Company: AAOI
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001437749-25-033627
Chunk: 116

Company: APPLIED OPTOELECTRONICS, INC.
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 8
Chunk 116
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uted  $(0.28) $(0.42) $(0.64) $(1.68)

   The following potentially dilutive securities were excluded from the diluted net loss per share as their effect would have been antidilutive (in thousands):

       Three months ended September 30,    Nine months ended September 30,  
   2025    2024    2025    2024  
 Restricted stock units   2,248   2,097   2,435   2,543 
 Shares for convertible senior notes   2,966   5,264   3,072   5,264 
 Amazon Warrant   1,324   —   —   — 
 Total antidilutive shares   6,538   7,361   5,507   7,807 

   ​​

   Note 7.  Inventories
   ​
   Inventories, net consist of the following for the periods indicated (in thousands):​

       September 30, 2025    December 31, 2024  
 Raw materials  $108,606  $50,379 
 Work in process and sub-assemblies   77,214   35,716 
 Finished goods   121   17,291 
 Allowance for inventory   (15,727)  (15,251)
 Total inventories  $170,214  $88,135 

   For the three months ended  September 30, 2025 and 2024, the inventory reserve adjustment expensed for inventory was $2.1 million and $0.7 million, respectively. For nine months ended  September 30, 2025 and 2024, the inventory reserve adjustment expensed for inventory was $5.4 million and $2.4 million, respectively.
    
   For the three months ended  September 30, 2025 and 2024, the direct inventory write-offs related to scrap, discontinued products and damaged inventories were $4.4 million and $0.7 million, respectively. For the nine months ended  September 30, 2025 and 2024, the direct inventory write-offs related to scrap, discontinued products and damaged inventories were $6.3 million and $2.4