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.