VIAVI closed fiscal 2025 with stronger revenue and profitability, driven by growth in its Network and Service Enablement and Optical Security and Performance Products segments. Fourth quarter net revenue reached $290.5 million, up 15.3% year-over-year, with GAAP operating margin improving to 5.3% and non-GAAP operating margin to 14.4%. Full-year revenue totaled $1.08 billion, an 8.4% increase from fiscal 2024, while GAAP net income rose to $34.8 million from a loss the prior year. The company ended the year with $429 million in cash and short-term investments.
Network and Service Enablement contributed $776.6 million for the year, up 10.6%, supported by recovery in the service provider test and measurement market and rising demand in data center ecosystems. Optical Security and Performance Products delivered $307.7 million, a 3.1% increase, reflecting stable demand in security pigments and specialty optics. The Americas accounted for 39.2% of annual revenue, followed by Asia-Pacific at 35.0% and EMEA at 25.8%. Operating cash flow for the year was $89.8 million.
For Q1 fiscal 2026, VIAVI expects revenue between $290 million and $298 million and non-GAAP EPS between $0.13 and $0.14. CEO Oleg Khaykin said, “Our recovery was further accelerated by the high growth in our data center ecosystem and aerospace & defense segments. We expect the positive momentum in our end markets to continue through calendar year 2025.”
• Q4 revenue: $290.5M, up 15.3% YoY
• FY 2025 revenue: $1.08B, up 8.4% YoY
• Q4 non-GAAP operating margin: 14.4%, up 350 bps YoY
• FY Network and Service Enablement revenue: $776.6M, up 10.6%
• FY Optical Security and Performance Products revenue: $307.7M, up 3.1%
• Year-end cash and investments: $429M
🌐 Why it Matters
VIAVI’s results highlight strengthening demand across telecom, cloud, and aerospace/defense markets, particularly in data center test solutions as AI workloads drive network upgrades. The rebound in service provider spending and stable security optics demand position VIAVI for continued growth, though margin management will be key amid competitive test and measurement market pressures.
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Viavi Revenue Trend
| Quarter | Revenue (USD Millions) | Year-over-Year Change | Quarter-over-Quarter Change |
|---|---|---|---|
| Q4 FY2025 (Jun 28, 2025) | $290.5 | +15.3% | +2.0% |
| Q3 FY2025 (Mar 29, 2025) | $284.8 | +9.6% | +2.1% |
| Q2 FY2025 (Dec 28, 2024) | $278.9 | +8.8% | +1.4% |
| Q1 FY2025 (Sep 28, 2024) | $275.1 | +7.5% | +0.8% |
| Q4 FY2024 (Jun 29, 2024) | $252.0 | -1.1% | -3.5% |
| Q3 FY2024 (Mar 30, 2024) | $249.6 | -2.3% | -1.2% |