Home / Business and Economy / Ciena Soars 22.7% on Stellar Q3 Earnings, Defying Expectations
Ciena Soars 22.7% on Stellar Q3 Earnings, Defying Expectations
5 Sep
Summary
- Ciena beats Q3 2025 earnings forecasts
- Sales up 29% year-over-year
- CEO sees continued momentum into 2026
On September 6, 2025, Ciena Corporation's stock raced ahead 22.7% after the company reported stellar fiscal Q3 2025 earnings. The networking equipment provider beat Wall Street's expectations, posting an adjusted profit of $0.67 per share on sales of $1.17 billion. This exceeded the forecasted $0.53 per share in adjusted earnings and $1.17 billion in revenue.
While Ciena's GAAP earnings of $0.35 per share were lower than the adjusted figure, the company still saw a 250% improvement over the $0.10 per share it earned a year ago. This strong performance came despite a 14% rise in operating expenses. Ciena's sales grew an impressive 29% year-over-year, driving significant profits for the company.
Looking ahead, Ciena's CEO Gary Smith expressed confidence in the "continued momentum of our business," stating the company has "visibility well into fiscal year 2026." Management expects sales to exceed $1.2 billion in Q4, though this would represent a slower growth rate of around 11% compared to Q3.
Despite the stock's lofty valuation of 127 times trailing earnings, Ciena's robust Q3 results have clearly impressed investors, leading to the stock's sharp rise on September 6, 2025.
