Ciena Corporation (NYSE:CIEN) shares rose 4.3% in premarket trading after the optical networking equipment company reported fiscal third-quarter earnings and revenue above analyst expectations.
For the quarter ended August 1, 2026, Ciena reported adjusted earnings per share of $2.11, exceeding the analyst consensus of $1.72 by $0.39.
Revenue increased 37% year over year to $1.67 billion from $1.22 billion, compared with the analyst estimate of $1.63 billion.
The company attributed the quarterly performance to network investment associated with artificial intelligence.
“Today’s outstanding financial performance demonstrates Ciena’s leadership in providing industry-leading, high-speed connectivity solutions as AI continues to drive compounding waves of network investment,” said Gary Smith, president and CEO.
Ciena Raises Fiscal 2026 Revenue Guidance
For the fiscal fourth quarter of 2026, Ciena expects revenue of $1.75 billion, plus or minus $50 million. The midpoint compares with the analyst consensus estimate of $1.7 billion.
Ciena also raised its full-year fiscal 2026 revenue guidance to $6.42 billion, plus or minus $50 million. At the midpoint, the forecast represents a 35% year-over-year increase.
Adjusted Operating Margin Expands to 22.5%
Ciena reported an adjusted gross margin of 46.4% for the third quarter, compared with 41.9% in the corresponding period a year earlier.
Adjusted operating margin increased to 22.5% from 10.7% year over year.
The company’s Optical Networking segment generated revenue of $1.19 billion, up from $815.5 million in the third quarter of fiscal 2025.
Two customers each accounted for more than 10% of Ciena’s revenue during the quarter, collectively representing 41.7% of total quarterly revenue.
Marc Graff, Chief Financial Officer, stated, “Our record fiscal third quarter results reflect Ciena’s ability to deliver increasingly profitable growth while positioning for future opportunities.”
Ciena Corporation stock price
