Operating Segments and Geographic Information (Tables)

9 Months Ended

Mar. 30, 2024

Segment Reporting [Abstract]

Schedule of Information on Reportable Segments

The following tables present information on the Company’s reportable segments for the three months ended March 30, 2024 and April 1, 2023 (in millions):

	Three Months Ended March 30, 2024
	Network and Service Enablement
	Network Enablement			Service Enablement			Network and Service Enablement			Optical Security and Performance Products			Other Items (1)		Consolidated GAAP Measures
Product revenue	$	124.0		$	7.1		$	131.1		$	76.2		$	—	$	207.3
Service revenue	27.7			11.0			38.7			—			—		38.7
Net revenue	$	151.7		$	18.1		$	169.8		$	76.2		$	—	$	246.0
Gross profit	$	93.3		$	11.0		$	104.3		$	38.2		$	(4.6)	$	137.9
Gross margin	61.5		%	60.8		%	61.4		%	50.1		%			56.1		%
Operating (loss) income							$	(3.1)		$	26.1		$	(34.9)	$	(11.9)
Operating margin							(1.8)		%	34.3		%			(4.8)		%

	Three Months Ended April 1, 2023
	Network and Service Enablement
	Network Enablement			Service Enablement			Network and Service Enablement			Optical Security and Performance Products			Other Items (1)		Consolidated GAAP Measures
Product revenue	$	122.8		$	11.9		$	134.7		$	70.5		$	—	$	205.2
Service revenue	29.1			13.5			42.6			—			—		42.6
Net revenue	$	151.9		$	25.4		$	177.3		$	70.5		$	—	$	247.8
Gross profit	$	94.5		$	17.8		$	112.3		$	35.7		$	(7.0)	$	141.0
Gross margin	62.2		%	70.1		%	63.3		%	50.6		%			56.9		%
Operating income (loss)							$	2.5		$	25.8		$	(30.4)	$	(2.1)
Operating margin							1.4		%	36.6		%			(0.8)		%

(1)Other Items include charges (benefits) unrelated to core operating performance primarily consisting of stock-based compensation, amortization of acquisition-related intangibles, restructuring, changes in fair value of contingent consideration liabilities and other charges unrelated to core operating performance. During the three months ended March 30, 2024, Other Items include expenses related to the proposed acquisition of Spirent Communications plc (Spirent).

	Three Months Ended
	March 30, 2024		April 1, 2023
Corporate reconciling items impacting gross profit:
Total segment gross profit	$	142.5	$	148.0
Stock-based compensation	(1.2)		(1.2)
Amortization of intangibles	(3.5)		(5.9)
Other benefits unrelated to core operating performance (1)	0.1		0.1
GAAP gross profit	$	137.9	$	141.0
Corporate reconciling items impacting operating income:
Total segment operating income	$	23.0	$	28.3
Stock-based compensation	(12.8)		(12.7)
Amortization of intangibles	(5.0)		(8.0)
Change in fair value of contingent liability	(0.6)		1.9
Other charges unrelated to core operating performance (1)	(16.4)		(1.4)
Restructuring and related charges	(0.1)		(10.2)
GAAP operating loss from continuing operations	$	(11.9)	$	(2.1)

(1)    During the three months ended March 30, 2024 and April 1, 2023, Other benefits (charges) unrelated to core operating performance primarily consisting of certain acquisition and integration related charges, accretion of debt discount and loss on disposal of long-lived assets. During the three months ended March 30, 2024, Other charges include expenses related to the proposed acquisition of Spirent.

	Nine Months Ended March 30, 2024
	Network and Service Enablement
	Network Enablement			Service Enablement			Network and Service Enablement			Optical Security and Performance Products			Other Items (1)		Consolidated GAAP Measures
Product revenue	$	369.6		$	25.6		$	395.2		$	228.6		$	—	$	623.8
Service revenue	87.6			37.0			124.6			—			—		124.6
Net revenue	$	457.2		$	62.6		$	519.8		$	228.6		$	—	$	748.4
Gross profit	$	285.1		$	41.3		$	326.4		$	117.9		$	(14.0)	$	430.3
Gross margin	62.4		%	66.0		%	62.8		%	51.6		%			57.5		%
Operating income							$	4.8		$	82.7		$	(61.0)	$	26.5
Operating margin							0.9		%	36.2		%			3.5		%

	Nine Months Ended April 1, 2023
	Network and Service Enablement
	Network Enablement			Service Enablement			Network and Service Enablement			Optical Security and Performance Products			Other Items (1)		Consolidated GAAP Measures
Product revenue	$	441.7		$	33.6		$	475.3		$	239.1		$	—	$	714.4
Service revenue	90.0			38.0			128.0			0.1			—		128.1
Net revenue	$	531.7		$	71.6		$	603.3		$	239.2		$	—	$	842.5
Gross profit	$	339.4		$	47.9		$	387.3		$	128.0		$	(22.5)	$	492.8
Gross margin	63.8		%	66.9		%	64.2		%	53.5		%			58.5		%
Operating income							$	49.8		$	91.9		$	(71.1)	$	70.6
Operating margin							8.3		%	38.4		%			8.4		%

(1)Other Items include charges (benefits) unrelated to core operating performance primarily consisting of stock-based compensation, amortization of acquisition-related intangibles, restructuring, changes in fair value of contingent consideration liabilities and other charges unrelated to core operating performance. During the nine months ended March 30, 2024, Other Items include expenses related to the proposed acquisition of Spirent.

	Nine Months Ended
	March 30, 2024		April 1, 2023
Corporate reconciling items impacting gross profit:
Total segment gross profit	$	444.3	$	515.3
Stock-based compensation	(3.7)		(3.6)
Amortization of intangibles	(10.4)		(18.7)
Other benefits (charges) unrelated to core operating performance (1)	0.1		(0.2)
GAAP gross profit	$	430.3	$	492.8
Corporate reconciling items impacting operating income:
Total segment operating income	$	87.5	$	141.7
Stock-based compensation	(36.6)		(38.8)
Amortization of intangibles	(15.4)		(25.2)
Change in fair value of contingent liability	7.8		0.1
Other (charges) benefits unrelated to core operating performance (1)	(17.6)		3.0
Restructuring and related benefits (charges)	0.8		(10.2)
GAAP operating income from continuing operations	$	26.5	$	70.6

(1)    During the nine months ended March 30, 2024 and April 1, 2023, Other benefits (charges) unrelated to core operating performance primarily consisting of certain acquisition and integration related charges, accretion of debt discount and loss on disposal of long-lived assets. During the nine months ended March 30, 2024, Other charges include expenses related to the proposed acquisition of Spirent.

The following table presents net revenue by the three geographic regions in which the Company operates and net revenue from countries that exceeded 10% of the Company’s total net revenue for the three and nine months ended March 30, 2024 and April 1, 2023 (in millions):

	Three Months Ended
	March 30, 2024						April 1, 2023
	Product Revenue		Service Revenue		Total		Product Revenue		Service Revenue		Total
Americas:
United States	$	62.3	$	14.0	$	76.3	$	68.5	$	14.0	$	82.5
Other Americas	8.8		3.2		12.0		14.0		4.0		18.0
Total Americas	$	71.1	$	17.2	$	88.3	$	82.5	$	18.0	$	100.5
Asia-Pacific:
Greater China	$	45.7	$	1.3	$	47.0	$	43.5	$	1.8	$	45.3
Other Asia-Pacific	36.5		6.2		42.7		24.1		6.1		30.2
Total Asia-Pacific	$	82.2	$	7.5	$	89.7	$	67.6	$	7.9	$	75.5
EMEA:	$	54.0	$	14.0	$	68.0	$	55.1	$	16.7	$	71.8
Total net revenue	$	207.3	$	38.7	$	246.0	$	205.2	$	42.6	$	247.8

	Nine Months Ended
	March 30, 2024						April 1, 2023
	Product Revenue		Service Revenue		Total		Product Revenue		Service Revenue		Total
Americas:
United States	$	198.5	$	45.3	$	243.8	$	227.0	$	44.6	$	271.6
Other Americas	37.1		11.0		48.1		47.4		10.8		58.2
Total Americas	$	235.6	$	56.3	$	291.9	$	274.4	$	55.4	$	329.8
Asia-Pacific:
Greater China	$	141.0	$	4.5	$	145.5	$	165.9	$	5.7	$	171.6
Other Asia	89.7		19.9		109.6		100.8		19.8		120.6
Total Asia-Pacific	$	230.7	$	24.4	$	255.1	$	266.7	$	25.5	$	292.2
EMEA:	$	157.5	$	43.9	$	201.4	$	173.3	$	47.2	$	220.5
Total net revenue	$	623.8	$	124.6	$	748.4	$	714.4	$	128.1	$	842.5