Shares of Ciena (NYSE: CIEN) have been up 15% as of midday EDT Thursday after the telecommunications networking and software program specialist introduced sturdy outcomes for its fiscal third quarter 2023 (ended July 29, 2023).
Quarterly income climbed 23% yr over yr to $1.068 billion, translating to adjusted (non-GAAP) internet revenue of $89.1 million, or $0.59 per share. Analysts, on common, have been anticipating adjusted earnings of solely $0.51 per share on income of $1.04 billion.
Ciena additionally achieved typically accepted accounting ideas (GAAP) profitability in the course of the quarter, with GAAP internet revenue of $29.7 million, or $0.20 per share — up from $0.07 per share in the identical year-ago interval. The corporate additionally repurchased 1.4 million shares in the course of the quarter for $61.2 million, a median value of round $43.71 per share. For perspective, the inventory at present trades round $49.60 per share as of this writing.
Ciena CEO Gary Smith referred to as it an “glorious” quarter “with energy throughout all areas,” including: “We’re inspired by elevated buyer exercise that, when mixed with our elevated backlog, market management, and increasing addressable market, we consider will drive development and market share features going ahead.”
Throughout the subsequent convention name with analysts, Ciena administration elevated their full fiscal-year outlook to name for income development of 20% to 22% (up from 16% to 18%). It additionally reiterated earlier steerage for full-year gross margin starting from 42% to 44%.
Ultimately, this was a simple beat-and-raise efficiency from Ciena. The main telecom inventory is responding in type.
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