Anti-counterfeit sales dip at Viavi Solutions

Sales of Viavi Solutions slipped in the second fiscal quarter, in part because of a dip in anti-counterfeit sales.

The company – formerly known as JDS Uniphase - saw turnover in its optical security and performance products (OSP) division fall nearly 17 per cent in the quarter to $48.9m, with the decline "driven by an expected year-end inventory rebalancing in our anti-counterfeiting business," said chief financial officer Amar Maletira.

The OSP unit specialises in high performance thin film optical coatings that can be used for anti-counterfeit as well as other purposes in the consumer electronics, automotive, defense and instrumentation markets. Maletira said the division came in roughly in line with expectations.

"As we have indicated earlier, the demand for anti-counterfeiting business is expected to rebound in the second…half of fiscal 2017," added the firm's chief executive Oleg Khaykin. The company's portfolio includes its optically variable pigment (OVP) and optically variable magnetic pigment (OVMP) products, used in banknotes as well as other applications, and security threads.

Viavi's anti-counterfeit technologies are used to protect currency in over 100 countries and over 300 denominations, and the company benefited last fiscal year from the roll-out of currency reprints and redesign. The performance this fiscal year is a return to normal business levels, according to the company.

Overall, the company reported an 11 per cent reduction in group sales to $206m.