NASDAQ$LITE

Lumentum Holdings Inc · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Lumentum's Q2 2020 financial results were announced, featuring record revenue, gross margin, and operating margin.

Lumentum reported a strong fiscal second quarter of 2020, with record revenue, gross margin, and operating margin. Net revenue reached $457.8 million, and GAAP net income was $49.1 million, or $0.63 per diluted share. The company held $1,315.6 million in total cash and short-term investments at the end of the quarter.

  • Net revenue was $457.8 million.
  • GAAP operating margin was 16.3%; Non-GAAP operating margin was 28.8%.
  • GAAP diluted net income per share was $0.63; Non-GAAP diluted net income per share was $1.53.
  • The company held $1,315.6 million in total cash and short-term investments.

Headline financials

Total Revenue

$458M

Previous: $374M+22.5%
EPS (adj)

$1.53

Previous: $1.15+33.0%
Capital Expenditures

-$47.4M

Previous: -$53.9M+12.1%
Free Cash Flow

$1.7M

Previous: -$37.6M+104.5%
Net Income

$49.1M

Previous: $16.3M+201.2%
Operating Income

$74.8M

Previous: $11.5M+550.4%
Gross Profit

$189M

Previous: $125M+51.5%
Cash & Equivalents

$1.09B

Previous: $371M+192.2%
Total Assets

$3.22B

Previous: $2.8B+15.2%
Stock-Based Comp

$20.2M

Previous: $19.7M+2.5%

Revenue & EPS history

Lumentum · Revenue · Quarterly

$458M

Q2 2020+22.5%vs Q2 2019
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Forward guidance

Lumentum expects net revenue in the range of $400 million to $425 million, Non-GAAP operating margin of 21% to 23%, and Non-GAAP diluted earnings per share of $1.00 to $1.17 for the fiscal third quarter 2020. The projections incorporate an approximate $15 million to $20 million reduction in revenue at the mid-point, and a wider than normal revenue range, due to the anticipated impact of the 2019 novel coronavirus outbreak.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

+1.1%

Avg return

Earnings day

+4.0%

Avg return

5 days after

+4.5%

Avg return

30 days after

45%

21 / 47 earnings

Positive

+25.8%

Q2 2018

Best reaction

-21.5%

Q1 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026-7.7%+5.9%-13.2%
Q2 2026+11.3%+32.6%+28.3%
Q1 2026+23.6%+38.0%+75.9%
Q3 2025+3.0%+11.3%+26.5%
Q2 2025-7.3%-14.5%-33.0%
Q1 2025+16.5%+20.4%+29.0%
Q4 2024+13.0%+14.2%+20.6%
Q3 2024-7.5%-2.1%+1.5%
Q2 2024-14.6%-19.0%-18.9%
Q1 2024-5.9%-2.6%+4.8%
Q4 2023+2.5%+9.6%+3.1%
Q3 2023-7.0%-11.8%+6.7%
Q2 2023-2.9%-3.0%-15.7%
Q1 2023-21.5%-18.0%-20.8%
Q4 2022-7.2%-3.9%-21.1%
Q3 2022+8.1%+5.9%+2.3%
Q2 2022-10.5%-5.5%-7.5%
Q1 2022+7.5%+6.3%-1.0%
Q4 2021+5.9%+7.4%+6.4%
Q3 2021-17.9%-12.1%-1.6%
Q2 2021-7.4%-7.2%-10.8%
Q1 2021-1.1%+7.2%+5.4%
Q4 2020+5.6%+5.6%-20.2%
Q3 2020+2.7%+3.7%-2.3%
Q2 2020+12.9%+13.1%+12.7%
Q1 2020+13.9%+15.1%+28.8%
Q4 2019+8.6%+8.2%+4.9%
Q3 2019-2.4%-3.7%-27.6%
Q2 2019-5.8%-14.7%-6.7%
Q1 2019-4.2%+0.8%-18.6%
Q4 2018+1.0%+0.8%+13.7%
Q3 2018+11.3%+16.7%+16.4%
Q2 2018+25.8%+34.3%+53.4%
Q1 2018-6.8%-9.1%-17.3%
Q4 2017-10.5%-8.7%-4.8%
Q3 2017+15.7%+20.1%+36.4%
Q2 2017+18.2%+22.3%+18.2%
Q1 2017-7.9%-11.9%+1.4%
Q4 2016+1.8%+4.6%+20.2%
Q3 2015-5.2%
Q3 2016-5.2%
Q2 2016+9.2%
Q1 2015-0.6%
Q1 2016-0.4%
Q4 2015-0.1%
Q2 2015-0.1%
Q4 2014-0.1%
Q3 2014
Q2 2014
Q1 2014

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