Financial Data and Key Metrics Changes - Viavi Solutions reported record revenue of $313.7 million for Q2 fiscal 2020, growing 2.2% year-over-year and exceeding guidance of $292 million to $312 million [7] - Operating margins reached 21.6%, expanding 80 basis points year-over-year, and also exceeded the guidance range of 18% to 20% [7] - Record EPS of $0.23, reflecting a 4.5% growth from the previous year, also surpassed the guidance range of $0.18 to $0.20 [7] Business Segment Data and Key Metrics Changes - NSE revenue was $234.2 million, growing 4.7% year-over-year and exceeding guidance of $216 million to $232 million [8] - NE revenue within NSE was $203 million, up 3.8% year-over-year, driven by strong performance in Fiber, Wireless, and Cable products [9] - SE revenue was $31.2 million, growing 10.6% year-over-year, driven by demand in Data Center products [9] - OSP revenue was $79.5 million, reaching the high end of guidance but declining 4.4% year-over-year due to expected declines in core OSP business [12] Market Data and Key Metrics Changes - NSE gross margin increased to 66.4%, up 110 basis points year-over-year, while SE gross margins decreased to 66.7%, down 530 basis points from the previous year [10] - OSP gross margins expanded to 54.8%, up 460 basis points due to efficiencies [12] - Operating cash flow for the quarter was $38 million, with total cash and short-term investments at $556.9 million [13] Company Strategy and Development Direction - The company focuses on three major growth drivers: 5G, Fiber, and 3D sensing, expecting robust demand for 5G lab test instruments throughout 2020 [17] - Viavi is enhancing operational effectiveness through a new ERP system, which went live in December [22] - The company anticipates continued growth in 3D sensing driven by technology adoption and customer diversification [20] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the demand for 5G field test instruments ramping up in late 2020 or early 2021 [17] - The company expects cable spending to moderate for the remainder of fiscal 2020 after a strong start [18] - Management acknowledged potential impacts from the coronavirus situation in China but indicated that current forecasts account for these factors [32][35] Other Important Information - The company repurchased approximately $9.2 million of its stock during the quarter [13] - Guidance for Q3 fiscal 2020 includes expected revenue of approximately $278 million, operating margins of 15.5%, and EPS in the range of $0.13 to $0.15 [14] Q&A Session Summary Question: Geographic trends and performance - Management noted strong performance in North America and Europe, while Asia experienced a decline due to timing of major orders [26][29] Question: Impact of coronavirus on guidance - Management confirmed that current guidance includes potential impacts from the coronavirus, with limited exposure to service provider instrumentation in China [31][34] Question: OSP business trajectory - Management indicated that the core OSP business is expected to average about $50 million per quarter for fiscal 2020, with some redesigns anticipated in the second half [39][41] Question: SE business performance - SE revenue growth was attributed to improved demand in Data Center and Growth Assurance products, with expectations for stabilization in fiscal 2020 [43][45] Question: 400G upgrade market outlook - Management expects robust demand for 400G production equipment to continue throughout the year [50] Question: 5G deployment confidence - Management remains conservative about the speed of 5G deployment, emphasizing the complexity and scale of the rollout [78] Question: 3D sensing settlements - Management discussed settlements related to optical filter patents and the potential for increased test measurement sales [82]

VI.AVI | --- | --- | --- | |------------------------------------------------------|-------|-------| | | | | | | | | | | | | | | | | | Fiscal 2Q 2020 Earnings Call Supplementary Slides | | | | February 4, 2020 | | | Cautionary Language Concerning Forward-Looking Statements This presentation contains forward-looking statements under Section 27A of the Securities Act of 1934. Forward-looking statements are all statements we make other than those dealing specifically with historical matters. These forward-looki ...

Financial Performance & Targets - VIAVI's FY19 revenue reached $1.13 billion, exceeding the initial guidance of $805 million - $875 million[8] - Non-GAAP EPS for FY19 was $0.68, surpassing the guidance of $0.45 - $0.55[17] - The company projects FY22 revenue between $1.2 billion and $1.3 billion, representing a CAGR of 2%-5% from FY19[57] - VIAVI anticipates FY22 operating profit between $230 million and $270 million, with a CAGR of 5%-11% from FY19[57] - The company forecasts FY22 EPS between $0.80 and $0.90, indicating a CAGR of 6%-10% from FY19[57] Segment Performance & Outlook - NSE (Network & Service Enablement) revenue is expected to grow at a CAGR of 2%-5% from FY19 to FY22[57] - OSP (Optical Security and Performance Products) revenue is also projected to grow at a CAGR of 2%-5% from FY19 to FY22[57] - NSE's operating margin is anticipated to be between 13.5% and 14.5% in FY22[57] - OSP's operating margin is projected to be between 35% and 37% in FY22[57] Strategic Initiatives & Investments - The company invested approximately $700 million in R&D and CAPEX, and around $630 million in M&A from FY16 to FY19[46] - VIAVI aims to leverage secular trends like "Fiber Everywhere" and 5G to drive growth and expand its total addressable market (TAM)[26] - A key growth driver for OSP is 3D sensing technology adoption in consumer, automotive, and industrial applications[26]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 28, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 000-22874 Viavi Solutions Inc. (Exact name of Registrant as specified in its charter) Delaware 94-2579683 (I.R.S. Employer Ident ...

VI.AVI | --- | --- | --- | |------------------------------------------------------|-------|-------| | | | | | | | | | | | | | | | | | Fiscal 1Q 2020 Earnings Call Supplementary Slides | | | | October 30, 2019 | | | Cautionary Language Concerning Forward-Looking Statements This presentation contains forward-looking statements under Section 27A of the Securities Act of 1934. Forward-looking statements are all statements we make other than those dealing specifically with historical matters. These forward-looki ...

Viavi Solutions Inc. (NASDAQ:VIAV) Q1 2020 Earnings Conference Call October 30, 2019 4:30 PM ET Company Participants Bill Ong - Head of IR Amar Maletira - CFO Oleg Khaykin - President & CEO Conference Call Participants Alex Henderson - Needham Samik Chatterjee - JPMorgan John Marchetti - Stifel Tim Savageaux - Northland Capital Markets Michael Genovese - MKM Partners Richard Shannon - Craig-Hallum Meta Marshall - Morgan Stanley Operator Ladies and gentlemen, thank you for standing by, and welcome to the Via ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended June 29, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 000-22874 Viavi Solutions Inc. (Exact name of Registrant as specified in its charter) (State or other jurisdiction of incorporation or organ ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 30, 2019 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 000-22874 Viavi Solutions Inc. (Exact name of Registrant as specified in its charter) Delaware 94-2579683 (I.R.S. Employer Identifi ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended December 29, 2018 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 0-22874 Viavi Solutions Inc. (Exact name of Registrant as specified in its charter) (State or other jurisdiction of incorporatio ...