Fourth Quarter

• Net revenue of $252.0 million, down $11.6 million or 4.4% year-over-year
• GAAP operating margin of (2.3)%, down 680 bps year-over-year
• Non-GAAP operating margin of 10.9%, down 80 bps year-over-year
• GAAP Earnings per share (EPS) of $(0.10), down $0.10 year-over-year
• Non-GAAP diluted EPS of $0.08, down $0.02 or 20.0% year-over-year

Fiscal 2024

• Net revenue of $1.0 billion, down $105.7 million or 9.6% year-over-year
• GAAP operating margin of 2.1%, down 530 bps year-over-year
• Non-GAAP operating margin of 11.5%, down 410 bps year-over-year
• GAAP EPS of $(0.12), down 0.23 or 209.1% year-over-year
• Non-GAAP diluted EPS of $0.33, down $0.22 or 40.0% year-over-year

CHANDLER, Ariz., Aug. 8, 2024 /PRNewswire/ -- VIAVI (NASDAQ: VIAV) today reported results for its fourth quarter and fiscal year ended June 29, 2024.

Fourth quarter of fiscal 2024 net revenue was $252.0 million. GAAP net loss was $(21.7) million, or $(0.10) per share. Non-GAAP net income was $17.1 million, or $0.08 per share.

Third quarter of fiscal 2024 net revenue was $246.0 million. GAAP net loss was $(24.6) million, or $(0.11) per share. Non-GAAP net income was $13.2 million, or $0.06 per share.

Fourth quarter of fiscal 2023 net revenue was $263.6 million. GAAP net loss was $(0.1) million, or $— per share. Non-GAAP net income was $22.7 million, or $0.10 per share.

"Fiscal 2024 was a challenging year for VIAVI, as the end market spend environment continued to be anemic throughout the year. For the fourth quarter, our revenue came at the mid-point of our guidance, with slightly stronger OSP revenues offsetting softer NSE demand. We believe the decline in NSE demand is bottoming out and expect to see gradual recovery in the second half of fiscal 2025," said Oleg Khaykin, VIAVI's President and Chief Executive Officer.

• Americas, Asia-Pacific and EMEA customers represented 39.2%, 36.3% and 24.5%, respectively, of total net revenue for the quarter ended June 29, 2024.
   
• As of June 29, 2024, the Company held $496.2 million in total cash, short-term investments and short-term restricted cash.
   
• As of June 29, 2024, the Company had $250 million aggregate principal amount of 1.625% Senior Convertible Notes and $400 million aggregate principal amount of 3.75% Senior Notes with a total net carrying value of $636.0 million.
   
• During the fiscal quarter and fiscal year ended June 29, 2024, the Company generated $26.2 million and $116.4 million, respectively, of cash flows from operations.

Restructuring Plan

On June 13, 2024, the Company approved a restructuring and workforce reduction plan (the "Fiscal 2024 Plan") across various functions intended to improve operational efficiencies and better align the Company's workforce with current business needs. The Company expects approximately 6% of its global workforce to be affected and estimates it will incur severance and termination benefits charges of approximately $15 million. The Company anticipates the Fiscal 2024 Plan to result in approximately $25 million in annualized cost savings and to be substantially complete by the end of fiscal 2025.

Business Outlook for the First Quarter of Fiscal 2025

For the first quarter of fiscal 2025 ending September 28, 2024, the Company expects net revenue to be between $235 million to $245 million and non-GAAP EPS to be between $0.05 to $0.07.