News Article
Infinera incomes still in the red
Although revenues fell by only 3% over the same quarter last year, they also plummeted by 20% compared to the previous quarter.
Infinera Corporation, a provider of digital optical communications systems, has released financial results for the first quarter ended March 26, 2011.
GAAP revenues for the first quarter of 2011 were $92.9 million compared to $117.1 million in the fourth quarter of 2010 and $95.8 million in the first quarter of 2010. GAAP gross margins for the quarter were 46% compared to 49% in the fourth quarter of 2010 and 39% in the first quarter of 2010. GAAP net loss for the quarter was $16.4 million, or $(0.16) per share, compared to net loss of $2.7 million, or $(0.03) per share, in the fourth quarter of 2010 and net loss of $20.0 million, or $(0.21) per share, in the first quarter of 2010.
“Our first quarter results were achieved based on continuing demand for our product portfolio from our existing customers, which reflects continuing steady growth in end-user demand for bandwidth, but we saw slower new footprint activity in Q1 versus a year ago," said Tom Fallon, president and chief executive officer.
"Customers continue to show strong interest in our Photonic Integrated Circuit technology and in the field trial demonstrations of the differentiated features of our upcoming new products—our 40G transmission solution with FlexCoherent technology and our next-generation 500Gb/s PIC solution, which will support 100G transmission applications,” he continued.
"It is also important to note that we are growing the number of customers who are buying a multi-product Infinera solution. This includes customers buying either a combination of long-haul and metro solutions or a combination of terrestrial and subsea solutions. At the end of Q1, we had 26 multi-platform customers out of a total of 86 customers worldwide. This is an important trend as these customers have made a more significant architectural commitment to Infinera.
“Finally, we continue to build additional features and capabilities into our ATN metro platform, and in the second quarter we will add Ethernet aggregation functionality.”
Infinera hosted a conference call for analysts and investors to discuss its first quarter results and second quarter outlook. An archived version will be available on the website for 90 days. The replay may be accessed by calling:
1-866-395-9177 (from the U.S. and Canada)
1-203-369-0501 (from outside the U.S. and Canada)
