Why Ciena (CIEN) Shares Are Surging Today - Ciena (NYSE:CIEN)

Ciena Corp CIEN reported a fourth-quarter FY22 revenue decline of 6.8% year-on-year to $971 million, beating the consensus of $849.9 million.
Segments: Total Networking Platforms revenue fell by 9.2% Y/Y to $752.7 million, and Total Global Services decreased by 1% Y/Y to $125.5 million.
Margins: Adjusted gross margin contracted 110 bps to 45.2% as costs decreased by 4.8% Y/Y.
Adjusted operating margin contracted 380 bps to 13% as adjusted operating costs rose 1.9% Y/Y.
Non-GAAP EPS of $0.61 beat the consensus of $0.08.
Ciena held $1.2 billion in cash and equivalents and used $(14.5) million in operating cash flow.
"Our strong fiscal fourth quarter financial results were better than expected as we benefited from some favorable supply chain developments in the second half of the quarter," said Gary Smith, president, and CEO of Ciena. "Looking ahead, we expect to deliver outsized revenue growth in fiscal 2023 given our significant backlog and continued signs of gradual supply improvement."
Price Action: CIEN shares traded higher by 16.67% at $50.45 in the premarket on the last check Thursday.
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Ciena Quashes Q4 Consensus As Supply Chain Crisis Ease; Looks To Deliver Outsized Revenue Growth In FY23