Yesterday, after market close, JDS Uniphase Corp. (JDSU) declared its fourth quarter of fiscal 2010 financial results. On a GAAP basis, quarterly net income was $1.5 million or an income of 1 cent per share compared with a net loss of $63.6 million or a loss of 29 cents per share in the year-ago quarter. However, quarterly adjusted (excluding special items) EPS was 9 cents, a penny short of the Zacks Consensus Estimate of 10 cents.
In the after market trade on NASDAQ, stock price of JDS Uniphase Corp. was down by 30 cents (2.96%) to $9.92.
Quarterly net revenue was $390.9 million, falls below the Zacks Consensus Estimate of $397 million. However, fourth quarter of fiscal 2010 revenue was an improvement of 43.1% year over year. This was primarily due to healthy demand for the company’s optical networking equipments together with the acquisition of the Network Solutions Division of Agilent Technologies Inc., (A) which contributed $15.7 million.
Gross margin, in the reported quarter was 40.9% compared with 37.1% in the year-ago quarter. In the same quarter, operating expenses were $163 million, up 1% from the prior-year quarter. EBITDA in the fourth quarter of fiscal 2010 was $32.3 million compared with a negative (27.3) million in the prior-year quarter.
At the end of fiscal 2010, JDS Uniphase had $572.7 million of cash & marketable securities and $267.3 million of outstanding debt on its balance sheet compared with $700.3 million of cash & marketable securities and $251.1 million of outstanding debt on its balance sheet at the end of fiscal 2009.
At the end of fiscal 2010, debt-to-capitalization ratio was 0.23 compared with 0.21 at the end of fiscal 2009. JDS Uniphase generated $46.9 million of cash from operations in the reported quarter.
Revenue Segments
In the fourth quarter of fiscal 2010, Communications Test and Measurement segment accounted for $186.2 million of revenue, up 40% year over year. Communications and Commercial Optical Products segment accounted for $157.3 million, up 74% year over year. Within this segment, Optical Communications revenue was $134.7 million, up 70% from the prior-year quarter and Commercial Lasers business revenue was $22.6 million, up 98% from the prior-year quarter. Advanced Optical Technologies segment generated the rest $54.6 million revenue, up 8% year over year.
Geographic Segments
In the fourth quarter of fiscal 2010, the Americas segment accounted for 49% of total revenue, the European segment accounted for 26%, and the rest 25% was generated from the Asia-Pacific region.
Future Financial Outlook
For the first quarter of fiscal 2011, management is expecting that the company’s non-GAAP revenue will be within the range of $410 million to $425 million.
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