May 5 (Reuters) – Lumentum Holdings forecast quarterly revenue above Wall Street expectations on Tuesday, betting on strong demand for its high-speed optical components that are crucial for artificial intelligence infrastructure.
• The company has been a beneficiary of massive capital spending by cloud giants on AI infrastructure. Its equipment is critical for transmitting vast amounts of data at high speeds between servers in data center networks.
• Lumentum designs and makes photonic products, including high performance lasers and optical components.
• It expects revenue between $960 million and $1.01 billion in the fourth quarter, compared with analysts’ average estimate of $908.3 million, according to data compiled by LSEG.
• Adjusted profit is expected to be between $2.85 and $3.05 per share. Analysts expect $2.68 per share.
• Analysts have said that strong demand is outstripping supply for critical components like lasers, with customers entering into longer-term agreements to secure their supply.
• The results come after Lumentum was added to the S&P 500 in March.
• In the third quarter, revenue rose 90.1% to $808.4 million, beating estimates of $804.3 million. The company reported an adjusted profit of $2.37 per share, compared with estimates of $2.29 per share.
(Reporting by Anhata Rooprai in Bengaluru; Editing by Sahal Muhammed)
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