Yesterday, after the closing bell,
JDS Uniphase Corp.
) declared disappointing financial results for the third quarter
of fiscal 2013, missing both the top and bottom line of the Zacks
Consensus Estimate. Management cited lower-than-expected capital
expenditure by telecom carriers is the primary reason for this
Quarterly net revenues were $405.3 million, up 0.5% year over
year but below the Zacks Consensus Estimate of $418 million. On a
GAAP basis, quarterly net loss from continuing operations was $28
million or a loss of 12 cents per share compared with a net loss
of $16.2 million or 7 cents per share in the year-ago quarter.
However, quarterly adjusted (excluding special items) earnings
per share were 4 cents, missing the Zacks Consensus Estimate of 6
Adjusted gross margin in the reported quarter was 45.9%
compared with 45.6% in the year-ago quarter. In the reported
quarter, operating expenses were $176.6 million, down 1.4% year
over year. Quarterly adjusted operating margin was 6.8% compared
with 7.2% in the year-ago quarter. Quarterly adjusted EBITDA was
$44.6 million compared with $46.8 million in the year-ago
At the end of the third quarter of fiscal 2013, JDS Uniphase
had $608.1 million of cash & marketable securities and $159.6
million of outstanding debt on its balance sheet compared with
$921.6 million of cash & marketable securities and $292.8
million of outstanding debt on its balance sheet at the end of
fiscal 2012. JDS Uniphase generated $28.2 million of cash from
operations in the reported quarter.
In the third quarter of fiscal 2013, Communications Test and
Measurement segment accounted for $174.2 million of revenues,
down 2% year over year. Communications and Commercial Optical
Products segment generated $179.2 million, up 3.5% year over
year. Within this segment, Optical Communications revenues were
$152.9 million, up 6.8% year over year and Commercial Lasers
business revenues were $26.3 million, down 12% year over year.
Optical Security and Performance segment generated the remaining
$51.9 million revenues, down 1% year over year.
In the third quarter of fiscal 2013, the Americas segment
accounted for 47.9% of the total revenue, the EMEA segment
generated 23.5% and the remaining 28.6 % came from the
Future Financial Outlook
For the fourth quarter of fiscal 2013, management expects the
company's revenues to be within the range of $420 - $440
Other Stocks to Consider
Currently, JDS Uniphasehas a Zacks Rank #3 (Hold). Other
stocks in the industry which are performing well include
NICE Systems Ltd.
). While Corning currently has a Zacks Rank #1 (Strong Buy), both
NICE and Paltronics carry a Zacks Rank #2 (Buy).
CORNING INC (GLW): Free Stock Analysis Report
JDS UNIPHASE CP (JDSU): Free Stock Analysis
NICE SYSTEM-ADR (NICE): Free Stock Analysis
PLANTRONICS INC (PLT): Free Stock Analysis
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