JDS Uniphase Corporation (NASDAQ:JDSU) turned to a fiscal Q3 loss as the broadband-products maker saw a decline in sales in its core test-and-measurement and communications-and-optical-products units.
Chief Executive Tom Waechter commented that the company saw lower than anticipated revenue in the quarter because of later than projected carrier orders and global macro-economic uncertainty. He further stated that the firm saw operating margins at the higher end of forecasts.
For the existing quarter, the firm is targeting sales of $415 million to $435 million, missing consensus forecast of analysts surveyed by Thomson Reuters, who freshly projected sales of $457 million.
Shares dropped 4.5% in after-hours trading at $11.50. Through Wednesday’s settlement, the stock rose 15% up to now this year.
JDS Uniphase Corporation manufactures products for telecommunications firms, cable operators and network-equipment manufacturers. The firm enjoyed a streak of soaring profits previous year before stumbling in latest quarters, on special charges and falling sales.
For the quarter closed March 31, JDS Uniphase posted a loss of $17.4 million, or 8 cents per share, as compared to a year-ago profit of $38.6 million, or 16 cents per share. Exclusive of special objects like stock-based compensation and acquisition-related impacts, earnings dropped to 11 cents against 22 cents.
Analysts surveyed by Thomson Reuters had recently projected per-share earnings of 11 cents per share.
Revenue dropped 9.9% to $409.2 million. The firm in February had seen sales of $410 million to $425 million, in line with Wall Street forecasts at the time.
Gross margin dropped to 44.9% against 47.1%.
Revenue from the test and measurement segment dropped 6%. Revenue from the communications and commercial optical products division, which is involved in telecom and cable television, declined 17%.
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