EXFO reports third-quarter revenue miss

2012-06-11 10:01:00

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Cablevision Mexico upgrading to 100 Gbps via Alcatel-Lucent
Cablevision Mexico will upgrade its network to accommodate 100-Gbps traffic via the coherent-enabled capabilities of the 1830 Photonic Service Switch (PSS) from Alcatel-Lucent (Euronext Paris and NYSE: ALU), the systems vendor says.According to Israel Madiedo, CTO Telecom at Cablevision, “The high-quality broadband services we are deploying in Mexico will help provide substantial benefits in the country – helping to drive economic growth and help bridge the digital divide. In addition to enabling us to expand services and keep costs in check, this deployment in Mexico of 100G technology will help us make our network more environmentally sustainable by reducing energy consumption on the network quite dramatically.”The deployment appears to be the first 100-Gbps commercial network in Mexico, and will race with that of CFE Telecom, the business unit of Mexico’s state-owned utility Comision Federal de Electricidad, for that honor 100G network in the country of any kind. CFE Telecom previously announced its intention to upgrade its infrastructure to accommodate 100-Gbps data rates as well (see “Mexico's CFE Telecom taps Xtera for 100G network”)Pierre Chaume, president of Alcatel-Lucent Mexico, stated, “Demand for better services like high-definition video is increasing data volumes by as much as 50 percent each year. To enable customers like Cablevision to manage this demand, innovations like our 100G transport technology can support a richer set of broadband services including video on demand, more HD channels, home connections at speeds up to 100 Mbps, voice over IP, and many others.”Alcatel-Lucent has several cable operators among its 100-Gbps customer roster, including BSkyB, Cablevision Argentina, and Shaw Communications (see "BSkyB deploys optical 100-Gbps for services support," "Argentina’s Cablevision selects Alcatel-Lucent’s 100G platform," and "Shaw Communications adds 100G to fiber-optic network").
Fiber Connections tests Industrial GatorPatch patch panel
Optical connectivity supplier Fiber Connections Inc. says it has begun beta testing of a new Industrial GatorPatch fiber-optic patch panel. The newest version of the patented GatorPatch product line will feature an industrial MPO connector and up to six industrial duplex LC ODVA connectors, Fiber Connections says.The fiber patching product offers IP67 rated connectors for installations in harsh environments. It will be available with an optional cover for added protection.“Our customer came to us with a request to build something even more robust than our current GatorPatch units. They were concerned with the long-term environmental effects and have had good experience with the ODVA and industrial connectors,” explains Hank Van Der Giessen, regional sales director. “As soon as we showed them the first prototype, they were onboard. Now we have twp other customers discussing installation sites.”Installation at a beta site in central Ontario will begin this month, the company says. The new GatorPatch will be used for fiber-optic communications in a location with high electromagnetic interference to ensure EMI immunity and secure, high bandwidth communications.Full product release is currently scheduled for September 2012.
EXFO reports third-quarter revenue miss
Test equipment maker EXFO Inc. (NASDAQ: EXFO) (TSX: EXF) revealed last week that it will miss its revenue guidance for the third quarter ended May 31, 2012 by about $8 million. EXFO said in providing preliminary results that it expects to report revenues of approximately $60.0 million versus its guidance of $68.0 million to $73.0 million when it officially discloses the quarter’s performance June 28."Challenging macro-economic conditions, coupled with the tightening of capital spending among network operators during the first half of calendar 2012, have rendered EXFO's end-markets very difficult for the short term," explained Germain Lamonde, EXFO's chairman, president, and CEO. "Europe turned out to be more impacted than expected, the anticipated pickup of spending in the Americas did not materialize -- especially with Tier 1 operators -- while spending in China has been sluggish.“We believe this is not a company-specific issue, but rather a short-term industry spending pattern, since the requirement for wireline and wireless operators to invest in their networks in order to attract growing data revenue remains intact. We see a growing funnel of serious opportunities, but unfortunately they are being delayed and are taking longer to close," Lamonde concluded.EXFO added its gross margin likely will suffer and IFRS net earnings will end below the company's initial outlook of $0.01 to $0.05 per diluted share.Several firms in the optical communications industry and the market research companies that follow them have reported slow sales in the first half of this year (see, for example, “Ovum: Bad first quarter for optical network hardware sales”). The macroeconomic conditions in Europe have had a particularly detrimental effect, company management and industry analysts agree. Ciena’s performance during the quarter looks particularly impressive in this context (see “Ciena revenues top expectations in 2Q12”).
The above information is edited by 10GTEK.
10GTEK TRANSCEIVERS CO., LTD (Hereinafter refered to as 10GTEK) is specialized in developing and manufacturing Fiber Optical Transceivers and High Performance Cables which are wildly applied in Datacom, Telecom and CATV, providing customers with top quality and cost effective products. Our High Speed Cables cover Passive SFP+ Cable, Active SFP+ Cable, QSFP+ cables, MiniSAS (SFF-8088) Cables, CX4 Cables, Harness cables, Breakout Cables, Patchcords. We also manufacture Fiber Optic Transceivers like 10G XFP, 10G SFP+, SFP DWDM/ CWDM, GBIC, etc. The prompt response and excellent customer support contribute to clients‘ full satisfaction.Today, 10GTEK has been growing fast in the optical field for its unique and competitve excellence which has got a high attention from datacom and telecom.
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