Lumentum Holdings Inc.

Optical hardware for growing networks

Lumentum Holdings Inc. trades on Nasdaq as LITE. It develops lasers, optical components, modules and networking systems used in data centers, telecommunications and other photonics applications.

Latest quarter and the earlier promise

Fiscal 2027's first quarter ended September 26, 2026. The year-earlier quarter ended September 27, 2025. Dollar amounts below are in millions.

Metric	Q1 FY2026	Q1 FY2027
Revenue	$533.8	$1,262.6
Reported operating income	$6.7	$359.8
Adjusted operating income	$99.8	$534.4
Adjusted operating margin	18.7%	42.3%
Reported net income	$4.2	$360.3

August's forecast put quarterly revenue at $1.225 billion to $1.275 billion and adjusted operating margin at 39.5% to 40.5%. Actual sales were inside the range, while the adjusted margin was above it.

Adjusted operating profit removes stock-based compensation and related payroll taxes, accounting charges on acquired intangible assets, integration costs and other selected items, and excludes a business-sale gain. The latest stock-pay and payroll adjustment was $146.7 million, including $89.4 million from modifying executive equity awards.

For the second fiscal quarter, Lumentum expects revenue of $1.575 billion to $1.625 billion and adjusted operating margin of 45% to 46%.

Cash and debt before the proposed merger

At September 26, cash was $1.27 billion and short-term investments were $707.4 million. Together they totaled $1.98 billion, down $758.8 million from June 27. The balance sheet carried $1.36 billion of current debt and $39.3 million of long-term debt, compared with $1.60 billion and $40.5 million at June 27.

The Marvell agreement is pending

The companies signed their merger agreement on November 1 and announced it on November 2. Each Lumentum common share would receive 4.5 Marvell common shares. The announced enterprise value of $115 billion including debt uses October 28 reference prices; the dollar value changes with Marvell's share price.

Lumentum holders would own about 33% of the combined company on a fully diluted basis. The companies expect closing in the first half of 2028, with shareholder and regulatory approvals required, and target more than $1 billion in annual cost savings.