Lumentum Holdings Inc.

Strong performance + accelerating momentum (what’s good/surprising) - Q4 revenue +$1.01B, +109% YoY (and “eighth consecutive quarter of top-line growth”). - 3rd consecutive quarter of >20% sequential growth, showing sustained revenue velocity. - Non-GAAP gross margin >50% (earlier targeted at ~$2B quarterly run-rate; achieved earlier than expected). - Non-GAAP operating margin +2,150 bps YoY; operating leverage is working. - Management says results support confidence that Q1 FY27 revenue midpoint guidance (~$1.25B) is reached >1 quarter ahead of the previous target model.

Q1 FY27 guidance (forecast) - Revenue: $1.225B–$1.275B (midpoint $1.25B, >130% YoY; all-time quarterly record per management). - Non-GAAP operating margin: 39.5%–40.5% (midpoint implies >2,100 bps YoY expansion). - Non-GAAP EPS: $4.05–$4.35 (midpoint consistent with continued profitability expansion). - Guidance is based on assumptions as of today; management did not indicate a downgrade risk in the near term.

Product/technology outlook: mix shift to optical + speed tiers driving growth (opportunities) - Cloud transceivers: record 800G shipments; began shipping 1.6T transceivers “as planned.” - Expectation: 1.6T uptake intensifies in fiscal Q1 and sustains through calendar 2027, driven by Tier 1 hyperscalers moving from 800G → 1.6T. - OCS (optical subassembly): after doubling shipments from Q3→Q4, company expects its first triple-digit OCS revenue quarter in the quarter; demand for 2027 is described as very strong. - Management expects Q1 sequential growth to be split: ~half from components (scale-out/scale-across) and ~half from systems (~1.6T transceivers) plus accelerating OCS.