VUZI

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management identifies AI as a transformative driver that simplifies software integration, previously a primary barrier to enterprise smart glass adoption. Customer demand is converging around optically see-through, self-contained glasses, validating Vuzix's long-term investment in waveguide technology. The company is shifting toward a disciplined OEM-first development model to reduce commercial risk by anchoring R&D to validated customer requirements. Operational focus has transitioned to increasing throughput and reducing changeover times at the Rochester manufacturing facility to support simultaneous development and production. Vuzix is expanding its strategic scope to include optical interconnects for AI data centers, leveraging planar waveguides to improve bandwidth and energy efficiency. The partnership with Quanta is positioned to bridge the gap between Vuzix's optical IP and the high-volume manufacturing requirements of mass-market eyewear brands. Management expects production orders for defense applications to increase in the second half of 2026, with 2027 projected as a significant year for production scaling. A U.S. government-funded next-generation waveguide development effort is launching, focused on achieving larger fields of view for future defense requirements. The company anticipates a contracting decision from a U.S. government security agency regarding custom wearable solutions later in 2026. Revenue growth is expected to accelerate as OEM programs move from the validation phase into formal commercialization and factory floor rollouts. Next-generation waveguides developed with Quanta are expected to be showcased at the upcoming CES, targeting mass-market price points. Invested approximately $1.2 million in fixed assets during the first half of 2026 to create flexible manufacturing lines for waveguide production. R&D expenses increased 20% year-over-year, driven by higher external product development costs and personnel requirements for new programs. Net cash used in operating activities rose to $6.6 million from $4.8 million, reflecting increased investment in growth pillars despite a 14% decrease in revenue. The company maintains a debt-free balance sheet with $17.3 million in cash and equivalents as of June 30, 2026. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management confirmed significant inbound interest from multiple corners of the AI data center ecosystem regarding planar waveguides. Specific customer names were withheld, but the company promised more detailed updates shortly as engagement intensifies. Initial production for drone applications has commenced, with follow-on design work secured in the second quarter. Management expects 2027 to be a 'really good year' for production as devices roll out across a large segment of the U.S. defense space. Enterprise demand is splitting into two paths: one for glanceable monocular displays like the M400 and LX1, and another for upcoming optically see-through systems like the Ultralight Pro, which customers are currently designing applications for. Management expects the 'flat nature' of the current transition to end as AI-driven applications for see-through glasses move into production. The partner is a leading global Tier 1 manufacturer; feedback from plant floor testing has been positive. Discussions have shifted from technical validation to production deployment logistics, with more clarity expected in the second half of 2026.

Interested in Vuzix Corporation? Here are five stocks we like better. Q2 revenue fell 14% year over year to $1.1 million, while net loss remained $7.7 million, or $0.09 per share. Vuzix ended the quarter with $17.3 million in cash, no debt and $6.6 million in operating cash outflow. Management highlighted growing interest in AI-enabled enterprise smart glasses, with customers in logistics, manufacturing, defense and other frontline industries. The company expects its shift toward newer products such as the LX1 and Ultralite Pro to support growth in coming quarters. Several OEM and defense programs are advancing toward production, including an automotive waveguide platform and Collins Aerospace’s drone-related augmented-reality systems. Vuzix is also investing in waveguide manufacturing and exploring optical-interconnect applications for AI data centers. 3 Penny Stocks Ready to Break Out in 2025 Vuzix (NASDAQ:VUZI) reported second-quarter 2026 revenue of $1.1 million, down 14% from $1.3 million a year earlier, while management emphasized expanding opportunities in enterprise smart glasses, OEM programs and waveguide technology. CEO Paul Travers said the company is focusing on three growth pillars: enterprise smart glasses, OEM products and solutions, and waveguides. He said customer discussions have expanded in number and quality across major enterprises, defense organizations, OEM partners and technology companies, with artificial intelligence increasing interest in wearable displays for frontline workers. → Lumentum Just Delivered the AI Growth Investors Wanted 3 Hot Stocks Bought by Members of Congress: Follow the Money “A growing number of programs have cleared development and validation and are heading toward commercialization,” Travers said. He added that as these programs move into production, they could alter both the size and mix of Vuzix’s revenue. Travers said enterprises increasingly want optically see-through, self-contained smart glasses that can provide workers with information in their natural field of view without requiring a tethered computing device. He said AI is making the products more useful for technicians, skilled tradespeople and other frontline workers by helping them access enterprise knowledge, receive real-time guidance and automate administrative tasks. → Joby’s Defense Pivot Accelerates With $500M Resonant Sciences Deal Kopin Corp is the Technology Seen Behind Smart AR Glasses Management also said AI could reduce a longstanding software deployment barrier. Travers said customer implementations historically required custom integration into enterprise systems, but AI-assisted coding could lower the effort needed for software vendors and customer teams to deploy solutions. Amazon has used Vuzix M400 smart glasses in reliability and maintenance engineering operations at fulfillment centers for several years, Travers said. More recently, Amazon expanded its use of Vuzix products to the company’s Ultralite Pro smart glasses, according to Travers, and has developed AI-driven applications supporting maintenance and operational activities in its AI data-center infrastructure. → Ryman Checks Into a $1.38B Hospitality Upgrade Vuzix said it is seeing similar interest from other Fortune 500 companies across logistics, warehousing, manufacturing and other frontline environments. In response to a question about flat enterprise revenue, Travers said demand is currently following two paths. The M400 and newer LX1 address applications requiring a “glanceable monocular display,” and the company is seeing existing M400 users upgrade to the LX1. Meanwhile, some customers are designing applications around optically see-through systems currently in engineering validation testing, including Ultralite Pro and another device being developed for an OEM customer. Travers said management expects the transition in its product mix to begin producing growth over coming quarters, though he did not provide financial guidance. Vuzix said its OEM business combines optics, electronics, wearable design, manufacturing and enterprise deployment experience to support customers from product concept through production. Travers said the company has delivered initial systems to a leading global automotive manufacturer for a waveguide-based smart-glasses platform intended for a live manufacturing use case. He said feedback from the automotive customer has been positive and conversations have shifted toward factory-floor deployment and production programs. However, Travers said Vuzix could not identify the customer or provide a specific deployment timeline. He described it as a Tier 1 automotive manufacturer and said further clarity could emerge during the second half of 2026. The company is also continuing development of its Ultralite Pro smart glasses, which are intended for enterprise and industrial users. The platform includes a standalone, waveguide-based design, a wide-field-of-view camera, noise-canceling microphones, integrated speakers, prescription support and safety certification, according to management. Vuzix said it is working with prospective customers and partners to validate the platform before completing tooling. In defense, Travers said Vuzix’s Collins Aerospace program has advanced from development into initial production for waveguide-based augmented-reality display systems supporting drone applications. He said the company expects additional production orders during the second half of 2026 and has received follow-on design-development work. Travers said 2027 “should be a really good year for production” as the program rolls out, while noting that he could not provide more granular details. Vuzix also said it is preparing for a U.S. government-funded next-generation waveguide development effort focused on larger fields of view and other performance improvements for future defense requirements. Separately, the company is engaged with U.S. government security agencies on custom wearable solutions, with one opportunity progressing through the proposal stage and a contracting decision targeted later this year. Management characterized waveguides as one of Vuzix’s largest long-term opportunities and the technology foundation for its other businesses. During the first half of 2026, Vuzix invested about $1.2 million in fixed assets, primarily waveguide manufacturing equipment at its Rochester, New York facility. The company said the investments are intended to increase flexibility, reduce changeover time and support both development and production work. Travers said Vuzix and manufacturing partner Quanta are developing next-generation waveguides for smart glasses aimed at high-volume markets. He said the companies expect to show the systems at CES, where Quanta typically introduces and demonstrates new products. Vuzix also disclosed inbound interest in its planar waveguides for optical interconnect applications in AI data centers. Travers said the company has heard from multiple parts of the AI data-center ecosystem regarding technology that could move data optically with greater bandwidth and lower energy per bit. He declined to identify customers or estimate the size of the opportunity. Chief Financial Officer Grant Russell said product sales totaled $0.9 million in the quarter, compared with $1 million a year earlier. The decline reflected lower unit sales of M400 products and the absence of sales from smart glasses discontinued at the end of 2025. Engineering services and OEM product sales were $0.2 million, down from $0.3 million in the prior-year period. Gross loss improved to $0.6 million from $0.8 million a year earlier. Research and development expense rose 20% to $3.1 million, primarily due to external new-product development and personnel costs. Sales and marketing expense declined 11% to $1.2 million. General and administrative expense decreased 3% to $2.7 million. Net loss attributable to common shareholders was $7.7 million, or $0.09 per share, compared with $7.7 million, or $0.10 per share, in the prior-year quarter. As of June 30, Vuzix had $17.3 million in cash and cash equivalents, net working capital of about $18 million and no current or long-term debt, Russell said. Cash used in operating activities was $6.6 million during the quarter, compared with $4.8 million in the prior-year period. Financing activities provided $4.1 million, driven by net proceeds from the company’s at-the-market equity program. Vuzix Corporation (NASDAQ: VUZI) is a technology company specializing in the design, development and manufacture of wearable display devices and smart glasses. Headquartered in Rochester, New York, Vuzix focuses on next-generation augmented reality (AR) and virtual reality (VR) solutions that enable hands-free access to video, data and applications. Its products integrate high-resolution optics, onboard sensors and wireless connectivity to support immersive visual experiences for professional and consumer use. Vuzix's product portfolio includes smart glasses and head-mounted displays such as the Vuzix Blade series and the M400 family. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Vuzix Q2 Earnings Call Highlights" was originally published by MarketBeat. 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This article first appeared on GuruFocus. Total Revenue: $1.1 million for Q2 2026, a decrease of 14% from $1.3 million in Q2 2025. Product Sales: $0.9 million for Q2 2026, down from $1 million in Q2 2025, primarily due to decreased unit sales of M400 products and discontinued smart glasses. Engineering Services and OEM Product Sales: $0.2 million for Q2 2026, an 8% decrease from $0.3 million in the prior year. Gross Loss: $0.6 million for Q2 2026, a 15% improvement from the $0.8 million gross loss in Q2 2025. R&D Expense: $3.1 million for Q2 2026, up 20% from $2.6 million in Q2 2025, driven by higher external product development costs and personnel costs. Sales and Marketing Expense: $1.2 million for Q2 2026, an 11% decrease from $1.4 million in Q2 2025. G&A Expense: $2.7 million for Q2 2026, a 3% decrease from $2.8 million in Q2 2025. Net Loss: $7.7 million, or $0.09 per share, for Q2 2026, consistent with the $7.7 million net loss in Q2 2025. Cash and Cash Equivalents: $17.3 million as of June 30, 2026. Net Working Capital: Approximately $18 million as of June 30, 2026. Net Cash Used in Operating Activities: $6.6 million for Q2 2026, up from $4.8 million in Q2 2025. Cash Used for Investing Activities: $0.4 million for Q2 2026, down from $0.9 million in Q2 2025. Cash Provided by Financing Activities: $4.1 million for Q2 2026, down from $7.9 million in Q2 2025, driven by ATM net proceeds. Warning! GuruFocus has detected 5 Warning Signs with VUZI. Is VUZI fairly valued? Test your thesis with our free DCF calculator. Release Date: August 13, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. AI is driving significant interest and opportunities across all three core pillars, with customers converging on optically see-through, self-contained smart glasses. The Collins Aerospace program has moved from development into initial production for waveguide-based AR display systems, with expectations for more production orders in the second half of 2026. Vuzix's US-based design and manufacturing capabilities for waveguides are a key differentiator, especially for defense customers and primes. The company is exploring new applications for its planar waveguides in AI data center optical interconnects, with inbound interest from multiple ecosystem players. The partnership with Quanta is progressing well, with next-generation waveguides for smart glasses expected to be showcased at CES, targeting high-volume mass-market price points. Total revenues for Q2 2026 decreased 14% year-over-year to $1.1 million, with product sales down due to lower M400 unit sales and discontinuation of certain smart glasses. The company reported a gross loss of $0.6 million in Q2 2026, though this was a 15% improvement from the prior year. R&D expenses increased 20% year-over-year to $3.1 million, driven by higher external development costs and personnel expenses. Net cash used in operating activities increased to $6.6 million in Q2 2026, up from $4.8 million in the prior year period. The company's cash position remains modest at $17.3 million, with ongoing cash burn and reliance on ATM proceeds for financing. Q: Can you provide more detail on the types of customers you've talked to regarding the optical interconnect opportunity and your initial thoughts on the size of the market? A: Paul Travers (CEO): While I can't get into specifics on this call, the interest is real and has been significantly inbound to Vuzix. We are spending a fair amount of time on this and will have a whole lot more to update shortly. The underlying requirement is closely related to what we already domoving light with precision through passive glass manufactured repeatably and at scale. Q: Why has enterprise revenue been flat and what changes that? A: Paul Travers (CEO): Enterprise demand is splitting into two paths. The first is for glanceable monocular displays like the M400 and our newest LX1, where we are seeing customers upgrade and AI is creating new market opportunities. The second path is for optically see-through, self-contained systems like the Ultralight Pro, which are in the EVT phase and inherently AI-driven. Both tracks are moving forward, and we expect the flat nature of the transition to start showing growth over the coming quarters. Q: Can you identify the automotive OEM you're working with and discuss their rollout timeframe? A: Paul Travers (CEO): We cannot name the customer, but they are a leading global Tier 1 automotive manufacturer. We have delivered initial systems and have been testing them on live plant floors with really positive feedback. Discussions have moved from capability questions to deployment and production programs. I cannot put a timeframe on the deployment, but it should be getting clearer later in the second half of this year. Q: Can you talk a little bit more about the relationship with Quanta and any more updates you can share there? A: Paul Travers (CEO): We have a great working relationship with Quanta. We've built early generations of smart glasses and waveguides with them and are currently working on next-generation waveguides. We fully expect these to be shown at the CES show, as they are designed for the high-volume marketplace with price points that the mass market can afford. The relationship is as strong as it's ever been. Q: Can you help us gauge the Collins Aerospace defense opportunity over the next year and what we should be looking for? A: Paul Travers (CEO): In the second half, we fully expect more production orders. We've also received follow-on design development work. The product is built for a very large segment of the US defense space for drones and situational awareness. 2027 should be a really good year for production as it rolls out, and you'll see more than one device coming from them. Q: What is the current status of the Ultralight Pro and its validation with customers? A: Paul Travers (CEO): Development of the next-generation Ultralight Pro continues. It was designed from the outset for enterprise and industrial users looking to bring AI into the hands-free workplace. It features a lightweight standalone waveguide-based design with a wide field of view camera, high-performance audio, and noise-canceling microphones. We continue to work with a growing list of prospective customers and partners to validate the platform before we complete the tooling. Q: How is AI changing the software barrier that has historically slowed enterprise smart glasses deployments? A: Paul Travers (CEO): AI is changing the software integration work that used to require a dedicated development team. A great deal of the integration can now be done with AI doing much of the coding. This should meaningfully lower what it takes for an independent software vendor or an end customer's own team to stand up a deployable solution, which has historically been one of the barriers between customer interest and deployment. Q: What is the company's strategy regarding capital investment and manufacturing capacity for waveguides? A: Paul Travers (CEO): We invested approximately $1.2 million in fixed assets during the first six months, primarily for new waveguide manufacturing equipment. The investment is intended to create a more flexible environment where one line can support development while another supports production, or both can support production as volumes increase. We are expanding imprint capacity, reconfiguring the plant floor, and adding metrology to support more programs simultaneously. Q: Can you elaborate on the defense and security agency activity and the pathway from development to production? A: Paul Travers (CEO): Defense and security agency activity spans all three growth pillars with more substantive engagements. Our Collins Aerospace program has moved from development into initial production for waveguide-based AR display systems. We are also putting systems in place for a US government funded next-generation waveguide development effort. Additionally, one customer opportunity has progressed through the proposal stage with a contracting decision targeted later this year. Q: What are the key financial highlights for the second quarter of 2026? A: Grant Russell (CFO): Total revenues for Q2 2026 were $1.1 million versus $1.3 million in 2025, a decrease of 14%. The gross loss was $0.6 million, a 15% improvement year-over-year. R&D expense was $3.1 million, up 20% due to higher external new product development costs. The net loss was $7.7 million or $0.09 per share. Cash and cash equivalents were $17.3 million with no debt outstanding. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

ROCHESTER, N.Y., Aug. 13, 2026 /PRNewswire/ -- Vuzix® Corporation (NASDAQ: VUZI), ("Vuzix" or, the "Company"), a leading supplier of AI-powered smart glasses, waveguides and Augmented Reality (AR) technologies, today reported its second quarter results for the three months ended June 30, 2026. "Our branded enterprise smart glasses business continues to generate revenue, customer insight and market credibility, while opening new doors for Vuzix in the smart glasses ecosystem as an OEM smart glasses, waveguides and display systems provider," said Paul Travers, President and Chief Executive Officer of Vuzix. "We delivered our initial next-generation Ultralite Pro glasses to Amazon for live commercial testing, expanded their M400 deployments across its fulfillment centers, moved our Collins Aerospace program into initial production deployments, delivered initial waveguide-based systems to a leading global automaker, and received initial and follow-on orders from Augmex for enterprise deployments. We continued to make further investments in our waveguide plant and manufacturing equipment to improve throughput, reduce development cycle times, and enable one production line to support development while another supports volume production, positioning Vuzix to execute an increasing number of simultaneous ODM/OEM, defense and waveguide programs." The following table compares condensed elements of the Company's unaudited summarized Consolidated Statements of Operations data for the three months ended June 30, 2026 and 2025, respectively: Second Quarter 2026 Financial Results For the three months ended June 30, 2026, total revenues decreased by 14% to $1.1 million versus $1.3 million for the comparable period in 2025. Product sales were $0.9 million versus $1.0 million, a decrease of 15%. Engineering services and OEM product sales were $0.2 million versus $0.3 million, a decrease of 8%. There was an overall gross loss of $0.6 million for the three months ended June 30, 2026 as compared to a gross loss of $0.8 million for the comparable 2025 period, a 15% overall improvement. Research and Development expense was $3.1 million for the three months ended June 30, 2026 versus $2.6 million for the comparable 2025 period, an increase of 20%. This increase was largely due to increased external development costs for new products and higher cash salary and benefits related expenses due to headcount increases. Selling and Marketing expense was $1.2 million for the three months ended June 30, 2026 versus $1.4 million for the comparable 2025 period, a decrease of 11%. The decrease was largely due to a decrease in non-cash stock-based compensation expense. General and Administrative expense for the three months ended June 30, 2026 was $2.7 million versus $2.8 million for the comparable 2025 period, a decrease of 3%. For the second quarter ended June 30, 2026, the net loss attributable to common shareholders was $7.7 million or $0.09 per share as compared to a loss of $7.7 million or $0.10 per share for the second quarter of 2025. Net cash used in operating activities was $6.6 million for the second quarter of 2026 versus $4.8 million for the comparable 2025 period. As of June 30, 2026, the Company had $17.3 million in cash and no current or long-term debt obligations. Management Outlook "The smart glasses industry is entering a period of dynamic evolution as advances in AI and platform ecosystems support the transformation of the industry and ease application development for customers' specialized needs. Usable and deployable applications that can be integrated into existing customer IT environments with relative ease have long been a limiting factor in the enterprise smart glasses market," said Mr. Travers. "Fortune 500 companies are defining their AI and smart glasses strategies and have begun taking next steps to execute against their operational needs. AI can automate and improve many tasks, but skilled tradespeople, technicians and frontline workers operating in the physical world are not going away. At the same time the pull from end customers across our enterprise and ODM/OEM business areas for AI based smart glasses continue to gain momentum. Vuzix intends to continue investing in its waveguide innovation and furthering strategic relationships to better position us to capitalize on these opportunities, while simultaneously opening new opportunities beyond AI and AR applications across our main enterprise, defense and ODM/OEM markets," said Mr. Travers. Conference Call Information Date: Thursday, August 13, 2026Time: 4:30 p.m. Eastern Time (ET)Dial-in Number for U.S. & Canadian Callers: 877-709-8150 Dial-in Number for International Callers (Outside of the U.S. & Canada): 201-689-8354 A live and archived webcast of the conference call will be available on the investor relations page of the Company's website at: https://ir.vuzix.com/ or directly at https://event.choruscall.com/mediaframe/webcast.html?webcastid=y18QpYGD Participating on the call will be Vuzix' Chief Executive Officer and President Paul Travers and Chief Financial Officer Grant Russell, who together will discuss operational and financial highlights for the quarter ended June 30, 2026. To join the live conference call, please dial into the above referenced telephone numbers five to ten minutes prior to the scheduled conference call time. A telephonic replay will be available for 30 days, starting on August 13, 2026, at approximately 5:30 p.m. (ET). To access this replay, please dial 877-660-6853 within the U.S. or Canada, or 201-612-7415 for international callers. The conference replay ID# is 13761977. About Vuzix Corporation Vuzix is a leading designer, manufacturer and marketer of AI-powered smart glasses, waveguides and augmented reality technologies, components and products for the enterprise, medical, defense, security, and consumer markets. The Company's products include head-mounted smart personal displays and wearable computing devices that offer users a portable high-quality viewing experience, provide solutions for mobility, wearable displays and augmented reality, as well as OEM waveguide optical components and display engines. Vuzix holds more than 500 patents and patents pending and numerous IP licenses in the fields of optics, head-mounted displays, and augmented reality. The Company has won over 20 Consumer Electronics Show (or CES) awards for innovation since 2005 and several wireless technology innovation awards among others. Founded in 1997, Vuzix is a public company (NASDAQ: VUZI) with offices in: Rochester, NY; and Kyoto and Okayama, Japan. For more information, visit the Vuzix website, X and Facebook pages. Forward-Looking Statements Disclaimer Certain statements contained in this news release are "forward-looking statements" within the meaning of the Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. Forward-looking statements contained in this release relate to, among other things, the timing of new product releases, opportunities related to market disruptions such as AI regarding smart glasses demand, R&D project successes, existing and new engineering services and conversion to volume production OEM programs, future revenue and operating results, and the Company's leadership in the Smart Glasses and AR display industry. They are generally identified by words such as "believes," "may," "expects," "anticipates," "should" and similar expressions. Readers should not place undue reliance on such forward-looking statements, which are based upon the Company's beliefs and assumptions as of the date of this release. The Company's actual results could differ materially due to risk factors and other items described in more detail in the Company's Annual Reports and other filings with the United States Securities and Exchange Commission and applicable Canadian securities regulators (copies of which may be obtained at www.sec.gov or www.sedar.com). Subsequent events and developments may cause these forward-looking statements to change. The Company specifically disclaims any obligation or intention to update or revise these forward-looking statements as a result of changed events or circumstances that occur after the date of this release, except as required by applicable law. Investor Relations Contact Ed McGregor, Director of Investor RelationsVuzix [email protected] Tel: (585) 359-5985 Vuzix Corporation, 25 Hendrix Road, West Henrietta, NY 14586 USA,Investor Information – [email protected] www.vuzix.com View original content to download multimedia:https://www.prnewswire.com/news-releases/vuzix-reports-second-quarter-2026-results-302851352.html View original content to download multimedia: http://www.newswire.ca/en/releases/archive/August2026/13/c1414.html

ROCHESTER, N.Y., July 30, 2026 /PRNewswire/ -- Vuzix® Corporation (NASDAQ: VUZI), ("Vuzix" or, the "Company"), a leading supplier of AI-powered smart glasses, waveguides, and augmented reality (AR) technologies, is pleased to announce that the Company will host a conference call regarding its second quarter 2026 operating results at 4:30 PM Eastern Time (ET), August 13, 2026. To join the live conference call, please dial 877-709-8150 (U.S. and Canadian callers) or 201-689-8354 (international callers outside of the U.S. and Canada) 10 to 15 minutes prior to the scheduled call time. Participants can also click this link for instant telephone access to the event. The link will become active approximately 15 minutes prior to the start of the conference call. Additionally, a live and archived webcast of the conference call will be available on the investor relations page of the Company's website at: https://ir.vuzix.com/ or directly at: https://event.choruscall.com/mediaframe/webcast.html?webcastid=y18QpYGD Participating on the call will be Paul Travers, Vuzix Chief Executive Officer and President and Grant Russell, Chief Financial Officer, who will discuss operational and financial highlights for the quarter ended June 30, 2026. Telephonic and webcast replays will be available for 30 days starting on August 13, 2026 at approximately 5:30 PM (ET). To access the telephonic replay, please dial 877-660-6853 in the U.S. or Canada and 201-612-7415 for international callers. The conference replay ID# is 13761977. About Vuzix Corporation Vuzix is a leading designer, manufacturer and marketer of AI-powered smart glasses, waveguides and augmented reality technologies, components and products for the enterprise, medical, defense, security agencies, and consumer markets. The Company's products include head-mounted smart personal display and wearable computing devices that offer users a portable high-quality viewing experience, provide solutions for mobility, wearable displays and augmented reality, as well OEM waveguide optical components and display engines. Vuzix holds more than 500 patents and patents pending and numerous IP licenses in the fields of optics, head-mounted displays, and the augmented reality wearables field. The Company has won over 20 Consumer Electronics Show (or CES) awards for innovation since 2005 and several wireless technology innovation awards among others. Founded in 1997, Vuzix is a public company (NASDAQ: VUZI) with offices in: Rochester, NY; and Kyoto and Okayama, Japan. For more information, visit the Vuzix website, X and Facebook pages. Media and Investor Relations Contact: Ed McGregor, Director of Investor RelationsVuzix [email protected]: (585) 359-5985 Vuzix Corporation, 25 Hendrix Road, West Henrietta, NY 14586 USA,Investor Information – [email protected] www.vuzix.com View original content to download multimedia:https://www.prnewswire.com/news-releases/vuzix-schedules-conference-call-to-discuss-second-quarter-2026-financial-results-and-business-update-302839296.html

Image source: The Motley Fool. Thursday, May 14, 2026 at 4:30 p.m. ET Chief Executive Officer — Paul Travers Chief Financial Officer — Grant Russell Need a quote from a Motley Fool analyst? Email [email protected] Paul Travers; and our CFO, Grant Russell. Before I turn the call over to Paul, I would like to remind you that on this call, management's prepared remarks may contain forward-looking statements, which are subject to risks and uncertainties, and management may make additional forward-looking statements during the question-and-answer session. Therefore, the company claims the protection of the safe harbor for forward-looking statements that are contained in the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those contemplated by any forward-looking statements as a result of certain factors, including, but not limited to, general economic and business conditions, competitive factors, changes in business strategy or development plans, the ability to attract and retain qualified personnel as well as changes in legal and regulatory requirements. In addition, any projections as to the company's future performance represent management's estimates as of today, May 14, 2026. Vuzix assumes no obligation to update these projections in the future as market conditions change. This afternoon, the company issued a press release announcing its Q1 2026 financial results and filed its 10-Q with the SEC. So participants in this call who may not have already done so may wish to look at those documents as the company will provide a summary of the results discussed on today's call. Today's call may include certain non-GAAP financial measures. When required, reconciliation to the most directly comparable financial measure calculated and presented in accordance with GAAP can be found in the company's Form 10-K annual filing at sec.gov, which is also available at www.vuzix.com. I will now turn the call over to Vuzix' CEO, Paul Travers, who will give an overview of the company's operating results and business outlook. Paul will then turn the call over to Grant Russell, Vuzix CFO, who will provide an overview of the company's first quarter financial results, after which we'll move on to the Q&A session. Paul? Paul Travers: Thank you, Ed, and thanks to everyone for joining us today. With our first quarter of 2026 behind us and as we have shared previously, Vuzix continues to drive forward with a clear strategy focused around two primary growth engines for the company, OEM products and waveguides. We believe these are areas where we can create the greatest long-term value for Vuzix. Importantly, many of these OEM and waveguide opportunities begin as customer-funded engineering and development programs. We believe this creates a more capital-efficient path towards long-term production opportunities while allowing Vuzix to leverage the technology, manufacturing and customer relationships we have spent years building. This strategy is built directly on the core technologies, products and capabilities we have developed over the last several decades. Vuzix established its position through two closely connected strengths. Advanced waveguides and designing and selling enterprise smart glasses products. Together, those capabilities helped us develop deep technical know-how, real customer experience and market credibility while also opening doors with larger organizations seeking a partner that understands not just optics, but the full product deployment and support equation. Since the beginning of 2026, our announcements have not been isolated updates. They show a progression of ecosystem validation, product readiness, customer expansion, defense and OEM momentum and broader waveguide partner engagement. The first leg of our growth strategy is centered around the OEM products business across enterprise, defense, security and ultimately, broader consumer markets. We are particularly excited that we'll begin shipping initial EVT-based OEM orders in Q2 for the new Ultralight Pro platform-based smart glasses to Amazon to support the business outcomes and operational challenges presented by the rapid adoption of AI and data center expansion. At the same time, Amazon's reliability and maintenance engineering teams use of the Vuzix M400 smart glasses continues to expand to support fulfillment center operations worldwide. Our custom M400 kit for Amazon ensures fulfillment center machinery, robotics, conveyors and automation equipment run safely and efficiently. In addition to Amazon, we're also working with a leading auto manufacturer where Vuzix is developing a waveguide-based smart glasses solution for widespread use on their factory floor operations. We recently delivered initial units to this customer to support operational evaluation and workflow validation activities within active manufacturing environments and look forward to the next phase of the relationship. We expect derivative versions of this platform could ultimately support broader enterprise market opportunities under the Vuzix brand, and we are currently evaluating that option. Within defense, we continue to see growing momentum as wearable displays, advanced optics, AI-assisted visualization and drone-related applications become increasingly important. Recently, we announced that we had received a 6-figure development order from a Tier 1 defense supplier supporting the design of a next-generation waveguide-based head-mounted display system intended for military applications and future production deployment. In addition, a program with Collins Aerospace is moving into production as evidenced by a recently received 6-figure order for waveguide-based AR display systems to support drone-based applications. We currently expect order volumes associated with this program to continue to increase throughout the year. Another project slated to kick off shortly is a 7-figure program for U.S.-based next-generational waveguide design and manufacturer funded by the U.S. Department of Defense. Overall, we believe our position within defense and government opportunities is substantially stronger today than it was even just 3 months ago. The broader engagement, including several active RFPs, clearer pathways towards production programs and increasing interest tied to secure U.S.-based manufacturing capabilities. Geopolitics is changing how defense and security agencies think about wearable technology. Drones have rapidly become a critical operational tool as smart glasses and HUDs are becoming an important interface for real-time situational awareness, coordination, visualization and secure information delivery. More broadly, secure information access, situational awareness and AI delivered through wearable displays are becoming increasingly relevant across defense, homeland security and public safety use cases. We believe these trends will become an important driver of long-term demand for advanced wearable systems and waveguide-based display. The second major leg of our strategy is capitalizing on our waveguide technology where scalable, cost-effective production of advanced waveguides position Vuzix to play a central role in the next generation of AI-enabled smart glasses. Over the past year, we have continued strengthening our position through our strategic relationship with Quanta Computer, which is building the infrastructure for what should be meaningful revenue-generating opportunities surrounding Vuzix waveguides as a strategic supplier to Quanta and their customer ecosystem. The microdisplay industry is witnessing tremendous investment and innovation as the race to support the AI smart glasses ecosystem accelerates. For Vuzix, the opportunity is not to bet on a single display technology, but rather to support and enable multiple display technologies that we believe could become important over time. Including LCOS, laser-based displays and microLED technologies. These relationships matter because the more third-party display partners we can support, the more ways we have to embed our waveguides into wearable products. As Vuzix is one of the few companies with both advanced waveguide design expertise and scalable manufacturing capabilities, we continue nurturing and expanding our relationship across the broader display ecosystem. These collaborations, which have resulted in as many as a dozen custom waveguide designs in the last 24 months currently include TCL, Saphlux, Himax, Avegant, RayPrus, Redoxlens, among others. This matters because the industry increasingly recognizes that success in AI glasses will require the right combination of waveguides, display performance, manufacturability and cost. We believe the waveguide business represents the single largest long-term opportunity for Vuzix. As near-eye display-based smart glasses evolve towards becoming a true mass market computing platform over time, advanced waveguides will become one of the key enabling technologies supporting that transition. That is why scale matters. That is why manufacturability matters, and that is why Quanta matters as a world-leading contract manufacturer. As part of preparing for that next phase of growth, we're continuing to expand and optimize our manufacturing and development infrastructure in Rochester, New York. During the quarter, we continued expanding our plant floor manufacturing capacity to better support the increasing number of OEM, defense and waveguide development programs now moving through the company. These ongoing upgrades are designed to improve throughput, reduce development cycle times, minimize manufacturing changeovers and allow Vuzix to manage multiple advanced programs simultaneously as a broader set of opportunities move towards production. We are also in the process of expanding and consolidating additional advanced waveguide tooling and development capabilities into the Rochester facility. This includes the relocation of our advanced etching equipment that was acquired from a Silicon Valley-based entity last spring. Bringing these capabilities closer to our core optical science and engineering teams is expected to improve development speed, process integration and next-generation waveguide research activities. In addition, during Q1, we completed the on-site construction of a new and more capable chemistry laboratory focused on advancing the materials used within our waveguide manufacturing process. This effort is being led by our newly added PhD-level chemistry team and is focused on improving polymer formulations, advanced in printing materials and better matching material properties to the next generation of high-performance waveguide substrates. These investments continue to strengthen our position as one of the few companies combining advanced waveguide design expertise with scalable manufacturing capabilities in the United States. Ultimately, the waveguide manufacturing market will not be won by simply demonstrating a strong laboratory prototype or hero samples as known within our industry. It will be won by having technology that performs, can be produced reliably and can scale cost effectively to support the needs of the large volume customers. Vuzix has spent years building towards that exact position. The broader consumer smart glasses market is now entering an important new phase. AI is making smart glasses more practical. Customers are becoming more specific about what they need with additional technology companies, platform providers and eyewear brands bringing products, software platforms and ecosystem support into the category and advanced waveguide manufacturing, scalable optics and protected enabling technologies are becoming increasingly central to success. That is why the emergence of platforms such as Google's Android XR and similar ecosystem initiatives are important. The market is increasingly evolving from a device story into a platform and ecosystem story. Emerging technology markets often move through cycles of early enthusiasm, consolidation and infrastructure build-out before real commercial adoption begins to scale. We believe the smart glasses market has now entered that next phase. Vuzix has remained committed to this market through multiple technology cycles while continuing to invest in innovation, waveguide technology, manufacturing capabilities, customer relationships and intellectual property. Today, with more than 500 patents and patents pending worldwide, we believe those investments position Vuzix well for the direction this industry is now moving. As AI-enabled smart glasses move from concept towards broader adoption, we believe the consistency of our execution and our long-term commitment to this market can become increasingly important drivers of shareholder value. With that, I'll now turn the call over to Grant for the financial overview. Grant? Grant Russell: Thank you, Paul. As Ed mentioned, the 10-Q we filed this afternoon with the SEC offers a detailed explanation of our quarterly financials. So I'm just going to provide you with a bit of color on some of the quarterly numbers. Our first quarter 2026 total revenues was $1.4 million, down 12% year-over-year versus $1.6 million in 2025. Product sales decreased primarily due to lower sales of our M400. Engineering services revenues were $0.35 million for the 3 months ended March 31, 2026, versus $0.26 million in the prior year's period, an increase of 36%. There was an overall gross loss of $0.4 million for the 3 months ended March 31, 2026, as compared to a gross loss of $0.3 million for the same period in 2025. The increased gross loss was primarily due to lower total sales versus the prior year's period that resulted in less absorption of our relatively fixed manufacturing costs. Research and development expense was $3 million for the 3 months ended March 31, 2026, compared to $2.6 million for the comparable 2025 period, an increase of approximately 16%. The higher R&D expense was largely due to a $0.4 million increase in wage costs related to headcount increases and a $0.2 million increase in depreciation related to new waveguide manufacturing equipment currently being used primarily for R&D purposes, less a $0.2 million decrease in external development costs. Sales and marketing expense was virtually flat for the 3 months ended March 31, 2026, as compared to the same period in 2025, an increase of approximately 1% to just over $1.55 million. General and administrative expenses for the 3 months ended March 31, 2026, was $2.1 million versus $4 million for the comparable 2025 period, a decrease of approximately 46%. The overall decline was primarily due to a $1.7 million decrease in noncash stock-based compensation expense related to the termination and cancellation of prior equity incentive plans. Total operating expenses for the 3 months ended March 31, 2026, declined by 20% to $6.8 million versus the prior year period of $8.5 million. For the first quarter ended March 31, 2026, the net loss attributable to common shareholders was $7.1 million or $0.09 per share as compared to a net loss of $8.6 million or $0.11 per share for the first quarter of 2025. Now for some balance sheet and cash flow highlights. Our cash and cash equivalents position as of March 31, 2026, was $20.2 million, and our net working capital position was $20.8 million. For the quarter ended March 31, 2026, the net cash flow used for operating activities was $5.6 million as compared to $3.5 million in the prior year's period. As of March 31, 2026, the company continues to have no current or long-term debt obligations outstanding. Cash flow used for investing activities for the first quarter of 2026 was $1.2 million versus $0.8 million in the prior year's period. Cash flows provided from our financing activities during the 3 months ended March 31, 2026, was $5.8 million versus $1.3 million in the first quarter of 2025, all primarily the result of net proceeds from sales of common stock under our ATM facility. Let me close by again reiterating that we believe our overall cash position, along with maintaining disciplined cost structure, general business expansion, particularly on the ODM and OEM side and judicious use of our ATM facility will collectively give us sufficient runway to execute our current operating plan well into 2027. With that, I'd like to turn the call over to the operator. Operator: [Operator Instructions] There are no questions at this time. And I'd like to turn the call back to Paul Travers for closing remarks. Paul Travers: Again, everybody, thank you so much for joining us on the call today. Vuzix is continuing to position ourselves for the next major phase of the market for smart glasses and advanced optics. We're building the company around what we believe are the two most important long-term opportunities in the industry, smart glasses and advanced waveguide technologies. We believe the overall market environment is continuing to improve. We see our business accelerating on OEM program after OEM program, which is why we've made these upgrades to our plant floor. We're having entertaining and actually receiving 7-figure programs, which you'll hear more about here as the summer unfolds. Obviously, Amazon is becoming a great partner that continues to roll product into their operations. While we still believe the industry remains in the relatively early stages, it is very exciting to be where we are today after all these years. The business is coming, and it's going to be an exciting follow of the year. We remain focused on disciplined execution, strategic growth opportunities and continue to build long-term shareholder value. Just as a reminder, our Annual Shareholders Meeting is coming up on June 16. We look forward to all those that want to come. It should be a nice event. We'll have some great demos and some new stuff to show at folks. Thanks again, everybody, and have a nice evening. Operator: Thank you. This concludes today's conference. You may disconnect your lines at this time, and we thank you for your participation. Before you buy stock in Vuzix, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Vuzix wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $468,861!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,445,212!* Now, it’s worth noting Stock Advisor’s total average return is 1,013% — a market-crushing outperformance compared to 210% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of May 15, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Vuzix (VUZI) Q1 2026 Earnings Transcript was originally published by The Motley Fool

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management is focusing the company's growth strategy on two primary engines: OEM products and waveguide technology, which they believe offer the highest long-term value. The company is prioritizing customer-funded engineering and development programs to create a more capital-efficient path toward large-scale production opportunities. Vuzix is leveraging its position as one of the few U.S.-based manufacturers with both advanced waveguide design expertise and scalable manufacturing capabilities. The strategy involves supporting multiple microdisplay technologies, including LCOS, laser-based, and microLED, to embed waveguides into a broader range of third-party wearable products. Management attributes the growing demand in the defense sector to geopolitical changes and the increasing importance of drones, which require real-time situational awareness via wearable displays. The company believes the smart glasses market has transitioned from a device-centric story to a platform and ecosystem story, accelerated by the rapid adoption of AI. Initial EVT-based OEM orders for the new Ultralight Pro platform are scheduled to begin shipping to Amazon in Q2 2026 to support data center operations. Order volumes for waveguide-based AR display systems for Collins Aerospace are expected to increase throughout the remainder of the year. The company is consolidating advanced etching equipment and chemistry labs in Rochester to improve development speed and process integration for next-generation waveguides. Management expects to kick off a 7-figure program for next-generation waveguide design funded by the U.S. Department of Defense in the near term. Current cash reserves and disciplined cost management are projected to provide sufficient runway to execute the operating plan well into 2027. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. A gross loss of $0.4 million was primarily driven by lower total sales, resulting in less absorption of relatively fixed manufacturing costs. General and administrative expenses decreased by 46% year-over-year, largely due to a $1.7 million reduction in noncash stock-based compensation following the termination of prior equity plans. Research and development expenses increased by 16% due to headcount growth and depreciation from new waveguide manufacturing equipment. The company utilized its ATM facility to provide $5.8 million in net proceeds from sales of common stock during the first quarter.

Interested in Vuzix Corporation? Here are five stocks we like better. Vuzix narrowed its first-quarter loss as operating expenses fell 20% to $6.8 million, helping cut net loss to $7.1 million, or 9 cents per share, from $8.6 million a year earlier. Revenue still declined 12% to $1.4 million, mainly because of lower product sales. Management said the company is focused on two main growth engines: OEM products and waveguides. Near-term opportunities include planned OEM shipments to Amazon, expanded M400 use in Amazon fulfillment centers, and development work with an auto manufacturer and defense customers. Vuzix highlighted stronger defense and government momentum, including a six-figure order from a tier-one defense supplier, a Collins Aerospace program moving into production, and an expected seven-figure U.S. Department of Defense-funded project. The company ended the quarter with $20.2 million in cash and said it has runway into 2027. 3 Penny Stocks Ready to Break Out in 2025 Vuzix (NASDAQ:VUZI) reported a smaller first-quarter loss as operating expenses declined, while revenue fell year over year amid lower product sales, management said on the company’s first-quarter 2026 earnings call. Chief Executive Officer Paul Travers said the company is continuing to focus its strategy on two primary growth areas: OEM products and waveguides. He said many of the company’s opportunities in those areas begin as customer-funded engineering and development programs, which Vuzix views as a more capital-efficient path toward longer-term production opportunities. → Micron Investors Face a High-Stakes Moment After the Latest Rally 3 Hot Stocks Bought by Members of Congress: Follow the Money “Vuzix continues to drive forward with a clear strategy focused around two primary growth engines for the company: OEM products and waveguides,” Travers said. He added that the strategy builds on the company’s history in advanced waveguides and enterprise smart glasses. Chief Financial Officer Grant Russell said total revenue for the first quarter ended March 31, 2026, was $1.4 million, down 12% from $1.6 million in the prior-year period. Product sales declined primarily because of lower sales of the company’s M400 smart glasses, while engineering services revenue rose 36% to $350,000 from $260,000 a year earlier. → How Bad Could Tesla’s Cybertruck Recall Be for Shares? Kopin Corp is the Technology Seen Behind Smart AR Glasses Vuzix posted a gross loss of $400,000, compared with a gross loss of $300,000 in the first quarter of 2025. Russell said the increased gross loss was mainly tied to lower total sales, which resulted in less absorption of relatively fixed manufacturing costs. Research and development expense increased 16% to $3 million from $2.6 million a year earlier. Russell said the increase was largely due to higher wage costs related to headcount additions and increased depreciation tied to new waveguide manufacturing equipment being used primarily for R&D, partially offset by lower external development costs. → Reading the Stripes: Is The Industrial Recession Over? Sales and marketing expense was nearly flat at just over $1.55 million. General and administrative expense fell 46% to $2.1 million from $4 million, mainly because of a $1.7 million decrease in non-cash stock-based compensation expense related to the termination and cancellation of prior equity incentive plans. Total operating expenses declined 20% to $6.8 million from $8.5 million. Vuzix reported a net loss attributable to common shareholders of $7.1 million, or 9 cents per share, compared with a net loss of $8.6 million, or 11 cents per share, in the first quarter of 2025. Travers said Vuzix expects to begin shipping initial EVT-based OEM orders in the second quarter for its new Ultralite Pro platform-based smart glasses to Amazon. He said the glasses are intended to support business outcomes and operational challenges linked to AI adoption and data center expansion. He also said Amazon’s reliability and maintenance engineering teams continue to expand use of Vuzix M400 smart glasses in fulfillment center operations worldwide. According to Travers, Vuzix’s custom M400 kit for Amazon supports maintenance of fulfillment center machinery, robotics, conveyors and automation equipment. Beyond Amazon, Travers said Vuzix is working with a leading auto manufacturer on a waveguide-based smart glasses solution intended for factory floor operations. Vuzix recently delivered initial units to support operational evaluation and workflow validation in active manufacturing environments, he said. Travers said the company is seeing growing momentum in defense, where wearable displays, advanced optics, AI-assisted visualization and drone-related applications are becoming more important. He pointed to a recently announced six-figure development order from a tier-one defense supplier for a next-generation waveguide-based head-mounted display system intended for military applications and future production deployment. He also said a program with Collins Aerospace is moving into production after Vuzix received a six-figure order for waveguide-based AR display systems to support drone-based applications. Vuzix expects order volumes tied to that program to increase during the year, Travers said. In addition, Travers said a seven-figure program funded by the U.S. Department of Defense for U.S.-based next-generation waveguide design and manufacturing is expected to begin shortly. He said the company’s defense and government position is “substantially stronger” than it was three months earlier, citing active RFPs, clearer paths toward production and interest in secure U.S.-based manufacturing. Travers said Vuzix believes the waveguide business represents the company’s largest long-term opportunity. He said the company is positioned to support multiple display technologies, including LCOS, laser-based displays and microLED technologies, rather than relying on a single approach. He also highlighted Vuzix’s strategic relationship with Quanta Computer, which he said is building infrastructure for potential revenue-generating opportunities involving Vuzix waveguides as a strategic supplier to Quanta and its customer ecosystem. Travers said collaborations across the display ecosystem have produced as many as a dozen custom waveguide designs over the past 24 months. He named TCL, Saphlux, Himax, Avegant, Rayprus and Redoxlens among current collaborators. During the quarter, Vuzix expanded plant floor manufacturing capacity in Rochester, New York, to support a growing number of OEM, defense and waveguide development programs. Travers said the company is also consolidating additional advanced waveguide tooling and development capabilities into the Rochester facility, including advanced etching equipment acquired from a Silicon Valley-based entity last spring. The company also completed construction of a new chemistry laboratory focused on materials used in waveguide manufacturing. Travers said the effort is led by a newly added PhD-level chemistry team and is focused on polymer formulations, nanoimprinting materials and matching material properties to next-generation waveguide substrates. Russell said Vuzix ended the quarter with $20.2 million in cash and cash equivalents and net working capital of $20.8 million. The company had no current or long-term debt outstanding as of March 31, 2026. Net cash used in operating activities was $5.6 million, compared with $3.5 million a year earlier. Cash used in investing activities was $1.2 million, compared with $800,000 in the prior-year quarter. Financing activities provided $5.8 million, primarily from net proceeds from sales of common stock under the company’s ATM facility. Russell said Vuzix believes its cash position, cost discipline, business expansion — particularly on the ODM and OEM side — and “judicious use” of its ATM facility will provide sufficient runway to execute its current operating plan well into 2027. No analysts asked questions during the call. In closing remarks, Travers said the company continues to position itself for what management sees as the next major phase of the smart glasses and advanced optics market. Vuzix Corporation (NASDAQ: VUZI) is a technology company specializing in the design, development and manufacture of wearable display devices and smart glasses. Headquartered in Rochester, New York, Vuzix focuses on next-generation augmented reality (AR) and virtual reality (VR) solutions that enable hands-free access to video, data and applications. Its products integrate high-resolution optics, onboard sensors and wireless connectivity to support immersive visual experiences for professional and consumer use. Vuzix's product portfolio includes smart glasses and head-mounted displays such as the Vuzix Blade series and the M400 family. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Vuzix Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.

This article first appeared on GuruFocus. Release Date: May 14, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Vuzix Corp (NASDAQ:VUZI) has secured a seven-figure program for next-generational waveguide design funded by the U.S. Department of Defense, strengthening its position in defense and government sectors. The company is capitalizing on its waveguide technology, positioning itself as a central player in the next generation of AI-enabled smart glasses. Vuzix Corp (NASDAQ:VUZI) has expanded its manufacturing and development infrastructure in Rochester, New York, to support increasing OEM, defense, and waveguide development programs. The company has over 500 patents and patents pending worldwide, indicating a strong intellectual property portfolio. Vuzix Corp (NASDAQ:VUZI) has no current or long-term debt obligations, providing financial stability and flexibility. Total revenues for Q1 2026 were $1.4 million, down 12% year over year, primarily due to lower sales of the M400 product. The company reported a gross loss of $0.4 million for Q1 2026, an increase from the previous year's gross loss of $0.3 million. Research and development expenses increased by 16% to $3 million, driven by higher wage costs and depreciation related to new manufacturing equipment. Net cash flow used for operating activities increased to $5.6 million in Q1 2026, compared to $3.5 million in the prior year's period. Despite a decrease in general and administrative expenses, the company still reported a net loss of $7.1 million for Q1 2026. Warning! GuruFocus has detected 4 Warning Signs with VUZI. Is VUZI fairly valued? Test your thesis with our free DCF calculator. Q: Can you provide more details on the new waveguide design project funded by the U.S. Department of Defense? A: The project is a seven-figure program focused on next-generational waveguide design and manufacture. It is part of our broader strategy to strengthen our position within defense and government opportunities, which has become significantly stronger over the past few months. (Unidentified_1) Q: How is Vuzix positioning itself in the smart glasses market? A: Vuzix is focusing on two major opportunities: smart glasses and advanced waveguide technologies. We are expanding our manufacturing capabilities and nurturing relationships with key partners to support multiple display technologies. This positions us well for the evolving market, which is moving towards broader adoption of AI-enabled smart glasses. (Unidentified_1) Q: What are the financial highlights for the first quarter of 2026? A: Total revenues were $1.4 million, down 12% year-over-year. The net loss was $7.1 million, or $0.09 per share, compared to a net loss of $8.6 million, or $0.11 per share, in the first quarter of 2025. Operating expenses declined by 20% to $6.8 million. (Unidentified_2) Q: Can you elaborate on the company's cash position and financial strategy? A: As of March 31, 2026, our cash and cash equivalents were strong, with no current or long-term debt obligations. We are maintaining a disciplined cost structure and leveraging our ATM facility to support our operating plan into 2027. (Unidentified_2) Q: What are the future growth prospects for Vuzix? A: We are optimistic about the future, with several OEM programs accelerating and new seven-figure programs on the horizon. Our partnership with Amazon is also expanding. We remain focused on disciplined execution and strategic growth opportunities to build long-term shareholder value. (Unidentified_1) For the complete transcript of the earnings call, please refer to the full earnings call transcript.