Viavi Solutions Inc. · NASDAQ:VIAV
Viavi Solutions — Q1 2025 Earnings Presentation
20 slides from Viavi Solutions's earnings presentation, Oct 31, 2024
Slide 1: Fiscal Q1 2025 Earnings Call Supplementary Slides
Fiscal Q1 2025 Earnings Call Supplementary Slides October 31, 2024
Slide 2: Cautionary Language Concerning Forward-Looking Statements
Cautionary Language Concerning Forward-Looking Statements This presentation contains forward-looking statements under Section 27A of the Securities Act of 1934. Forward-looking statements are all statements we make other than those dealing specifically with historical matters. These forward-looking
Slide 3: Fiscal Q1 2025 Summary and Key Highlights
Fiscal Q1 2025 Summary and Key Highlights (Amounts in millions and other than revenue reflect non-GAAP) KEY METRICS HIGHLIGHTS REVENUE (3.9)% Y/Y • Revenue came in slightly below mid-point of our guidance range. $238.2M • Non-GAAP Operating Margin came in at the low end of our guidance range. Non -
Slide 4: Fiscal Q1 2025 NSE Highlights
Fiscal Q1 2025 NSE Highlights (Amounts in millions and other than revenue reflect non-GAAP) NSE NE SE REVENUE REVENUE REVENUE $159.4M (6.5)% Y/Y $141.6M (5.6)% Y/Y $17.8M (12.7)% Y/Y GROSS MARGIN GROSS MARGIN GROSS MARGIN 60.9% (270) bps Y/Y (220) bps Y/Y (650) bps Y/Y 60.9% 60.7% OPERATING MARGIN (
Slide 5: Fiscal Q1 2025 OSP Highlights
Fiscal Q1 2025 OSP Highlights (Amounts in millions and other than revenue reflect non-GAAP) KEY METRICS HIGHLIGHTS REVENUE ■ Revenue at $78.8 million, exceeded the guidance range 1.7% Y/Y of $75-$77 million primarily driven by Anti-Counterfeiting $78.8M and 3D sensing. It was an increase of 1.7% Y/Y
Slide 6: Fiscal Q2 2025 Business Outlook
Fiscal Q2 2025 Business Outlook Segment Business Outlook VIAVI $255 million to $265 million Revenue NSE $188 million, plus or minus $4 million OSP $72 million, plus or minus $1 million VIAVI 12.4%, plus or minus 100 bps Non-GAAP Operating Margin NSE 4.8%, plus or minus 100 bps OSP 32.3%, plus or min
Slide 7: Fiscal Q2 2025 Events
Fiscal Q2 2025 Events Date Event Location Nov 7, 2024 Stifel 2024 Midwest 1x1 Conference Chicago 18th Annual Needham Virtual Security, Networking, & Nov 19, 2024 Virtual Communications Conference VIAVI//Public © 2024 Viavi Solutions Inc. 6
Slide 8: Additional Financial Information
Additional Financial Information
Slide 9: Fiscal Q1 2025 Financial Highlights
Fiscal Q1 2025 Financial Highlights (Amounts in $millions, except per share amount) Fiscal Quarter Q1 2025 Q4 2024 Q1 2024 QoQ YoY GAAP Revenue NE $141.6 $158.5 $150.0 (10.7%) (5.6%) SE $17.8 $23.7 $20.4 (24.9%) (12.7%) OSP $78.8 $69.8 $77.5 12.9% 1.7% Total $238.2 $252.0 $247.9 (5.5%) (3.9%) Non-GA
Slide 10: Income Statement
Income Statement (Amounts in $millions, except per share amounts) Fiscal Quarter Q1 2025 Q4 2024 Q1 2024 QoQ YoY GAAP Revenue $238.2 $252.0 $247.9 (5.5%) (3.9%) Non-GAAP Gross Margin 59.1% 59.6% 60.1% (50) bps (100) bps Non-GAAP Operating Expenses $116.8 $122.7 $118.2 (4.8%) (1.2%) Non-GAAP Operatin
Slide 11: Revenue by Business Segment and Geographic Region
Revenue by Business Segment and Geographic Region (Amounts in $millions) Fiscal Quarter Q1 2025 Q4 2024 Q1 2024 QoQ YoY Segment Mix NE $141.6 59.4% $158.5 62.9% $150.0 60.5% (10.7%) (5.6%) SE $17.8 7.5% $23.7 9.4% $20.4 8.2% (24.9%) (12.7%) OSP $78.8 33.1% $69.8 27.7% $77.5 31.3% 12.9% 1.7% Total $2
Slide 12: Balance Sheet Highlights
Balance Sheet Highlights (Amounts in $millions) Fiscal Quarter Q1 2025 Total Cash Balance (1) $497.9 Long-term Debt (Carrying Value) (2) $637.6 GAAP Cash from Operations $13.5 (1) Includes cash and cash-equivalents, short-term investments and short-term restricted cash. (2) Carrying value equals out
Slide 13: Term Notes Summary
Term Notes Summary (Amounts in $millions) 2026 Convertible Notes 2029 High-Yield Notes Issue Size $250.0M $400.0M Current Outstanding * $250.0M $400.0M Coupon 1.625% 3.75% Final Maturity 3/15/2026 10/1/2029 Put Date N/A N/A Call Date 3/20/2025 10/1/2024 Call / Put Price (%) 100% N/A Conversion Price
Slide 14: GAAP Income Statement
GAAP Income Statement (Amounts in $millions, except per share amounts) Unaudited GAAP Income Statement Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Net revenue $ 247.9 $ 254.5 $ 246.0 $ 252.0 $ 238.2 Cost of revenues 100.0 103.1 104.6 103.0 98.8 Amortization of acquired technologies 3.5 3.4 3.5 3.4 3.3 T
Slide 15: Non-GAAP Income Statement
Non-GAAP Income Statement (Amounts in $millions, except per share amounts) Unaudited Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Non-GAAP Income Statement Net revenue $ 247.9 $ 254.5 $ 246.0 $ 252.0 $ 238.2 Cost of revenues 98.9 101.7 103.5 101.8 97.5 Gross profit 149.0 152.8 142.5 150.2 140.7 Operating
Slide 16: Appendix
Appendix Oe
Slide 17: Reconciliation of GAAP Measures to Non-GAAP Measures
Reconciliation of GAAP Measures to Non-GAAP Measures (Amounts in $millions) Unaudited Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Gross Profit - GAAP to Non-GAAP Reconciliation GAAP segment gross profit $ 144.4 $ 148.0 $ 137.9 $ 145.6 $ 136.1 Stock-based compensation 1.2 1.3 1.2 1.2 1.2 Amortization of
Slide 18: Financial Information by Segment
Financial Information by Segment Amounts in millions and other than revenue reflect non-GAAP) Unaudited Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Segment Results ($ in millions) Net revenue: Network Enablement $ 150.0 $ 155.5 $ 151.7 $ 158.5 $ 141.6 Service Enablement 20.4 24.1 18.1 23.7 17.8 Network
Slide 19: Condensed Balance Sheet
Condensed Balance Sheet (Amounts in $millions) Unaudited Q4 2024 Q1 2025 Balance Sheet (in millions) ASSETS Current assets: Cash and cash equivalents $ 471.3 $ 467.9 Short-term investments 19.9 25.2 Restricted cash 5.0 4.8 Accounts receivable, net 213.1 203.1 Inventories, net 96.5 93.2 Prepayments a
Slide 20: VIAVI Solutions
VIAN I VIAVI Solutions viavisolutions.com