What happened

Shares of Lumentum (LITE -0.84%) have gotten crushed today, down by 17% as of noon EDT, after the company reported fiscal third-quarter earnings. Lumentum's top-line results and guidance disappointed investors and the company took a hit due to delays in deployments.

So what

Revenue in the fiscal third quarter was $419.5 million, which missed the consensus estimate of $434 million. That resulted in adjusted earnings per share of $1.40, which was on target with what Wall Street was looking for. Lumentum is a technology company that provides optical and photonic components.

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Image source: Getty Images.

"The strong year on year margin improvements in our third quarter results highlight a product portfolio increasingly rich in new and differentiated products that are aligned with multi-year favorable market trends and the impact of continuous improvement in our operations," CEO Alan Lowe said in a statement. "Out of an abundance of caution, we deferred $14.8 million of revenue due to delays in 5G deployments in China, which decreased our reported revenue accordingly."

Now what

Guidance for the fiscal fourth quarter calls for revenue in the range of $360 million to $400 million, which is below the consensus estimate of $414.4 million. That should result in adjusted earnings per share of $0.92 to $1.14, also light compared to the $1.26 per share in adjusted profits that analysts are modeling for.

Lumentum's board of directors has authorized a $700 million share repurchase program based on the company's confidence in its long-term prospects, combined with the fact that Lumentum has added $600 million in cash to its balance sheet over the past year.