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Ciena (CIEN) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates

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Ciena (CIEN - Free Report) reported $910.83 million in revenue for the quarter ended April 2024, representing a year-over-year decline of 19.6%. EPS of $0.27 for the same period compares to $0.74 a year ago.

The reported revenue represents a surprise of +1.59% over the Zacks Consensus Estimate of $896.62 million. With the consensus EPS estimate being $0.15, the EPS surprise was +80.00%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Ciena performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Revenue- Total Networking Platforms: $676.30 million compared to the $690.08 million average estimate based on five analysts. The reported number represents a change of -26.1% year over year.
  • Revenue- Total Global Services: $134.70 million compared to the $114.62 million average estimate based on five analysts. The reported number represents a change of +5.4% year over year.
  • Revenue- Blue Planet Automation Software and Services: $14.40 million versus $16.93 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a -30.1% change.
  • Revenue- Networking Platforms- Optical Networking: $560.20 million compared to the $592.35 million average estimate based on four analysts. The reported number represents a change of -28.6% year over year.
  • Revenue- Software and Services- Total (Platform+Blue Planet Automation): $99.80 million versus $98.80 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +10.9% change.
  • Revenue- Networking Platforms- Routing and Switching: $116.10 million versus $102.81 million estimated by four analysts on average.
  • Revenue- Platform Software and Services: $85.40 million versus the four-analyst average estimate of $77.98 million. The reported number represents a year-over-year change of +23.1%.
  • Revenue- Services: $209.51 million versus $172.61 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +6.2% change.
  • Revenue- Products: $701.32 million compared to the $723.37 million average estimate based on three analysts. The reported number represents a change of -25% year over year.
  • Revenue- Global Services- Installation and Deployment: $43.80 million versus $36.97 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +10.9% change.
  • Revenue- Global Services- Maintenance Support and Training: $77.40 million versus the two-analyst average estimate of $68.67 million. The reported number represents a year-over-year change of +5.7%.
  • Revenue- Global Services- Consulting and Network Design: $13.50 million compared to the $12.12 million average estimate based on two analysts. The reported number represents a change of -10.6% year over year.
View all Key Company Metrics for Ciena here>>>

Shares of Ciena have returned -2% over the past month versus the Zacks S&P 500 composite's +4.6% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

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