Company: LASE
Filing Date: 2025-08-15
Form Type: 10-Q
Source: 0001641172-25-024367
Chunk: 43

Company: Laser Photonics Corp
Filing Date: 2025-08-15
Form: 10-Q
Item: Part I, Item 3
Chunk 43
---
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
    debt discounts; (vi) other income - forgiveness of Paycheck Protection Program loan; (vii) other financing costs; (viii) loss on
    extinguishment of debt; (ix) warrant inducement expense; (x) amortization of right-of-use assets; and (xi) change in fair value of
    derivative liabilities. Our Adjusted EBITDA measure eliminates potential differences in performance caused by variations in capital
    structures (affecting finance costs), tax positions, the cost and age of tangible assets (affecting relative depreciation expense)
    and the extent to which intangible assets are identifiable (affecting relative amortization expense). We also exclude certain one-time
    and non-cash costs. Our definition of Adjusted EBITDA may differ from similarly titled measures used by other companies, and any
    such differences could be