JDSU Reports $705M Loss

Optical communications company JDSU today reported a net loss of $705.3 million, or $3.28 per share, for the second fiscal quarter of 2009, due primarily to impairment charges of nearly $700 million.

That loss compares to net revenue of $399.2 million and net income of $21.2 million, or 9 cents per share, for the second fiscal quarter of 2008.

Net revenue for the second quarter of 2009, which ended Dec. 27, was $357 million, a decrease of 6 percent over the previous quarter and 10.5 percent compared to one year ago. The company's Communication and Commercial Optical Products division's revenue for the second quarter slid 21 percent to $127.9 million from the previous quarter, and 15.8 percent year-over-year.

The Optical Communications segment's second quarter revenue was $109.5 million, a 22.2 percent decline from the previous quarter and 15.6 percent year-over-year. Commercial Lasers was down 13.7 percent from the previous quarter, to $18.4 million, and 16.8 percent over a year ago.

While the Communications Test and Measurement segment saw its revenue increase 6.6 percent over the previous quarter, to $176.2 million, it was still a 10 percent slide from one year ago. Advanced Optical Technologies revenue was basically flat, its $53.1 million for the quarter down 0.8 percent from the previous quarter and up about 6 percent as compared to one year ago.

The company said it expects its revenue for the third quarter of fiscal 2009, ending March 28, to be even lower, in the range of $275 to $300 million.

"During these challenging economic times we continue to make progress in improving the cost structure and operating model of the company," said Tom Waechter, JDSU president and CEO. "We will continue to focus on innovation and our lean initiative activities, which I believe will uniquely position JDSU for future growth once market conditions improve."

The company also announced this week it will sell its operations in Shenzhen, China, to electronics manufacturing services provider Sanmina-SCI Corp. and outsource some of its manufacturing to Sanmina-SCI.

For more information, visit: www.jdsu.com