Oclaro Better Than OK with $112.7 Million Revenue for Q4 FY 2010
Oclaro, a provider of optical components, modules and subsystems has announced the financial results for its fourth quarter and fiscal year 2010, which ended July 3, 2010.
"We are proud to have been profitable on a non-GAAP operating income basis for our first year as Oclaro, our adjusted EBITDA has increased each quarter, and our operating margins continue to trend upwards," said Alain Couder, president and CEO of Oclaro. "Our technology differentiation and product breadth are creating new opportunities for Oclaro; and so we believe our growth will continue through 2010 and that calendar 2011 is shaping up to be a strong growth year."
GAAP revenues were $112.7 million for the fourth quarter of fiscal 2010 and telecom revenues were up over 13% compared to the prior quarter. For Q4 FY 2010, gross margin was 30%, operating income was $8.6 million and net income was $10.6 million. Adjusted EBITDA was $12.3 million for the fourth quarter of fiscal 2010, compared to $5.8 million in the third quarter of fiscal 2010, an increase of well over 100%.
Non-GAAP gross margin was 31% for the fourth quarter of fiscal 2010, exceeding the 30% target announced during the April 2009 merger of Bookham and Avanex Corporation. Non-GAAP gross margin was 28% in the third quarter of fiscal 2010. Non-GAAP operating income was $9.6 million, or 8.5% of revenues, for the fourth quarter of fiscal 2010, exceeding the 5% of revenues target announced during the April 2009 merger of Bookham and Avanex. Non-GAAP operating income was $3.2 million, or 3.2% of revenues, in the third quarter of fiscal 2010.
The Company acquired Mintera Corporation in a deal announced and closed July 21, 2010. Oclaro has a target model for the high speed transmission business of Mintera of gross margins of 40% to 45% and non-GAAP operating margins of 20% to 25%.
GAAP revenues were $392.5 million for fiscal 2010, compared to $210.9 million in FY 2009. Gross margin was 28% for fiscal 2010, compared to 22% for the previous year. Operating income was $4.8 million for fiscal 2010, compared to a GAAP operating loss of $34.8 million in fiscal 2009. GAAP net income for fiscal 2010 was $12.4 million, compared to a GAAP net loss of $32.2 million in fiscal 2009. Adjusted EBITDA was $26.5 million for fiscal 2010, compared to negative $1.0 million in fiscal 2009.
In the next quarter ending October 2, 2010 (Q1 FY 2011), Oclaro expects revenues in the range of $120 million to $126 million. This includes approximately $3 million to $4 million of revenues from Mintera.
Oclaro also anticipates a non-GAAP gross margin in the range of 31% to 33% for the next quarter (as compared to 31% in Q4 FY 2010). The firm also predicts an adjusted EBITDA in the range of $12.5 million to $15.5 million (as compared to $12.3 million for Q4 FY 2010).
