Applied Optoelectronics raises guidance after new business orders

Created September 27, 2016
News and Business

Applied Optoelectronics Inc. (AOI), a developer of fiber-optic access network products for the internet, datacenter and fiber-to-the-home markets, has revised the guidance for trading in its third quarter of 2016, which ends September 30th.

Highlights of the company’s revised guidance include the following: revenue to be in the range of $63.0m to $65.0m, above the previous guidance of $56.0m to $59.0m; net income in the range from $4.7m to $5.2m, up from the prior outlook of $2.9m to $3.8m; and earnings per share in the range of $0.26 to $0.29 – above the prior outlook of $0.16 to $0.21 per share. All above figures are non-GAAP.

Dr. Thompson Lin, AOI’s founder, president and CEO, commented, “Customer demand for our datacenter products has accelerated in the latest quarter and has outpaced our prior expectations. So we are increasing our third quarter guidance in order to reflect the increased demand.”

At the end of August , AOI announced that it had received initial orders for its 40 Gbps QSFP+ and 100 Gbps QSFP28 optical transceiver modules from a new hyper-scale datacenter customer.

Dr. Lin said, “After an extensive period of product testing and qualification, we are pleased to provide our products to a new large datacenter customer. The initial orders we have received, totaling more than 10,000 transceivers of various product types, are for delivery over the next couple of quarters, and represent a compelling opportunity to develop a long-term relationship with this new customer.”

AOI’s optical transceivers are predominantly deployed in intra-datacenter applications and are used for high-speed switching and routing connectivity. AOI has invested over $70 million in the past year on state-of-the-art production and R&D facilities at its headquarters in Sugar Land, TX, USA, to enable cost-effective, high volume production for its datacenter and CATV broadband product lines, including in-house laser diode and light engine production.

Link: http://ao-inc.com/news-events/applied-optoelectronics-increases-guidance-for-third-quarter-2016/
See also: Applied Optoelectronics Receives Initial Orders from New Hyper-Scale Datacenter Customer

By Optical Connections News Team