Company: LASE
Filing Date: 2025-08-15
Form Type: 10-Q
Source: 0001641172-25-024367
Chunk: 37

Company: Laser Photonics Corp
Filing Date: 2025-08-15
Form: 10-Q
Item: Part I, Item 2
Chunk 37
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 in a manner that allows for meaningful comparisons and
analysis of trends in the business and provides useful information to investors and others in understanding and evaluating our operating
results, enhancing the overall understanding of our past performance and future prospects.

These
non-GAAP financial measures do not replace the presentation of our GAAP financial results and should only be used as a supplement to,
not as a substitute for, our financial results presented in accordance with GAAP. There are limitations in the use of non-GAAP measures,
because they do not include all the expenses that must be included under GAAP and because they involve the exercise of judgment concerning
exclusions of items from the comparable non-GAAP financial measure. In addition, other companies may use other non-GAAP measures to evaluate
their performance, or may calculate non-GAAP measures differently, all of which could reduce the usefulness of our non-GAAP financial
measures as tools for comparison.

    (1)
    EBITDA
    is a non-GAAP financial measure used by management, lenders, and certain investors as a supplemental measure in the evaluation of
    some aspects of a corporation’s financial position and core operating performance. Investors sometimes use EBITDA, as it allows
    for some level of comparability of profitability trends between those businesses differing as to capital structure and capital intensity
    by removing the impacts of depreciation and amortization. EBITDA also does not include changes in major working capital items, such
    as receivables, inventory and payables, which can also indicate a significant need for, or source of, cash. Since decisions regarding
    capital investment and financing and changes in working capital components can have a significant impact on cash flow, EBITDA is
    not necessarily a good indicator of a business’s cash flows. We use EBITDA for evaluating the relative underlying performance
    of our core operations and for planning purposes. We calculate EBITDA by adjusting net income to exclude net interest expense, income
    tax expense or benefit, depreciation and amortization, thus the term “Earnings Before Interest, Taxes, Depreciation and Amortization”
    and the acronym “EBITDA.”

    (2)
    Adjusted
    EBITDA is defined as net income (loss) as reported in our consolidated statements of income excluding the impact of (i) interest
    expense; (ii) income tax provision; (iii) depreciation and amortization; (iv) stock-based compensation expense; (v) accretion of