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]

Earnings Reports - Kroger Co. is expected to report quarterly earnings of $0.99 per share on revenue of $34.10 billion [2] - Aviat Networks Inc. reported quarterly earnings of $0.83 per share, exceeding the analyst consensus estimate of $0.47 per share, with quarterly sales of $115.340 million, surpassing the estimate of $114.667 million [2] - RH is anticipated to post quarterly earnings of $3.20 per share on revenue of $904.64 million [2] - Oxford Industries Inc. reported quarterly earnings of $1.26 per share, beating the estimate of $1.18, but quarterly revenue of $403.14 million fell short of the consensus estimate of $410.850 million [2] - Adobe Inc. is expected to report quarterly earnings of $5.18 per share on revenue of $5.91 billion [2] Stock Performance - Kroger shares increased by 0.7% to $67.51 in after-hours trading [2] - Aviat Networks shares rose by 4.7% to $23.75 in after-hours trading [2] - RH shares gained 0.4% to $229.90 in after-hours trading [2] - Oxford Industries shares jumped 16.7% to $47.16 in after-hours trading [2] - Adobe shares increased by 0.4% to $351.45 in after-hours trading [2]

Core Insights - The article discusses the limitations of AI-generated earnings call insights and emphasizes the lack of editorial review, which may affect the accuracy and completeness of the information provided [1] Group 1 - The earnings call insights are compilations of transcripts and content available on the Seeking Alpha website [1] - The insights are generated by an AI tool, which has inherent limitations [1] - There is no guarantee regarding the accuracy, completeness, or timeliness of the earnings call insights [1]

Group 1 - The company is responsible for the development of transcript-related projects [1] - The company publishes thousands of quarterly earnings calls per quarter [1] - The company is continuing to grow and expand its coverage [1]

Group 1 - Aviat Networks, Inc. reported quarterly earnings of $0.83 per share, exceeding the Zacks Consensus Estimate of $0.43 per share, and showing an increase from $0.72 per share a year ago, resulting in an earnings surprise of +93.02% [1] - The company posted revenues of $115.34 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 1.11%, although this represents a decline from year-ago revenues of $116.66 million [2] - Aviat Networks has outperformed the S&P 500, with shares increasing about 23.6% since the beginning of the year compared to the S&P 500's gain of 10.7% [3] Group 2 - The current consensus EPS estimate for the coming quarter is $0.55 on revenues of $109.38 million, and for the current fiscal year, it is $2.56 on revenues of $454.5 million [7] - The Wireless Equipment industry, to which Aviat Networks belongs, is currently ranked in the top 27% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8]

PART I [Cautionary Statement Regarding Forward-Looking Statements](index=5&type=section&id=CAUTIONARY%20STATEMENT%20REGARDING%20FORWARD-LOOKING%20STATEMENTS) The 10-K contains forward-looking statements subject to risks and uncertainties, advising against undue reliance - The report contains forward-looking statements that are subject to **risks and uncertainties**, potentially causing actual results to differ materially from projections[14](index=14&type=chunk)[15](index=15&type=chunk) - Readers are cautioned not to place **undue reliance** on these statements, which reflect management's opinions only as of the filing date[17](index=17&type=chunk) - Key factors that may cause results to differ are detailed in 'Item 1A. Risk Factors'[16](index=16&type=chunk) [Item 1. Business](index=6&type=section&id=Item%201.%20Business) Aviat Networks is a global supplier of microwave and wireless access networking solutions, serving CSPs and private networks - Aviat Networks is a global supplier of microwave and wireless access networking solutions and services[19](index=19&type=chunk) - The company serves two principal customer types: Communications Service Providers (CSPs) and private network operators (e.g., government, utilities, public safety)[26](index=26&type=chunk) - Aviat's strategy focuses on three main elements: expanding its portfolio of wireless transport and access products, investing in software applications and services for network management, and investing in e-commerce through the 'Aviat Store' for lower costs and faster lead times[36](index=36&type=chunk)[37](index=37&type=chunk)[39](index=39&type=chunk) [Overview and Description of the Business](index=6&type=section&id=Overview%20and%20Description%20of%20the%20Business) Aviat Networks designs and sells wireless transport and access networking products using microwave and millimeter wave technologies - Aviat Networks designs, manufactures, and sells wireless transport and access networking products, solutions, and services[22](index=22&type=chunk) - Products use microwave and millimeter wave technologies for point-to-point and point-to-multipoint wireless links, complemented by routers and cloud-based software for network management[24](index=24&type=chunk) - Wireless systems offer advantages over fiber optics in terms of faster deployment, lower cost in dense areas, suitability for rugged terrain or water crossings, and lower latency for time-sensitive applications[25](index=25&type=chunk) [Market Overview](index=7&type=section&id=Market%20Overview) Future demand for microwave and millimeter wave systems is driven by mobile/5G networks, rural broadband, and private network growth - Future demand for microwave and millimeter wave systems is influenced by mobile/5G networks, rural broadband, and private networks[28](index=28&type=chunk)[29](index=29&type=chunk)[32](index=32&type=chunk) - Mobile/5G Networks: Driven by 5G deployments, subscriber growth, connected devices (IoT), network densification, and geographic coverage expansion - Rural Broadband: Aviat equipment is used for middle-mile infrastructure builds to deliver broadband connectivity to rural and suburban communities - Private Networks: Demand from utility, public safety, energy and mining, government, financial institutions, and broadcast sectors for mission-critical applications [Strategy](index=8&type=section&id=Strategy) Aviat's strategy focuses on sustainable, profitable growth by enhancing products, investing in software/services, and expanding e-commerce - Aviat aims for sustainable and profitable growth by addressing 5G market needs and strengthening its product/services portfolio[34](index=34&type=chunk)[35](index=35&type=chunk) - Product Portfolio: Increase data-carrying capacity, reduce energy consumption, and lower TCO through R&D in wireless transport and access products - Software & Services: Invest in applications, tools, and services for network planning, deployment, operation, optimization, and performance assurance - E-commerce: Expand through the 'Aviat Store' and supporting supply chain for lower costs, faster lead times, and simpler purchasing for customers [Products and Solutions](index=9&type=section&id=Products%20and%20Solutions) Aviat offers a comprehensive portfolio of microwave and millimeter wave transport and access systems, designed for low TCO and future-proof networking - Aviat's product portfolio includes wireless transport and access systems for microwave and millimeter wave networking, supporting a wide range of frequencies (**450 MHz to 90 GHz**) and capacities (**up to 20 Gbps**)[42](index=42&type=chunk) - Key Product Families: CTR 8000 (routers for wireless transport), WTM 4000 (high-capacity, all-outdoor microwave radio, including Multi-Band solutions like WTM 4800, MB-XD, MB-MAX, MB-VA), RDL 3000 (ruggedized fixed/nomadic wireless access), Aprisa (hardened narrowband SCADA, LTE/5G modems), IRU 600 (ultra-high power indoor microwave radio), Pasolink (split-mount microwave), ProVision Plus (management software), and AviatCloud (hosted software/services) - Focus on Low TCO: Achieved through reduced rack space, lower power consumption, fewer stations, software-configurable upgrades, and advanced wireless features like Multi-Band - Future-proof Network: Solutions designed for smooth migration to Carrier Ethernet and IP/MPLS, protecting customer investments [Business Operations](index=10&type=section&id=Business%20Operations) Aviat uses direct and indirect sales, outsources manufacturing, manages a $323 million backlog, faces intense competition, and invests in R&D - Aviat's primary route to market is direct sales, supplemented by OEMs, system integrators, and indirect channels, including the 'Aviat Store' for online sales[43](index=43&type=chunk)[44](index=44&type=chunk)[45](index=45&type=chunk)[46](index=46&type=chunk) - Manufacturing follows an outsourced model with partners in Asia and the U.S., certified to ISO 9001 and TL 9000 quality standards[50](index=50&type=chunk)[51](index=51&type=chunk) Backlog (Fiscal 2024-2025) | Date | Backlog (Millions) | | :------------- | :----------------- | | June 27, 2025 | $323 | | June 28, 2024 | $292 | - Competition is strong from large mobile and IP network infrastructure manufacturers (e.g., Ericsson, Huawei, Nokia) and smaller specialist companies[56](index=56&type=chunk) Research and Development Expenditures (Fiscal 2023-2025) | Fiscal Year | R&D Expenditure (Millions) | % of Revenue | | :---------- | :------------------------- | :----------- | | 2025 | $35.8 | 8.2% | | 2024 | $36.4 | 8.9% | | 2023 | $24.9 | 7.2% | - As of June 27, 2025, Aviat owns approximately **244 U.S. patents** and **159 international patents**[65](index=65&type=chunk) - As of June 27, 2025, the Company had **923 employees** globally, with **250 in the U.S.**, and focuses on attracting and retaining diverse talent through competitive compensation and benefits[21](index=21&type=chunk)[75](index=75&type=chunk)[76](index=76&type=chunk) [Information about our Executive Officers](index=14&type=section&id=Information%20about%20our%20Executive%20Officers) This section provides biographical information for Aviat Networks' executive officers, including the President and CEO, CFO, and other key leaders - Peter A. Smith (59): President and CEO since January 2020, with prior leadership roles at JELD-WEN, Polypore International, and Voltaix Inc - Michael C. Connaway (44): CFO, responsible for worldwide finance. Notified resignation effective after fiscal 2025 10-K filing - Andrew M. Fredrickson (35): VP of Corporate Finance, appointed Interim CFO effective after fiscal 2025 10-K filing - Erin R. Boase (46): General Counsel, with experience in privacy, employment, compliance, and M&A from Lifesize, Cisco, Dell, and Thomson Reuters - Gary G. Croke (53): SVP, Product and Innovation, responsible for global marketing and product development, with over 25 years of experience in data and mobile communications [Item 1A. Risk Factors](index=16&type=section&id=Item%201A.%20Risk%20Factors) This section outlines material risks to Aviat Networks' business, operations, and financial results, covering business, financial, legal, and general factors - Aviat Networks faces significant business risks that could materially and adversely affect its financial condition and results of operations, potentially leading to a decline in stock price[84](index=84&type=chunk) - Business and Operational Risks: Lengthy sales cycles, dependence on new product introductions, reliance on third-party service partners and contract manufacturers, intense competition, and challenges in attracting and retaining key personnel - Financial and Macroeconomic Risks: Susceptibility to political, economic, and geographic risks from international sales, foreign currency fluctuations, limitations on internal controls, and global economic conditions affecting customers and suppliers - Legal and Regulatory Risks: Inability to protect intellectual property, regulatory approvals for products, changing corporate governance and anti-bribery measures, potential liability claims, and evolving data privacy and cybersecurity laws - General Risk Factors: Exposure to natural disasters, catastrophic events, and system security risks like data breaches and cyberattacks [Risk Factors Summary](index=17&type=section&id=Risk%20Factors%20Summary) This summary overviews Aviat Networks' principal risks, categorized into business, financial, legal, and general factors - The company's principal risks are summarized across business and operational, financial and macroeconomic, legal and regulatory, and general categories[85](index=85&type=chunk) - Business and Operational: Lengthy sales cycles, new product acceptance, third-party service/manufacturing reliance, competition, and personnel retention - Financial and Macroeconomic: International sales risks, internal control limitations, capital access, global economic conditions, and tax law changes - Legal and Regulatory: Intellectual property protection, regulatory approvals, corporate governance, product liability, data privacy, and environmental regulations - General: Natural disasters, catastrophic events, and cybersecurity risks [Item 1B. Unresolved Staff Comments](index=35&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) Aviat Networks reported no unresolved staff comments from the SEC - There are no unresolved staff comments[176](index=176&type=chunk)

[Fiscal 2025 Fourth Quarter and Twelve Months Financial Results Overview](index=1&type=section&id=Fiscal%202025%20Fourth%20Quarter%20and%20Twelve%20Months%20Financial%20Results%20Overview) This section provides an overview of Aviat Networks' financial performance for the fourth quarter and full fiscal year 2025, highlighting key revenue, income, and EBITDA figures [Fourth Quarter Highlights](index=1&type=section&id=Fourth%20Quarter%20Highlights) Aviat Networks reported a strong fiscal 2025 fourth quarter, achieving significant GAAP net income growth and a third consecutive record for quarterly Adjusted EBITDA, despite a slight decrease in total revenue - Grew quarterly GAAP Net Income to **$5.2 million**, an increase of **$3.6 million** or **236%** versus the same period a year ago[9](index=9&type=chunk) - Achieved the third consecutive record for quarterly Adjusted EBITDA with **$15.1 million** at **13.0%** margin[9](index=9&type=chunk) Fiscal 2025 Fourth Quarter Key Financials (in millions) | Metric | GAAP Result | Non-GAAP Result | | :-------------------------- | :---------- | :-------------- | | Total Revenues | $115.3 million | N/A | | Gross Margin | 34.2% | 34.7% | | Operating Expenses | $30.6 million | $27.1 million | | Operating Income | $8.9 million | $12.9 million | | Net Income | $5.2 million | $10.7 million | | Net Income per diluted share | $0.40 | $0.83 | | Adjusted EBITDA | N/A | $15.1 million | | Cash and Cash Equivalents | $59.7 million | N/A | | Net Debt | $27.9 million | N/A | [Full Year Financial Highlights](index=1&type=section&id=Full%20Year%20Financial%20Highlights) For the full fiscal year 2025, Aviat Networks completed its fifth consecutive year of revenue growth, reaching $434.6 million, although GAAP net income and Adjusted EBITDA saw declines compared to the prior year - Completed fifth consecutive fiscal year of revenue growth[9](index=9&type=chunk) Fiscal 2025 Full Year Key Financials (in millions) | Metric | GAAP Result | Non-GAAP Result | | :-------------------------- | :---------- | :-------------- | | Total Revenues | $434.6 million | N/A | | Gross Margin | 32.1% | 32.8% | | Operating Expenses | $128.9 million | $113.5 million | | Operating Income | $10.6 million | $29.0 million | | Net Income | $1.3 million | $21.4 million | | Net Income per diluted share | $0.10 | $1.67 | | Adjusted EBITDA | N/A | $37.1 million | [Detailed Financial Performance](index=1&type=section&id=Detailed%20Financial%20Performance) This section provides an in-depth analysis of Aviat Networks' revenues, gross margins, operating expenses, operating income, income taxes, net income, and Adjusted EBITDA for both the fourth quarter and full fiscal year 2025 [Revenues](index=1&type=section&id=Revenues) Total revenues for Q4 FY25 slightly decreased by 1.1% year-over-year, primarily due to a decline in international revenue, offset by growth in North America's private network business. For the full fiscal year 2025, total revenue increased by 6.5%, driven by strong international growth [Fourth Quarter Revenues](index=1&type=section&id=Fourth%20Quarter%20Revenues) Fourth quarter revenues saw a slight overall decrease, with North America showing growth in private networks while international revenues declined due to project timing Fourth Quarter Revenues (in millions) | Metric | FY25 Q4 | FY24 Q4 | Change (Millions) | Change (%) | | :---------------- | :------ | :------ | :---------------- | :--------- | | Total Revenues | $115.3 | $116.7 | $(1.3) | (1.1)% | | North America | $58.0 | $56.2 | $1.8 | 3.2% | | International | $57.3 | $60.5 | $(3.1) | (5.2)% | - North America revenue growth was due to growth in private network business[4](index=4&type=chunk) - International revenue decrease was due to timing of certain mobile network projects[4](index=4&type=chunk) [Twelve Months Revenues](index=1&type=section&id=Twelve%20Months%20Revenues) Full year revenues increased by 6.5%, primarily driven by strong international growth, with North America also contributing to the overall increase Twelve Months Revenues (in millions) | Metric | FY25 | FY24 | Change (Millions) | Change (%) | | :---------------- | :----- | :----- | :---------------- | :--------- | | Total Revenues | $434.6 | $408.1 | $26.5 | 6.5% | | North America | $207.6 | $206.1 | $1.5 | 0.7% | | International | $227.0 | $202.0 | $25.0 | 12.4% | [Gross Margins](index=1&type=section&id=Gross%20Margins) Both GAAP and non-GAAP gross margins decreased in Q4 FY25 and for the full fiscal year 2025 compared to the prior year, primarily due to fluctuations in project and regional customer mix [Fourth Quarter Gross Margins](index=1&type=section&id=Fourth%20Quarter%20Gross%20Margins) Fourth quarter GAAP and non-GAAP gross margins both declined, influenced by changes in project and regional customer mix Fourth Quarter Gross Margins | Metric | FY25 Q4 | FY24 Q4 | Change (bps) | | :---------------- | :------ | :------ | :----------- | | GAAP Gross Margin | 34.2% | 35.3% | (110) | | Non-GAAP Gross Margin | 34.7% | 35.9% | (120) | - Gross margin fluctuations were driven by project and regional customer mix[6](index=6&type=chunk) [Twelve Months Gross Margins](index=1&type=section&id=Twelve%20Months%20Gross%20Margins) Full year GAAP and non-GAAP gross margins both decreased compared to the prior fiscal year Twelve Months Gross Margins | Metric | FY25 | FY24 | | :---------------- | :----- | :----- | | GAAP Gross Margin | 32.1% | 35.5% | | Non-GAAP Gross Margin | 32.8% | 36.4% | [Operating Expenses](index=2&type=section&id=Operating%20Expenses) Total GAAP and non-GAAP operating expenses decreased significantly in Q4 FY25, reflecting a 14.3% and 13.2% reduction respectively. However, for the full fiscal year 2025, both GAAP and non-GAAP operating expenses increased by 2.8% and 7.7% respectively [Fourth Quarter Operating Expenses](index=2&type=section&id=Fourth%20Quarter%20Operating%20Expenses) Fourth quarter GAAP and non-GAAP operating expenses both saw significant year-over-year decreases Fourth Quarter Operating Expenses (in millions) | Metric | FY25 Q4 | FY24 Q4 | Change (Millions) | Change (%) | | :----------------------- | :------ | :------ | :---------------- | :--------- | | GAAP Operating Expenses | $30.6 | $35.7 | $(5.1) | (14.3)% | | Non-GAAP Operating Expenses | $27.1 | $31.3 | $(4.1) | (13.2)% | [Twelve Months Operating Expenses](index=2&type=section&id=Twelve%20Months%20Operating%20Expenses) Full year GAAP and non-GAAP operating expenses increased compared to the prior fiscal year Twelve Months Operating Expenses (in millions) | Metric | FY25 | FY24 | Change (Millions) | Change (%) | | :----------------------- | :----- | :----- | :---------------- | :--------- | | GAAP Operating Expenses | $128.9 | $125.3 | $3.5 | 2.8% | | Non-GAAP Operating Expenses | $113.5 | $105.4 | $8.1 | 7.7% | [Operating Income](index=2&type=section&id=Operating%20Income) Aviat Networks saw a substantial increase in operating income for Q4 FY25, with GAAP operating income up 62.8% and non-GAAP up 21.9%. Conversely, for the full fiscal year 2025, operating income decreased significantly, primarily due to merger and acquisition related expenses [Fourth Quarter Operating Income](index=2&type=section&id=Fourth%20Quarter%20Operating%20Income) Fourth quarter GAAP and non-GAAP operating income both increased significantly year-over-year Fourth Quarter Operating Income (in millions) | Metric | FY25 Q4 | FY24 Q4 | Change (Millions) | Change (%) | | :------------------- | :------ | :------ | :---------------- | :--------- | | GAAP Operating Income | $8.9 | $5.5 | $3.4 | 62.8% | | Non-GAAP Operating Income | $12.9 | $10.6 | $2.3 | 21.9% | [Twelve Months Operating Income](index=2&type=section&id=Twelve%20Months%20Operating%20Income) Full year GAAP and non-GAAP operating income decreased substantially, primarily due to merger and acquisition related expenses Twelve Months Operating Income (in millions) | Metric | FY25 | FY24 | Change (Millions) | Change (%) | | :------------------- | :----- | :----- | :---------------- | :--------- | | GAAP Operating Income | $10.6 | $19.4 | $(8.8) | (45.5)% | | Non-GAAP Operating Income | $29.0 | $43.1 | $(14.1) | (32.7)% | - Operating income decreased primarily due to merger and acquisition related expenses[13](index=13&type=chunk) [Income Taxes](index=2&type=section&id=Income%20Taxes) GAAP income tax expense increased in Q4 FY25 compared to the prior year, while for the full fiscal year 2025, it decreased significantly [Fourth Quarter Income Taxes](index=2&type=section&id=Fourth%20Quarter%20Income%20Taxes) Fourth quarter GAAP income tax expense increased year-over-year Fourth Quarter Income Tax Expense (in millions) | Metric | FY25 Q4 | FY24 Q4 | | :------------------- | :------ | :------ | | GAAP Income Tax Expense | $5.0 | $3.1 | [Twelve Months Income Taxes](index=2&type=section&id=Twelve%20Months%20Income%20Taxes) Full year GAAP income tax expense decreased significantly compared to the prior fiscal year Twelve Months Income Tax Expense (in millions) | Metric | FY25 | FY24 | | :------------------- | :----- | :----- | | GAAP Income Tax Expense | $2.2 | $6.1 | [Net Income / Net Income Per Share](index=2&type=section&id=Net%20Income%20%2F%20Net%20Income%20Per%20Share) Aviat Networks reported a substantial increase in GAAP net income and EPS for Q4 FY25, alongside growth in non-GAAP net income and EPS. However, for the full fiscal year 2025, both GAAP and non-GAAP net income and EPS saw significant declines compared to the prior year [Fourth Quarter Net Income / Net Income Per Share](index=2&type=section&id=Fourth%20Quarter%20Net%20Income%20%2F%20Net%20Income%20Per%20Share) Fourth quarter GAAP and non-GAAP net income and diluted EPS all increased significantly year-over-year Fourth Quarter Net Income / EPS | Metric | FY25 Q4 | FY24 Q4 | | :----------------------- | :------ | :------ | | GAAP Net Income (Millions) | $5.2 | $1.5 | | GAAP Diluted EPS | $0.40 | $0.12 | | Non-GAAP Net Income (Millions) | $10.7 | $9.2 | | Non-GAAP Diluted EPS | $0.83 | $0.72 | [Twelve Months Net Income / Net Income Per Share](index=2&type=section&id=Twelve%20Months%20Net%20Income%20%2F%20Net%20Income%20Per%20Share) Full year GAAP and non-GAAP net income and diluted EPS decreased substantially compared to the prior fiscal year Twelve Months Net Income / EPS | Metric | FY25 | FY24 | | :----------------------- | :----- | :----- | | GAAP Net Income (Millions) | $1.3 | $10.8 | | GAAP Diluted EPS | $0.10 | $0.86 | | Non-GAAP Net Income (Millions) | $21.4 | $39.2 | | Non-GAAP Diluted EPS | $1.67 | $3.15 | [Adjusted EBITDA](index=2&type=section&id=Adjusted%20EBITDA) Adjusted EBITDA increased significantly in Q4 FY25, reaching a record high, but decreased for the full fiscal year 2025 compared to the prior year [Fourth Quarter Adjusted EBITDA](index=2&type=section&id=Fourth%20Quarter%20Adjusted%20EBITDA) Fourth quarter Adjusted EBITDA increased significantly year-over-year, setting a new quarterly record Fourth Quarter Adjusted EBITDA (in millions) | Metric | FY25 Q4 | FY24 Q4 | | :-------------- | :------ | :------ | | Adjusted EBITDA | $15.1 | $11.9 | [Twelve Months Adjusted EBITDA](index=2&type=section&id=Twelve%20Months%20Adjusted%20EBITDA) Full year Adjusted EBITDA decreased compared to the prior fiscal year Twelve Months Adjusted EBITDA (in millions) | Metric | FY25 | FY24 | | :-------------- | :----- | :----- | | Adjusted EBITDA | $37.1 | $48.1 | [Balance Sheet Highlights](index=2&type=section&id=Balance%20Sheet%20Highlights) This section summarizes key balance sheet figures, including cash and cash equivalents and total debt, as of the end of fiscal year 2025 [Balance Sheet Summary](index=2&type=section&id=Balance%20Sheet%20Summary) As of June 27, 2025, Aviat Networks reported an increase in cash and cash equivalents compared to the previous quarter, with total debt standing at $87.6 million Balance Sheet Highlights (in millions) | Metric | As of June 27, 2025 | As of March 28, 2025 | | :---------------------- | :------------------ | :------------------- | | Cash and Cash Equivalents | $59.7 | $49.4 | | Total Debt | $87.6 | N/A | [Fiscal 2026 Full Year Guidance](index=2&type=section&id=Fiscal%202026%20Full%20Year%20Guidance) This section provides Aviat Networks' financial outlook and projections for the full fiscal year 2026 [FY26 Guidance Overview](index=2&type=section&id=FY26%20Guidance%20Overview) Aviat Networks provided its full-year guidance for fiscal 2026, projecting revenue between $440 million and $460 million, and Adjusted EBITDA between $45.0 million and $55.0 million Fiscal 2026 Full Year Guidance (in millions) | Metric | Guidance Range | | :---------------- | :------------- | | Full year Revenue | $440 - $460 | | Full year Adjusted EBITDA | $45.0 - $55.0 | [Corporate Information & Events](index=2&type=section&id=Corporate%20Information%20%26%20Events) This section details corporate communications, upcoming investor engagements, company background, and investor relations contact information [Conference Call Details](index=2&type=section&id=Conference%20Call%20Details) Aviat Networks hosted a conference call to discuss its financial results, with key executives participating and providing access details for investors - Aviat Networks hosted a conference call on September 10, 2025, at 4:15 p.m. ET to discuss its fiscal 2025 fourth quarter financial results[19](index=19&type=chunk) - Participating on the call were Peter Smith (President and CEO), Michael Connaway (Sr. Vice President and CFO), and Andrew Fredrickson (Vice President, Corporate Finance and Interim CFO)[19](index=19&type=chunk) - Interested parties could access the call live via webcast through Aviat Network's Investor Relations website or participate via telephone by registering online[20](index=20&type=chunk) [Upcoming Events](index=2&type=section&id=Upcoming%20Events) Aviat Networks announced its participation in an upcoming investor conference - Aviat will participate in the 9th Annual Lake Street Capital Markets Best Ideas Growth Conference on September 11, 2025, in New York, NY[21](index=21&type=chunk) [About Aviat Networks](index=3&type=section&id=About%20Aviat%20Networks) Aviat Networks is a leading global provider of wireless transport and access solutions, serving a diverse customer base with over 70 years of innovation and comprehensive support services - Aviat Networks, Inc. is the leading expert in wireless transport and access solutions[23](index=23&type=chunk) - The company has sold over **one million** systems into **170 countries** worldwide, serving communications service providers and private network operators (state/local government, utility, federal government, and defense organizations)[23](index=23&type=chunk) - Aviat provides a comprehensive suite of localized professional and support services and is headquartered in Austin, Texas[23](index=23&type=chunk) [Investor Relations Contact](index=3&type=section&id=Investor%20Relations%20Contact) Contact information for investor relations inquiries is provided - Investor Relations contact: Andrew Fredrickson, Email: investorinfo@aviatnet.com[27](index=27&type=chunk) [Forward-Looking Statements and Risk Factors](index=3&type=section&id=Forward-Looking%20Statements%20and%20Risk%20Factors) This section provides a disclaimer regarding forward-looking statements and outlines key risk factors that could materially impact future financial results [Forward-Looking Statements Disclaimer](index=3&type=section&id=Forward-Looking%20Statements%20Disclaimer) This section outlines the nature of forward-looking statements within the report, emphasizing that actual results may differ materially due to various important factors and risks, including those detailed in the company's Form 10-K - The report includes forward-looking statements regarding Aviat's outlook, business conditions, new product solutions, future orders, profitability, acquisitions, and financial projections[24](index=24&type=chunk) - Forward-looking statements are based on current beliefs, expectations, and assumptions of senior management, but involve risks and uncertainties that could cause actual results to differ materially[24](index=24&type=chunk) - Important factors include disruptions from acquisitions (4RF and NEC), integration challenges, geopolitical conflicts, price and margin erosion, supply chain constraints, inflation, and global economic weakness. Investors should refer to the 'Risk Factors' section in Aviat's Form 10-K for more information[25](index=25&type=chunk)[26](index=26&type=chunk) [Condensed Consolidated Financial Statements (GAAP)](index=4&type=section&id=Condensed%20Consolidated%20Financial%20Statements%20(GAAP)) This section presents the unaudited GAAP condensed consolidated statements of operations and balance sheets for the specified periods [Condensed Consolidated Statements of Operations](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) This section presents the unaudited GAAP condensed consolidated statements of operations for the three and twelve months ended June 27, 2025, and June 28, 2024 Condensed Consolidated Statements of Operations (in thousands) | Metric | Three Months Ended June 27, 2025 | Three Months Ended June 28, 2024 | Twelve Months Ended June 27, 2025 | Twelve Months Ended June 28, 2024 | | :-------------------------- | :------------------------------- | :------------------------------- | :-------------------------------- | :-------------------------------- | | Product sales | $67,405 | $78,795 | $287,657 | $274,205 | | Services | $47,935 | $37,865 | $146,949 | $133,878 | | **Total revenues** | **$115,340** | **$116,660** | **$434,606** | **$408,083** | | Total cost of revenues | $75,874 | $75,521 | $295,170 | $263,351 | | **Gross margin** | **$39,466** | **$41,139** | **$139,436** | **$144,732** | | Total operating expenses | $30,587 | $35,684 | $128,861 | $125,331 | | **Operating income** | **$8,879** | **$5,455** | **$10,575** | **$19,401** | | Income before income taxes | $10,179 | $4,609 | $3,576 | $16,906 | | Provision for income taxes | $4,982 | $3,060 | $2,235 | $6,146 | | **Net income** | **$5,197** | **$1,549** | **$1,341** | **$10,760** | | Diluted Net income per share | $0.40 | $0.12 | $0.10 | $0.86 | [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) This section presents the unaudited GAAP condensed consolidated balance sheets as of June 27, 2025, and June 28, 2024 Condensed Consolidated Balance Sheets (in thousands) | Metric | As of June 27, 2025 | As of June 28, 2024 | | :-------------------------- | :------------------ | :------------------ | | Cash and cash equivalents | $59,690 | $64,622 | | Accounts receivable, net | $180,321 | $158,013 | | Inventories | $83,979 | $62,267 | | **Total current assets** | **$463,575** | **$405,223** | | Goodwill | $19,655 | $8,217 | | **Total assets** | **$633,296** | **$535,223** | | Accounts payable | $148,093 | $92,854 | | Current portion of long-term debt | $18,624 | $2,396 | | **Total current liabilities** | **$282,196** | **$218,857** | | Long-term debt | $68,966 | $45,954 | | **Total liabilities** | **$370,113** | **$279,338** | | **Total stockholders' equity** | **$263,183** | **$255,885** | | **Total liabilities and stockholders' equity** | **$633,296** | **$535,223** | [Reconciliation of Non-GAAP Financial Measures](index=6&type=section&id=Reconciliation%20of%20Non-GAAP%20Financial%20Measures) This section provides detailed reconciliations of non-GAAP financial measures to their most comparable GAAP equivalents, offering additional insights into operational performance [Non-GAAP Measures Overview](index=6&type=section&id=Non-GAAP%20Measures%20Overview) This section provides reconciliations of non-GAAP financial measures to their most directly comparable GAAP measures, including gross margin, operating expenses, operating income, net income, and Adjusted EBITDA. These non-GAAP measures are presented to offer investors additional insights into period-over-period operating results, excluding certain non-recurring or non-cash items - Non-GAAP financial measures are provided to supplement GAAP consolidated financial statements, offering information useful to investors in understanding period-over-period operating results separate from items with disproportionate impacts[33](index=33&type=chunk) - Adjustments typically exclude share-based compensation, merger and acquisition related expenses, and restructuring charges[33](index=33&type=chunk)[37](index=37&type=chunk) - Reconciliations of forward-looking Adjusted EBITDA guidance are not provided due to the high variability and difficulty in making accurate forecasts for items like merger and acquisition costs and share-based compensation[34](index=34&type=chunk) [Non-GAAP Gross Margin Reconciliation](index=6&type=section&id=Non-GAAP%20Gross%20Margin%20Reconciliation) Reconciliation of GAAP gross margin to non-GAAP gross margin, adjusting for share-based compensation and merger and acquisition related expenses Non-GAAP Gross Margin Reconciliation (in thousands) | Metric | Three Months Ended June 27, 2025 | Three Months Ended June 28, 2024 | Twelve Months Ended June 27, 2025 | Twelve Months Ended June 28, 2024 | | :-------------------------- | :------------------------------- | :------------------------------- | :-------------------------------- | :-------------------------------- | | GAAP gross margin | $39,466 (34.2%) | $41,139 (35.3%) | $139,436 (32.1%) | $144,732 (35.5%) | | Share-based compensation | $19 | $96 | $233 | $406 | | Merger and acquisition related expense | $595 | $650 | $2,890 | $3,409 | | **Non-GAAP gross margin** | **$40,080 (34.7%)** | **$41,885 (35.9%)** | **$142,559 (32.8%)** | **$148,547 (36.4%)** | [Non-GAAP Operating Expenses Reconciliation](index=6&type=section&id=Non-GAAP%20Operating%20Expenses%20Reconciliation) Reconciliation of GAAP operating expenses to non-GAAP operating expenses, adjusting for share-based compensation, merger and acquisition related expenses, and restructuring charges Non-GAAP Operating Expenses Reconciliation (in thousands) | Metric | Three Months Ended June 27, 2025 | Three Months Ended June 28, 2024 | Twelve Months Ended June 27, 2025 | Twelve Months Ended June 28, 2024 | | :-------------------------- | :------------------------------- | :------------------------------- | :-------------------------------- | :-------------------------------- | | GAAP operating expense | $30,587 (26.5%) | $35,684 (30.6%) | $128,861 (29.7%) | $125,331 (30.7%) | | Share-based compensation | $(1,422) | $(1,700) | $(6,834) | $(6,935) | | Merger and acquisition and other expenses | $(6) | $(1,070) | $(4,896) | $(9,121) | | Restructuring (charges) recovery | $(2,019) | $(1,640) | $(3,611) | $(3,867) | | **Non-GAAP operating expense** | **$27,140 (23.5%)** | **$31,274 (26.8%)** | **$113,520 (26.1%)** | **$105,408 (25.8%)** | [Non-GAAP Operating Income Reconciliation](index=7&type=section&id=Non-GAAP%20Operating%20Income%20Reconciliation) Reconciliation of GAAP operating income to non-GAAP operating income, adjusting for share-based compensation, merger and acquisition related expenses, and restructuring charges Non-GAAP Operating Income Reconciliation (in thousands) | Metric | Three Months Ended June 27, 2025 | Three Months Ended June 28, 2024 | Twelve Months Ended June 27, 2025 | Twelve Months Ended June 28, 2024 | | :-------------------------- | :------------------------------- | :------------------------------- | :-------------------------------- | :-------------------------------- | | GAAP operating income | $8,879 (7.7%) | $5,455 (4.7%) | $10,575 (2.4%) | $19,401 (4.8%) | | Share-based compensation | $1,441 | $1,796 | $7,067 | $7,341 | | Merger and acquisition related expense | $601 | $1,720 | $7,786 | $12,530 | | Restructuring charges | $2,019 | $1,640 | $3,611 | $3,867 | | **Non-GAAP operating income** | **$12,940 (11.2%)** | **$10,611 (9.1%)** | **$29,039 (6.7%)** | **$43,139 (10.6%)** | [Non-GAAP Net Income Reconciliation](index=7&type=section&id=Non-GAAP%20Net%20Income%20Reconciliation) Reconciliation of GAAP net income and diluted EPS to non-GAAP net income and diluted EPS, adjusting for various non-recurring items and pro forma tax rates Non-GAAP Net Income Reconciliation (in thousands, except per share amounts) | Metric | Three Months Ended June 27, 2025 | Three Months Ended June 28, 2024 | Twelve Months Ended June 27, 2025 | Twelve Months Ended June 28, 2024 | | :-------------------------- | :------------------------------- | :------------------------------- | :-------------------------------- | :-------------------------------- | | GAAP net income | $5,197 (4.5%) | $1,549 (1.3%) | $1,341 (0.3%) | $10,760 (2.6%) | | Share-based compensation | $1,441 | $1,796 | $7,067 | $7,341 | | Merger and acquisition related expense | $601 | $1,720 | $7,786 | $12,530 | | Restructuring charges | $2,019 | $1,640 | $3,611 | $3,867 | | Other (income) expense, net | $(3,106) | $(70) | $941 | $158 | | Adjustment to reflect pro forma tax rate | $4,582 | $2,560 | $635 | $4,546 | | **Non-GAAP net income** | **$10,734 (9.3%)** | **$9,195 (7.9%)** | **$21,381 (4.9%)** | **$39,202 (9.6%)** | | GAAP Diluted EPS | $0.40 | $0.12 | $0.10 | $0.86 | | **Non-GAAP Diluted EPS** | **$0.83** | **$0.72** | **$1.67** | **$3.15** | [Adjusted EBITDA Reconciliation](index=7&type=section&id=Adjusted%20EBITDA%20Reconciliation) Reconciliation of GAAP net income to Adjusted EBITDA, by adding back depreciation, amortization, interest, taxes, and non-GAAP pre-tax adjustments Adjusted EBITDA Reconciliation (in thousands) | Metric | Three Months Ended June 27, 2025 | Three Months Ended June 28, 2024 | Twelve Months Ended June 27, 2025 | Twelve Months Ended June 28, 2024 | | :-------------------------- | :------------------------------- | :------------------------------- | :-------------------------------- | :-------------------------------- | | GAAP net income | $5,197 (4.5%) | $1,549 (1.3%) | $1,341 (0.3%) | $10,760 (2.6%) | | Depreciation and amortization | $2,110 | $1,265 | $8,045 | $4,993 | | Interest expense, net | $1,806 | $916 | $6,058 | $2,337 | | Other (income) expense, net | $(3,106) | $(70) | $941 | $158 | | Share-based compensation | $1,441 | $1,796 | $7,067 | $7,341 | | Merger and acquisition related expense | $601 | $1,720 | $7,786 | $12,530 | | Restructuring charges | $2,019 | $1,640 | $3,611 | $3,867 | | Provision for income taxes | $4,982 | $3,060 | $2,235 | $6,146 | | **Adjusted EBITDA** | **$15,050 (13.0%)** | **$11,876 (10.2%)** | **$37,084 (8.5%)** | **$48,132 (11.8%)** | [Supplemental Schedule of Revenue by Geographical Area](index=8&type=section&id=Supplemental%20Schedule%20of%20Revenue%20by%20Geographical%20Area) This section provides a detailed breakdown of Aviat Networks' revenues segmented by geographical region for both quarterly and annual periods [Revenue by Geographical Area](index=8&type=section&id=Revenue%20by%20Geographical%20Area) This chapter provides a breakdown of Aviat Networks' revenues by geographical area for both the three and twelve months ended June 27, 2025, and June 28, 2024, showing contributions from North America and various international regions Supplemental Schedule of Revenue by Geographical Area (in thousands) | Region | Three Months Ended June 27, 2025 | Three Months Ended June 28, 2024 | Twelve Months Ended June 27, 2025 | Twelve Months Ended June 28, 2024 | | :-------------------------- | :------------------------------- | :------------------------------- | :-------------------------------- | :-------------------------------- | | North America | $58,017 | $56,194 | $207,606 | $206,073 | | Africa and the Middle East | $11,218 | $13,063 | $49,428 | $48,884 | | Europe | $8,337 | $7,231 | $31,713 | $24,608 | | Latin America and Asia Pacific | $37,768 | $40,172 | $145,859 | $128,518 | | **Total international** | **$57,323** | **$60,466** | **$227,000** | **$202,010** | | **Total revenue** | **$115,340** | **$116,660** | **$434,606** | **$408,083** |

Core Insights - Aviat Networks reported total revenue of $115.3 million for the fiscal 2025 fourth quarter, a decrease of 1.1% compared to the previous year [2] - The company achieved a net income of $5.2 million for the fourth quarter, significantly up from $1.5 million in the same period last year, marking a 236% increase [11] - For the full fiscal year 2025, total revenue increased by 6.5% to $434.6 million compared to $408.1 million in fiscal 2024 [3] Financial Performance - **Fourth Quarter Revenue**: Total revenues were $115.3 million, down from $116.7 million in Q4 fiscal 2024, with North America revenue increasing by 3.2% to $58.0 million, while international revenue decreased by 5.2% to $57.3 million [2] - **Full Year Revenue**: Total revenue for the twelve months ended June 27, 2025, was $434.6 million, with North America revenue slightly up by 0.7% to $207.6 million and international revenue up by 12.4% to $227.0 million [3] Profitability Metrics - **Gross Margins**: The GAAP gross margin for Q4 was 34.2%, down from 35.3% in Q4 fiscal 2024, while the non-GAAP gross margin was 34.7% compared to 35.9% [4] - **Operating Income**: GAAP operating income for Q4 was $8.9 million, a 62.8% increase from $5.5 million in the prior year, while non-GAAP operating income rose by 21.9% to $12.9 million [8] - **Adjusted EBITDA**: Adjusted EBITDA for Q4 was $15.1 million, up from $11.9 million in Q4 fiscal 2024, achieving a margin of 13.0% [13] Expenses Overview - **Operating Expenses**: Total GAAP operating expenses for Q4 were $30.6 million, down 14.3% from $35.7 million in the previous year, while non-GAAP operating expenses decreased by 13.2% to $27.1 million [6] - **Full Year Operating Expenses**: For the twelve months ended June 27, 2025, total operating expenses were $128.9 million, an increase of 2.8% from $125.3 million in fiscal 2024 [7] Income Tax and Net Income - **Income Tax Expense**: GAAP income tax expense for Q4 was $5.0 million, compared to $3.1 million in Q4 fiscal 2024 [10] - **Net Income**: The company reported GAAP net income of $5.2 million for Q4, with a diluted earnings per share of $0.40, compared to $1.5 million and $0.12 per share in the prior year [11] Balance Sheet Highlights - **Cash and Cash Equivalents**: As of June 27, 2025, the company had $59.7 million in cash and cash equivalents, up from $49.4 million as of March 28, 2025 [14] - **Total Debt**: Total debt stood at $87.6 million as of June 27, 2025 [14] Guidance for Fiscal 2026 - The company provided guidance for fiscal 2026, projecting full year revenue between $440 million and $460 million and Adjusted EBITDA between $45.0 million and $55.0 million [22]

Core Viewpoint - Aviat Networks, Inc. is set to release its fourth quarter fiscal 2025 financial results on September 10, 2025, after market close, indicating a focus on transparency and communication with investors [1][6]. Financial Results Announcement - The financial results will cover the period ended June 27, 2025, showcasing the company's performance in the last quarter of the fiscal year [1]. - An earnings conference call and webcast will be held on the same day at 4:15 p.m. ET, featuring key executives including the President and CEO, CFO, and Interim CFO [2]. Access to Conference Call - Interested parties can access the conference call live via the webcast on Aviat Network's Investor Relations website or participate via telephone after registering [3]. - A replay of the conference call will be available on the company's investor relations website following the event [3]. Company Overview - Aviat Networks, Inc. specializes in wireless transport and access solutions, with over one million systems sold in 170 countries, serving various sectors including government and defense [4]. - The company has a long history of microwave innovations and offers a comprehensive suite of professional and support services to simplify network operations for its customers [4].

Core Viewpoint - Aviat Networks, Inc. announced the resignation of Michael Connaway, the Senior Vice President and Chief Financial Officer, effective after the filing of the Form 10-K for fiscal year 2025, to pursue another opportunity outside the industry [1][2]. Management Changes - Andrew Fredrickson, currently the Vice President of Corporate Finance, will take over as Interim CFO following Connaway's departure, while the company has begun a search for a permanent CFO with the help of an executive search firm [2][3]. Financial Performance - The company estimates GAAP net income for the fourth quarter ended June 27, 2025, to be greater than $4.5 million, a significant increase from $1.5 million reported in the same period last year [4]. - Non-GAAP Adjusted EBITDA for the fourth quarter is estimated to exceed $14.0 million, compared to $11.9 million in the year-ago period [5][13].