JDSU (JDSU) announced strong quarterly results and the continuing execution of its acquisition strategy. The company said it recently closed on two new deals: the acquisition of the assets of real-time network intelligence software company Trendium, as well as the purchase of Time-Bandwidth Products, which provides high-powered and ultrafast lasers for creating consumer device parts and processing semiconductors.
“Technology is evolving at a rapid pace, making mergers and acquisitions an important part of JDSU’s growth strategy as a diversified technology company,” said Tom Waechter, president and CEO of JDSU. “These two acquisitions reflect our approach to selectively acquire technology and talent that help meet our customer’s rapidly evolving needs in the markets we serve.”
JDSU noted that the addition of Trendium broadens the company’s portfolio of LTE solutions that now runs “all the way from lab to field, handset to core, and physical layer to application layer.” The company will market Trendium solutions as part of a new JDSU solution called xSight, which it will demonstrate at Mobile World Congress.
The acquisition of Trendium’s assets closed on Dec. 10 and adds Trendium employees and technology to JDSU. The company claims its solution will help mobile operators improve quality of service “at a fraction of the cost, with a significantly lower technology footprint, in a more scalable manner and in less time compared to existing assurance solutions on the market.”
JDSU said that it recently won a deal with one of the top five mobile operators in the world to provide its mobile assurance and analytics solution.
Meanwhile, JDSU just closed on the purchase of Zurich, Switzerland-based laser company Time-Bandwidth Products on Jan. 26, which is supposed to strengthen its position as a provider of lasers for creating micro parts for consumer electronics and for processing semiconductor chips for consumer devices.
Kurt Weingarten, president and CEO of Time-Bandwidth Products, said in a statement that combining the company’s nearly two decades of expertise in ultrafast lasers for micromachining with JDSU’s high-volume manufacturing and vertical integration “will enable JDSU to bring powerful new laser solutions to the market.”
As far as its quarterly results, net revenue for the quarter was $447.6 million, with net income at $8.8 million — a healthy step up from the $429.4 million in revenue and net income of $4.1 million that the company reported in the same period last year. Investors were pleased and sent the stock up about 5% in trading Thursday.
“Our fiscal second quarter results exceeded our guidance expectation with gross margin improvements across all three segments,” said Waechter. “We are pleased with the performance of our organic business, the progress of our continuing investments in new offerings which align with customer requirements and market trends, and our continuing M&A strategy to expand our product portfolio into mobility and service enablement. We believe JDSU is well-positioned to leverage our technical leadership in new markets in network infrastructure, commercial lasers and anti-counterfeiting in calendar 2014.”
