Network specialist Ciena Corp. (CIEN) Thursday said second-quarter loss narrowed from the prior year, as revenue improved with the company's expanding role and reach in the industry. Both adjusted earnings and revenues topped Wall Street estimates. The stock surged 13 percent in pre-market trading.
Net loss for the quarter was $10.2 million, or $0.10 per common share compared with $27.1 million, or $0.27 per common share loss in the previous year.
On adjusted basis, the company reported earnings of $19.4 million, or $0.17 per common share, while it totaled $2.2 million, or $0.02 per common share for the fiscal second quarter 2013.
On average, 21 analysts polled by Thomson Reuters expected earnings per share of $0.13 for the quarter. Analysts' estimates typically exclude one-time items.
Revenue increased to $560.0 million from $507.7 million in the same quarter last year. Analysts estimated revenues of $559.18 million.
Gary Smith, president and CEO, Ciena, said, "As a direct result of our expanding role and reach in the industry, we delivered strong financial results in both our second quarter and first half of fiscal 2014, including continued revenue growth and increased operating leverage."
Segment-wise, Converged Packet Optical revenues climbed to $356.8 million from $294.3 million.
Ciena noted that non-U.S. customers contributed 42 percent of total revenue, and that one customer accounted for more than 10 percent of revenue and represented 21.5 percent of total revenue.
Smith added that due to the continued shift toward on-demand networking models and as the firm continue to diversify its business, Ciena expects to deliver steadily improving financial performance, including performance in the second half of the year that is stronger than the first half.
Ciena expects fiscal third-quarter revenue in the range of $585 million to $615 million. Analysts project $583.31 million in revenues.
CIEN, which closed up around 1 percent on Wednesday at $18.99, surged 12.95 percent in pre-market trading.
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