Tellabs reported Q1 revenue of $452 million, down 12% from $515 million in the first quarter of 2006. Tellabs earned $25 million or 6 cents per share in the first quarter of 2007 on a GAAP basis, down 51% from $52 million or 11 cents per share in the first quarter of 2006.
- Broadband - First-quarter revenue from the broadband segment totaled $219 million, down 16% from $260 million in the first quarter of 2006. Within the broadband segment, access revenue fell 26% to $121 million from $164 million in the first quarter of 2006. Managed access revenue fell 7% to $69 million from $74 million a year ago. Data revenue was $29 million, up 32% from $22 million a year ago.
- Transport - First-quarter revenue from the transport segment totaled $191 million, down 11% from $214 million in the first quarter of 2006.
- Services - First-quarter 2007 services revenue was $42 million, up 3% from $41 million in the first quarter of 2006.
Tellabs expects second- quarter revenue to increase about 10% to 15% from the first quarter of 2007, ranging from about $500 million to $520 million. As part of second-quarter revenue, Tellabs expects to meet the criteria that would enable it to recognize $60 million to $70 million of revenue related to the Tellabs 7100 ROADM product, at essentially a breakeven margin. Excluding revenue from the Tellabs 7100 ROADM product, Tellabs expects the balance of its second-quarter revenue to be flat to down slightly from first-quarter 2007 revenue.
"Despite industry uncertainties, we are encouraged that Tellabs' new technologies are taking root in service provider networks," said Krish A. Prabhu, Tellabs president and chief executive officer. "These technologies play a key role in evolving our customers' networks for video services."http://www.tellabs.com
