Lumentum Holdings Inc, the facial recognition technology supplier of Apple Inc secured new contracts with Andriod device makers
Lumentum Holdings Inc. called for Android smartphone makers to introduce devices with facial recognition technology. New contracts taken by the company for its 3D sensing face recognition technology from Android phone makers will remove its heavy dependence on Apple.
According to Jun Zhang, Senior Research Analyst at Rosenblatt Securities analyst, Samsung’s forthcoming Galaxy S10 5G phones are expected to use such 3D sensing technology.
Lumentum Holdings Inc.’s earnings details and predication
The company’s more than 80 percent of income comes from its optical communication products. They provide vertical-cavity-surface-emitting lasers (VCSELs) that power the Face ID that power the Face ID, Animoji and portrait mode features on Apple’s latest iPhones.
The company acquired Oclaro, manufacturing and selling optical components company to solidify its ground against the rival company, Finisar Corp. It is a supplier of optical communication products, which gives 3D sensing lasers to Apple.
Lumentum predicted that its third-quarter income to be in the range of $420 million to $440 million which is slightly lower than expected. Alan Lowe, Chief Executive Officer of Lumentum Holdings Inc stated, “Several of these opportunities are expected to bring new functionality that could expand our content per device, including world facing capabilities.”
Changes in Lumentum revenues
According to the data gathered by Institutional Brokers’ Estimate System (IBES), Lumentum revenue is expected to be of $440.9 million for a quarter. Lumentum total income which is held by mutual shareholders experienced a rapid decrease in its income from $5.4 million i.e. 8 cents per share to $196.9 million i.e. $3.05 per share last year.
An investigation done by various analysts’ predicted the average estimate of Lumentum total revenue to be $359.6 million. However, Lumentum earned a total revenue of $373.7 million which beats the analysts’ prediction of Lumentum total revenue to be of $359.6 million.
Alex Henderson, an analyst at Needham and Co, said, “Android is strong but still small versus Apple, but orders and design wins are strong in Android for both front facing and world facing.”