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VIGO revenue estimates in Q3 2023

VIGO revenue estimates – increase by 3% y/y in the third quarter and by 13% cumulatively for 9 months of 2023, growing sales in the USA and in the military segment

  • Increase in revenues in Q3 2023 thanks to key segments: industrial and military
  • Increase in sales of the industrial segment by 3% y/y in the third quarter and 12% y/y cumulatively since the beginning of the year
  • Sales increase on the American market by 64% y/y in the third quarter, thanks to orders from the gas industry
  • Sales in the military segment in the third quarter increased by 58% y/y (YTD + 34% y/y), thanks to growing defense-related expenses
  • Good revenue prospects for the fourth quarter of this year.

VIGO Photonics S.A. (WSE: VGO), a global manufacturer of the most advanced mid-infrared photonic detectors and detection modules and semiconductor materials, achieved PLN 17.3 million (+3% y/y) in consolidated revenues in the third quarter of 2023. Cumulatively, after the third quarter of 2023, revenues amounted to PLN 53.8 million and were higher by 13% y/y.

Sales of detectors and detection modules in the third quarter of 2023 amounted to a total of PLN 15.7 million (-2% y/y), and sales of semiconductor materials amounted to PLN 1.6 million (a 2-fold increase y/y).

In the third quarter of 2023, the largest year-on-year sales increase was recorded by the military segment (PLN 2.1 million, an increase of 58% y/y). The military segment in Poland recorded an almost five-fold increase in sales year-on-year, to PLN 1.7 million. The upward trend in this segment is related to the growing spending of countries on defense, the effects of which have been visible in the segment’s revenues for several quarters. Cumulatively, in 9 months the military segment recorded PLN 8.4 million in sales, which means an increase of 34% y/y.

The industrial segment, the largest in terms of revenue, recorded an increase by 3% to PLN 10.9 million in the third quarter of 2023, thanks to further growth in sales in the USA (year-on-year sales increase to PLN 4 million, gas analysis detectors, including methane sensors) and stable sales in Europe (mainly for the semiconductor industry). Cumulatively, for 9 months, sales in the industrial segment amounted to PLN 31 million (an increase of 12% y/y).

The semiconductor materials segment is growing as planned, primarily thanks to orders for QCL structures – Quantum Cascade Lasers and for semiconductor energy storage. Sales in the segment amounted in the third quarter of this year. PLN 1.6 million (+206% y/y), and cumulatively in 9 months PLN 4.4 million (+65% y/y).

In the third quarter, VIGO’s revenues increased by 3%, while cumulatively in 9 months our revenues are already higher by 13% year-on-year. We are particularly pleased with the constantly growing sales on the American market, where sales doubled in the third quarter – this is the result of the good work of our sales team, which we have expanded in recent months and last year, as well as the customers’ appreciation of the effectiveness of our detectors. Our most important customers in the USA are currently the gas industry, where our gas analysis detectors are widely used, including in the very important detection of methane. Sales in Europe are stable, but we see that after several quarters of slower growth, customers have started to increase orders, which will translate into higher sales in the following quarters – says Adam Piotrowski, President of the Management Board of VIGO Photonics.

 We also recorded another quarter of growing revenues in the military segment. Revenues from this segment in the third quarter of 2023 amounted to PLN 8.4 million. This is the result of the geopolitical situation and significantly increasing spending on security and defense, as we have already informed about. The segment’s growing revenues have been visible for several quarters and we expect them to continue to increase, adds Adam Piotrowski.

 Further military prospectuses are being implemented in Poland – such as a contract for the supply of detectors used in automatic fire detection and extinguishing systems to the PGZ Group, or a letter of intent with PCO regarding the implementation of infrared matrices developed by us for mass production and use in the Polish army. We are also counting on the American market and the first military contracts, adds Adam Piotrowski.

The total value of orders and contracts obtained by VIGO Photonics from the beginning of this year to the end of September amounted to nearly PLN 84 million (including PLN 51.4 million in confirmed delivery orders, compared to PLN 61.8 million at the end of the same period last year and additionally PLN 32.3 million in remaining contracts for 2023-2025). This amount does not include the contract with an entity from the PGZ group signed in August this year.

The share of applications in the revenue structure in the third quarter of 2023 was respectively: industrial application 63% (PLN 10.9 million in revenues), military application 12% (PLN 2.1 million in revenues), semiconductor materials 9.5% (PLN 1.7 million revenues), transport 8.4% (PLN 1.4 million revenues) and science and medicine 6.3% (PLN 1.1 million revenues).

We are optimistic about the prospects for the fourth quarter, we expect that it may be one of the best in our history in terms of revenues, which is already partly visible in contracting and also results from framework agreements with large clients. First of all, we expect a continuation of positive trends in our key industrial and military segments, visible for several quarters – sums up Adam Piotrowski.

 Selected most important contracts signed within 9 months of 2023

In 2023, VIGO signed new contracts, including: in an emission monitoring application – FTIR spectroscopy (contract value EUR 1.62 million), in an industrial application – for measuring the thickness of paint coatings (value approximately EUR 0.5 million) and for a supplier of optoelectronic systems (value approximately EUR 0.2 million). EUR). Further contracts were signed in July, including: for devices producing the latest generation of semiconductors (contract value: EUR 2 million) and for spectroscopy (value: EUR 200,000).

In May this year another framework agreement was concluded with a German contractor for the supply of detectors worth from EUR 2.9 to 3.5 million until the end of December 2023 (with the possibility of postponement until the end of March 2024). In turn, in July this year VIGO signed a renewed framework agreement for the sale of detectors with a company from the Caterpillar Group worth EUR 3.67 million until May 30, 2025 (with the possibility of postponing it until the end of August 2025).

 On August 29 this year VIGO signed an agreement with an entity from the PGZ Group to supply detectors worth a total of at least PLN 15.8 million (as at the date of signing the agreement) by the end of 2035. The implementation of the contract has already started. VIGO detectors will be used in fire detection systems in tanks and combat vehicles. The actual revenues from the implementation of this contract may be much higher due to the possibility of using the system in other types of military vehicles.

On September 7 this year During the International Defense Industry Exhibition in Kielce, VIGO signed a letter of intent with PCO regarding cooperation aimed at developing innovative solutions tailored to the needs of the modern battlefield, in particular infrared matrices based on T2SL supernet technology (Type II Superlattice).

 On June 12 this year VIGO Photonics received information from the European Commission about the approval of public aid in the amount of up to EUR 102.9 million under the European IPCEI ME/CT mechanism for the implementation of the HyperPIC project, the main goal of which is to create a complete, generic technological platform integrating key elements of the value chain of integrated photonics systems (PIC) for the mid-infrared range (Mid-IR Photonic Integrated Circuits, MIRPICs).



 In 2023, VIGO Photonics participated in the following industry events:

  • SPIE Photonics West (USA) – the largest photonics industry conference in the world
  • Smart City Summit (Taiwan)
  • Space Industry Days (Poland)
  • SPIE Optics and Optoelectronic Fair (Czech Republic)
  • Infrared Colloquium (Germany)
  • LASER World of Photonics (Germany) – the largest industry conference in Europe
  • Webinar dedicated to III-V detectors organized jointly with Photonics Media
  • OPIE industry conference (Japan)
  • Photonics 21 Partnership Annual Meeting 2023 (Belgium)
  • International Day of Light (Poland)
  • SEMICON West (USA)
  • Korea – Poland Business Forum (Poland)
  • Poland – Taiwan Business Round Table (Poland)
  • MSPO International Defense Industry Exhibition (Poland)
  • SEMICON Taiwan (Taiwan)
  • DSEI (England)
  • EPIC Technology Meeting on Photonics in Defense (Poland)
  • RAPID Research and Application of Photonics in Defense (USA)
  • Webinar devoted to infrared detectors for gas analysis organized jointly with the Laser Focus World organization
  • CIOE China International Optoelectronic Expo (China)
  • CEM Emission Monitoring (Spain)
  • TRAKO (Poland)
  • Poland – Switzerland Economic and Technological Forum (Switzerland)
  • EU Regional Conference “New Perspective, New Opportunities 2021-2027” (Poland)
  • Photonics Days Berlin (Germany)
  • EPIC Technology Meeting for Quantum Technology (Germany)


Planned industry events by the end of the year:

  • Seoul ADEX (Korea)
  • EPIC New Product Release
  • Optoelectronics Conference (Poland)
  • SEMICON Europe (Germany
  • IPC IEEE Photonics Society Conference (USA)
  • Intelligent Rail Summit (Poland)
  • IR Fair (Japan)
  • Combat Aeroterrestre 2035 (France)


Contact for the media and individual investors:

Piotr Piotrowski, cc group

piotr.piotrowski@ccgroup.pl,, +48 697 613 010


Contact for institutional investors:

Malgorzata Mlynarska, cc group

malgorzata.mlynarska@ccgroup.pl, +48 697 613 709