Group 1 - The focus has shifted towards offshore drilling, supply industry, and shipping, including tankers, containers, and dry bulk [1] - The fuel cell industry is being monitored as it is still in its early stages of development [1] Group 2 - The individual has extensive experience in auditing with PricewaterhouseCoopers before transitioning to day trading nearly 20 years ago [2] - Successfully navigated significant market events such as the dotcom bubble, the aftermath of the World Trade Center attacks, and the subprime crisis [2]

Company Overview - Aviat Networks (NASDAQ: AVNW) is a specialist in microwave backhaul, focusing on wireless transport solutions [1] - The company is well-positioned to benefit from several industry tailwinds, including increasing demand for rural broadband, the rollout of 5G technology, and the rise of private LTE/5G networks [1] Industry Trends - There is a surging demand for rural broadband, which is expected to drive growth for companies like Aviat Networks [1] - The ongoing rollout of 5G technology is contributing to increased demand for wireless transport solutions [1] - The rise of private LTE/5G networks is also creating additional opportunities for growth in the industry [1]

Company Performance - Aviat Networks, Inc. reported quarterly earnings of $0.88 per share, significantly exceeding the Zacks Consensus Estimate of $0.23 per share, and up from $0.73 per share a year ago, representing an earnings surprise of 282.61% [1] - The company posted revenues of $112.64 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 7.66% and showing a slight increase from $111.61 million year-over-year [2] - Over the last four quarters, Aviat Networks has surpassed consensus EPS estimates two times and topped consensus revenue estimates twice [2] Stock Performance - Aviat Networks shares have increased approximately 4.9% since the beginning of the year, contrasting with the S&P 500's decline of 3.9% [3] - The current consensus EPS estimate for the upcoming quarter is $0.86 on revenues of $123.18 million, and for the current fiscal year, it is $1.04 on revenues of $434.41 million [7] Industry Outlook - The Wireless Equipment industry, to which Aviat Networks belongs, is currently ranked in the top 19% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact stock performance [5]

Aviat Networks (AVNW) Q3 2025 Earnings Call May 06, 2025 05:00 PM ET Company Participants Andrew Fredrickson - Director of Corporate Development & Investor RelationsPeter Smith - President & Chief Executive OfficerMichael Connaway - CFO & Senior VPTheodore O'Neill - CEORustam Kanga - VP - Research Conference Call Participants Jaeson Schmidt - Director of Research - Senior Research AnalystScott Searle - Managing Director, Senior Research AnalystDave Kang - Senior AnalystTim Savageaux - MD & Senior Research A ...

Aviat Networks (AVNW) Q3 2025 Earnings Call May 06, 2025 05:00 PM ET Speaker0 Good afternoon. Welcome to Aviat Networks Third Quarter Fiscal twenty twenty five Earnings Call. At this time, all participants are in a listen only mode. A question and answer session will follow the formal presentation. Please note this conference is being recorded. I will now turn the conference over to your host, Mr. Andrew Fredrickson, Director of Investor Relations. Thank you. You may now begin. Speaker1 Thank you, and welco ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ________________________________ FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 28, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______ to _______ Commission File Number 001-33278 ________________________________ AVIAT NETWORKS, INC. (Exact name of regi ...

[Third Quarter Highlights](index=1&type=section&id=Third%20Quarter%20Highlights) Aviat Networks achieved its 19th consecutive quarter of trailing twelve-month revenue growth, record Adjusted EBITDA, and a 64% increase in GAAP operating income Q3 FY2025 Key Financial Metrics | Metric | GAAP | Non-GAAP | | :--- | :--- | :--- | | **Revenue** | $112.6M | - | | **Gross Margin** | **34.9%** | **35.8%** | | **Operating Income** | $9.3M | $13.0M | | **Net Income** | $3.5M | $11.3M | | **Diluted EPS** | $0.27 | $0.88 | | **Adjusted EBITDA** | - | $14.9M | - Achieved the **19th consecutive quarter** of trailing twelve-month revenue growth[10](index=10&type=chunk) - Grew **GAAP operating income by 64%** year-over-year[10](index=10&type=chunk) - Set a new record for **quarterly Adjusted EBITDA**[10](index=10&type=chunk) - Secured initial orders for ProVision Plus network management software from Pasolink customers, targeting a **$50 million opportunity** over five years[10](index=10&type=chunk) [Detailed Financial Performance (Q3 & Nine Months FY2025)](index=1&type=section&id=Detailed%20Financial%20Performance) Q3 FY2025 saw revenue and operating income growth, while the nine-month period experienced revenue growth but declines in operating and net income [Revenues](index=1&type=section&id=Revenues) Q3 revenue increased 1.6% to $112.6 million, driven by North America's growth offsetting international declines, with nine-month revenue up 9.6% Revenue Performance (YoY) | Period | Total Revenue | YoY Change | North America Revenue | YoY Change | International Revenue | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **Q3 FY2025** | $112.6M | **+1.6%** | $49.4M | **+11.3%** | $63.2M | **-4.8%** | | **Nine Months FY2025** | $319.3M | **+9.6%** | - | - | - | - | [Gross Margins](index=1&type=section&id=Gross%20Margins) Q3 FY2025 GAAP gross margin improved to 34.9% and non-GAAP to 35.8% due to favorable mix, contrasting with a nine-month GAAP gross margin decrease to 31.3% Gross Margin Comparison | Period | GAAP Gross Margin | YoY Change (bps) | Non-GAAP Gross Margin | YoY Change (bps) | | :--- | :--- | :--- | :--- | :--- | | **Q3 FY2025** | **34.9%** | **+240** | **35.8%** | **+70** | | **Nine Months FY2025** | **31.3%** | **-420** | **32.1%** | **-450** | [Operating Expenses](index=1&type=section&id=Operating%20Expenses) Q3 GAAP operating expenses remained flat at $30.0 million, while nine-month GAAP operating expenses increased 9.6% and non-GAAP rose 16.5% Operating Expense Comparison (GAAP) | Period | GAAP Operating Expenses | YoY Change | | :--- | :--- | :--- | | **Q3 FY2025** | $30.0M | **-1.3%** | | **Nine Months FY2025** | $98.3M | **+9.6%** | [Operating Income](index=2&type=section&id=Operating%20Income) Q3 GAAP operating income grew 64% to $9.3 million, while nine-month GAAP operating income fell sharply to $1.7 million Operating Income Comparison (GAAP vs. Non-GAAP) | Period | GAAP Operating Income | YoY Change | Non-GAAP Operating Income | YoY Change | | :--- | :--- | :--- | :--- | :--- | | **Q3 FY2025** | $9.3M | **+63.5%** | $13.0M | **+14.0%** | | **Nine Months FY2025** | $1.7M | **-87.8%** | $16.1M | **-50.5%** | [Net Income / Net Income Per Share](index=2&type=section&id=Net%20Income%20%2F%20Net%20Income%20Per%20Share) Q3 FY2025 GAAP net income decreased to $3.5 million, while non-GAAP net income increased to $11.3 million, and the nine-month period reported a GAAP net loss of $3.9 million Net Income and EPS Comparison (GAAP vs. Non-GAAP) | Period | GAAP Net Income | GAAP Diluted EPS | Non-GAAP Net Income | Non-GAAP Diluted EPS | | :--- | :--- | :--- | :--- | :--- | | **Q3 FY2025** | $3.5M | $0.27 | $11.3M | $0.88 | | **Q3 FY2024** | $3.9M | $0.30 | $10.0M | $0.78 | | **Nine Months FY2025** | ($3.9M) | ($0.30) | $10.6M | $0.83 | | **Nine Months FY2024** | $9.2M | $0.75 | $30.0M | $2.43 | [Adjusted EBITDA](index=2&type=section&id=Adjusted%20EBITDA) Q3 FY2025 Adjusted EBITDA reached a record $14.9 million, marking a 17.3% increase from $12.7 million YoY - **Q3 FY2025 Adjusted EBITDA** increased by **$2.2 million** to **$14.9 million**, compared to **$12.7 million** in **Q3 FY2024**[16](index=16&type=chunk) [Balance Sheet Highlights](index=2&type=section&id=Balance%20Sheet%20Highlights) As of March 28, 2025, cash decreased to $49.4 million, total debt increased to $73.9 million, resulting in a net debt position of $24.5 million Balance Sheet Key Items Comparison | Account | March 28, 2025 | June 28, 2024 | | :--- | :--- | :--- | | **Cash and cash equivalents** | $49.4M | $64.6M | | **Total debt** | $73.9M | $48.3M (derived) | | **Net debt** | $24.5M | ($16.3M) (net cash) | [Fiscal 2025 Full Year Outlook](index=2&type=section&id=Fiscal%202025%20Full%20Year%20Outlook) Aviat Networks reaffirmed its FY2025 guidance, projecting total revenue between $430 million and $470 million, and Adjusted EBITDA between $30 million and $40 million FY2025 Guidance | Metric | Guidance Range | | :--- | :--- | | **Full Year Revenue** | $430M - $470M | | **Full Year Adjusted EBITDA** | $30.0M - $40.0M | [Financial Statements and Supplemental Data](index=4&type=section&id=Financial%20Statements%20and%20Supplemental%20Data) This section provides detailed unaudited financial statements, including Statements of Operations, Balance Sheets, Non-GAAP reconciliations, and revenue by geography [Condensed Consolidated Statements of Operations](index=4&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20OPERATIONS) The statement details revenue, costs, and expenses, showing Q3 FY2025 net income of $3.5 million, down YoY, and a nine-month net loss of $3.9 million Statement of Operations Summary (in thousands) | Line Item | Q3 FY2025 | Q3 FY2024 | Nine Months FY2025 | Nine Months FY2024 | | :--- | :--- | :--- | :--- | :--- | | **Total revenues** | $112,640 | $110,822 | $319,266 | $291,423 | | **Gross margin** | $39,296 | $36,071 | $99,970 | $103,593 | | **Operating income** | $9,294 | $5,667 | $1,696 | $13,946 | | **Net income (loss)** | $3,528 | $3,870 | $(3,856) | $9,211 | | **Diluted EPS** | $0.27 | $0.30 | $(0.30) | $0.75 | [Condensed Consolidated Balance Sheets](index=5&type=section&id=CONDENSED%20CONSOLIDATED%20BALANCE%20SHEETS) The balance sheet as of March 28, 2025, shows total assets of $628.3 million and total liabilities of $372.2 million, with key increases in accounts receivable, inventories, and total debt Balance Sheet Summary (in thousands) | Account | March 28, 2025 | June 28, 2024 | | :--- | :--- | :--- | | **Cash and cash equivalents** | $49,429 | $64,622 | | **Total current assets** | $456,604 | $405,223 | | **Total assets** | $628,337 | $535,223 | | **Total current liabilities** | $282,094 | $218,857 | | **Total liabilities** | $372,221 | $279,338 | | **Total stockholders' equity** | $256,116 | $255,885 | [Reconciliation of Non-GAAP Financial Measures](index=6&type=section&id=RECONCILIATION%20OF%20NON-GAAP%20FINANCIAL%20MEASURES) This section reconciles GAAP to non-GAAP measures, excluding items like share-based compensation and M&A expenses, showing Q3 GAAP net income of $3.5 million reconciled to non-GAAP net income of $11.3 million and Adjusted EBITDA of $14.9 million Q3 FY2025 GAAP Net Income to Adjusted EBITDA Reconciliation (in thousands) | Description | Amount | | :--- | :--- | | **GAAP net income** | **$3,528** | | Depreciation and amortization | $1,830 | | Interest expense, net | $1,557 | | Other expense, net | $3,068 | | Share-based compensation | $1,988 | | Merger and acquisition and other expenses | $1,590 | | Restructuring charges | $177 | | Provision for income taxes | $1,141 | | **Adjusted EBITDA** | **$14,879** | [Supplemental Schedule of Revenue by Geographical Area](index=8&type=section&id=SUPPLEMENTAL%20SCHEDULE%20OF%20REVENUE%20BY%20GEOGRAPHICAL%20AREA) Q3 FY2025 North America revenue grew 11.3% to $49.4 million, while International revenue decreased 4.8% to $63.2 million, with nine-month International revenue showing strong growth of 19.9% Revenue by Geography (in thousands) | Region | Q3 FY2025 | Q3 FY2024 | YoY Change | | :--- | :--- | :--- | :--- | | **North America** | $49,402 | $44,400 | **+11.3%** | | **International** | $63,238 | $66,422 | **-4.8%** | | *Africa and the Middle East* | $15,086 | $11,401 | **+32.3%** | | *Europe* | $9,429 | $6,549 | **+44.0%** | | *Latin America and Asia Pacific* | $38,723 | $48,472 | **-20.1%** | | **Total revenue** | **$112,640** | **$110,822** | **+1.6%** |

Aviat Networks Investor Presentation Fiscal Q3 2025 May 6, 2025 Forward-Looking Statements The information contained in this presentation includes forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995, including Aviat's outlook, business conditions, new product solutions, customer positioning, future orders, bookings, new contracts, cost structure, profitability in fiscal 2025, its recent acquisitions and acquisition strategy ...

Core Insights - Aviat Networks reported total revenues of $112.6 million for the fiscal 2025 third quarter, reflecting a year-over-year increase of 1.6% from $110.8 million in the same quarter of fiscal 2024 [2] - The company achieved a GAAP operating income of $9.3 million for the third quarter, up from $5.7 million in the prior year, driven by higher gross margin dollars and stable operating expenses [8] - Non-GAAP net income for the third quarter was $11.3 million, or $0.88 per diluted share, compared to $10.0 million, or $0.78 per diluted share, in the same quarter of the previous year [11] Revenue Performance - Total revenues for the nine months ended March 28, 2025, increased by 9.6% to $319.3 million, compared to $291.4 million in the same period of fiscal 2024 [3] - North America revenue rose by 11.3% to $49.4 million, attributed to strong performance in private networks projects, while international revenue decreased by 4.8% to $63.2 million due to timing issues with capital expenditures from mobile network operators [2] Gross Margins - The GAAP gross margin for the fiscal 2025 third quarter was reported at 34.9%, an increase from 32.5% in the same quarter of fiscal 2024, while the non-GAAP gross margin improved to 35.8% from 35.1% [4] - For the nine months ended March 28, 2025, GAAP gross margin decreased to 31.3% from 35.5% in the same period of fiscal 2024 [5] Operating Expenses - GAAP total operating expenses for the third quarter were $30.0 million, a slight decrease from $30.4 million in the prior year, while non-GAAP operating expenses were $27.2 million, down from $27.4 million [6] - For the nine months ended March 28, 2025, GAAP total operating expenses increased to $98.3 million from $89.6 million in the same period of fiscal 2024, reflecting a 9.6% rise [7] Income and Earnings - The company reported a GAAP net income of $3.5 million for the third quarter, down from $3.9 million in the same quarter of fiscal 2024 [11] - For the nine months ended March 28, 2025, the company experienced a GAAP net loss of $(3.9) million, compared to a net income of $9.2 million in the same period of fiscal 2024 [13] Adjusted EBITDA - Adjusted EBITDA for the fiscal 2025 third quarter was $14.9 million, an increase from $12.7 million in the same quarter of fiscal 2024 [14] Balance Sheet Highlights - As of March 28, 2025, the company reported cash and cash equivalents of $49.4 million, down from $64.6 million as of June 28, 2024, with total debt increasing to $73.9 million [15] Full Year Outlook - The company maintained its fiscal 2025 full-year guidance, projecting revenues between $430 million and $470 million and Adjusted EBITDA between $30 million and $40 million [22]

Core Viewpoint - Aviat Networks, Inc. will release its third quarter fiscal 2025 financial results on May 6, 2025, after market close [1] Financial Results Announcement - The earnings conference call and webcast will take place on the same day at 5:00 p.m. ET, featuring CEO Pete Smith and CFO Michael Connaway [2] - Interested parties can access the conference call via the webcast on Aviat Networks' Investor Relations website or participate by telephone after registering [3] Company Overview - Aviat Networks is a leading expert in wireless transport and access solutions, providing reliable products and services to customers globally [4] - The company has sold over one million systems in 170 countries, serving various sectors including government and defense organizations [4] - With a history of microwave innovations spanning over 70 years, Aviat focuses on delivering high-performance products and exceptional customer experiences [4]