Lumentum’s QQ3 2024 results show a revenue base of $366.5 million with meaningful margin compression and a material net loss, underscoring a transition period in a cyclical photonics market. Revenue declined marginally YoY by 1.16% and QoQ by 0.08%, while gross profit fell to $41.4 million for a gross margin of 11.3%. The company posted an operating loss of $114.6 million and a net loss of $127.0 million, or -1.88 per share, driven by higher operating expenses and a negative EBITDA of $29.3 million. With cash and short-term investments totaling $870.9 million against total debt of $2.5635 billion, Lumentum carries a substantial net leverage burden, resulting in a negative near-term free cash flow of $23.6 million and a cash burn of $7.0 million from operations.