Viavi Solutions Inc. Q1 FY2026 earnings call

· Q1 2026 net revenue $299.1M, above guidance range, up 3% QOQ and 25.6% YOY. · Operating margin 15.7%, above guidance. · NSE revenue up 35.5% YOY driven by data center ecosystem and Aerospace & Defense. · OSP revenue up 5.5% YOY from Anti-Counterfeiting and Other products. · Acquired Spirent's business lines adding ~$200M annual revenue run rate. · Refinanced $250M convertible notes and repurchased shares.

Net revenue for the quarter was $299.1 million. NSE revenue for the first fiscal quarter came in at $216 million, above the high end of guidance, up 35.5% YOY with gross margin 63% and operating margin 7.5%. OSP revenue was $83.1 million, in line with guidance, up 5.5% YOY, with gross margin 52.3% and operating margin 37.1%.

· Q2 2026 Viavi revenue expected $360-370M, NSE $283-293M (including Spirent $45-55M), OSP ~$77M. · Viavi operating margin expected 17.9% ±60bps, NSE 13.6% ±70bps, OSP 34% ±50bps. · EPS expected $0.18-0.20. · Tax expense ~$10M ±$500k, other income/expense net expense ~$12.2M.

· Forward-looking statements subject to risks and uncertainties causing actual results to differ. · Market volatility, competition, regulatory changes impacting performance.

Q: Ruben Roy asked about revenue mix and growth in core NSE business.

A: Oleg Khaykin discussed mix shifting to data center, aerospace defense growth, and wireless headwinds.

Q: Mehdi Hosseini asked about OSP and wireless impact.

A: Oleg Khaykin talked about OSP stabilization and wireless as potential catalyst.

Q: Ryan Koontz asked about data center execution and competitors.

A: Oleg Khaykin discussed data center ecosystem and competition.

Q: Michael Genovese asked about Spirent acquisition accretion.

A: Ilan Daskal and Oleg Khaykin discussed accretion timing.

Q: Andrew Spinola asked about Spirent margin and data center growth.

A: Oleg Khaykin and Ilan Daskal discussed Spirent margin and data center growth drivers.

Q: Timothy Savageaux asked about Spirent exposure and Tier 1 telecom.

A: Oleg Khaykin discussed Spirent exposure and Tier 1 telecom trends