Ciena’s fiscal Q2 results topped estimates, but shares fell on weaker-than-expected forward guidance and outlook concerns.
Ciena Corporation (NYSE:CIEN) reported fiscal second-quarter adjusted earnings per share of $1.64, surpassing analyst estimates of $1.46. Revenue reached $1.57 billion, up 40% year-over-year and above the $1.50 billion consensus. Adjusted gross margin improved to 44.9% from 41.0% in the prior-year quarter.
The company raised its fiscal 2026 revenue outlook to $6.3 billion, plus or minus $100 million, from a prior $6.18 billion. However, third-quarter revenue guidance of $1.625 billion, plus or minus $50 million, fell short of elevated expectations. Optical Networking revenue led segment growth, rising to $1.1 billion from $773.6 million a year earlier.
Shares slid approximately 19% following the announcement, reflecting investor concerns over the guidance and broader market sentiment.