[Q3 FY2025 Financial Highlights](index=1&type=section&id=VIAVI%20Announces%20Third%20Quarter%20Fiscal%202025%20Results) [Third Quarter Fiscal 2025 Performance Summary](index=1&type=section&id=Financial%20Overview) VIAVI reported strong Q3 FY2025 results, with significant year-over-year growth across key metrics, including net revenue increasing by **15.8%** to **$284.8 million** and non-GAAP EPS growing **150.0%** to **$0.15** - CEO Oleg Khaykin attributed the strong results to strength in both Network and Service Enablement (NSE) and Optical Security and Performance (OSP) segments, expressing optimism about continued recovery and growth in end markets[3](index=3&type=chunk) Q3 FY2025 Key Financial Results (GAAP vs. Non-GAAP) | Metric | Q3 FY2025 (GAAP) (in millions) | Q3 FY2024 (GAAP) (in millions) | Y/Y Change (GAAP) | Q3 FY2025 (Non-GAAP) (in millions) | Q3 FY2024 (Non-GAAP) (in millions) | Y/Y Change (Non-GAAP) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Net Revenue | $284.8 | $246.0 | +15.8% | $284.8 | $246.0 | +15.8% | | Operating Margin | 3.0% | (4.8)% | +780 bps | 16.7% | 9.3% | +740 bps | | Income from Operations | $8.5 | ($11.9) | +171.4% | $47.7 | $23.0 | +107.4% | | Diluted EPS | $0.09 | ($0.11) | +181.8% | $0.15 | $0.06 | +150.0% | [Segment Performance](index=1&type=section&id=Net%20Revenue%20by%20Segment) The Network Enablement segment was the primary growth driver, with revenue increasing **23.9%** year-over-year to **$188.0 million**, while OSP and Service Enablement segments also saw growth Net Revenue by Segment (in millions) | Segment | Q3 FY2025 (in millions) | Q3 FY2024 (in millions) | Y/Y Change | | :--- | :--- | :--- | :--- | | Network Enablement | $188.0 | $151.7 | +23.9% | | Service Enablement | $20.2 | $18.1 | +11.6% | | Optical Security and Performance Products | $76.6 | $76.2 | +0.5% | | **Total** | **$284.8** | **$246.0** | **+15.8%** | [Other Financial and Operational Details](index=2&type=section&id=Other%20Financial%20Details) As of March 29, 2025, VIAVI held **$400.2 million** in cash and investments, with **$640.9 million** in net debt, and generated **$7.8 million** in operating cash flow - Revenue by geography for Q3 FY2025: - Americas: **38.0%** - Asia-Pacific: **35.4%** - EMEA: **26.6%**[11](index=11&type=chunk) - As of March 29, 2025, the company held **$400.2 million** in total cash, short-term investments, and short-term restricted cash[11](index=11&type=chunk) - Total net carrying value of debt, including 1.625% and 3.75% Senior Notes, was **$640.9 million**[11](index=11&type=chunk) - The company generated **$7.8 million** in cash flows from operations during the third fiscal quarter[11](index=11&type=chunk) [Business Outlook](index=2&type=section&id=Business%20Outlook%20for%20the%20Fourth%20Quarter%20of%20Fiscal%202025) [Fourth Quarter Fiscal 2025 Guidance](index=2&type=section&id=Fourth%20Quarter%20of%20Fiscal%202025%20Guidance) For Q4 FY2025, VIAVI anticipates net revenue between **$278 million** and **$290 million**, with non-GAAP earnings per share projected to be between **$0.10** and **$0.13** Q4 FY2025 Guidance | Metric | Expected Range | | :--- | :--- | | Net Revenue | $278 million - $290 million | | Non-GAAP EPS | $0.10 - $0.13 | - The company has not provided a reconciliation to GAAP EPS guidance due to the difficulty in forecasting certain reconciling items, such as restructuring and acquisition-related charges[7](index=7&type=chunk) [Financial Statements (Preliminary)](index=3&type=section&id=-SELECTED%20PRELIMINARY%20FINANCIAL%20DATA%20-) [Condensed Consolidated Statements of Operations](index=4&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20OPERATIONS) For Q3 FY2025, VIAVI reported a GAAP net income of **$19.5 million**, or **$0.09** per diluted share, a significant improvement from the prior-year quarter's net loss of **$24.6 million**, driven by higher revenue and a **$16.3 million** tax benefit Statement of Operations Highlights (in millions, except per share data) | Metric | Three Months Ended Mar 29, 2025 (in millions) | Three Months Ended Mar 30, 2024 (in millions) | | :--- | :--- | :--- | | Net revenue | $284.8 | $246.0 | | Gross profit | $160.7 | $137.9 | | Income (loss) from operations | $8.5 | ($11.9) | | Net income (loss) | $19.5 | ($24.6) | | Diluted net income (loss) per share | $0.09 | ($0.11) | [Condensed Consolidated Balance Sheets](index=5&type=section&id=CONDENSED%20CONSOLIDATED%20BALANCE%20SHEETS) As of March 29, 2025, VIAVI's total assets increased to **$1.93 billion** from **$1.74 billion**, primarily due to goodwill and intangible assets, while total liabilities rose to **$1.20 billion** from **$1.05 billion** Balance Sheet Highlights (in millions) | Metric | March 29, 2025 (in millions) | June 29, 2024 (in millions) | | :--- | :--- | :--- | | Total current assets | $835.4 | $876.5 | | Total assets | $1,933.2 | $1,736.3 | | Total current liabilities | $544.7 | $247.1 | | Total liabilities | $1,204.4 | $1,054.7 | | Total stockholders' equity | $728.8 | $681.6 | [Reportable Segment Information](index=6&type=section&id=REPORTABLE%20SEGMENT%20INFORMATION) In Q3 FY2025, the Network and Service Enablement segment reported a GAAP operating income of **$21.7 million**, a significant turnaround, while the Optical Security and Performance Products segment maintained profitability at **$26.0 million** Segment GAAP Operating Income (in millions) | Segment | Q3 FY2025 (in millions) | Q3 FY2024 (in millions) | | :--- | :--- | :--- | | Network and Service Enablement | $21.7 | ($3.1) | | Optical Security and Performance Products | $26.0 | $26.1 | Segment GAAP Gross Margin | Segment | Q3 FY2025 | Q3 FY2024 | | :--- | :--- | :--- | | Network and Service Enablement | 63.1% | 61.4% | | Optical Security and Performance Products | 51.6% | 50.1% | [Non-GAAP Financial Measures](index=7&type=section&id=Use%20of%20Non-GAAP%20(Adjusted)%20Financial%20Measures) [Use of Non-GAAP (Adjusted) Financial Measures](index=7&type=section&id=Explanation%20of%20Non-GAAP%20Measures) VIAVI uses non-GAAP financial measures to provide a clearer view of core operational performance by excluding non-recurring or non-core items - Management uses non-GAAP measures to evaluate historical and prospective financial performance and to understand the company's core operating activities, which are considered ordinary, ongoing, and customary operations[24](index=24&type=chunk) - Key adjustments to derive non-GAAP figures include excluding stock-based compensation, amortization of intangibles, restructuring costs, acquisition-related costs, and certain legal settlements[25](index=25&type=chunk) [Reconciliation of GAAP to Non-GAAP Measures](index=8&type=section&id=RECONCILIATION%20OF%20GAAP%20MEASURES%20FROM%20CONTINUING%20OPERATIONS%20TO%20NON-GAAP%20MEASURES) For Q3 FY2025, non-GAAP operating income was **$47.7 million** versus GAAP operating income of **$8.5 million**, primarily adjusted for acquisition charges, stock-based compensation, and amortization of intangibles Reconciliation of Q3 FY2025 GAAP to Non-GAAP Operating Income (in millions) | Description | Amount (in millions) | | :--- | :--- | | **GAAP operating income** | **$8.5** | | Stock-based compensation | $14.1 | | Acquisition and integration related charges | $13.3 | | Amortization of intangibles | $7.3 | | Change in fair value of contingent liability | $2.5 | | Amortization of inventory step-up | $1.7 | | Other charges | $0.6 | | Restructuring and related (benefits) | ($0.3) | | **Non-GAAP operating income** | **$47.7** | Reconciliation of Q3 FY2025 GAAP to Non-GAAP Net Income (in millions) | Description | Amount (in millions) | | :--- | :--- | | **GAAP net income** | **$19.5** | | Total reconciling items (net) | $14.4 | | **Non-GAAP net income** | **$33.9** | [Reconciliation of GAAP Net Income to Adjusted EBITDA](index=10&type=section&id=RECONCILIATION%20OF%20GAAP%20MEASURES%20FROM%20CONTINUING%20OPERATIONS%20TO%20ADJUSTED%20EBITDA) Adjusted EBITDA for Q3 FY2025 significantly increased to **$57.0 million** from **$32.6 million** in the prior year, derived by adjusting GAAP Net Income for interest, taxes, depreciation, amortization, and other non-core items Reconciliation to Adjusted EBITDA (in millions) | Description | Q3 FY2025 (in millions) | Q3 FY2024 (in millions) | | :--- | :--- | :--- | | **GAAP Net Income (Loss)** | **$19.5** | **($24.6)** | | Interest, Taxes, Depreciation & Amortization | $8.3 | $22.3 | | **EBITDA** | **$25.1** | **$2.7** | | Stock-based compensation | $14.1 | $12.8 | | Acquisition and integration related charges | $13.3 | $0.6 | | Other adjustments | $4.5 | $16.5 | | **Adjusted EBITDA** | **$57.0** | **$32.6** |

Core Viewpoint - VIAVI Solutions reported strong financial results for the third quarter of fiscal 2025, driven by growth in both Network Service Enablement (NSE) and Optical Security and Performance (OSP) segments, with optimism for continued recovery in end markets [3][5]. Financial Overview - Net revenue reached $284.8 million, an increase of $38.8 million or 15.8% year-over-year [5][6]. - GAAP operating margin was 3.0%, up 780 basis points year-over-year, while non-GAAP operating margin was 16.7%, up 740 basis points year-over-year [5][6]. - GAAP net income was $19.5 million, a significant increase of $44.1 million or 179.3% year-over-year [5][6]. - Non-GAAP net income was $33.9 million, up $20.7 million or 156.8% year-over-year [5][6]. - GAAP diluted earnings per share (EPS) was $0.09, up $0.20 or 181.8% year-over-year, while non-GAAP diluted EPS was $0.15, up $0.09 or 150.0% year-over-year [5][6]. Segment Performance - Network Enablement segment generated $188.0 million in revenue, up 23.9% year-over-year [4][5]. - Service Enablement segment revenue was $20.2 million, an increase of 11.6% year-over-year [4][5]. - Optical Security and Performance Products segment revenue was $76.6 million, showing a slight increase of 0.5% year-over-year [4][5]. Cash and Debt Position - As of March 29, 2025, the company held $400.2 million in total cash, short-term investments, and short-term restricted cash [6]. - The company had $250 million in 1.625% Senior Convertible Notes and $400 million in 3.75% Senior Notes, with a total net carrying value of $640.9 million [6]. Business Outlook - For the fourth quarter of fiscal 2025, the company expects net revenue to be between $278 million and $290 million, with non-GAAP EPS projected between $0.10 and $0.13 [8].

Company Overview - VIAVI Solutions Inc. (NASDAQ: VIAV) is a global provider of network test, monitoring, and assurance solutions across various sectors including telecommunications, cloud, enterprises, military, and aerospace [4] Upcoming Financial Results - VIAVI will announce its fiscal third quarter 2025 financial results for the period ended March 29, 2025, on May 1, 2025, after the market closes [1] - An earnings call will be hosted at 1:30 p.m. PT / 4:30 p.m. ET on the same day, with a live webcast available on the VIAVI website [2] Participation Details - Investors can participate in the earnings call via telephone using the toll-free dial-in number 1 (888) 330-2022 or the toll dial-in number 1 (646) 960-0690, with Conference ID 3072689 [3] - A replay of the call will be available from May 1, 2025, at 4:30 p.m. PT until May 8, 2025, at 8:59 p.m. PT [3]

Core Insights - VIAVI Solutions Inc. has expanded its VALOR Lab with a new RF-shielded anechoic chamber and two additional customer labs to enhance its Automated Lab-as-a-Service for Open RAN testing [1][4] - The expansion is funded by the U.S. National Telecommunications and Information Administration (NTIA) Public Wireless Supply Chain Innovation Fund [1] Group 1: Facility Expansion - The new RF chamber is the industry's first test-as-a-service offering for Massive MIMO and beamforming over-the-air (OTA) validation, supporting system-level performance testing for up to 16 parallel spatial layers [2] - The VALOR Lab now offers over 500 test cases compliant with O-RAN WG4, WG5, WG11, TIFG, and 3GPP specifications [3] Group 2: Industry Impact - The expansion addresses the growing demand for Open RAN testing, providing technology vendors with a comprehensive, on-demand test suite throughout the product lifecycle [4] - VALOR serves as a hub for the AI-RAN Alliance, fostering innovation in AI-powered telecommunications [6] Group 3: Collaboration and Certification - VALOR's full suite of O-RAN tests will be available to customers referred by ACCoRD, in collaboration with AT&T and Verizon [6] - It is the first test service authorized by the Telecom Infra Project (TIP) for its system performance certification program [7]

Core Viewpoint - Viavi Solutions Inc. has introduced significant advancements in its ONE LabPro ONE-1600 testing solution, enhancing its capabilities for high-bandwidth network applications, particularly in AI environments [1][7]. Group 1: Product Advancements - The upgraded ONE LabPro platform utilizes Broadcom's latest technology, achieving a data transmission rate of 212G per lane, making it suitable for high-bandwidth network switching devices [1]. - The platform supports configurations up to 102Tb/s of test bandwidth, with options for 64 x 1.6Tb/s or 128 x 800Gb/s test ports, managed by a single controller [3]. - It features a modern web-based user interface and a Python-based automation framework, streamlining the testing process for integrated circuits and network devices [4]. Group 2: Market Demand and Applications - The demand for bandwidth and network scalability is driven by emerging applications such as AI, machine learning, and quantum computing [2]. - Viavi's ONE LabPro platform is designed to facilitate faster adoption of 1.6Tb/s optical connectivity for manufacturers of integrated circuits and transceivers [2]. Group 3: Strategic Collaborations and Future Prospects - Viavi has partnered with Broadcom to enhance its Testbed as a Service (TBaaS) offering, utilizing digital twins for telecom network applications [6]. - The advancements in testing technology are expected to generate incremental demand for Viavi's solutions, potentially leading to higher revenues and improved financial performance [7]. Group 4: Financial Performance - Viavi's stock has increased by 24.2% over the past year, compared to the industry's growth of 30.8% [8].

CHANDLER, Ariz., April 1, 2025 /PRNewswire/ -- Viavi Solutions Inc. (VIAVI) (NASDAQ: VIAV) today announced enhanced performance capabilities for the VIAVI ONE LabPro ONE-1600, the world's first electrical 212G/lane, 1.6Tb/s testing solution that has been proven in labs around the world. Leveraging the latest SerDes and DSP technology from Broadcom, the enhanced ONE LabPro ONE-1600 platform provides a highly advanced test platform for physical layer silicon fully aligned with emerging standards, the ability ...

CHANDLER, Ariz., March 27, 2025 /PRNewswire/ -- Inertial Labs, a VIAVI Solutions Inc. (VIAVI) (NASDAQ: VIAV) Company, today launched its M-AJ-QUATRO anti-jamming antenna system. Equipped with advanced Controlled Reception Pattern Antenna (CRPA) and digital processing technologies, M-AJ-QUATRO establishes Assured Positioning, Navigation, and Timing (A-PNT) in GPS/GNSS-challenged environments ranging from military operations to commercial aviation. Inertial Labs, a VIAVI Solutions Company, Unveils Next-Gen ...

Core Insights - Viavi Solutions, Inc. is showcasing advanced testing solutions for next-generation AI infrastructure at the Optical Fiber Communications Conference in San Francisco [1] - The company is expanding its OneAdvisor product portfolio with the introduction of the 800G Transport Module, enhancing testing capabilities for high-capacity networks [3] - Viavi's product launches are expected to drive long-term benefits as the demand for AI-related infrastructure increases [6] Product Offerings - The mFVU-3000 FlexLight dual-objective connector microscope features 400X magnification and 30X wide field of view, improving inspection efficiency and reducing contamination [1] - The INX 660 probe microscope simplifies fiber inspection with automated features, making it suitable for field applications [2] - New testing solutions for fiber testing in data centers and remote monitoring are being introduced, aimed at supporting AI infrastructure deployment [4] Market Position and Strategy - Viavi's comprehensive product portfolio provides end-to-end network visibility and analytics, supporting the transition to 5G networks [5] - The company is strategically expanding into various markets, including wireless & fiber, optical transport, and broadband access, which is expected to yield long-term benefits [5] - The demand for improved testing products is driven by the acceleration of AI adoption across industries [6] Financial Performance - Viavi's shares have increased by 25.3% over the past year, compared to the industry's growth of 38.9% [7] - The company has delivered an earnings surprise of 158.41% over the trailing four quarters, indicating strong financial performance [9]

Core Insights - VIAVI Solutions Inc. will showcase new test solutions for AI infrastructure at the 2025 Optical Fiber Communications Conference and Exhibition (OFC) from April 1-3 in San Francisco [1][2] Product Highlights - Three new products supporting next-gen AI infrastructure will be displayed for the first time at VIAVI's booth 2319 [2] - The mFVU-3000 FlexLight dual-objective connector microscope offers dual 400X high-resolution magnification and 30X wide field of view, enhancing imaging speed and reducing test times [6] - The 800G Transport Module expands VIAVI's OneAdvisor® 800 platform, providing comprehensive test capabilities for high-capacity networks up to 800G [6] - The INX 660 probe microscope ensures pristine single fiber connections with an automated inspection process [6] Awards and Recognition - VIAVI has received two 2025 Lightwave Innovation Reviews awards in the lab/production test equipment category for its ONE LabPro ONE-1600 1.6T test module and FVAM-2000 benchtop microscope [4] Educational Initiatives - VIAVI will lead a course on optical fiber sensing principles and technology on March 31, and participate in a panel discussion on AI opportunities in the optical networking market on April 2 [3]

Core Insights - Viavi Solutions Inc. has expanded its high-speed test solutions portfolio with the launch of the 800G transport module for the OneAdvisor 800 Transport Platform, positioning itself as a leader in 800G testing solutions [1][8] - The OneAdvisor 800 platform, launched in 2020, is a comprehensive field-ready test tool that supports various network environments, enhancing installation and maintenance efficiency [2][4] - The new 800G transport module addresses the growing demand for high-speed fiber and transport technologies, particularly for AI and machine learning applications [3][8] Product Features - The 800G transport module supports installation and maintenance across various environments, including metro/core and data center interconnects, and can test both traditional and new cable types [4][6] - It is compatible with quad small form-factor pluggable and optical small form-factor pluggable, which are increasingly used in 800G applications [6] - The module can be paired with other Viavi testing tools for enhanced troubleshooting and analysis capabilities [5] Market Position and Prospects - Viavi's comprehensive product portfolio offers end-to-end network visibility and analytics, which is expected to drive revenue growth as the industry transitions to superfast 5G networks [7][8] - The launch of the 800G module is anticipated to generate incremental demand for Viavi's solutions, potentially leading to improved financial performance and stock price appreciation [8] - Viavi's stock has gained 15.3% over the past year, although this is below the industry's growth of 34.4% [9]