Ciena (Nasdaq: CIEN) reported earnings on May 31. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended April 30 (Q2), Ciena beat expectations on revenues and earnings per share.

Compared to the prior-year quarter, revenue grew and GAAP loss per share dropped. The non-GAAP profit was a surprise, as analysts had predicted a loss.

Gross margins dropped, operating margins grew, and net margins improved.

Revenue details
Ciena reported revenue of $477.6 million. The 20 analysts polled by S&P Capital IQ anticipated revenue of $446.3 million on the same basis. GAAP reported sales were 14% higher than the prior-year quarter's $417.9 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.04. The 21 earnings estimates compiled by S&P Capital IQ predicted -$0.03 per share. GAAP EPS were -$0.28 for Q2 versus -$0.66 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 38.3%, 140 basis points worse than the prior-year quarter. Operating margin was -2.1%, 790 basis points better than the prior-year quarter. Net margin was -5.8%, 920 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $471.8 million. On the bottom line, the average EPS estimate is -$0.01.

Next year's average estimate for revenue is $1.86 billion. The average EPS estimate is -$0.01.

Investor sentiment
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 472 members out of 550 rating the stock outperform, and 78 members rating it underperform. Among 130 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 105 give Ciena a green thumbs-up, and 25 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Ciena is outperform, with an average price target of $17.96.

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