Finisar reports revenue growth, predicts slowdown
Fiber optics firm Finisar Corp. of Sunnyvale, Calif., reported its eighth consecutive quarter of revenue growth, but said clients’ ordering practices could bring the streak to an end.
The company’s first quarter of fiscal 2015 ended July 27. Revenues were $327.6 million, up 23.1 percent from the first quarter of fiscal 2014 and up 7.1 percent from the preceding quarter.
Data communications sales increased by $18.2 million, or 8.2 percent, compared with the preceding quarter, primarily as the result of strong demand for transceivers that address wireless applications. Demand is expected to go down in the second quarter, however.
“As a result of this decrease in demand for wireless transceivers, as well as a decrease in demand for telecom products due to soft carrier spending and a decrease in demand from several datacom customers with ‘lumpy’ order patterns, we expect our overall revenues to decline in the second fiscal quarter,” said CEO Eitan Gertel.
Second-quarter revenues in the range of $305 million to $320 million are expected.
Finisar recently acquired LightSmyth Technologies Inc. of Eugene, Ore., which uses semiconductor manufacturing tools to produce differentiated grating products; previously, it was a Finisar supplier.