Slide 1: Earnings Presentation, Period ended January 29, 2022
Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Ciena Corporation Period ended January 29, 2022 March 7, 2022 Earnings Presentation
Slide 2: Forward-looking statements and non-GAAP measures
2Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Forward-looking statements and non-GAAP measures Information in this presentation and related comments of presenters contain a number of forward-looking statements. These statements are based on current expectations,
Slide 3: Overview & recent achievements
3Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Overview & recent achievements
Slide 4: Ciena is an industry-leading global networking systems, services, and software company
4Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Ciena is an industry-leading global networking systems, services, and software company ….. Leading technology and innovation … with a strong track record of creating shareholder value Diversification and scale of busi
Slide 5: Recent key achievements
5Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Recent key achievements • Delivering industry-leading coherent technology including 107GBd WaveLogic™ 5 Extreme (WL5e) and the widest range of interoperable and performance pluggables ▪ Blue Planet revenue has grown a
Slide 6: Market context and our portfolio
6Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Market context and our portfolio
Slide 7: Six mega trends and the innovations that will enable them
7Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Six mega trends and the innovations that will enable them Fiber Deep (Cable/MSO) Cloud Data Center Mobility & 5G IoT & Connected Objects Living a Hybrid Life
Slide 8: Our vision for a new network end-state
8Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Technical and professional services that help customers build, operate, and optimize their networks Predictive analytics and machine learning based on both big data and small data Dynamic pool of virtual and physical
Slide 9: Our market leadership
9Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Our market leadership Optical Transport Report, 4Q21 Optical Networking Report, 3Q21 Data Center Interconnect Market Share Report, 3Q21 Service Provider Switching & Routing Report, 3Q21 Optical Transport Hardware Repo
Slide 10: Q1 FY 2022 results
10Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Q1 FY 2022 results
Slide 11: Q1 FY 2022 key highlights
11Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Q1 FY 2022 key highlights ▪ Non-telco represented 41% of total revenue • Direct web-scale increased 10% YoY and represents 20% of total revenue • MSO increased 68% YoY and represents 10% of total revenue ▪ Routing an
Slide 12: Comparisons (year-over-year)
12Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Q1 FY 2022comparisons (year-over-year) * A reconciliation of these non-GAAP measures to our GAAP results is included in the appendix to this presentation. Revenue (in millions) Adj. Gross Margin* Adj. Operating Margi
Slide 13: Comparative operating metrics
13Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Q1 FY 2022 comparative operating metrics Q1 FY 2022 Q1 FY 2021 Cash and Investments $1.7B $1.3B Cash Used In Operations $(54)M $(7)M DSO 97 93 Inventory Turns 3.3 3.2 Gross Leverage 1.65x 1.10x Net Cash $523.3M $530.
Slide 14: Comparative financial highlights
14Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Q1 FY 2022 comparative financial highlights * A reconciliation of these non-GAAP measures to our GAAP results is included in the press release for the relative period. Q1 FY 2022 Q1 FY 2021 Revenue $844.4M $757.1M Ad
Slide 15: Revenue by segment
15Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Revenue by segment (Amounts in millions) Q1 FY 2022 Q1 FY 2021 Revenue %** Revenue %** Networking Platforms Converged Packet Optical 540.9 64.1 512.3 67.7 Routing and Switching 85.7 10.1 64.3 8.5 Total Networking Pla
Slide 16: Continued revenue strength derived from non-telco customers
16Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Continued revenue strength derived from non-telco customers
Slide 17: Revenue by geographic region
17Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Revenue by geographic region 11% 11% 12% 12% 14% 19% 19% 16% 18% 66% 70% 70% 72% 70% 20%
Slide 18: Appendix
18Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Q1 FY 2022 appendix
Slide 19: Gross Profit Reconciliation
19Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Q1 FY 2022 Q4 FY 2021 Q3 FY 2021 Q2 FY 2021 Q1 FY 2021 GAAP gross profit $384,187 $477,119 $474,550 $412,419 $357,891 Share-based compensation-products 900 920 1,037 498 953 Share-based compensation-services 1,584 1,
Slide 20: Operating expense reconciliation
20Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Q1 FY 2022 Q4 FY 2021 Q3 FY 2021 Q2 FY 2021 Q1 FY 2021 GAAP operating expense $324,183 $339,710 $326,027 $278,790 $282,096 Share-based compensation-research and development 6,830 5,684 5,541 5,844 4,794 Share-based c
Slide 21: Adjusted net income reconciliation
21Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Q1 FY 2022 Q4 FY 2021 Q3 FY 2021 Q2 FY 2021 Q1 FY 2021 GAAP net income $45,823 $103,499 $238,232 $103,117 $55,348 Exclude GAAP provision (benefit) for income taxes 9,219 25,826 (96,690) 21,453 11,966 Income before in
Slide 22: Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA)
22Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA) Q1 FY 2022 Q4 FY 2021 Q3 FY 2021 Q2 FY 2021 Q1 FY 2021 Net income (GAAP) $45,823 $103,499 $238,232 $103,117 $55,348 Add: Interest expense 8,648 7,
Slide 23: Thank You
Copyright © Ciena Corporation 2022. All rights reserved. Proprietary information. Thank You