XML 43 R25.htm IDEA: XBRL DOCUMENT v3.25.3

LEASES

12 Months Ended

Nov. 01, 2025

Leases [Abstract]

LEASES

LEASES

Ciena leases approximately 1.2 million square feet of facilities globally. Ciena’s corporate headquarters are located in Maryland, United States. Ciena’s largest facilities are research and development centers located in Ottawa, Canada and Gurgaon, India. Office facilities are leased under various non-cancelable operating or finance leases. Ciena's current leases have remaining terms that vary up to 10 years. Certain leases provide for options to extend up to 10 years and/or options to terminate within 3 years.

Leases included on the Consolidated Balance Sheets for the fiscal periods indicated were as follows (in thousands):

			Classification						Balance at November 1, 2025						Balance at November 2, 2024
Operating leases (1)
Operating ROU Assets			Operating right-of-use assets						$	38,613					$	27,417
Operating lease liabilities			Operating lease liabilities and Long-term operating lease liabilities						$	46,472					$	39,562
Finance leases:
Buildings, gross			Equipment, building, furniture and fixtures, net						$	67,242					$	67,517
Less: accumulated depreciation			Equipment, building, furniture and fixtures, net						(38,348)						(34,206)
Buildings, net									$	28,894					$	33,311
Finance lease liabilities			Accrued liabilities and other short-term obligations and other long-term obligations						$	43,344					$	47,917

(1) Ciena added two new ten-year operating leases to its portfolio in the second quarter of fiscal 2025. The addition of these operating leases increased both operating right-of-use (“ROU”) assets and lease liabilities for fiscal 2025.

ROU assets that involve subleased or vacant space aggregate to an amount of $3.5 million as of November 1, 2025. Finance lease buildings, net, that involve subleased or vacant space aggregate to an amount of $3.9 million as of November 1, 2025. These assets may become impaired if tenants are unable to service their obligations under the sublease, and/or if the estimates as to occupancy are not realized.

For the periods indicated, the components of lease expense included in the Consolidated Statements of Operations were as follows (in thousands):

									Year Ended						Year Ended						Year Ended
			Classification						November 1, 2025						November 2, 2024						October 28, 2023
Operating lease costs			Operating expense						$	13,607					$	13,595					$	16,080
Finance lease cost:
Amortization of finance ROU asset			Operating expense						4,283						4,406						4,448
Interest on finance lease liabilities			Interest expense						3,356						3,769						4,069
Total finance lease cost									7,639						8,175						8,517
Non-capitalized lease cost			Operating expense						736						954						910
Variable lease cost(1)			Operating expense						2,688						2,562						3,421
Net lease cost(2)									$	24,670					$	25,286					$	28,928

(1) Variable lease costs include expenses relating to insurance, taxes, maintenance and other costs required by the applicable operating lease. Variable lease costs are determined by whether they are to be included in base rent and if amounts are based on a consumer price index.

(2) Excludes other operating expense of $5.3 million, $5.3 million, and $6.5 million for the fiscal years ended November 1, 2025, November 2, 2024, and October 28, 2023, respectively, related to amortization of leasehold improvements.

Future minimum lease payments and the present value of minimum lease payments related to operating and finance leases as of November 1, 2025 were as follows (in thousands):

Fiscal Year			Operating Leases						Finance Leases						Total
2026			$	15,639					$	7,748					$	23,387
2027			9,965						8,016						17,981
2028			5,078						8,285						13,363
2029			5,653						8,285						13,938
2030			4,631						8,437						13,068
Thereafter			13,142						14,406						27,548
Total lease payments			54,108						55,177						109,285
Less: Imputed interest			(7,636)						(11,833)						(19,469)
Present value of lease liabilities			46,472						43,344						89,816
Less: Current portion of present value of minimum lease payments			13,956						4,741						18,697
Long-term portion of present value of minimum lease payments			$	32,516					$	38,603					$	71,119

The weighted average remaining lease terms and weighted average discount rates for operating and finance leases were as follows (in thousands):

			As of November 1, 2025						As of November 2, 2024
Weighted-average remaining lease term in years:
Operating leases			5.51						4.00
Finance leases			6.71						7.71
Weighted-average discount rates:
Operating leases			4.99		%				4.29		%
Finance leases			7.56		%				7.56		%

LEASES

LEASES

Ciena leases approximately 1.2 million square feet of facilities globally. Ciena’s corporate headquarters are located in Maryland, United States. Ciena’s largest facilities are research and development centers located in Ottawa, Canada and Gurgaon, India. Office facilities are leased under various non-cancelable operating or finance leases. Ciena's current leases have remaining terms that vary up to 10 years. Certain leases provide for options to extend up to 10 years and/or options to terminate within 3 years.

Leases included on the Consolidated Balance Sheets for the fiscal periods indicated were as follows (in thousands):

			Classification						Balance at November 1, 2025						Balance at November 2, 2024
Operating leases (1)
Operating ROU Assets			Operating right-of-use assets						$	38,613					$	27,417
Operating lease liabilities			Operating lease liabilities and Long-term operating lease liabilities						$	46,472					$	39,562
Finance leases:
Buildings, gross			Equipment, building, furniture and fixtures, net						$	67,242					$	67,517
Less: accumulated depreciation			Equipment, building, furniture and fixtures, net						(38,348)						(34,206)
Buildings, net									$	28,894					$	33,311
Finance lease liabilities			Accrued liabilities and other short-term obligations and other long-term obligations						$	43,344					$	47,917

(1) Ciena added two new ten-year operating leases to its portfolio in the second quarter of fiscal 2025. The addition of these operating leases increased both operating right-of-use (“ROU”) assets and lease liabilities for fiscal 2025.

ROU assets that involve subleased or vacant space aggregate to an amount of $3.5 million as of November 1, 2025. Finance lease buildings, net, that involve subleased or vacant space aggregate to an amount of $3.9 million as of November 1, 2025. These assets may become impaired if tenants are unable to service their obligations under the sublease, and/or if the estimates as to occupancy are not realized.

For the periods indicated, the components of lease expense included in the Consolidated Statements of Operations were as follows (in thousands):

									Year Ended						Year Ended						Year Ended
			Classification						November 1, 2025						November 2, 2024						October 28, 2023
Operating lease costs			Operating expense						$	13,607					$	13,595					$	16,080
Finance lease cost:
Amortization of finance ROU asset			Operating expense						4,283						4,406						4,448
Interest on finance lease liabilities			Interest expense						3,356						3,769						4,069
Total finance lease cost									7,639						8,175						8,517
Non-capitalized lease cost			Operating expense						736						954						910
Variable lease cost(1)			Operating expense						2,688						2,562						3,421
Net lease cost(2)									$	24,670					$	25,286					$	28,928

(1) Variable lease costs include expenses relating to insurance, taxes, maintenance and other costs required by the applicable operating lease. Variable lease costs are determined by whether they are to be included in base rent and if amounts are based on a consumer price index.

(2) Excludes other operating expense of $5.3 million, $5.3 million, and $6.5 million for the fiscal years ended November 1, 2025, November 2, 2024, and October 28, 2023, respectively, related to amortization of leasehold improvements.

Future minimum lease payments and the present value of minimum lease payments related to operating and finance leases as of November 1, 2025 were as follows (in thousands):

Fiscal Year			Operating Leases						Finance Leases						Total
2026			$	15,639					$	7,748					$	23,387
2027			9,965						8,016						17,981
2028			5,078						8,285						13,363
2029			5,653						8,285						13,938
2030			4,631						8,437						13,068
Thereafter			13,142						14,406						27,548
Total lease payments			54,108						55,177						109,285
Less: Imputed interest			(7,636)						(11,833)						(19,469)
Present value of lease liabilities			46,472						43,344						89,816
Less: Current portion of present value of minimum lease payments			13,956						4,741						18,697
Long-term portion of present value of minimum lease payments			$	32,516					$	38,603					$	71,119

The weighted average remaining lease terms and weighted average discount rates for operating and finance leases were as follows (in thousands):

			As of November 1, 2025						As of November 2, 2024
Weighted-average remaining lease term in years:
Operating leases			5.51						4.00
Finance leases			6.71						7.71
Weighted-average discount rates:
Operating leases			4.99		%				4.29		%
Finance leases			7.56		%				7.56		%

X

- References

No definition available.

+ Details

Name:	us-gaap_LeasesAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration

X

- Definition

The entire disclosure for finance leases of lessee. Includes, but is not limited to, description of lessee's finance lease and maturity analysis of finance lease liability.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 842
-SubTopic 20
-Name Accounting Standards Codification
-Publisher FASB
-URI https://asc.fasb.org/842-20/tableOfContent

+ Details

Name:	us-gaap_LesseeFinanceLeasesTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

The entire disclosure for operating leases of lessee. Includes, but is not limited to, description of operating lease and maturity analysis of operating lease liability.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 842
-SubTopic 20
-Name Accounting Standards Codification
-Publisher FASB
-URI https://asc.fasb.org/842-20/tableOfContent

+ Details

Name:	us-gaap_LesseeOperatingLeasesTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration