Key Highlights

  • LITE reported fiscal first quarter 2027 Revenue of $1,262.6 million, up 136.5% year over year and 25.5% sequentially.
  • GAAP Net Income was $360.3 million, or $3.54 per diluted share, versus $4.2 million a year earlier.
  • Non-GAAP net income reached $461.1 million, or $4.57 per diluted share, with a non-GAAP Operating Margin of 42.3%.
  • Systems revenue rose 228.8% to $508.4 million, and components revenue rose 98.9% to $754.2 million.
  • Second quarter revenue is forecast at $1.575 billion to $1.625 billion, with non-GAAP EPS of $5.90 to $6.20.

Revenue More Than Doubles as Pump Lasers and Optical Switches Lead

Lumentum (NASDAQ:LITE) reported results on Nov 2, 2026 for its fiscal first quarter ended Sep 26, 2026. Revenue was $1,262.6 million, up 136.5% from $533.8 million a year earlier and up 25.5% from $1,006.3 million in the prior quarter.

Lumentum makes lasers, modules and optical subsystems used in Data Center connectivity, telecom networks, industrial Manufacturing and sensing. Management said growth came across all businesses, led by pump lasers and optical circuit switches (OCS), and that cloud modules improved on the gross margin line.

Systems revenue climbed 228.8% to $508.4 million, or 40.3% of the total, and components revenue rose 98.9% to $754.2 million.

Profit Swings From a $7.2 Billion Loss to $360.3 Million on Margin Expansion

GAAP net income was $360.3 million, or $3.54 per diluted share, compared with $4.2 million, or $0.05, a year earlier. The prior quarter ended Jun 27, 2026 showed a net loss of $7.2 billion, or $84.65 per share, which the reconciliation ties to a $7,756.6 million loss on Debt extinguishment.

GAAP gross margin rose to 51.0% from 34.0% a year ago, and GAAP operating margin was 28.5% versus 1.3%. Non-GAAP gross margin was 53.2% and non-GAAP operating margin 42.3%, up from 39.4% and 18.7%. Non-GAAP net income was $461.1 million, or $4.57 per diluted share, versus $86.4 million, or $1.10.

Adjusted EBITDA was $578.0 million versus $127.6 million. GAAP Operating Income of $359.8 million included $146.7 million of stock-based compensation and related payroll taxes, of which $89.4 million came from an Equity award modification linked to the retirement of certain executives announced during the quarter.

Second Major Co-Packaged Optics Win and Rising Optical Switch Demand

Management said Lumentum secured its second major win in near-packaged and co-packaged optics, backed by purchase commitments exceeding $5 billion. It also said visibility into OCS Demand has expanded significantly in recent months, positioning optical switching to become a multi-billion-dollar annual revenue stream.

R&D expense rose to $191.8 million from $81.4 million, and the filing notes costs tied to the ramp of the Greensboro, North Carolina facility. The company recorded a $6.9 million gain on sale of a product line for proceeds of $12.3 million.

Cash, cash equivalents and short-term investments totaled $2.0 billion, down $758.8 million from the end of the prior quarter. Current debt was $1,360.3 million against $39.3 million of long-term debt.

Second Quarter Guide Implies About $350 Million of Sequential Growth

For the fiscal second quarter, Lumentum expects revenue of $1.575 billion to $1.625 billion, a non-GAAP operating margin of 45.0% to 46.0% and non-GAAP diluted EPS of $5.90 to $6.20. Management said that implies roughly $350 million of sequential growth, more than the company's entire quarterly revenue two years ago.

The company flagged risks including product mix swings, falling average selling prices, capacity expansion and customer order changes. Its Quarterly Report on Form 10-Q for the period ended Sep 26, 2026 was still to be filed, and the second quarter results are the next checkpoint.