Finisar Corporation announced financial results for its third quarter of fiscal year 2017, ended January 29, 2017.
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Revenues were $380.6 million, an increase of $10.7 million, or 2.9%, from $369.9 million in the second quarter.[break]
Sales of datacom products increased by $7.3 million, or 2.8%, compared to the second quarter. This increase was due primarily to growth in demand for 100G transceivers.
Sales of 100G transceivers for datacom applications increased approximately 9% compared to the second quarter, and over 110% compared to the third quarter of the prior fiscal year.
Sales of telecom products increased by $3.5 million, or 3.2%, compared to the second quarter. This increase was due primarily to higher sales of wavelength selective switch and ROADM line card products, primarily driven by our Chinese OEM customers.
GAAP gross margin was 35.9% compared to 36.1% in the second quarter.
Non-GAAP gross margin was 37.0% compared to 37.2% in the second quarter.
GAAP operating expenses were $81.7 million compared to $80.9 million in the second quarter. GAAP operating expenses as a percentage of revenue decreased to approximately 21.5% of revenue compared to 21.9% in the second quarter.
Non-GAAP operating expenses were $70.5 million compared to $69.4 million in the second quarter. Non-GAAP operating expenses as a percentage of revenue decreased to approximately 18.5% compared to 18.8% in the second quarter.
GAAP operating was 14.4% compared to 14.3% in the second quarter.
Non-GAAP operating margin was 18.5% compared to 18.5% in the second quarter.
GAAP earnings per fully diluted share was $0.40 compared to $0.43 in the second quarter.
Non-GAAP earnings per fully diluted share was $0.59 compared to $0.58 in the second quarter.
Cash, cash equivalents and short-term investments increased $588.0 million to approximately $1.2 billion at the end of the third quarter, compared to $626.3 million at the end of the second quarter.
This increase was primarily due to the issuance of $575.0 million of 0.50% convertible notes due in December 2036, which yielded net proceeds of $569.3 million. Excluding those net proceeds, cash would have increased $18.7 million during the quarter. ■