Companies /Technology

Viavi Solutions Inc

NASDAQ: VIAV Communication Equipment
$47.10
▲ $2.32 (+5.18%) today
Markets closed · 2:37pm ET

Q2 2025 Earnings

Reported Jan 30, 2025, 4:05pm ET · SEC source
$0.13
Beat +30.13%
EPS · est. $0.10
$270.8M
Beat +4.16%
Revenue · est. $260.0M
−3.1%
Trailing market
VIAV vs S&P since report
8 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−8%0+8%+16%Jan 30Jan 31report 4:05pm ETearnings−1.0%+10.1%
−8%0+8%+16%Jan 30Jan 31earnings−1.0%+10.1%
VIAV +10.1%S&P 500 −1.0%
−8%0+8%+16%Jan 30Jan 31report 4:05pm ETearnings−0.8%+10.1%
−8%0+8%+16%Jan 30Jan 31earnings−0.8%+10.1%
VIAV +10.1%NASDAQ −0.8%
−8%0+8%Jan 29Feb 7report 4:05pm ETearnings−0.6%+8.5%
−8%0+8%Jan 29Feb 7earnings−0.6%+8.5%
VIAV +8.5%S&P 500 −0.6%
−8%0+8%Jan 29Feb 7report 4:05pm ETearnings−0.0%+8.5%
−8%0+8%Jan 29Feb 7earnings−0.0%+8.5%
VIAV +8.5%NASDAQ −0.0%
+20.52%
Day of report
+2.41%
Next session
+3.49%
One week
−6.23%
30 days

S&P 500 over the same 30 days: −3.12%.

Did VIAV Beat Earnings? Q2 2025 Results

Viavi Solutions delivered a strong second quarter of fiscal 2025, beating Wall Street expectations on both the top and bottom lines as a recovery in service provider demand lifted results well above forecasts. The company posted revenue of $270.80 million, up 6.4% year-over-year and ahead of the $260.00 million consensus estimate by 4.16%, while non-GAAP EPS of $0.13 cleared the $0.10 consensus by 30.13%. The primary driver was a resurgent Network Enablement segment, where revenue climbed 15.1% year-over-year to $179.00 million, reflecting improving conditions in service provider end markets that had weighed on the business in prior periods. Non-GAAP operating margin expanded 170 basis points to 14.9%, and adjusted EBITDA rose to $50.10 million from $43.00 million a year ago, underscoring the operational leverage in the recovery. Looking ahead, management guided Q3 revenue of $276.00 million to $288.00 million and non-GAAP EPS of $0.10 to $0.13, pointing to continued momentum as the company also diversifies into data center and aerospace and defense markets.

Key Takeaways
  • Recovering NSE demand, particularly in Network Enablement segment
  • Service provider end market recovery
  • Non-GAAP operating margin expansion of 170 bps year-over-year
  • Strong operating cash flow generation of $44.7 million

“VIAVI's financial performance exceeded expectations, largely driven by recovering NSE demand. We expect that the recovery in our traditional service provider end markets together with our diversification and growth opportunities in new end markets such as the data center ecosystem and aerospace and defense applications will position us favorably for a long term growth cycle.”

Viavi Solutions CEO, on the earnings call

Forward Guidance & Outlook

For Q3 fiscal 2025 ending March 29, 2025, VIAVI expects net revenue between $276 million and $288 million, and non-GAAP EPS between $0.10 and $0.13. Management expects recovery in traditional service provider end markets, combined with diversification into data center ecosystem and aerospace/defense applications, to position the company favorably for a long-term growth cycle.

VIAV YoY Financials

Q2 2025 vs Q2 2024 · SEC filings Q2 2024 Q2 2025
$0$80.0M$160.0M$240.0M$254.5M$270.8MRevenue$146.8M$160.8MGross Profit$16.4M$22.2MOperating Income$10.7M$9.1MNet Income
$0$80.0M$160.0M$240.0MRevenueGross ProfitOperating IncomeNet Income

VIAV Revenue by Segment

Network and Service Enablement
Network Enablement$179.0M+15.1%
Optical Security and Performance Products$70.9M−5.3%
Service Enablement$20.9M−13.3%

VIAV Revenue by Geography

Americas
Asia Pacific
EMEA

Figures from SEC filings and company reports. Not investment advice.