Optical Communications Giant Coherent Beats Q4 Revenue & EPS Estimates, Issues Strong Guidance Citing "Exceptionally Robust Demand", But Shares Tumble Over 6% After-Hours Despite 8% Gain

In the fourth fiscal quarter, Coherent reported a 34% year-over-year increase in revenue and a 74% increase in EPS. Gross margin improved by over 200 basis points year-over-year, slightly exceeding 40%. The midpoint of its first fiscal quarter guidance for revenue and EPS came in approximately 7% and 10% higher, respectively, than analyst estimates, with gross margin midpoint roughly flat from the prior quarter. The company emphasized "prioritizing investments to expand manufacturing capacity." Following the earnings report, Coherent shares, which had closed up over 8%, fell in after-hours trading, at one point declining over 6%. Updating.