QUEBEC CITY, Feb. 24, 2020 /CNW Telbec/ - EXFO Inc.
(NASDAQ: EXFO) (TSX: EXF) updated today its revenue outlook for the
second quarter of fiscal 2020 due to the coronavirus impact on its
supply chain and manufacturing operations in China as well as an information technology
issue.
EXFO now forecasts revenue for the second quarter ending on
Feb. 29 will reach approximately
US$55 million. Prior revenue guidance
had been established between US$66 to
US$71 million for the second quarter
of fiscal 2020. Management expects revenue to accelerate in
upcoming quarters as operations return to full capacity.
To contain the spread of infection, Chinese public health
authorities have imposed preventive measures within affected
regions including an extended shutdown of businesses, restrictions
on various forms of public transportation and lockdown periods for
individuals—all of which are affecting EXFO's factory and supply
chain.
EXFO will announce financial results for the second quarter of
fiscal 2020 on April 7 as
planned.
"The safety of our employees, customers and partners is our top
priority as the coronavirus public health emergency unfolds," said
EXFO's CEO Philippe Morin. "Despite
these temporary disruptions, we're implementing the required
actions to return to our normal course of business as quickly as
possible. Demand drivers for fiber and 5G deployments remain robust
on a global basis."
About EXFO
EXFO (NASDAQ: EXFO) (TSX: EXF) develops
smarter test, monitoring and analytics solutions for fixed and
mobile network operators, webscale companies and equipment
manufacturers in the global communications industry. Our customers
count on us to deliver superior network performance, service
reliability and subscriber insights. They count on our unique blend
of equipment, software and services to accelerate digital
transformations related to fiber, 4G/LTE and 5G deployments. They
count on our expertise with automation, real-time troubleshooting
and big data analytics, which are critical to their business
performance. We've spent over 30 years earning this trust, and
today 1,900 EXFO employees in over 25 countries work side by side
with our customers in the lab, field, data center and beyond.
Forward-Looking Statements
This news release contains
forward-looking statements within the meaning of the U.S. Private
Securities Litigation Reform Act of 1995, and we intend that such
forward-looking statements be subject to the safe harbors created
thereby. Forward-looking statements are statements other than
historical information or statements of current condition. Words
such as may, expect, believe, plan, anticipate, intend, could,
estimate, continue, or similar expressions or the negative of such
expressions are intended to identify forward-looking statements. In
addition, any statements that refer to expectations, projections or
other characterizations of future events and circumstances are
considered forward-looking statements. They are not guarantees of
future performance and involve risks and uncertainties. Actual
results may differ materially from those in forward-looking
statements due to various factors including, but not limited to,
macroeconomic uncertainty, including trade wars and recessions; our
ability to successfully integrate businesses that we acquire;
capital spending and network deployment levels in the
communications industry (including our ability to quickly adapt
cost structures to anticipated levels of business and our ability
to manage inventory levels with market demand); future economic,
competitive, financial and market conditions; consolidation in the
global communications test, monitoring and analytics solutions
markets and increased competition among vendors; capacity to adapt
our future product offering to future technological changes;
limited visibility with regard to the timing and nature of customer
orders; delay in revenue recognition due to longer sales cycles for
complex systems involving customers' acceptance; fluctuating
exchange rates; concentration of sales; timely release and market
acceptance of our new products and other upcoming products; our
ability to successfully expand international operations and to
conduct business internationally; and the retention of key
technical and management personnel. Assumptions relating to the
foregoing involve judgments and risks, all of which are difficult
or impossible to predict and many of which are beyond our control.
Other risk factors that may affect our future performance and
operations are detailed in our Annual Report, on Form 20-F, and our
other filings with the U.S. Securities and Exchange Commission and
the Canadian securities commissions. We believe that the
expectations reflected in the forward-looking statements are
reasonable based on information currently available to us, but we
cannot assure you that the expectations will prove to have been
correct. Accordingly, you should not place undue reliance on these
forward-looking statements. These statements speak only as of the
date of this document. Unless required by law or applicable
regulations, we undertake no obligation to revise or update any of
them to reflect events or circumstances that occur after the date
of this document.
View original
content:http://www.prnewswire.com/news-releases/exfo-updates-revenue-outlook-for-second-quarter-of-fiscal-2020-301010227.html
SOURCE EXFO Inc.