JDSU takes huge Q2 writedown
JDSU sacrificed its second quarter with an enormous write-off. The company took an impairment of goodwill and long-lived assets of $699.6 million, which represented most of the company’s Q2 loss of $705.3 million.
That compares to a $21 million profit a year ago. JDSU reported net revenue for its second fiscal quarter of $357 million, down from $399 million in its year-ago Q2.
Revenue for the second fiscal quarter excluded approximately $10 million for optical communications products that were shipped to Nortel for which payment was not received prior to its bankruptcy filing on January 14, 2009. This revenue has been deferred, JDSU said.
"During these challenging economic times we continue to make progress in improving the cost structure and operating model of the company," said Tom Waechter, JDSU's President and Chief Executive Officer. "We will continue to focus on innovation and our lean initiative activities, which I believe will uniquely position JDSU for future growth once market conditions improve."
For the third quarter of fiscal 2009, ending March 28, 2009, JDSU said it expects revenue to be in the range of $275 to $300 million.