Ciena Turns To Profit In Q2, But Stock Down As Adj. EPS Misses Market; Revenues Beat Street

(RTTNews) - Ciena Corp. (CIEN) on Thursday reported a profit in its second quarter, compared to last year's loss, with strong growth in revenues. Meanwhile, the networking systems, services, and software company's adjusted earnings missed market estimates, while top line beat the view.

In the pre-market activity on the NYSE, Ciena shares were losing around 7.5 percent to trade at $77.52.

Gary Smith, president and CEO, Ciena said, "With accelerating demand driven by cloud and AI, our performance is validating the durability of a positive network infrastructure spending environment. As a result, we have strong visibility and are very confident in both our continued growth and our ability to drive additional operating leverage over time."

In the second quarter, net income was $8.97 million or $0.06 per share, compared to prior year's loss of $16.85 million or $0.12 per share.

Adjusted net income was $60.66 million or $0.42 per share, compared to adjusted net income of $39.43 million or $0.27 per share a year ago.

The Wall Street analysts on average expected the company to report earnings of $0.52 per share. Analysts' estimates typically exclude special items.

Adjusted EBITDA climbed 36 percent year-over-year to $116.7 million.

Total revenue grew 23.6 percent to $1.126 billion from $910.826 million a year ago. Analysts expected revenues of $1.09 billion.

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