Finisar (NASDAQ:FNSR) expects FQ2 revenue of $305M-$320M and EPS of $0.23-$0.27, below a consensus of $337.5M and $0.35.
The company blames an expected Q/Q drop in wireless transceiver sales following a strong FQ1, along with weak carrier spending and "a decrease in demand from several datacom customers with lumpy order patterns." Several analysts have already voiced concerns (I, II) about weak near-term sales.
FQ1 datacom revenue +31% Y/Y to $241.2M. Telecom revenue +6% to $86.4M.
Gross margin -220 bps Q/Q and -310 bps Y/Y to 32%. FQ2 GM guidance is at 31%-32%. Opex +5.4% Y/Y to $69.4M.
Shares are halted. Rival JDS Uniphase (NASDAQ:JDSU) is down 0.9% AH. Finisar and JDS both sold off in afternoon trading after Ciena issued soft guidance this morning, while blaming the timing of an AT&T contract.