Lumentum (LITE) Q3 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Wed, May 6, 2026 astatine 10:29 AM CDT 42 min read

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DATE

May 5, 2026 astatine 5 p.m. ET

CALL PARTICIPANTS

• President and Chief Executive Officer — Michael E. Hurlston

• Executive Vice President and Chief Financial Officer — Wajid Ali

• President, Global Business Units — Wupen Yuen

• Vice President, Investor Relations — Kathryn Ta

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Full Conference Call Transcript

Michael Hurlston, President and Chief Executive Officer; Wajid Ali, Executive Vice President and Chief Financial Officer; and Wupen Yuen, President, Global Business Units. Today's telephone volition see forward-looking statements, including, without limitation, statements regarding our aboriginal operating results, strategies, trends and expectations for our products and technologies that are being made nether the harmless harbor of the Securities Litigation Reform Act of 1995. These statements are taxable to risks and uncertainties that could origin existent results to disagree materially from our existent expectations, peculiarly the risks acceptable distant successful our SEC filings nether Risk Factors and elsewhere.

We promote you to reappraisal our astir caller filings with the SEC, peculiarly the hazard factors described successful our 10-Q for the fiscal 4th ended December 27, 2025, and successful our astir caller 10-Q for the fiscal 4th ended March 28, 2026, to beryllium filed by Lumentum with the SEC. The forward-looking statements provided during this telephone are based connected Lumentum's tenable beliefs and expectations arsenic of today. Lumentum undertakes nary work to update oregon revise these statements, but arsenic required by applicable law. Please besides enactment that unless different stated, each fiscal results and projections discussed successful this telephone are non-GAAP.

Non-GAAP financials person inherent limitations and are not to beryllium considered successful isolation from oregon arsenic a substitute for oregon superior to financials prepared successful accordance with GAAP. You tin find a reconciliation betwixt non-GAAP and GAAP measures and accusation astir our usage of non-GAAP measures and factors that could interaction our fiscal results successful our property merchandise and our filings with the SEC. Lumentum's property merchandise with the fiscal 3rd 4th results and accompanying supplemental slides are disposable connected our website astatine www.lumentum.com nether the Investors section. We promote you to reappraisal these materials carefully. With that, I'll crook the telephone implicit to Michael.

Michael E. Hurlston: Thank you, Kathy, and bully afternoon, everyone. Lumentum delivered an exceptional 3rd 4th with gross increasing 90% year-over-year to a grounds $808 million. Top enactment maturation was chiefly driven by our transceiver concern and laser chips. While gross maturation was impressive, our non-GAAP operating borderline was much so, expanding by implicit 2,100 ground points year-over-year, fueled by a affluent merchandise premix and beardown operating leverage. The borderline enlargement was chiefly driven by our industry-leading scale-out portfolio, but different portion of the communicative was our wide array of scale-across products. As hyperscalers exhaust the powerfulness and abstraction limits of idiosyncratic information halfway buildings, they are shifting to distributed architectures that nexus compute domains crossed disparate geographies.