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Viavi Solutions (VIAV) Q2 Report – 6.4% Revenue Increase

Viavi Solutions Inc. has recently released its 10-Q report, revealing a detailed look at the company's financial performance and operations. The company, formerly known as JDS Uniphase Corporation, provides network test, monitoring, and assurance solutions for communications service providers, hyperscalers, network equipment manufacturers, original equipment manufacturers, government, and avionics customers across the Americas, Asia-Pacific, Europe, the Middle East, and Africa. Viavi operates through three segments: Network Enablement (NE), Service Enablement (SE), and Optical Security and Performance Products (OSP).

In the second quarter of fiscal 2025, Viavi Solutions reported net revenue of $270.8 million, marking a 6.4% increase year-over-year. The company's GAAP operating margin was 8.2%, down 60 basis points from the previous year, while its non-GAAP operating margin reached 14.9%, up 170 basis points year-over-year. Additionally, Viavi's GAAP net income was $9.1 million, down 15% year-over-year, whereas non-GAAP net income increased by 24.1% to $29.4 million. The company's GAAP diluted earnings per share (EPS) stood at $0.04, a 20% decrease from the previous year, while non-GAAP diluted EPS increased by 18.2% to $0.13.

Viavi Solutions provided a reconciliation of GAAP financial measures to non-GAAP financial measures, offering insight into its adjusted operating income, operating margin, net income, and EPS. The company also highlighted the use of non-GAAP financial measures to evaluate its historical and prospective financial performance, as well as its performance relative to its competitors.

The 10-Q report also included a summary of the results of operations for the current period, indicating that Viavi's Network Enablement segment saw a 15.1% increase in net revenue, while the Service Enablement and Optical Security and Performance Products segments experienced decreases of 13.3% and 5.3%, respectively.

Following these announcements, the company's shares moved 20.5%, and are now trading at a price of $12.04. If you want to know more, read the company's complete 10-Q report here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

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