(Updates with the latest stock movement in the headline and the first paragraph, and details on the restructuring plan in the seventh and eighth paragraphs.)

Viavi Solutions (VIAV) shares were up nearly 17% in recent Thursday trading after the company reported overnight higher fiscal Q2 results that exceeded expectations and an upbeat fiscal Q3 outlook.

The company reported fiscal Q2 non-GAAP earnings late Wednesday of $0.22 per diluted share, up from $0.13 a year earlier.

Analysts surveyed by FactSet expected $0.19.

Net revenue for the quarter ended Dec. 27 was $369.3 million, compared with $270.8 million a year earlier.

Analysts polled by FactSet expected $365.3 million.

The company said it expects fiscal Q3 non-GAAP earnings of $0.22 to $0.24 per share on net revenue of $386 million to $400 million.

Analysts polled by FactSet expect $0.15 in non-GAAP earnings per share on revenue of $353.5 million.

Viavi Solutions said it approved a restructuring plan on Jan. 23, which is expected to affect about 5% of its global workforce. The company said it will incur total charges of about $32 million, including $24 million in cash expenditures, primarily related to employee severance and related costs.

The costs are expected to be recognized by the end of June, and the plan is slated to be completed by the end of 2026, the company said. Viavi Solutions anticipates that the restructuring will result in $30 million in annualized cost savings upon completion.

Price: 24.60, Change: +3.57, Percent Change: +16.98