Benzinga | Aug 9, 2021 07:11AM EDT

Avaya Sees Q4 Adj. EPS $0.66-$0.78 vs $0.79 Est., Sales $720M-$750M vs $747.99M Est.; Sees FY21 Adj. EPS $3.05-$3.16 vs $3.16 Est., Sales $2.93B-$2.96B vs $2.96B Est.

Financial Outlook - 4Q Fiscal 2021 - unless otherwise noted, values reflect July 31, 2021 FX rates.

* Revenue of $720 million to $750 million

* GAAP operating income of $14 million to $29 million; GAAP operating margin of 2% to 4%

* Non-GAAP operating income of $131 million to $146 million; non-GAAP operating margin of 18% to 19%

* Adjusted EBITDA of $160 million to $175 million; Adjusted EBITDA margin of 22% to 23%

* Non-GAAP EPS of $0.66 to $0.78

Financial Outlook - Fiscal Year 2021 - unless otherwise noted, values reflect July 31, 2021 FX rates.

* Revenue of $2.930 billion to $2.960 billion

* CAPS revenue will represent between 39% and 40% of Avaya's total revenue guidance for FY21.

* OneCloud ARR expected to be ~$490 million to $500 million by year end FY21

* GAAP operating income of $161 million to $176 million; GAAP operating margin of ~6%

* Non-GAAP operating income of $588 million to $603 million; non-GAAP operating margin of ~20%

* Adjusted EBITDA of $700 million to $715 million; Adjusted EBITDA margin of ~24%

* Non-GAAP EPS of $3.05 to $3.16

* Cash flow from operations has been revised to approximately 1% of revenue, as an outcome of the company's accelerated success in moving to a recurring revenue model which is resulting in higher working capital requirements

* Approximately 87 million to 88 million weighted average shares outstanding