Lumentum reports $1B revenue, beats earnings estimates as AI demand fuels 109% growth

Lumentum Holdings just posted a quarter that would make most tech CEOs weep with envy. The optical technology company reported net revenue of $1.006 billion for fiscal Q4 2026, representing a 109% increase from $480.7 million in the same quarter a year earlier. Non-GAAP diluted earnings per share came in at $3.23, comfortably clearing the Wall Street consensus estimate of roughly $2.99. It also topped the company’s own guidance range of $2.85 to $3.05. The numbers behind the boom Zooming out to the full fiscal year 2026, Lumentum pulled in $3.014 billion in revenue. That’s an 83% leap from $1.645 billion in FY2025. Non-GAAP net income for the year hit $782.3 million, translating to $8.67 per share. But the headline numbers come with a rather conspicuous asterisk. On a GAAP basis, Lumentum actually reported a net loss of $7.2 billion for Q4, or $84.65 per share. The culprit was a one-time, non-cash debt extinguishment charge of $7.8 billion tied to convertible note equitization. The company restructured some debt by converting it to equity, and accounting rules required them to book a massive paper loss that doesn’t reflect actual cash leaving the building. Forward guidance that tur...