Calix sees Q2 EPS 3c-9c, consensus 24c

Sees Q2 revenue $197M-$203M, consensus $232.76M. The company stated in its quarterly letter to investors: “Our revenue guidance for the second quarter of 2024 is for revenue to be between $197M and $203M. As we discussed, we expect 2024 to be a year of decision making for our U.S. customers as they are in the process of evaluating and finalizing their plans to apply for the billions of available government stimulus dollars. While we expect this will reduce our appliance shipments in the second quarter, our platform, cloud and managed services will continue to grow. Due to the continued expansion of our platform, cloud and managed services and the lower appliance revenue outlook, our non-GAAP gross margin guidance for the second quarter of 2024 of 55.25% (at the midpoint) represents an increase of 35 basis points compared with the prior quarter. Our non-GAAP operating expense guidance for the second quarter of 2024 remains higher than our Target Financial Model as a percentage of revenue due to the current revenue outlook. Throughout 2024 we plan to keep our operating expenses relatively constant with the prior year as we execute on the opportunity to land new footprint prior to the anticipated arrival of the U.S. government stimulus starting in 2025.”