Viavi Solutions (NASDAQ: VIAV) reported Q2 EPS of $0.23, $0.04 better than the analyst estimate of $0.19. Revenue for the quarter came in at $313.7 million versus the consensus estimate of $290.49 million.

• Net revenue of $299.9 million, down $13.8 million or 4.4% year-over-year
• GAAP operating margin of 14.1%, down 20 bps year-over-year
• Non-GAAP operating margin of 22.3%, up 70 bps year-over-year
• GAAP EPS of $0.09, down $0.03 or (25.0)% year-over-year
• Non-GAAP EPS of $0.23, remained relatively flat year-over-year

"Fiscal Q2 delivered better than expected revenue and profitability, exceeding our guidance, with non-GAAP operating margin at 22.3% and non-GAAP EPS at $0.23. OSP experienced stronger than expected demand from both Anti-Counterfeiting and 3D Sensing products. NSE revenue rebounded sequentially, driven by the continued recovery of service provider activities and the continued strength in Lab & Production demand," said Oleg Khaykin, VIAVI's President and Chief Executive Officer. "For Q3, we expect OSP demand to remain unseasonably strong, reflecting stronger demand for 3D Sensing products and especially strong demand for Anti-Counterfeiting products. NSE revenue is expected to be higher year-on-year, driven by continued recovery in Field Instruments demand and continued strength in Lab & Production."

Khaykin added, "Calendar 2021 is expected to be a revenue recovery year driven by the secular demand strength in 5G Wireless, Fiber, 3D Sensing and Anti-Counterfeiting."

GUIDANCE:

Viavi Solutions sees Q3 2021 EPS of $0.16-$0.18, versus the consensus of $0.15. Viavi Solutions sees Q3 2021 revenue of $280-300 million, versus the consensus of $271.94 million.

• For the third quarter of fiscal 2021 ending April 3, 2021, the Company expects net revenue to be between $280 million to $300 million and non-GAAP earnings per share to be between $0.16 and $0.18.

For earnings history and earnings-related data on Viavi Solutions (VIAV) click here.