Israel's Radcom Q3 revenue declines on deployment delays
Overview
Israel network assurance firm's Q3 revenue rose 19.4% sequentially, down 23.6% yr/yr
Company returned to non-GAAP operating profitability and generated positive cash flow
Radcom reaffirmed full-year revenue outlook and plans share buyback after blackout period
Outlook
RADCOM reaffirms full-year 2026 revenue outlook of $57 mln to $63 mln
Company sees delayed deployments in 2026 beginning to move forward in early 2027
RADCOM expects to begin share repurchases after the current earnings blackout period ends
Result Drivers
NEW CUSTOMER WINS - Co added VNPT and CETIN Networks in Q3, each replacing an incumbent vendor after competitive processes
DEPLOYMENT DELAYS - Co said some customer deployments were delayed in 2026 but expects activity to pick up in early 2027
AI-DRIVEN SOLUTIONS - Co highlighted demand for its AI-native, cloud-native assurance platforms as integral to customer network management
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $14.04 mln | $13.51 mln (2 Analysts) |
Q3 Adjusted EPS | Beat | $0.11 | $0.06 (2 Analysts) |
Q3 Net Income | $441,000 | ||
Q3 Gross Profit | $10.22 mln | ||
Q3 Operating Expenses | $11.12 mln | ||
Q3 Operating Income | -$893,000 | ||
Q3 Pretax Profit | $600,000 |
Reuters Recommended Reads
Nov 10 - Israel's Gilat Satellite misses Q3 revenue estimates; says launch delays, contract timing hit forecast
Nov 10 - Israel's Wix slightly beats Q3 revenue estimates, maintains 2026 forecast
Nov 11 - Israel's Valens Semiconductor Q3 revenue rises on automotive segment growth
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)