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Viavi to Report Q3 Earnings: Can Healthy Revenues Drive Growth?

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Key Takeaways

  • VIAVI launched hollow-core fiber testing on OneAdvisor 800 for hyperscalers & next-gen data centers.
  • VIAVI expanded XEdge cloud edge monitoring with new sensors for private 5G and enterprise network demand.
  • VIAVI introduced TestCenter D2 1.6T for AI data center testing and Observer Threat Forensics for NetSecOps.

Viavi Solutions Inc. (VIAV - Free Report) is set to report third-quarter fiscal 2026 results on April 29, after the closing bell. In the last reported quarter, the company delivered an earnings surprise of 15.79%. It pulled off a trailing four-quarter earnings surprise of 16.13% on average, beating estimates in all the previous quarters.

The company is expected to record year-over-year revenue growth, driven by strong demand across cloud, telecom and artificial intelligence (AI) infrastructure markets. Continued innovation and new product launches further support business momentum and customer adoption.

Factors at Play

During the fiscal third quarter, Viavi launched the industry’s first long-range hollow core fiber testing and certification solution built on its OneAdvisor 800 Fiber platform. It targets early demand from hyperscalers and next-generation high-speed data center networks. Early adoption is expected to have generated incremental revenues in the quarter to be reported.

During the quarter, Viavi expanded its XEdge cloud-based edge monitoring platform with new sensor options. It will support the growing demand from private 5G and enterprise networks, driving early customer upgrades and additional software and hardware sales.

Viavi introduced the TestCenter D2 1.6T appliance in the March quarter to address the rising demand for AI data center infrastructure testing from large cloud and hyperscale providers. The solution strengthens its position in next-generation Ethernet validation.

In the quarter under review, Viavi launched Observer Threat Forensics to enhance its NetSecOps offerings through advanced security analysis. These product launches are expected to have supported revenues and steady business momentum in the fiscal third quarter.

Viavi’s diversified portfolio across network testing, edge monitoring, data center validation and security analytics is expected to have supported steady business momentum.

Overall Expectations

For the March quarter, the Zacks Consensus Estimate for total revenues is pegged at $393.5 million, indicating an increase from $285 million recorded a year ago. The consensus mark for earnings is pegged at 24 cents per share, indicating an increase from 15 cents reported in the year-ago quarter.

Earnings Whispers

Our proven model does not predict an earnings beat for Viavi for the fiscal third quarter. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. This is not the case here.

Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, is 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Viavi carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Viavi Solutions Inc. Price and EPS Surprise

Viavi Solutions Inc. Price and EPS Surprise

 

Viavi Solutions Inc. price-eps-surprise | Viavi Solutions Inc. Quote

 

Stocks to Consider

Here are some companies you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this season:

Lumen Technologies, Inc. (LUMN - Free Report) is set to release its first-quarter 2026 numbers on May 5. It has an Earnings ESP of +27.27% and sports a Zacks Rank #1 at present. 

The Earnings ESP for Corning Incorporated (GLW - Free Report) is +0.58%, and it carries a Zacks Rank of 2 at present. The company is scheduled to report first-quarter 2026 numbers on April 28.

The Earnings ESP for F5, Inc. (FFIV - Free Report) is +3.50%, and it carries a Zacks Rank of 2 at present. The company is scheduled to report second-quarter fiscal 2026 numbers on April 28.

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