POET Technologies Inc. (NASDAQ:POET) reported its first-quarter 2026 results on Friday, with shares surging 43.15% to close at $20.57 before falling in Friday premarket trading following the earnings release and updates on AI infrastructure partnerships.

Revenue totaled $503,389, up from $166,760 a year earlier and $341,202 in the fourth quarter of 2025. Revenue beat the analyst estimate of $300,000.

The company posted a GAAP net loss of $12.3 million, or 8 cents per share, compared with net income of $6.3 million, or 8 cents per share, a year earlier. EPS missed the analyst estimate for a loss of 5 cents per share.

POET Technologies Revenue Growth

The quarter’s revenue consisted of non-recurring engineering and product revenue tied to projects using the company’s POET Optical Interposer platform.

Revenue rose about 202% year over year and about 47.53% sequentially as POET continued shifting toward product commercialization for AI networking infrastructure.

Research and development expense totaled $4.5 million, versus $4.3 million a year earlier. Stock-based compensation increased to $3.4 million from $0.8 million, while depreciation and amortization rose to $1.0 million from $0.7 million.

Non-Cash Items And Cash Flow

POET recorded a $1.6 million non-cash gain from derivative liability adjustment, compared with a $15.4 million gain in the prior-year quarter. Other income, including interest, increased to $4.0 million from $528,000 a year earlier.

Operating cash flow was negative $8.8 million, compared with negative $8.9 million a year earlier and negative $11.6 million in the prior quarter. The company did not disclose quarter-end cash, free cash flow, or debt figures.

AI Infrastructure Partnerships

Chairman and CEO Dr. Suresh Venkatesan said, “During the first quarter of 2026, we made significant progress in expanding POET’s strategic position within the AI and hyperscale data center ecosystem.”

During the quarter, POET announced partnerships with LITEON Technology and Lessengers, including the development of a 1.6T 2×DR4 optical transceiver module for AI clusters and hyperscale data centers.

The company also entered into a supply and joint development agreement with Lumilens, which includes an initial $50 million purchase order for EOI-based optical engines and could expand to more than $500 million in cumulative purchases over five years.

POET Technologies Strategic Plans

POET said it plans to move its headquarters and domicile to the U.S. and referenced plans to shift production capacity from China to Malaysia as it scales manufacturing capabilities.

Price Action: POET shares surged 43.15% to close Thursday’s regular session at $20.57 before pulling back 9.48% to $18.62 in Friday premarket trading.

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