Light Reading
Q4 results include the first GAAP profit since the heady days of 2001

Ciena Uncorks a Profit

Craig Matsumoto
News Analysis
Craig Matsumoto
12/14/2006
50%
50%

Time to break out the champagne at Ciena Corp. (NYSE: CIEN), as the company this morning reported its first real-and-for-true profitable quarter in five years.

The news sent Ciena's stock up $2.35 (9.4%) to $27.30 by midday.

For its fourth quarter, which ended Oct. 31, Ciena reported GAAP net income of $13.1 million, or 14 cents per share, on revenues of $160 million, compared with losses of $4.3 million, 1 cent per share, on revenues of $152.5 million in the third quarter.

That's a long way from Ciena's fourth quarter a year ago: losses of $252.9 million, $3.06 per share, on revenues of $152.5 million. So, be understanding if Ciena staff answer the phones today with a loud "Yeee-HAAA!"

The quarter was even enough to push fiscal 2006 into the black, just barely: $595,000 in GAAP net income, zero cents per share. It's Ciena's first profitable year since 2000.

Ciena's pro forma fourth-quarter profits of 16 cents per share beat out analysts' estimates of 12 cents, according to Reuters Research .

As measured by generally accepted accounting principles (GAAP), this was Ciena's first profitable quarter since July 2001, when it reported $5.7 million in net income -- or $58 million if you exclude special charges. (See Ciena's Day of Reckoning.)

But after that, the door slammed hard. Ciena's October 2001 earnings included a $1.8 billion loss, as the telecom market soured and the goodwill from the $1.1 billion Cyras Systems acquisition evaporated. (See Ciena Casts Cloud Over 2002.)

For its first quarter of 2007, which ends in January, Ciena is predicting revenue growth in the low single digits. That jibes with analyst predictions of $162.3 million, as tallied by Reuters.

— Craig Matsumoto, Senior Editor, Light Reading

(2)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
Pete Baldwin
50%
50%
Pete Baldwin,
User Rank: Light Beer
12/5/2012 | 3:32:26 AM
re: Ciena Uncorks a Profit
After all it's been through, Ciena is still an optical company: $118.9M (74% of total revenue) in Q4, including $54.7 M of that going to core transport.

I keep wanting to pin Ciena's revival on the CN 4200, but the numbers just aren't there: '4200 revenues were $22.7M in the quarter (14%), up from $11.5M the last quarter.

materialgirl
50%
50%
materialgirl,
User Rank: Light Beer
12/5/2012 | 3:32:21 AM
re: Ciena Uncorks a Profit
Isn't the 4200 from a company CIEN bought then fired the engineers? How do they do sustaining engineering on a product like that? Who would buy a network element with no sustaining engineering?
Flash Poll
From The Founder
It's clear to me that the communications industry is divided into two types of people, and only one is living in the real world.
LRTV Interviews
CenturyLink: Building the Case for NFV

12|19|14   |   02:14   |   (0) comments


At the 2020 Vision Executive Summit, James Feger, VP, Network Strategy & Development at CenturyLink, talks about how the US operator is approaching virtual network functions from an operational and business case perspective.
LRTV Interviews
Liberty Global Sees Business Goldmine

12|18|14   |     |   (0) comments


Steen Sorensen, VP of business services for Liberty Global, explains where the giant international MSO sees growth potential.
LRTV Documentaries
EE: The Road to 5G

12|16|14   |   16:02   |   (1) comment


Andy Sutton, the principal network architect at UK mobile operator EE, explains how his company is using Wembley stadium as a wireless test bed and how that's helping EE to plan the evolution to 5G.
LRTV Huawei Video Resource Center
Highlights of Huawei's NFV Open Cloud Forum 2014

12|16|14   |     |   (0) comments


Huawei hosted its inaugural NFV Open Cloud Forum during the SDN & OpenFlow World Congress 2014 in Düsseldorf, Germany. The Forum brought together technology thought leaders, senior executives and telecom professionals from global carriers, industry associations, as well as other partner companies in the ecosystem, to exchange views on and collectively explore how ...
LRTV Custom TV
Realizing Operators' Digital Vision

12|16|14   |   5:23   |   (0) comments


Leveraging technology is fundamental to digital transformation but understanding customers and serving them really well is at the heart of digital businesses. TM Forum lists the following as the strategic pillars of the digital business: business agility and rapid innovation, operational agility and effectiveness, IT and data centricity, plus customer centricity. ...
LRTV Documentaries
US Cellular Injects Analytics Into LTE

12|16|14   |   2:57   |   (1) comment


US Cellular's Mario Vela explains how the operator uses analytics for network planning and what comes next as the carrier looks to eke more value out of its metrics.
LRTV Interviews
How Cox Biz Plans to Keep Growing

12|15|14   |     |   (2) comments


Steve Rowley, SVP of Cox Business, details how the third-biggest US MSO intends to boost its revenues to $2 billion and beyond over the rest of the decade
LRTV Huawei Video Resource Center
Interview With Bill Zhang, Director of SoftCOM Product Management, Huawei

12|15|14   |   2:50   |   (0) comments


Bill Zhang elaborated on Huawei's open philosophy in NFV solution development and network architecture design at the SDN & OpenFlow World Congress 2014.
LRTV Huawei Video Resource Center
Event Highlights: Huawei at SDN & OpenFlow World Congress 2014

12|15|14   |   3:43   |   (0) comments


Huawei joined the 2014 SDN & OpenFlow Congress as one of the key sponsors and contributors. At the event, Huawei reinforced the openness and flexibility of its network infrastructure strategies, and provided updates on its SDN and NVF innovations. Through participations at the exhibitions, forums and speeches, Huawei encouraged the industry to "think bigger and ...
LRTV Interviews
How Cable Biz Services Hit $10B Mark

12|12|14   |     |   (1) comment


Cable operators reached $10 billion in annual business services revenues by delving deeper into their vertical markets and expanding beyond the smallest firms.
LRTV Documentaries
Mediacom Aims to Test Connected Tractors

12|11|14   |   05:07   |   (3) comments


Cable business service provider is taking its services to the 'agribusiness' sector in partnership with farm equipment specialist John Deere and is getting involved in Gigabit Cities developments.
LRTV Interviews
TWC Business Looks Beyond $3B

12|10|14   |     |   (0) comments


TWC Business Services chief Phil Meeks explains how his unit has reached $3 billion in annual revenues and what its plans are for next year.
Upcoming Live Events
February 10, 2015, The Westin Peachtree Plaza, Atlanta, GA
March 17, 2015, The Cable Center, Denver, CO
April 14, 2015, The Westin Times Square, New York City, NY
May 6, 2015, McCormick Convention Center, Chicago, IL
May 13-14, 2015, The Westin Peachtree, Atlanta, GA
June 9-10, 2015, Chicago, IL
Hot Topics
T-Mobile, BlackBerry Flirt With Reuniting
Sarah Reedy, Senior Editor, 12/17/2014
1-Gig: Coming to a Small Town Near You
Jason Meyers, Senior Editor, Gigabit Cities/IoT, 12/17/2014
Comcast Launches 4K Streaming Service
Alan Breznick, Cable/Video Practice Leader, 12/18/2014
US Carriers, You're Going to Cuba!
Mitch Wagner, West Coast Bureau Chief, Light Reading, 12/18/2014
T-Mobile Lights Up 27 Wideband LTE Cities
Sarah Reedy, Senior Editor, 12/15/2014
Like Us on Facebook
Twitter Feed
Webinar Archive