Ciena (Nasdaq: CIEN) as expected reported a fiscal Q1 2012 loss with revenue of $416.7 million for the three months to the end of January 2012, slightly missing analyst expectations.
In February, the vendor forecast preliminary revenue results of $415 million, lower than its previous forecast of $435 to $455 million.
For the quarter, it reported a net loss of $47.7 million, which was lower than the $79.1 million, or 84 cents per common share, it reported in Q1 2011.
"Our first quarter revenue reflects the combined effects of seasonality and longer customer deployment and revenue recognition cycles as a result of our greater mix of international and solutions-oriented sales," said Gary Smith, president and CEO of Ciena in the earnings release.
A big contributor to Ciena's Q1 loss was slower spending by AT&T (NYSE: T), one of its key domestic U.S. customers, in Q3 2011.
Despite the disappointing Q1 results, Ciena remains confident it will see an uptick in Carrier Ethernet equipment sales in Q2. This outlook drove up the company's shares 9 percent to $14.57 on the Nasdaq.
The vendor has forecast Q2 2012 revenues of $435-$460 million. Financial analysts polled by Thomson Reuters I/B/E/S expect revenues of $449.1 million.
Smith said that they "expect sequential revenue growth in the fiscal second quarter, and we anticipate that our operating results for the second half of fiscal 2012 will be stronger than the first half."
- see the release
- Reuters has this article
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