Company: IPGP
Filing Date: 2025-05-06
Form Type: 10-Q
Source: 0001111928-25-000069
Chunk: 97

Company: IPG PHOTONICS CORP
Filing Date: 2025-05-06
Form: 10-Q
Item: Part I, Item 2
Chunk 97
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 25.1 %Total$227,793 100.0 %$252,009 100.0 %$(24,216)(9.6)%

19

The table below sets forth sales by type of product and other revenue:

Three Months Ended March 31,20252024Change(In thousands, except for percentages)Sales by Product% of Total% of Total High Power Continuous Wave ("CW") Lasers $69,415 30.5 %$90,793 36.0 %$(21,378)(23.5)% Medium Power CW Lasers 24,396 10.7 %16,214 6.4 %8,182 50.5 % Pulsed Lasers 36,661 16.1 %34,819 13.8 %1,842 5.3 % Quasi-Continuous Wave ("QCW") Lasers 10,894 4.8 %15,791 6.3 %(4,897)(31.0)% Laser and Non-Laser Systems 33,054 14.5 %37,503 14.9 %(4,449)(11.9)% Other Revenue including Other Lasers, Amplifiers, Service, Parts, Accessories and Change in Deferred Revenue 53,373 23.4 %56,889 22.6 %(3,516)(6.2)%Total$227,793 100.0 %$252,009 100.0 %$(24,216)(9.6)%

Materials processing sales accounted for 86% of total revenue and decreased 14% year over year, as a result of lower sales in welding and cutting applications, partially offset by higher revenue in micromachining, cleaning and additive manufacturing applications. Other applications sales increased 25% year over year driven by higher revenue in medical and advanced applications. 

Cost of sales and gross margin. Cost of sales decreased by $16.5 million, or 10.7%, to $138.0 million for the three months ended March 31, 2025 from $154.5 million for the three months ended March 31, 2024. Our gross margin increased to 39.4% for the three months ended March 31, 2025 from 38.7% for the three months ended March 31,