VIAVI reported a strong fiscal Q3 2025 with net revenue rising 15.8% year-over-year to $284.8 million, driven by a 24% increase in Network Enablement segment sales and stable performance in Optical Security and Performance Products (OSP). Non-GAAP operating margin expanded to 16.7%, up 740 basis points from the prior year, while non-GAAP EPS rose to $0.15, a 150% increase year-over-year. CEO Oleg Khaykin cited strength across both the NSE and OSP segments and expressed confidence in continued recovery in core markets.
The company’s Network Enablement business—its largest segment—generated $188 million in revenue for the quarter, up from $151.7 million a year ago. VIAVI highlighted demand from global service providers modernizing their wireline and wireless networks, including 5G and fiber rollouts. Meanwhile, the OSP segment delivered $76.6 million in revenue, roughly flat year-over-year, but up 8% sequentially. Regional performance remained well-balanced across the Americas (38%), Asia-Pacific (35.4%), and EMEA (26.6%).
For the fiscal fourth quarter, VIAVI guided revenue between $278 million and $290 million and non-GAAP EPS between $0.10 and $0.13. The company ended the quarter with $400 million in cash and equivalents, and reiterated a disciplined approach to cost management and innovation in its network test and optical platforms.
- Q3 2025 revenue: $284.8M (+15.8% YoY)
- Non-GAAP EPS: $0.15 (+150% YoY)
- Non-GAAP operating margin: 16.7% (+740 bps YoY)
- Network Enablement revenue: $188M (+23.9% YoY)
- Optical Security & Performance revenue (OSP): $76.6M (flat YoY, +8% QoQ)
- Cash & equivalents: $400.2M
- Convertible + Senior Notes: $640.9M net carrying value
- Cash from operations: $7.8M
- Q4 2025 outlook:
- Revenue: $278M–$290M
- Non-GAAP EPS: $0.10–$0.13
“VIAVI delivered strong results driven by strength in both NSE and OSP,” said CEO Oleg Khaykin. “We remain optimistic regarding the continued recovery and growth in our end markets.”
