Chart 02 — Margin Recovery Journey

Trough to Expansion: The V-Shape Is Real

Non-GAAP Gross Margin & Non-GAAP Operating Margin (%) · Q4 FY2024 → Q3 FY2026
~27%↓
Non-GAAP Gross Margin Trough (Q4 FY24)
~44%↑
Non-GAAP Gross Margin Q3 FY26
-3%↓
Non-GAAP Operating Margin Trough (Q4 FY24)
~30%↑
Non-GAAP Operating Margin Q3 FY26
Source: Lumentum Holdings SEC Filings & Earnings Releases. Non-GAAP excludes stock-based compensation, amortisation of acquired intangibles, and restructuring charges. Q3 FY26 operating margin reflects midpoint of guidance range of 30–31%.
CURIOUS INVESTING INSIGHTS