Network specialist Ciena Corp. (CIEN) Thursday reported a narrower loss for the second quarter, as revenues improved from the previous year. Adjusted earnings topped Wall Street estimates. Further, the firm said it sees third-quarter revenues above view. The stock is surging nearly 13 percent in pre-market activity.
Gary Smith, CEO of Ciena, said, "We have designed Ciena to take advantage of the fundamental shift in network architecture driven by changing end-user demands, and our strong quarterly and first half of 2013 performance are a direct result of that strategy."
Net loss for the quarter narrowed to $27.08 million or $0.27 per share from $27.78 million or $0.28 per share in the prior-year period.
Adjusted net income was $0.02 per share, while it totaled $0.04 per share in the year ago quarter. On average, 23 analysts polled by Thomson Reuters expected the company to report a loss of $0.01 per share for the quarter. Analysts' estimates typically exclude special items.
Total revenues increased to $507.71 million from $477.62 million. Analysts had a consensus revenue estimate of $483.63 million for the quarter.
According to the company, non-U.S. customers contributed 43 percent of total revenue. Two customers accounted for greater than 10 percent of revenue, representing 31.3 percent of total revenue.
Revenue from products increased over 7 percent to $413.22 million and revenue from Services was slightly higher at $94.5 million.
Segment-wise, Converged Packet Optical revenues rose over 10 percent to $291.4 million and Packet Networking surged 91 percent to $57.1 million.
For the third quarter, the company expects revenue in the range of $515 million to $545 million. Analysts have a consensus revenue estimate of $509.46 million for the third quarter.
The stock, which closed at $16.31 on Wednesday, is surging 12.8 percent in pre-market activity.
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