compared with €1.227 million a year earlier. These figures show improved operating profitability from the previous year, but do not mean the company recorded a net profit for the quarter. In operating cash flow, free cash flow from operating activities turned positive at €241,000, after a negative €1.076 million a year earlier.
Third-quarter order intake rose 154% year over year to €3.5 million, and the company said a larger share of orders came from product sales rather than product development projects and non-recurring engineering and manufacturing work. Sales of photodynamic therapy (PPT) rose 110% to €0.5 million during the quarter. In September, sales in this business reached a record €0.22 million, up 168% from the same month a year earlier. In the first nine months of 2026, PPT sales increased 127% to €1.5 million. The chief executive said interest in the company’s products and manufacturing capabilities was broad across customers, applications and industries in Asia, Europe and the United States, which he described as the company’s most important markets.
Modulight attributed the improvement in profitability to its PPT pricing model, higher operating efficiency, an improved cost structure and greater utilization of its product platform. This explanation is consistent with a larger share of orders shifting toward products and growth in PPT sales, although the company said quarterly orders would remain highly volatile. It cautioned that strength in orders in one quarter should not, by itself, be seen as an indicator of the trajectory in subsequent quarters. For the first nine months, revenue was €4.985 million, below €5.333 million in the corresponding period of 2025. Meanwhile, the cumulative EBIT loss narrowed to €2.802 million from €3.861 million, while total orders for the period rose to €5.7 million, up about 11% year over year.
The company left its 2026 outlook unchanged, estimating that revenue and profitability would increase compared with the previous year. An Inderes analyst said meeting the company’s guidance would require fourth-quarter revenue to exceed €2.1 million, after revenue for the first nine months came in below the corresponding period’s level. The analyst also raised the target price to €1.15 from €1.10, while maintaining a reduce recommendation, citing an unattractive risk-reward ratio. Modulight’s strategy for 2026–2027 set targets that include strong annual revenue growth and a return to strong profitability, alongside positive cash flow by the end of the period. The company is expected to announce its 2027 financial reporting schedule later in 2026.