SOURCE: Finisar

Finisar

June 12, 2014 16:00 ET

Finisar Announces Seventh Consecutive Quarter of Revenue Growth and FY14 Annual Revenue Growth of 24%

SUNNYVALE, CA--(Marketwired - Jun 12, 2014) - Finisar Corporation (NASDAQ: FNSR), a global technology leader for subsystems and components for fiber optic communications, today announced financial results for its fourth fiscal quarter and full 2014 fiscal year ended April 27, 2014. 

COMMENTARY

"I am pleased to report that fourth quarter revenues were $306.0 million, and annual fiscal 2014 revenues were $1,156.8 million, both new all-time records for Finisar. Quarterly revenues increased by $12.0 million, or 4.1%, over the third fiscal quarter and $62.6 million, or 25.7%, over the fourth fiscal quarter of the prior year. Quarterly revenues grew for the seventh consecutive quarter. Annual revenues increased by $222.5 million, or 23.8%, over the prior fiscal year," said Jerry Rawls, Finisar's executive Chairman of the Board.

"Demand for transceivers operating at 10Gb/s and faster continued to be strong during the quarter. Demand was also strong for our transceivers for LTE wireless applications. We continue to develop and release new products, which we expect will enable Finisar to expand our market share and continue to grow revenue," said Eitan Gertel, Finisar's Chief Executive Officer.

 
FINANCIAL HIGHLIGHTS - FOURTH QUARTER ENDED APRIL 27, 2014
 
Summary GAAP Results (a)
  Fourth
Quarter
Ended
 April 27, 2014
    Third
Quarter
Ended
 January 26, 2014
 
    (in thousands, except per share amounts)  
                 
Revenues   $ 306,025     $ 294,018  
Gross margin     31.7 %     35.9 %
Operating expenses   $ 75,369     $ 72,593  
Operating income   $ 21,560     $ 33,096  
Operating margin     7.0 %     11.3 %
Net income   $ 28,375     $ 27,061  
Income per share-basic   $ 0.29     $ 0.28  
Income per share-diluted   $ 0.27     $ 0.26  
                 
Basic shares     96,965       96,394  
Diluted shares     105,418       104,361  
                 
                 
Summary Non-GAAP Results (b)   Fourth
Quarter
Ended
April 27, 2014
    Third
Quarter
Ended
 January 26, 2014
 
    (in thousands, except per share amounts)  
                 
Revenues   $ 306,025     $ 294,018  
Gross margin     34.2 %     37.2 %
Operating expenses   $ 65,931     $ 63,209  
Operating income   $ 38,882     $ 46,295  
Operating margin     12.7 %     15.7 %
Net income   $ 36,992     $ 44,993  
Income per share-basic   $ 0.38     $ 0.47  
Income per share-diluted   $ 0.36     $ 0.44  
                 
Basic shares     96,965       96,394  
Diluted shares     105,418       104,361  
                 

_____________

(a) The GAAP financial results included in this press release for the fourth quarter and fiscal 2014 do not include the impact of the amortization of acquired intangible assets in connection with the acquisition of u2t Photonics AG because the Company is in the process of obtaining a third-party valuation of such intangible assets and thus such impact has not yet been determined. The amount of such amortization of acquired intangible assets, when determined, is not expected to be material in the periods presented.
   
(b) In evaluating the operating performance of Finisar's business, Finisar management utilizes financial measures that exclude certain charges and credits required by U.S. generally accepted accounting principles, or GAAP, that are considered by management to be outside Finisar's core operating results. A reconciliation of Finisar's non-GAAP financial measures to the most directly comparable GAAP measures, as well as additional related information, can be found under the heading "Finisar Non-GAAP Financial Measures" below.
   

Financial Statement Highlights for the fourth quarter of fiscal 2014:

  • Revenues increased to $306.0 million, up $12.0 million, or 4.1%, from $294.0 million in the preceding quarter.

  • The sale of products for datacom applications increased by $12.6 million, or 6.0%, compared to the preceding quarter.

  • The sale of products for telecom applications decreased by $0.6 million, or (0.7)%, compared to the preceding quarter, primarily driven by the impact of the full three months of the annual price reductions for telecom products that typically take effect on January 1st.

  • GAAP gross margin decreased to 31.7% from 35.9% in the preceding quarter, primarily driven by the impact of the full three months of the annual price reductions for telecom products that typically take effect on January 1st as well as the impact of the u2t Photonics AG acquisition whose products carry a lower than corporate average gross margin.

  • Non-GAAP gross margin decreased to 34.2% from 37.2% in the preceding quarter.

  • GAAP operating income decreased $11.5 million to $21.6 million, or 7.0% of revenues, compared to $33.1 million, or 11.3% of revenues in the preceding quarter.

  • Non-GAAP operating income decreased $7.4 million to $38.9 million, or 12.7% of revenues, compared to $46.3 million, or 15.7% of revenues, in the preceding quarter.  

  • GAAP net income includes an approximate $8.3 million gain realized on the sale of our majority owned subsidiary Finisar Korea Ltd. during the quarter. This gain is not included in non-GAAP net income. 

  • Cash, cash equivalents and short term investments decreased $41.7 million to $513.0 million at the end of the fourth quarter, compared to $554.7 million at the end of the preceding quarter, principally as the result of the acquisition of u2t Photonics AG, an increase in accounts receivable of $29.6 million and capital expenditures associated with the build out of the second building at our new manufacturing site in Wuxi China.

   
FINANCIAL HIGHLIGHTS - FISCAL YEAR 2014 ENDED APRIL 27, 2014  
   
Summary GAAP Results (a)
  Fiscal Year
Ended
April 27, 2014
    Fiscal Year
Ended
April 28, 2013
 
    (in thousands, except per share amounts)  
                 
Revenues   $ 1,156,833     $ 934,335  
Gross margin     34.3 %     27.5 %
Operating expenses   $ 285,496     $ 262,596  
Operating income   $ 111,868     $ (5,555 )
Operating margin     9.7 %     (0.6 )%
Net income   $ 111,412     $ (5,454 )
Income per share-basic   $ 1.16     $ (0.06 )
Income per share-diluted   $ 1.09     $ (0.06 )
                 
Basic shares     95,979       92,860  
Diluted shares     104,112       92,860  
                 
                 
Summary Non-GAAP Results (b)   Fiscal Year
Ended
April 27, 2014
    Fiscal Year
Ended
April 28, 2013
 
    (in thousands, except per share amounts)  
                 
Revenues   $ 1,156,833     $ 934,335  
Gross margin     35.9 %     30.9 %
Operating expenses   $ 253,202     $ 223,667  
Operating income   $ 162,341     $ 65,247  
Operating margin     14.0 %     7.0 %
Net income   $ 157,021     $ 61,255  
Income per share-basic   $ 1.64     $ 0.66  
Income per share-diluted   $ 1.53     $ 0.64  
                 
Basic shares     95,979       92,860  
Diluted shares     104,112       99,284  
                 

_____________

(a) The GAAP financial results included in this press release for the fourth quarter and fiscal 2014 do not include the impact of the amortization of acquired intangible assets in connection with the acquisition of u2t Photonics AG because the Company is in the process of obtaining a third-party valuation of such intangible assets and thus such impact has not yet been determined. The amount of such amortization of acquired intangible assets, when determined, is not expected to be material in the periods presented.
   
(b) In evaluating the operating performance of Finisar's business, Finisar management utilizes financial measures that exclude certain charges and credits required by U.S. generally accepted accounting principles, or GAAP, that are considered by management to be outside Finisar's core operating results. A reconciliation of Finisar's non-GAAP financial measures to the most directly comparable GAAP measures, as well as additional related information, can be found under the heading "Finisar Non-GAAP Financial Measures" below.
   

Financial Statement Highlights for fiscal 2014:

  • Revenues increased to $1,156.8 million, up $222.5 million, or 23.8%, from $934.3 million in the preceding year.

  • The sale of products for datacom applications increased by $231.1 million, or 39.1%, compared to the preceding year.

  • The sale of products for telecom applications decreased by $8.6 million, or (2.5)%, compared to the preceding year.

  • GAAP gross margin increased to 34.3% from 27.5% in the preceding year.

  • Non-GAAP gross margin increased to 35.9% from 30.9% in the preceding year.

  • GAAP operating income increased $117.4 million to $111.9 million, or 9.7% of revenues, compared to operating loss $(5.6) million, or (0.6)% of revenues in the preceding year.

  • Non-GAAP operating income increased $97.1 million to $162.3 million, or 14.0% of revenues, compared to $65.2 million, or 7.0% of revenues, in the preceding year.  

  • GAAP net income includes an approximate $8.3 million gain realized on the sale of our majority owned subsidiary Finisar Korea Ltd. during the quarter. This gain is not included in non-GAAP net income. 

OUTLOOK

The Company indicated that it currently expects revenues for the first quarter of fiscal 2015 to be in the range of $320 to $335 million, non-GAAP gross margin of approximately 32%, non-GAAP operating margin of approximately 10.3% to 11.3%, and non-GAAP earnings per diluted share to be in the range of approximately $0.30 to $0.34.

CONFERENCE CALL

Finisar will discuss its financial results for the fourth quarter and current business outlook during its regular quarterly conference call scheduled for Thursday, June 12, 2014, at 2:00 pm PT (5:00 pm ET). To listen to the call you may connect through the Finisar investor relations page at http://investor.finisar.com or dial 1-877-857-6173 (domestic) or +1-719-325-4797 (international) and enter conference ID 3838782.

An audio replay will be available for two weeks following the call by dialing 1-888-203-1112 (domestic) or +1-719-457-0820 and then following the prompts: enter conference ID 3838782 and provide your name, affiliation, and contact number. A replay of the webcast will be available shortly after the conclusion of the call on the Company's website until the next regularly scheduled earnings conference call.

SAFE HARBOR UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

This press release contains forward-looking statement concerning Finisar's expected financial performance. These statements are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are based on our current expectations, estimates, assumptions and projections about our business and industry, and the markets and customers we serve, and they are subject to numerous risks and uncertainties that may cause these forward-looking statements to be inaccurate. Finisar assumes no obligation to update any such forward-looking statements. Forward-looking statements involve risks and uncertainties which could cause actual results to differ materially from those projected. Examples of such risks include those associated with: the uncertainty of customer demand for Finisar's products; the rapidly evolving markets for Finisar's products and uncertainty regarding the development of these markets; Finisar's historical dependence on sales to a limited number of customers and fluctuations in the mix of products and customers in any period; ongoing new product development and introduction of new and enhanced products; the challenges of rapid growth followed by periods of contraction; intensive competition; and the uncertainty of achieving anticipated cost savings and synergies in connection with the recently completed u2t acquisition. Further information regarding these and other risks relating to Finisar's business is set forth in Finisar's annual report on Form 10-K (filed June 24, 2013) and quarterly SEC filings.

ABOUT FINISAR

Finisar Corporation (NASDAQ: FNSR) is a global technology leader for fiber optic subsystems and components that enable high-speed voice, video and data communications for telecommunications, networking, storage, wireless, and cable TV applications. For 25 years, Finisar has provided critical optics technologies to system manufacturers to meet the increasing demands for network bandwidth. Finisar is headquartered in Sunnyvale, California, USA with R&D, manufacturing sites, and sales offices worldwide. For additional information, visit www.finisar.com

FINISAR FINANCIAL STATEMENTS The following financial tables are presented in accordance with GAAP, except that the GAAP financial results included in this press release for the fourth quarter and fiscal 2014 do not include the impact of the amortization of acquired intangible assets in connection with the acquisition of u2t Photonics AG because the Company is in the process of obtaining a third-party valuation of such intangible assets and thus such impact has not yet been determined. The amount of such amortization of acquired intangible assets, when determined, is not expected to be material in the periods presented.

   
Finisar Corporation  
Consolidated Statements of Operations  
(Unaudited, in thousands, except per share data)  
                       
    Three Months Ended   Twelve Months Ended   Three Months Ended  
    April 27, 2014   April 28, 2013   April 27, 2014   April 28, 2013   January 26, 2014  
Revenues   $ 306,025   $ 243,417   $ 1,156,833   $ 934,335   $ 294,018  
Cost of revenues     208,135     166,093     754,773     662,094     187,368  
Impairment of acquired developed technology and other long-lived assets     -     8,156     -     8,156     -  
Amortization of acquired developed technology     961     1,842     4,696     7,044     961  
Gross profit     96,929     67,326     397,364     257,041     105,689  
Gross margin     31.7 %   27.7 %   34.3 %   27.5 %   35.9 %
Operating expenses:                                
  Research and development     48,132     41,270     183,355     158,784     46,734  
  Sales and marketing     11,509     11,056     46,547     42,347     10,911  
  General and administrative     15,133     6,279     53,214     45,337     14,353  
  Amortization of purchased intangibles     595     734     2,380     3,640     595  
  Impairment of purchased intangibles and other long-lived assets     -     7,602     -     12,488     -  
    Total operating expenses     75,369     66,941     285,496     262,596     72,593  
Income (loss) from operations     21,560     385     111,868     (5,555 )   33,096  
Interest income     485     211     1,319     755     335  
Interest expense     (2,965 )   (544 )   (5,547 )   (2,589 )   (1,663 )
Other income (expenses), net     8,124     (154 )   7,234     (449 )   (1,873 )
Income (loss) before income taxes and non-controlling interest     27,204     (102 )   114,874     (7,838 )   29,895  
Provision (benefits) for income taxes     (1,104 )   (1,506 )   3,712     227     2,827  
Income (loss) before non-controlling interest     28,308     1,404     111,162     (8,065 )   27,068  
Adjust for net (income) loss attributable to non-controlling interest     67     2,475     250     2,611     (7 )
Net income (loss) attributable to Finisar Corporation   $ 28,375   $ 3,879   $ 111,412   $ (5,454 ) $ 27,061  
                                 
Net income (loss) per share attributable to Finisar Corporation common stockholders:                                
                                 
  Basic   $ 0.29   $ 0.04   $ 1.16   $ (0.06 ) $ 0.28  
  Diluted   $ 0.27   $ 0.04   $ 1.09   $ (0.06 ) $ 0.26  
                                 
Shares used in computing net income (loss) per share - basic     96,965     93,567     95,979     92,860     96,394  
Shares used in computing net income (loss) per share - diluted     105,418     96,192     104,112     92,860     104,361  
                                 
                                 
   
Finisar Corporation  
Consolidated Balance Sheets  
(in thousands)  
                       
    April 27, 2014   January 26, 2014   October 27, 2013   July 28, 2013   April 28, 2013  
    (Unaudited)   (Unaudited)   (Unaudited)   (Unaudited)      
ASSETS                                
Current assets:                                
  Cash and cash equivalents   $ 303,101   $ 374,902   $ 316,488   $ 288,433   $ 289,076  
  Short-term held-to-maturity investments     209,922     179,847     -     -     -  
  Accounts receivable, net     225,020     195,442     186,486     171,823     149,612  
  Accounts receivable, other     33,749     24,274     25,890     34,386     16,538  
  Inventories     259,759     247,126     231,235     207,029     200,670  
  Prepaid expenses and other assets     33,029     22,764     20,902     19,533     18,402  
    Total current assets     1,064,580     1,044,355     781,001     721,204     674,298  
Property, equipment and improvements, net     273,328     247,394     231,022     213,044     201,442  
Purchased intangible assets, net     21,113     21,976     23,587     25,416     30,457  
Goodwill     115,279     90,986     90,986     90,986     90,986  
Minority investments     2,117     2,041     1,841     1,711     884  
Other assets     17,272     21,034     16,946     12,954     9,780  
    Total assets   $ 1,493,689   $ 1,427,786   $ 1,145,383   $ 1,065,315   $ 1,007,847  
                                 
LIABILITIES AND STOCKHOLDERS' EQUITY                                
Current liabilities:                                
  Accounts payable   $ 119,439   $ 96,723   $ 98,220   $ 90,488   $ 77,630  
  Accrued compensation     38,541     46,402     48,182     32,001     31,492  
  Other accrued liabilities     31,976     26,370     32,943     31,542     23,533  
  Deferred revenue     16,659     15,620     14,235     12,582     9,182  
  Short term debt     243     4,230     4,700     -     -  
  Current portion of convertible notes     40,015     40,015     40,015     -     -  
    Total current liabilities     246,873     229,360     238,295     166,613     141,837  
Long-term liabilities:                                
  Convertible notes, net of current portion     212,253     210,029     -     40,015     40,015  
  Other non-current liabilities     18,879     11,680     12,756     12,908     13,480  
    Total liabilities     478,005     451,069     251,051     219,536     195,332  
Stockholders' equity:                                
  Common stock     97     97     96     96     94  
  Additional paid-in capital     2,456,110     2,440,849     2,377,198     2,363,514     2,350,146  
  Accumulated other comprehensive income     20,025     18,980     27,315     22,397     28,525  
  Accumulated deficit     (1,460,548 )   (1,488,923 )   (1,515,984 )   (1,545,949 )   (1,571,960 )
    Finisar Corporation stockholders' equity     1,015,684     971,003     888,625     840,058     806,805  
  Non-controlling interest     -     5,714     5,707     5,721     5,710  
    Total stockholders' equity     1,015,684     976,717     894,332     845,779     812,515  
Total liabilities and stockholders' equity   $ 1,493,689   $ 1,427,786   $ 1,145,383   $ 1,065,315   $ 1,007,847  
                                 
Note - Balance sheet amounts as of April 28, 2013 are derived from the audited consolidated financial statements as of the date.  
                                 
                                 

FINISAR NON-GAAP FINANCIAL MEASURES

In addition to reporting financial results in accordance with U.S. generally accepted accounting principles, or GAAP, Finisar provides the following financial measures defined as non-GAAP financial measures by the Securities and Exchange Commissions: non-GAAP gross profit, non-GAAP operating income and non-GAAP income per share. These non-GAAP financial measures are supplemental information regarding the Company's operating performance on a non-GAAP basis that excludes certain gains, losses and charges of a non-cash nature or which occur relatively infrequently and which management considers to be outside our core operating results. Some of these non-GAAP measures also exclude the ongoing impact of historical business decisions made in different business and economic environments. Management believes that tracking non-GAAP gross profit, non-GAAP income from operations, non-GAAP net income and non-GAAP net income per share provides management and the investment community with valuable insight into our current operations, our ability to generate cash and the underlying business trends which are affecting our performance. These non-GAAP measures are used by both management and our Board of Directors, along with the comparable GAAP information, in evaluating our current performance and planning our future business activities. In particular, management finds it useful to exclude non-cash charges in order to better correlate our operating activities with our ability to generate cash from operations and to exclude certain cash charges as a means of more accurately predicting our liquidity requirements. We believe that these non-GAAP measures, when used in conjunction with our GAAP financial information, also allow investors to better evaluate our financial performance in comparison to other periods and to other companies in our industry.

In calculating non-GAAP gross profit in this release, we have excluded the following items from cost of revenues in applicable periods:

  • Changes in excess and obsolete inventory reserve (predominantly non-cash charges or non-cash benefits);
  • Amortization of acquired technology (non-cash charges related to technology obtained in acquisitions);
  • Stock-based compensation expense (non-cash charges);
  • Impairment of acquired developed technology and other long-lived assets (non-cash charges);
  • Acquisition method accounting adjustment for sale of acquired inventory (non-cash charges);
  • Flood related recovery (non-recurring cash benefit);
  • Reduction in force costs (non-recurring cash charges); and
  • Acquisition related retention payments (non-recurring charges). 

In calculating non-GAAP operating income in this release, we have excluded the same items to the extent they are classified as operating expenses, and have also excluded the following items in applicable periods:

  • Gain or loss on litigation settlements and resolutions and related costs (non-recurring cash charges or benefits);
  • Gain on fair value re-measurement of contingent consideration (non-cash benefit);
  • Shareholder class action and derivative litigation costs (non-recurring cash expenses associated with the derivative litigation related to our historical stock option granting practices and related to the class action and derivative litigation related to our March 8, 2011 earnings announcement);
  • Acquisition related costs (non-recurring cash charges);
  • Impairment of long-lived assets (non-cash charges); and
  • Amortization of purchased intangibles (non-cash charges).

In calculating non-GAAP income and non-GAAP income per share in this release, we have also excluded the following items in applicable periods:

  • Gains and losses on sales of assets (non-recurring and/or non-cash losses and gains related to the periodic disposal of assets no longer required for current activities);
  • Gains and losses related to minority investments (non-cash or non-recurring benefits or charges);
  • Other miscellaneous expenses (income) (non-recurring charges or benefits);
  • Dollar denominated foreign exchange transaction losses (gains) (non-cash charges or benefits);
  • Amortization of debt issuance costs (non-cash charges);
  • Debt extinguishment loss (non-cash charges);
  • Non-controlling interest non-GAAP adjustment (non-cash and/or non-recurring charges or benefits attributable to the non-controlling interest in majority-controlled subsidiaries); and
  • Differences between cash payable for income taxes and the provision for income taxes in accordance with GAAP, less discrete items.

A reconciliation of this non-GAAP financial information to the corresponding GAAP information is set forth below:

   
Finisar Corporation  
Reconciliation of Results of Operations under GAAP and non-GAAP  
(Unaudited, in thousands, except per share data)  
                       
    Three Months Ended   Twelve Months Ended   Three Months Ended  
    April 27, 2014   April 28, 2013   April 27, 2014   April 28, 2013   January 26, 2014  
GAAP to non-GAAP reconciliation of gross profit:                                
Gross profit - GAAP   $ 96,929   $ 67,326   $ 397,364   $ 257,041   $ 105,689  
Gross margin - GAAP     31.7 %   27.7 %   34.3 %   27.5 %   35.9 %
Adjustments:                                
Cost of revenues                                
  Change in excess and obsolete inventory reserve     3,384     390     3,439     8,248     384  
  Amortization of acquired technology     961     1,842     4,696     7,044     961  
  Stock compensation     2,531     1,731     8,738     7,233     2,374  
  Impairment of acquired developed technology and other long-lived assets     -     8,156     -     8,156     -  
  Flood-related expenses     -     (1,197 )   -     (1,197 )   -  
  Acquisition method accounting adjustment for sale of acquired inventory     822     -     822     1,363     -  
  Reduction in force costs     124     17     228     818     34  
  Acquisition related retention payment     62     62     256     208     62  
    Total cost of revenue adjustments     7,884     11,001     18,179     31,873     3,815  
Gross profit - non-GAAP     104,813     78,327     415,543     288,914     109,504  
Gross margin - non-GAAP     34.2 %   32.2 %   35.9 %   30.9 %   37.2 %
                                 
GAAP to non-GAAP reconciliation of operating income:                                
Operating income (loss) - GAAP     21,560     385     111,868     (5,555 )   33,096  
Operating margin - GAAP     7.0 %   0.2 %   9.7 %   -0.6 %   11.3 %
Adjustments:                                
Total cost of revenue adjustments     7,884     11,001     18,179     31,873     3,815  
Research and development                                
  Reduction in force costs     -     52     28     240     -  
  Acquisition related retention payment     190     204     761     639     190  
  Stock compensation     4,056     2,856     15,645     11,796     3,995  
Sales and marketing                                
  Acquisition related retention payment     17     17     68     54     17  
  Stock compensation     1,406     1,015     5,341     3,979     1,369  
General and administrative                                
  Reduction in force costs     69     24     227     118     (82 )
  Acquisition related retention payment     8     220     1,044     696     (11 )
  Stock compensation     2,525     2,586     10,229     10,589     2,618  
  Acquisition related costs     567     322     1,507     1,474     591  
  Litigation settlements and resolutions and related costs     5     -     15     13     5  
  Gain on fair value remeasurement of contingent consideration liability     -     (7,130 )   -     (7,130 )   -  
  Shareholder class action and derivative litigation costs     -     144     (4,951 )   333     97  
Amortization of purchased intangibles     595     734     2,380     3,640     595  
Impairment of long-lived assets     -     7,602     -     12,488     -  
  Total cost of revenue and operating expense adjustments     17,322     19,647     50,473     70,802     13,199  
Operating income - non-GAAP     38,882     20,032     162,341     65,247     46,295  
Operating margin - non-GAAP     12.7 %   8.2 %   14.0 %   7.0 %   15.7 %
                                 
GAAP to non-GAAP reconciliation of income attributable to Finisar Corporation:                                
Net income (loss) attributable to Finisar Corporation - GAAP     28,375     3,879     111,412     (5,454 )   27,061  
Adjustments:                                
Total cost of revenue and operating expense adjustments     17,322     19,647     50,473     70,802     13,199  
Non-cash imputed interest expenses on convertible debt     2,225     -     3,152     -     927  
Imputed interest related to restructuring     53     146     220     520     54  
Other (income) expense, net                                
  Gain on sale of assets     (8,156 )   (1,160 )   (8,291 )   (1,311 )   (30 )
  Gain related to minority investments     -     -     (743 )   -     -  
  Other miscellaneous income     -     (2 )   (5 )   (263 )   (3 )
  Foreign exchange transaction (gain) or loss     (69 )   1,034     2,490     854     2,200  
  Amortization of debt issuance cost     155     -     231     -     76  
  Debt extinguishment loss     -     -     -     573     -  
Provision for income taxes                                
  Income tax provision adjustments     (2,909 )   (1,506 )   (2,288 )   (2,217 )   1,327  
Non-controlling interest non-GAAP adjustment     (4 )   (2,249 )   370     (2,249 )   182  
Total adjustments     8,617     15,910     45,609     66,709     17,932  
Net income attributable to Finisar Corporation - non-GAAP   $ 36,992   $ 19,789   $ 157,021   $ 61,255   $ 44,993  
                                 
Non-GAAP income attributable to Finisar Corporation   $ 36,992   $ 19,789   $ 157,021   $ 61,255   $ 44,993  
Add: interest expense for dilutive convertible notes     539     539     2,156     2,157     539  
Adjusted non-GAAP income attributable to Finisar Corporation   $ 37,531   $ 20,328   $ 159,177   $ 63,412   $ 45,532  
                                 
Non-GAAP income per share attributable to Finisar Corporation common stockholders                                
  Basic   $ 0.38   $ 0.21   $ 1.64   $ 0.66   $ 0.47  
  Diluted   $ 0.36   $ 0.20   $ 1.53   $ 0.64   $ 0.44  
Shares used in computing non-GAAP income per share attributable to Finisar Corporation common stockholders                                
  Basic     96,965     93,567     95,979     92,860     96,394  
  Diluted     105,418     99,941     104,112     99,284     104,361  
                                   
Non-GAAP EBITDA                                
Non-GAAP income attributable to Finisar Corporation   $ 36,992   $ 19,789   $ 157,021   $ 61,255   $ 44,993  
Depreciation expense     17,518     13,692     62,026     52,815     15,960  
Amortization     94     94     376     653     94  
Interest expense     202     187     856     1,314     347  
Income tax expense     1,805     0     6,000     2,444     1,500  
Non-GAAP EBITDA   $ 56,611   $ 33,762   $ 226,279   $ 118,481   $ 62,894  
                                 
                                 

Finisar-F

Contact Information

  • Investor Contact:
    Kurt Adzema
    Chief Financial Officer
    408-542-5050
    Investor.relations@finisar.com

    Press contact:
    Victoria McDonald
    Director, Corporate Communications
    408-542-4261