Ciena Corp Stock Price, News & Analysis

Ciena (NYSE: CIEN) has announced a new $1 billion share repurchase program authorized by its Board of Directors. The program will commence in fiscal year 2025 and continue through the end of fiscal year 2027. CFO James E. Moylan, Jr. stated that this decision reflects confidence in the company's business strength, cash generation, and operating results, as well as its competitive advantage with a robust balance sheet.

The repurchase may be executed through various methods, including open market, privately negotiated transactions, or structured through investment banking institutions. Ciena may also enter into Rule 10b5-1 plans to facilitate repurchases. The program's implementation is subject to factors such as liquidity, cash flow, stock price, and market conditions, and can be modified or suspended at any time. Funding will come from cash on hand or generated from operations.

Lightpath and Ciena have deployed the industry's first 400 Gb/s protected optical circuit using power-efficient and high-performance pluggable technologies. This achievement increases maximum bandwidth levels for mission-critical services while using 80% less electricity. The solution was designed for a hyperscale customer, providing a 400 Gb/s geographically diverse and protected circuit over approximately 200 miles, traversing water crossings and utilizing an average of 8 POPs per side.

The deployment combines Lightpath's dense fiber plant with Ciena's 6500 packet optical platform powered by WaveLogic 5 Nano coherent pluggable optics. Key features include optical layer protection, reducing customer circuit handoffs by half while maintaining less than 50ms switch times. Ciena's WaveLogic 5 Nano solution delivers the highest 400G pluggable performance in the industry, requiring 50% less physical space compared to standard transponder deployments.

Sipartech, a leading European infrastructure operator, is enhancing its network with Ciena's GeoMesh Extreme submarine network solution. This upgrade enables Sipartech to provide wholesale 400GbE services over an 800Gb/s wavelength on its submarine network, strengthening its pan-European terrestrial and undersea infrastructure.

The deployment includes the Medloop France submarine cable connecting Barcelona, Marseille, and Genoa, offering a diverse path from Spain to Europe. This expansion supports digital growth and ensures network resilience against disruptions. Sipartech's network utilizes Ciena's 6500 Packet-Optical Platform and WaveLogic 5 Extreme, managed by the Navigator Network Control Suite, providing maximum bandwidth efficiency and flexibility.

Ciena (NYSE: CIEN) has unveiled a 1.6 Tb/s Coherent-Lite pluggable solution to help cloud and data center providers handle the expected surge in traffic from cloud, machine learning, and AI applications. This offering, based on Ciena's WaveLogic 6 Nano (WL6n) technology, will be available in both 1.6 Tb/s and 800G versions. The solution utilizes a 3nm coherent ASIC that supports dual 800G data paths within a single DSP chip.

The Coherent-Lite design is optimized for power and latency in shorter-reach data center applications. Industry experts predict this technology will address the increasing bandwidth demands driven by AI and machine learning adoption. Ciena's WL6n Coherent ASIC will be available for electro-optic integration by the end of this year, with a prototype of the 1.6 Tb/s pluggable to be showcased at ECOC 2024.

Commsworld, Scotland's leading ISP, has launched a new business-grade 'Ethernet over Fibre to the Premises (EoFTTP)' broadband service using Ciena's (NYSE: CIEN) XGS-PON technology. The service offers 1 Gb/s symmetric connectivity with bandwidth guarantees and repair times comparable to more expensive leased lines, addressing a gap in the UK connectivity market.

The network utilizes Ciena's XGS-PON pluggable optical line terminals (micro-OLTs) and 3801 optical network units (ONUs). This deployment allows Commsworld to easily scale bandwidth to meet demand, particularly in rural areas. The project is being carried out in cooperation with Ciena's partner Nomios, focusing on integration and automation to deliver new revenues from existing infrastructure.

Danish network provider TDC NET is transforming its Operating Support System (OSS) using automation software from Blue Planet, a division of Ciena (NYSE:CIEN). The implementation of Blue Planet Inventory (BPI) on Blue Planet's Cloud Native Platform will provide TDC NET with a unified view of its mobile and fixed network resources and services. This deployment is part of TDC NET's larger digital transformation strategy, which includes integration with other vendors for various functions. The BPI will enable TDC NET to accurately model and visualize network resources, automate workflows, and streamline operations. This transformation follows TDC NET's recent optical transport network upgrades with Ciena, demonstrating a comprehensive, open, and future-ready ecosystem.

Ciena (NYSE: CIEN) has announced that James E. Moylan, Jr., Senior Vice President and Chief Financial Officer (CFO), plans to retire on August 28, 2025. Moylan has served Ciena for over 16 years and will continue as CFO until a successor is in place. The company will begin a search process to identify a new CFO.

Gary Smith, Ciena's president and CEO, praised Moylan's significant contributions to the company's growth and operating model. Moylan expressed his gratitude for being part of Ciena, describing it as the highlight of his career. He will continue in a leadership role for the next year to ensure a smooth transition.

Ciena (NYSE: CIEN), a networking systems, services, and software company, reported Q3 fiscal 2024 results with revenue of $942.3 million, down 11.8% YoY from $1.07 billion in Q3 2023.

GAAP net income was $14.2 million or $0.10 per share, compared to $29.7 million or $0.20 per share last year. Adjusted net income was $50.8 million or $0.35 per share, down from $89.1 million or $0.59 per share in Q3 2023.

The company repurchased 0.6 million shares for $29 million during the quarter. GAAP gross margin increased to 42.9% from 42%, and non-GAAP gross margin improved to 43.7% from 42.7%. Operating margin declined to 2.9% (GAAP) and 8% (non-GAAP) from 7.3% and 12% respectively. Adjusted EBITDA also dropped by 34.9% YoY to $98.5 million.

By segment, Networking Platforms revenue decreased to $699.5 million from $846.6 million, while Platform Software and Services saw a slight rise to $83.2 million. Geographically, the Americas led with $718.6 million in revenue.

Arelion and Ciena (NYSE: CIEN) have achieved a world-first 1.6 Tb/s wavelength data transmission in a live network field trial. The test was conducted on Arelion's 470km route between Ashburn, Virginia and Virginia Beach, using Ciena's WaveLogic 6 Extreme (WL6e) technology. This breakthrough will enable Arelion to increase capacity and serve growing bandwidth demands for 5G, AI/ML applications, cloud services, and content delivery.

Key benefits of WL6e include:

• 50% reduction in space and power per bit
• 15% higher spectral efficiency
• Ability to deliver multiple 400/800 Gb/s services
• Improved energy efficiency and performance

The trial also utilized Ciena's 6500 Reconfigurable Line System for simplified network provisioning. This milestone reinforces Arelion's commitment to open optical networking and next-generation coherent optic solutions.