CIENA reported revenue of $66.4 million for the fiscal quarter ending 31-January-2004, compared with $70.5 million for the same period last year. CIENA's reported net loss for the quarter (GAAP) was $76.7 million, or a net loss of $0.16 per share. There were 100 customers during the quarter, including 14 new accounts. There was one international customer that represented 17% of the quarter's revenue. Overall gross margin for products and services was 30.9%. The company ended the quarter with cash and short- and long-term investments valued at $1.52 billion.
Separately, CIENA announced its intent to acquire two companies, Catena Networks (broadband access systems) and Internet Photonics (optical Ethernet transport and switching).
Exclusive of any potential impact from the acquisitions, the company expects that revenue in its second fiscal quarter will be up by as much as 20% from its fiscal first quarter revenue.
"The acquisitions of Catena and Internet Photonics are part of CIENA's ongoing efforts to fuel long-term revenue growth and sustained profitability by expanding our addressable market; capitalizing on new growth opportunities in adjacent and complementary markets," said Gary Smith, CIENA's president and CEO. http://www.ciena.com
- In 2003m CIENA acquired Akara Corporation, a start-up developing SAN over SONET/SDH solutions. The deal was valued at $45 million consisting of $31 million in cash and $14 million in shares of CIENA common stock when it was announced in August 2003.
- Earlier in 2003, CIENA acquired WaveSmith Networks, a start-up based in Acton, Massachusetts, for its multiservice edge switching systems. The WaveSmith platform is designed for central office switching and applications such as DSL aggregation. CIENA valued the transaction at approximately $158 million, which is net of the return it will recognize on its earlier investment in WaveSmith.
Ciena is also partnering with Laurel Networks for edge routing and with Luminous Networks for multi-service provisioning platforms for RPR and SONET/SDH.
