Laser Photonics Corp

Analysis for Ticker: LASE

Laser Photonics Corp manufactures industrial laser systems used for cleaning and cutting industrial materials to replace traditional methods like sandblasting. It serves high-intensity markets like defense and aerospace. But while it sells advanced lasers, its actual business is transferring retail capital to its owners. Since 2019, the company managed to generate only 3,41$ million in total net sales, yet its controllers have extracted millions more in distributions and fees. This math is a disaster because the company is like a bucket with a giant hole in the bottom; it is spending more money on its own bosses than it earns from its products, ensuring the treasury stays empty no matter how many lasers it sells. Dmitriy Nikitin controls the company through ICT Investments and a network of other private entities. He holds more than 50,0% of the voting power, which allows him to dictate every corporate move. He established a contract where the company pays him a 6,5% royalty on every dollar of sales, taking his cut before any bills are paid. In the single year of 2024, the company only made 3,41$ million in sales but distributed 5,78$ million in cash to Nikitin’s private group for supposed overhead. In 10/2023, the company handed over 350.000$ and one million shares for technology licenses. By the end of 2024, the total share count had grown to 14,2 million shares.