SAN JOSE, Calif. -- Infinera Corporation (NASDAQ: INFN) today released financial results for its first quarter ended March 26, 2022.

GAAP revenue for the quarter was $338.9 million compared to $400.3 million in the fourth quarter of 2021 and $330.9 million in the first quarter of 2021.

GAAP gross margin for the quarter was 32.9% compared to 35.6% in the fourth quarter of 2021 and 35.4% in the first quarter of 2021. GAAP operating margin for the quarter was (10.8)% compared to (2.5)% in the fourth quarter of 2021 and (7.0)% in the first quarter of 2021.

GAAP net loss for the quarter was $(41.9) million, or $(0.20) per share, compared to $(33.1) million, or $(0.16) per share, in the fourth quarter of 2021, and $(48.3) million, or $(0.24) per share, in the first quarter of 2021.

Non-GAAP revenue for the quarter was $338.9 million compared to $401.2 million in the fourth quarter of 2021 and $331.9 million in the first quarter of 2021.

Non-GAAP gross margin for the quarter was 36.2% compared to 37.2% in the fourth quarter of 2021 and 37.6% in the first quarter of 2021. Non-GAAP operating margin for the quarter was (1.0)% compared to 4.3% in the fourth quarter of 2021 and 0.4% in the first quarter of 2021.

Non-GAAP net loss for the quarter was $(14.0) million, or $(0.07) per share, compared to net income of $5.7 million, or $0.03 per share, in the fourth quarter of 2021, and $(5.5) million, or $(0.03) per share, in the first quarter of 2021.

A further explanation of the use of non-GAAP financial information and a reconciliation of each of the non-GAAP financial measures to the most directly comparable GAAP financial measure can be found at the end of this press release.

Infinera CEO David Heard said, “Demand in our fiscal first quarter was quite strong, with double digit year-over-year growth in bookings and record backlog. We won multiple new customer deals at a faster pace and of a larger magnitude than originally expected. However, the suspension of our operations in Russia late in the quarter and the supply chain impact from delayed customer project completions and elevated costs each muted our revenue and margin."

"In the quarter, we achieved additional success milestones in our 8x4x1 strategy as we ramped ICE6 and began producing key elements of our pluggables ahead of schedule, which is critical to the future expansion of our addressable market and margins. We feel confident that our recent wins, record backlog and focused execution set us up for achieving improved revenue growth and margins in the second half of the year.”

Financial Outlook

Infinera's outlook for the quarter ending June 25, 2022 is as follows:

• Revenue is expected to be $350 million +/- $20 million.
• GAAP gross margin is expected to be 34.0% +/- 150 bps. Non-GAAP gross margin is expected to be 36.5% +/- 150 bps.
• GAAP operating expenses are expected to be $152 million +/- $2 million. Non-GAAP operating expenses are expected to be $134 million +/- $2 million.
• GAAP operating margin is expected to be (10.0)% +/- 300 bps. Non-GAAP operating margin is expected to be (2.0)% +/- 300 bps.