Ciena Corp Q2 2022 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: David Vogt - UBS Investment Bank, Research Division - Analyst : Great. I just want come back to -- my line cut out earlier. I just want to come back to the lack of supply in specifically ICs. I guess it's our understanding that this is a fairly well-known headwind. And I guess I'm just curious, how do you square that commentary that the book-to-bill and backlog are strong. But I would imagine your customers are incredibly sophisticated. They know their shortages of ICs. So is there a risk that they've already adjusted their order cadence a little bit earlier. And so that raises some risk that there could be an air pocket later, maybe not this year, but into 2023? And then I didn't hear any discussion of maybe what a recession might look like next year. If we do move into a more slower growth GDP environment, what that would look like for your -- not only your order growth and your backlog, but what your customers might respond to? And then I have a follow-up on the numbers being pushed out into next year.

Question: David Vogt - UBS Investment Bank, Research Division - Analyst : Great. Maybe just as a quick follow-up, that's helpful. So given lead times, at least appear to be persistently long and not tightening here in the near term, how would you handicap sort of that $250 million revenue shortfall, the likelihood of being able to capture that next year, given where lead times are and where commits are at this point and your purchase order commitments, right? So -- I mean, obviously, it's a difficult visible -- difficult visibility to predict, but you mentioned that you'll obviously think you'll grow fast, 6% to 8%, next year, but is the expectation based on your order book and where your supply chain is today that you'd be able to capture most, if not all, of that next year?