Companies /Technology

Viavi Solutions Inc

NASDAQ: VIAV Communication Equipment
$47.10
▲ $2.32 (+5.18%) today
Markets closed · 12:34pm ET

Q1 2026 Earnings

Reported Oct 29, 2025, 4:17pm ET · SEC source
$0.15
Beat +14.24%
EPS · est. $0.13
$299.1M
Beat +1.61%
Revenue · est. $294.4M
+2.4%
Beating market
VIAV vs S&P since report
8 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−7%0+7%Oct 29Oct 30report 4:17pm ETearnings−0.4%+9.6%
−7%0+7%Oct 29Oct 30earnings−0.4%+9.6%
VIAV +9.6%S&P 500 −0.4%
−7%0+7%Oct 29Oct 30report 4:17pm ETearnings−0.3%+9.6%
−7%0+7%Oct 29Oct 30earnings−0.3%+9.6%
VIAV +9.6%NASDAQ −0.3%
−8%0+8%+16%Oct 28Nov 6report 4:17pm ETearnings−2.1%+15.9%
−8%0+8%+16%Oct 28Nov 6earnings−2.1%+15.9%
VIAV +15.9%S&P 500 −2.1%
−8%0+8%+16%Oct 28Nov 6report 4:17pm ETearnings−3.4%+15.9%
−8%0+8%+16%Oct 28Nov 6earnings−3.4%+15.9%
VIAV +15.9%NASDAQ −3.4%
+22.32%
Day of report
+3.51%
Next session
+2.57%
One week
+2.69%
30 days

S&P 500 over the same 30 days: +0.25%.

Did VIAV Beat Earnings? Q1 2026 Results

VIAVI Solutions posted a stronger-than-expected fiscal first quarter of 2026, with revenue climbing 25.6% year-over-year to $299.10 million against a consensus estimate of $294.35 million, while non-GAAP EPS of $0.15 beat the $0.13 analyst estimate by 14.24%, reflecting a 150% improvement from the year-ago quarter's $0.06. The standout driver was the Network and Service Enablement segment, which generated $216.00 million in revenue, up 35.5% year-over-year, fueled by surging demand from data center and aerospace and defense customers, and swung from an operating loss to $16.30 million in operating income. Non-GAAP operating income nearly doubled to $47.10 million, yielding a 15.7% margin. The strong results arrive alongside the company's completion of its $425 million debt-financed acquisition of Spirent product lines from Keysight, a deal that drew a credit rating downgrade but is expected to add roughly $180 million in annual revenue. Management guided Q2 FY2026 revenue of $360 million to $370 million and non-GAAP EPS of $0.18 to $0.20, signaling continued momentum ahead.

Key Takeaways
  • Strong demand from data center ecosystem customers
  • Strong demand from aerospace and defense customers
  • Network and Service Enablement segment revenue up 35.5% year-over-year
  • Non-GAAP operating margin expanded 570 basis points year-over-year to 15.7%

“VIAVI's first quarter financial performance has exceeded our expectations. Strong demand from the data center ecosystem and aerospace & defense customers was the primary driver behind our strong performance. We expect the strong momentum in these end markets to continue through the fiscal year. Additionally, the acquisition of highly complementary Spirent product lines from Keysight is expected to further strengthen our position in the data center ecosystem and significantly increase our business footprint in this high growth market segment.”

Viavi Solutions CEO, on the earnings call

Forward Guidance & Outlook

For Q2 FY2026 ending December 27, 2025, VIAVI expects net revenue between $360 million and $370 million and non-GAAP EPS between $0.18 and $0.20. Management expects strong momentum in data center ecosystem and aerospace & defense end markets to continue through the fiscal year. The acquisition of Spirent product lines from Keysight is expected to further strengthen the company's data center position and significantly increase its business footprint in this high-growth market segment.

VIAV YoY Financials

Q1 2026 vs Q1 2025 · SEC filings Q1 2025 Q1 2026
$0$90.0M$180.0M$270.0M$238.2M$299.1MRevenue$135.0M$169.0MGross Profit$7.3M$7.6MOperating Income
$0$90.0M$180.0M$270.0MRevenueGross ProfitOperating Income

VIAV Revenue by Segment

Network and Service Enablement
Network Enablement$216.0M+35.5%
Optical Security and Performance Products$83.1M+5.5%
Service Enablement

VIAV Revenue by Geography

Americas$128.9M+45.5%
Asia Pacific$92.1M+7.1%
EMEA$78.1M+22.7%

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