Viavi Solutions Inc. Announces Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended December 31, 2016; Provides Earnings Guidance for the Third Quarter Ending April 1, 2017
January 31, 2017 at 04:01 pm EST
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Viavi Solutions Inc. announced unaudited consolidated earnings results for the second quarter and six months ended December 31, 2016. For the quarter, the company reported net Revenues were $206.5 million against $232.1 million a year ago. Income from operations was $6.7 million against $9.2 million a year ago. Income from continuing operations before taxes was $55.0 million against $2.1 million a year ago. Income from continuing operations, net of taxes was $49.2 million or $0.21 diluted per share against $1.0 million or $0.01 diluted per share a year ago. Net income was $49.2 million or $0.21 diluted per share against $4.0 million or $0.02 diluted per share a year ago. Non-GAAP net income was $23.6 million or $0.10 diluted per share against $25.0 million or $0.11 diluted per share a year ago. EBITDA from continuing operations was $21.4 million against $26.2 million a year ago. Adjusted EBITDA from continuing operations was $34.5 million against $39.2 million a year ago. Operating income was $26.9 million declined 11.8% year-over-year. Operating cash flow for the quarter was $18.6 million.
For the six months, the company reported net Revenues were $417.3 million against $461.8 million a year ago. Income from operations was $16.8 million against $6.3 million a year ago. Income from continuing operations before taxes was $138.7 million against loss of $10.7 million a year ago. Income from continuing operations, net of taxes was $127.2 million or $0.54 diluted per share against loss of $14.7 million or $0.06 diluted loss per share a year ago. Net income was $127.2 million or $0.54 diluted per share against loss of $64.1 million or $0.28 diluted loss per share a year ago. Non-GAAP net income was $45.3 million or $0.19 diluted per share against $44.6 million or $0.19 diluted per share a year ago. EBITDA from continuing operations was $46.7 million against $40.7 million a year ago. Adjusted EBITDA from continuing operations was $69.9 million against $77.2 million a year ago. Revenue declined 11% year-over-year. This was a result of the expected pullback of OSP revenue and a decline in NE revenue, partially offset by revenue growth in SE business.
For the third quarter ending April 1, 2017, the company expects non-GAAP net revenue to be between $188 million to $204 million, operating margin at 12%, plus or minus 1% and non-GAAP earnings per share to be $0.06 to $0.08 and operating margin at 12%, plus or minus 1%. It expects tax expense is expected to be approximately $4.5 million.
Viavi Solutions Inc. is a provider of network test, monitoring, and assurance solutions for communications service providers (CSPs), hyperscalers, network equipment manufacturers (NEMs), original equipment manufacturers (OEMs), government and avionics. Its segments include Network Enablement (NE), Service Enablement (SE) and Optical Security and Performance Products (OSP). The NE segment provides testing solutions that access the network to perform build-out and maintenance tasks. These solutions include instruments, software and services to design, build, activate, certify, troubleshoot, and optimize networks. SE segment provides embedded systems and enterprise performance management solutions. These solutions include instruments, microprobes, and software, which monitors, collects, and analyzes network data to reveal the actual customer experience. The OSP segment provides optical products for anti-counterfeiting, consumer and industrial, government, automotive and other markets.
Viavi Solutions Inc. Announces Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended December 31, 2016; Provides Earnings Guidance for the Third Quarter Ending April 1, 2017