Viavi Solutions Q3 Preliminary Revenue Lower Than Estimates; Stock Down In Pre-Market

(RTTNews) - Viavi Solutions Inc. (VIAVI), a maker of testing and monitoring equipment, on Monday announced preliminary revenue for the third-quarter, which has missed its previous guidance as well as analysts' estimates.

Following this news, VIAVI is trading down by 2.15 percent at $10.02 per share in pre-market on the Nasdaq.

For the third-quarter, the company expects preliminary revenue to be in the range of $246 million - $248 million. Earlier, the company had projected revenue of $256 million - $276 million.

Six analysts, on an average, polled by Thomson Reuters expect VIAVI to record revenue of $269.48 million. Analysts' estimates typically exclude special items.

A decline in preliminary revenue was attributed mainly to a weakness in the company's NSE segment that experienced higher than expected pullback in demand for Lab products.

Oleg Khaykin, VIAVI's CEO, said: "…The pullback in R&D spend at network equipment manufacturers (NEMs) and semiconductor companies was much higher than anticipated leading to revenue and non-GAAP operating margin coming in below the lower end of our guidance."