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HomeEarningsLumentum Holdings FY2026 Q3
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FY2026 Q3
Earnings Review
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BEAT

Lumentum Holdings

Lumentum Holdings · Optical (Lasers/Components)

Tue, May 5, 2026·After Market Close
LumentumLasersOptical ComponentsEMLVCSELEarnings

01Wall Street Consensus

EPS$1.20
Revenue$480M

02Earnings Results

EPS$2.37+4.9%
Revenue$808M+0.7%
After-Hours ReactionAH +1%

Key Takeaways

  • Non-GAAP EPS $2.37 — beat consensus $2.26 by +4.9%, +316% YoY
  • Revenue $808M — beat consensus $802.94M by +0.7%, +90% YoY all-time high
  • Non-GAAP operating margin +2,100 bps YoY — product mix and operating leverage
  • Cloud/AI light-source revenue surging — driven by 800G/1.6T transceivers
  • Q4 FY2026 revenue guide $960-1,010M — midpoint +22% QoQ and +100% YoY
  • Q4 FY2026 non-GAAP operating margin guide 35-36% — additional expansion
  • Q4 FY2026 non-GAAP EPS guide $2.85-3.05

Key Checkpoints

  • 01Cloud & Networking revenue — 800G transceiver laser chip demand
  • 02EML and VCSEL laser chip revenue for AI data center transceivers
  • 03Industrial Tech revenue recovery — manufacturing laser demand
  • 04Gross margin trajectory — 40%+ from Datacom product mix
  • 05Design wins for 1.6T transceiver laser components
  • 06Telecom segment revenue stabilization

Upside Catalysts

  • 800G transceiver demand driving laser chip volume growth at hyperscalers
  • 1.6T laser design wins positioning Lumentum for next upgrade cycle
  • EML laser leadership for long-reach optical connections in AI clusters
  • Cloud & Networking segment growing 30%+ offsetting Telecom weakness
  • Potential acquisition target given strategic laser technology assets

Risk Factors

  • Telecom laser revenue remains depressed — carrier capex weakness continuing
  • Competition from II-VI (Coherent) and Chinese laser manufacturers
  • Customer concentration — few hyperscalers drive majority of Datacom laser demand
  • 3D sensing (Face ID) revenue declining as Apple diversifies sensing technology
  • Margin pressure from industrial laser commoditization
Detail

EEPS History (Last 2 Quarters)

Actual EPS vs Consensus — Green Beat · Red Miss

Beat2
Miss0
Beat rate100%

1Final Verdict

Lumentum is a key supplier of laser chips used inside optical transceivers that connect AI data centers. Consensus EPS $1.20, Revenue $480M. The company is riding the 800G transceiver supercycle with EML and VCSEL lasers, though legacy Telecom and 3D sensing segments remain headwinds.

The AI optical networking buildout is the primary growth driver — every 800G/1.6T transceiver requires Lumentum's laser chips. Cloud & Networking revenue is growing 30%+ YoY and now represents the majority of the business.

The stock has been a turnaround story — recovering from the combined impact of Telecom carrier capex cuts and Apple 3D sensing revenue declines. The 1.6T laser design wins provide multi-year visibility.

2Laser Technology & AI

EML Lasers:

  • Electro-absorption Modulated Lasers for 800G/1.6T transceivers
  • Long-reach (2km+) applications in data center interconnect
  • Lumentum has leading EML technology for high-speed applications

VCSEL Lasers:

  • Vertical-Cavity Surface-Emitting Lasers for short-reach transceivers
  • Used in 800G SR (short-reach) modules inside data centers
  • Also used in 3D sensing (declining segment)

Cloud & Networking Segment:

  • Revenue growing 30%+ YoY — now 50%+ of total revenue
  • Customers: Coherent, II-VI, Broadcom, and other transceiver makers
  • Every AI GPU cluster requires thousands of optical connections — each with Lumentum lasers

3Legacy Segments & Outlook

Telecom:

  • Coherent optics for long-haul and metro networks
  • Revenue depressed by carrier capex cuts
  • Recovery timeline: H2 2026 to 2027

Industrial Tech:

  • Fiber lasers for manufacturing (cutting, welding, marking)
  • Revenue: Stable but limited growth
  • Facing competition from IPG Photonics and Chinese manufacturers

3D Sensing:

  • Apple Face ID VCSEL revenue declining
  • Apple exploring alternative sensing technologies
  • Revenue: $50-60M quarterly and shrinking

Financial Outlook:

  • Gross margin target: 42-45% (up from 35% at trough)
  • Path to $2B+ annual revenue if both Datacom growth and Telecom recovery materialize
  • M&A: Lumentum could be an acquisition target for companies seeking vertical laser integration
Detail

SEPS 서프라이즈 히스토리

Beat2Miss0Beat률 100%

분기별 EPS 컨센서스 대비 서프라이즈(%) — 막대: EPS, 점선: 매출

컨센서스 대비 실제 EPS/매출 서프라이즈 (%)

Comments

Earnings
Earnings Info
SymbolLITE
QuarterFY2026 Q3
Report Date2026-05-05
Report TimeAMC
SectorOptical (Lasers/Components)
StatusReleased
Wall Street Consensus
EPS$1.20
Revenue$480M
Results
Actual EPS$2.37
Actual Revenue$808M
After-Hours ReactionAH +1%
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