Cost-Cutting Helps Boost IPG Photonics' Profits
In the face of the new normal, the worst-case scenario is frequently what investors have come to expect. Then, when things turn out to be not nearly as dire as anticipated, investors breathe a sigh of relief. That's exactly what happened with IPG Photonics (NASDAQ: IPGP).
Going into the company's first-quarter earnings report, the stock was down roughly 18% year to date. The industrial-laser maker's business in China had taken a hit due to the COVID-19 pandemic, and while business has begun to improve, it coincided with declining business in other regions.
Still, revenue came in at the high end of management's guidance and profits were far better, and the news was good enough to send IPG Photonics stock up roughly 21% in the wake of the earnings release.
Source Fool.com
