Oplink To Evaluate Strategic Alternatives For Oplink Connected Business

(RTTNews) - Oplink Communications, Inc. (OPLK), a provider of optical communication components, intelligent modules and subsystems, Tuesday announced a series of initiatives to further enhance shareholder value.

The initiatives include the company's intent to evaluate strategic alternatives for its Oplink Connected unit, including a possible sale of the business as well as the authorization of a $40 million increase to its existing share repurchase program.

The firm also plans the initiation of a quarterly dividend to shareholders, which will begin with a $0.05 dividend in the first quarter of fiscal 2015.

Oplink also intends to expand its Board of Directors by up to two members in order to add further industry expertise.

Further, the firm expects to report revenue for the fourth quarter of $51.5 million, up from $48.1 million in the prior quarter.

The company expects to report non-GAAP net income and earnings per share within the range provided in last quarter's guidance.

On a GAAP basis, the company expects to report a net loss for the fourth quarter due to a non-cash charge relating to the Oplink Connected business and the decision to seek strategic alternatives for that business.

For the quarter ending September 28, the firm expects to report revenue of $53 million to $57 million.