QUEBEC CITY — Telecom testing and monitoring solution provider EXFO Inc. today reported its sales reached US$69.3 million in the second quarter ended February 28, 2021.
This represents a 25.2% increase over the US$55.3 million in revenue the company reported in the coronavirus-impacted second quarter of 2020, during which EXFO’s manufacturing facility in Shenzhen, China was forced to shut down for one month. (The Quebec-based company reports its financial results in U.S. dollars.)
For the second quarter of 2021, the company’s test and measurement sales grew 36.8% to US$51.3 million, compared to US$37.5 million in the second quarter of 2020. Service assurance, systems and services (SASS) sales dropped 2.1% to US$17.6 million in Q2 2021, down from US$17.9 million in Q2 2020.
The company’s sales in the Americas and Europe, Middle East and Africa (EMEA) grew 25.7% and 54.7% year-over-year, respectively, while sales in the Asia-Pacific region decreased 18.3%. EXFO’s top customer accounted for 6.8% of sales, while its top three customers represented 14.3%.
EXFO’s net loss totalled US$2.4 million in the second quarter of 2021, compared to a net loss of $9 million in the second quarter of 2020. The company’s adjusted EBITDA amounted to US$3.4 million in Q2 2021, or 4.9% of sales. This compares to adjusted EBITDA of -US$4.9 million (or -8.9% of sales) in Q2 2021.
The company’s bookings improved 8.9% to US$79.3 million in the second quarter of 2021 from US$72.9 million in the same period in 2020.
“EXFO delivered another solid performance in the second quarter of 2021, marked by a robust book-to-bill ratio of 1.15 and healthy cash flows from operations of US$14.7 million,” said CEO Philippe Morin, in the company’s press release announcing its financial results. “I am particularly pleased with our strong bookings that reflect increased market demand, driven by catch-up spending and early deployments of 5G, cloud-based networks, as communications service providers get a better handle on transforming their networks during the coronavirus pandemic. Recent success in securing multi-year contracts bodes well for the footprint expansion of our Nova Adaptive Service Assurance platform with a growing number of RFPs (requests for proposals) for 5G standalone network monitoring systems expected in 2021 and 2022.”
For more information about EXFO’s second quarter results for fiscal 2021, please click here.
