Ciena (CIEN) on Monday reported January-quarter profit and revenue that topped analyst estimates as supply chain problems eased. The Ciena earnings beat and raised fiscal 2023 guidance sent CIEN stock up.
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Ciena earnings for its fiscal first quarter were 64 cents a share, up 36% from a year ago. Revenue rose 25% to $1.056 billion for the quarter ending Jan. 28. Analysts expected earnings of 36 cents a share on sales of $959 million.
For full-year 2023, Ciena forecast revenue growth in a range of 20% to 22%, up from its earlier outlook for 17% growth.
The Hanover, Md.-based maker of optical communications gear and software reported earnings before the market open Monday.
Ciena stock jumped 11.7% to 54.81 in early trading on the stock market today.
CIEN Stock: Huawei Impact?
In much of 2022, Ciena’s production of network gear was slowed by component shortages. As a result, Ciena built up a record order backlog.
Heading into the Ciena earnings report, CIEN stock had retreated 3% in 2023.
Ciena’s gear is built into telecom networks and internet data centers. In addition, the company competes against Infinera (INFN) and Cisco Systems (CSCO).
Ciena stock may gain from U.S. government political pressure on China’s Huawei, analysts say. Some countries have halted purchases of Huawei network gear on national security concerns.
Follow Reinhardt Krause on Twitter @reinhardtk_tech for updates on 5G wireless, artificial intelligence, cybersecurity and cloud computing.
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Source: https://www.investors.com/news/technology/cien-stock-ciena-earnings-top-estimates/?src=A00220&yptr=yahoo