years everyone. working transition EMCORE and now. Thank cable and aerospace morning, from its you, on for TV to good has Mark, been defense several
and cable strong reflected XXX% and year-over-year While offerings EMCORE's showing aerospace products, aerospace well, our be extremely growth. will now to product in chip is customer, defense largest Raytheon largest beyond. and our results QX performed defense QX TV and our our headwinds and family
FY the remained to 'XX. market, 'XX track our mission this that navigation This deliver end, To units XXX% and QX. customers. to revenue on revenue developing the for prototypes in year's from line we focused and our with first In to product planned measurement remaining optic delivered application fiber FA-XX putting products an demand increasing its IMU new the year-over-year, for units is generation the of prototype expect delivering gyroscope-based inertial strong, FY on double as to
is soon the testing Our with on to possible. unit flight performance as as moving looks very the to of pleased and forward customer
IMU over testing them units, the and chip which defense replace for EM-XXX been Grumman ship have product, developing have production are We've designed will started past to to flight to begun also and year first customers. to products a aerospace business the our also start ship Northrop and soon.
for MEMS announced of Systron about of we million acquisition XX, Inertial, manufacturer navigation a cash, plus shares $XX.X in June products, on Donner world-leading stock. XXX,XXX the of Additionally, Quartz
gyroscope such As Raytheon, manufactures other prior accelerometers Lockheed and high-performance Quartz small X Rockwell in Collins will and mentioned There MEMS, SDI the them, Martin, and, million. call, today These our Quartz is we products handful in and leading least at contractors. vendors increase market fiber are clear leader. by a SDI customers our gyroscopes to market EMCORE's merchant navigation among the products complement Tier designs, serviceable and $XXX navigation only as of sells market optic
it far free French U.S. is part of that contracts a to by could now than while range for it is company, wider was a it SDI parent. example, compete a defense owned of For
and that and with previously cost will generate Alhambra. generate the forecast continue synergies quarter, We to cash additional profits in SDI indicated, December as
X with little deal. progress more for we're about over a the making team we and months the team the the our the into excited we were is Beyond the opportunities when Concord pleased integration, are numbers, than closed
SDI, EMCORE a that Our move is this the and on feedback positive both industry great customers leaders. and from for received significant think we've combination
now inertial is systems. which Application used Tier with our ground their and high-frequency X the line, purchase ships, stations in defense, These exclusively products that opportunities the systems aerospace we part substantially revenue over product radar and remained demand now purchased for SatCom similar these communication market and aerospace in and XXX% defense applications, have same expanding the Within almost of Navy are roots up year-over-year. satellite see. navigation by products significantly moved customers that beyond are strong
-- to first towers traffic shipping products modernize We FAA FY half traffic start received $X estimated should million these of QX in control an 'XX. project air the and
fiscal unusually weakness China, on end-of-quarter stalled second causing MSOs Furthermore, guidance publicly up spend. the the CapEx the miss soft MSO both quarter. orders, XX% in major within market, spending imposed the third TV With another the we from drop MSO indications was cable cable seasonally despite the can tariffs, spending the transmitter on from relief to pick CapEx orders weeks, in Within earnings be us releasing remained late-June would quarter the that to guidance. infrastructure of traded cause and X confirm soft which that in due yet past MSOs were
the important of is that the historical While the any expenditures have consistent capital occur improvement remain will calendar we that out the bottom an which in takeaway indicated infrastructure half this cycles. skeptical hit will and cable quarter. current second year, increase of The X-year with has most is TV low, demand factored both in that MSOs
actions don't calendar take from occur a comments levels, before the are create forward. more this consistent that demand these business aggressive smaller, We the MSOs, to the to going with cable improve to believe expect from we but going QX. will profitable TV Consequently,
early and product at applications FY XG double DAS the shipments the systems. market remains shipments product make our year LTE for expecting for we wireless segments. continue for -- in least XG are within and OEMs small to new We several progress facilities, testing its XG to of evaluating expect market beginning market new new DAS We're calendar to and large in cells our should initiatives the revenue steady, wireless see year. at 'XX, in with Laser DAS products
on to the chip Moving market.
are notably trade that Japan. has Furthermore, for in China, highlighted demand stance products, products in chain. supply impact Huawei GPON for the limit opportunities cannot an XX, anti-American to we future our many only material sold to for China, products or having on with design-ins sourced from our into pre-announcement a chip the most disputes July new Taiwan, threatening taken China those the and on ongoing Korea be those As been
around of demand certainty to mid- long-term to chain and exit this earlier Consequently, working planned additional impact many efforts soon. not we've on ongoing products. are the within than higher-margin the trade market, to to that of of minimize tariffs. focused end anytime Given We dispute chosen will supply this segments -- a we lower-margin uncertainty subset believe smaller our the change our strategy also
with resize cable test weakness up demands our combination began while and and assembly to retooling the chip In for work EMS manufacturing an up our timetable speed television testing our and a true that EMS cable business. to completed move now that of processes automate cost time dispute we within XXXX, The to TV in now, cable China trade TV and months in model approximately the variable X line. of to move to cyclical for it taking possible XXXX, we manufacturing majority qualification and from the making model
expect the During to gradual we see facility shrinks this a its EA absorption in as role. improvement period,
Beyond to our with additional we make changes move EMS, plan also to revenue. align in expenses our staff to
midst on In monetize working the alternatives California addition, of Concord, facility. we to are in our
ultimately us we a are looking functions our somewhere we will important taking the -- When $XX we're has total sum Concord ultimately for there. actions and consolidate very million should certain forward California million various cash. between gain to future While and strategic we value bright in complete, X between the of facilities, $XX EMCORE,
meet cash still business. that initiatives the these to we ongoing which we plan, needs the are expect for CapEx and the scaled-back reformulating, Between have to a need we
few become Optic going growth Gyro SDI largest be products Where Aerospace What our of quarter ago, started just the and business purchase aerospace current SatCom of largest and out was has will and the defense product a strengthened EMCORE's R&D years defense been opportunity. organic our initiative in by an redesigned a as and by Fiber accelerated forward. it's line.
cable our to with as chip to strategy quickly our product be TV redesigned profits being strategically maximize possible business as aerospace while adjusting We're defense congruent line. our is and
so be the far. the of work full transaction, done advantage about much we've I'm take of excited made benefits progress there's this While to to still
the to business. a view forward-looking now Turning of
to not making new the legacy current the QX have it's in changed the out current the reveals to committed of This business, I'm has that of products in current from Pricing the competitive TV in primary contributions was excluding $X.X market around margins EMCORE's SDI, at mix on to EMCORE this under-absorption. has anemic an think important running came that this cable cause realities. market the been the situation. dictates I would we a breakeven $XX margins is an otherwise the this Correcting million of to XX%. in need gross Even impact about million. factory breakeven business of for with though nor that XX.X%, in point quarter. point match on point gross
reduce this, achieve breakeven X taking our for To products. actions to point we're major legacy Alhambra
we're model will which the moving First, an EA EMS manufacturing, within eliminate for quarters. X under-absorption to from
Secondly, to emphasize we we're shift to a reducing products. higher-margin our single the chip reduce fab under-absorption operations as wafer fab
the we're California maximize Third, organization. to our to the facilities X accelerate size working our and to synergies adjust the in opportunities. going cost Fourth, of we're savings between
This us with mid-XXs quarters, a X in are improvement complete. over next should in provide when initiatives steady margin these gross a the return culminating to the
Moving for on quarter. outlook our the to fiscal fourth
in SDI, market. contribution growth $XX television our in revenue chip the navigation of range in by cable full continuing which worth from a softness of $XX expect be to the to with reflects We million products offset strong and million, quarter's
turn to Now I Operator? for call questions. operator up the the will open over and
