| --- | --- | |-------------------------------------------|-------| | | | | | | | | | | | | | | | | Ribbon Communications | | | Fourth Quarter and Full Year 2023 Results | | | February 14, 2024 | | Forward-looking statements are based on the Company's current expectations and assumptions regarding its business, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to ...

Ribbon Communications Inc. (NASDAQ:RBBN) Q4 2023 Earnings Conference Call February 14, 2024 4:30 PM ET Company Participants Joni Roberts - Senior Vice President and Chief Marketing Officer Bruce McClelland - President, Chief Executive Officer and Director Miguel Lopez - Executive Vice President and Chief Financial Officer Conference Call Participants Eric Suppiger - JMP Securities Christian Schwab - Craig-Hallum Dave Kang - B. Riley Securities Tim Savageaux - Northland Capital Markets Operator Greetings and ...

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 September 30, 2023 ☐ 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 001-38267 RIBBON COMMUNICATIONS INC. (Exact name of Registrant as specified in its charter) (State or other jurisdiction of incorpo ...

Note Regarding Forward-Looking Statements and Non-GAAP Financial Measures Forward-looking statements are based on the Company's current expectations and assumptions regarding its business, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Actual results may differ materially from those contemplated in these forward-looking statements due to various ris ...

Ribbon Communications Inc. (NASDAQ:RBBN) Q3 2023 Earnings Conference Call October 25, 2023 4:30 PM ET Company Participants Joni Roberts - Chief Marketing Officer Bruce McClelland - Chief Executive Officer Mick Lopez - Chief Financial Officer Conference Call Participants Erik Suppiger - JMP Securities Greg Mesniaeff - WestPark Capital Dave Kang - B. Riley Securities Tim Savageaux - Northland Capital Markets Operator Ladies and gentlemen, greetings and welcome to the Ribbon Communications Third Quarter 2023 F ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 ☐ 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 001-38267 RIBBON COMMUNICATIONS INC. (Exact name of Registrant as specified in its charter) (State or other jurisdiction of incorporation or organ ...

Ribbon Communications, Inc. (NASDAQ:RBBN) Q2 2023 Earnings Conference Call July 26, 2023 4:30 PM ET Company Participants Joni Roberts - Chief Marketing Officer Bruce McClelland - President, CEO & Director Miguel Lopez - EVP & CFO Conference Call Participants Christian Schwab - Craig-Hallam Capital Group Timothy Savageaux - Northland Capital Markets Dave Kang - B. Riley Greg Mesniaeff - WestPark Capital Erik Suppiger - JMP Securities Operator Greetings, and welcome to the Ribbon Communications Second Quarter ...

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 31, 2023 ☐ 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 001-38267 RIBBON COMMUNICATIONS INC. (Exact name of Registrant as specified in its charter) (State or other jurisdiction of incorporati ...

Ribbon Communications, Inc. (NASDAQ:RBBN) Q1 2023 Earnings Conference Call April 26, 2023 4:30 PM ET Company Participants Bita Milanian - SVP, Global Marketing Bruce McClelland - President, CEO & Director Miguel Lopez - EVP & CFO Conference Call Participants Erik Suppiger - JMP Securities Timothy Savageaux - Northland Capital Markets Ku Kang - B. Riley Securities Gregory Mesniaeff - WestPark Capital Operator Greetings, and welcome to the Ribbon Communications First Quarter 2023 Financial Results Conference ...

Part I [Business](index=5&type=section&id=Item%201.%20Business) Ribbon Communications provides secure data and voice communication technology to service providers and enterprises, driven by 5G, fiber, and cloud communication trends [Company Overview and History](index=5&type=section&id=Item%201.%20Business-Company%20Overview%20and%20History) Ribbon Communications, formed by the 2017 Sonus and GENBAND merger, provides global communication technology and expanded its portfolio with the 2020 ECI Telecom acquisition - Ribbon is a global provider of communications technology, offering a wide range of software and hardware products for secure data and voice communications to service providers and enterprises[12](index=12&type=chunk) - The company was formed through the merger of Sonus Networks, Inc and GENBAND US LLC in October 2017[13](index=13&type=chunk) - A key acquisition was ECI Telecom Group Ltd in March 2020, expanding Ribbon's portfolio into optical transport and IP networking[15](index=15&type=chunk) [Industry Background](index=5&type=section&id=Item%201.%20Business-Industry%20Background) The communications industry is transforming due to 5G deployment, surging fiber demand, cloud communication adoption, and CSP network modernization for efficiency and critical infrastructure - The deployment of 5G mobile technology is a major investment cycle, driving needs for enhanced capacity, coverage, and new applications like VR, cloud gaming, and IoT[15](index=15&type=chunk)[16](index=16&type=chunk) - Exponential data traffic growth is fueling investment in fiber access networks to address broadband bottlenecks, with government initiatives like the RDOF in the U.S. providing significant funding[17](index=17&type=chunk)[18](index=18&type=chunk) - The shift to cloud communications (e.g., Microsoft Teams, Zoom) has accelerated, requiring secure and scalable solutions[20](index=20&type=chunk) - CSPs are modernizing their networks towards software-centric, cloud-native architectures to reduce costs and improve efficiency, sometimes replacing incumbent vendors due to security concerns[21](index=21&type=chunk)[22](index=22&type=chunk) [Strategy Overview](index=7&type=section&id=Item%201.%20Business-Strategy%20Overview) Ribbon's strategy focuses on operational integration, cross-selling its IP and Optical portfolio, growing North American market share, capitalizing on 5G, and transitioning to software-centric as-a-Service models - Re-organized the company in 2023 under a Chief Operating Officer and a single Global Sales Leader to enhance collaboration and operational efficiency under the "Ribbon 3.0" program[27](index=27&type=chunk) - Focus on cross-selling the combined portfolio to its global customer base, with a particular emphasis on penetrating the largest service providers[27](index=27&type=chunk) - Prioritizing growth in the North American IP Optical Networks market by leveraging its existing service provider and enterprise relationships[27](index=27&type=chunk) - Significant R&D investment to address opportunities in the 5G rollout, including recent wins with Bharti Airtel in India and Rogers in Canada[32](index=32&type=chunk) - Aggressively transitioning its product portfolio towards software, cloud-native offerings, and as-a-Service models to improve profitability[32](index=32&type=chunk) [Customers](index=8&type=section&id=Item%201.%20Business-Customers) Ribbon serves a diverse global customer base across 140+ countries, including service providers and enterprises, with Verizon accounting for **15%** and the top five customers for **34%** of 2022 revenue - Verizon Communications Inc accounted for approximately **15% of total revenue** in the year ended December 31, 2022[30](index=30&type=chunk) - The top five customers represented approximately **34% of total revenue** in the year ended December 31, 2022[30](index=30&type=chunk) [Segment Information](index=8&type=section&id=Item%201.%20Business-Segment%20Information) The company operates two segments: Cloud and Edge for voice communications, and IP Optical Networks for IP networking, switching, routing, and optical transport solutions - Effective in Q4 2020, following the ECI Acquisition, the company began assessing performance based on two segments: Cloud and Edge, and IP Optical Networks[31](index=31&type=chunk) [Cloud and Edge Business Segment](index=8&type=section&id=Item%201.%20Business-Cloud%20and%20Edge%20Business%20Segment) The Cloud and Edge segment provides software and hardware for VoIP, VoLTE, and UC&C services, focusing on SBCs and network transformation, competing with major telecom and tech firms - Provides software and hardware for VoIP, VoLTE, VoNR, and UC&C services, with a focus on cloud-native deployments[32](index=32&type=chunk) - The portfolio includes Session Border Controller (SBC) products for securing voice traffic and Network Transformation products for modernizing legacy voice networks[33](index=33&type=chunk)[35](index=35&type=chunk) - Key competitors include major telecommunications equipment companies like Ericsson, Huawei, Nokia, and technology firms like Oracle and Cisco[35](index=35&type=chunk)[37](index=37&type=chunk) [IP Optical Networks Business Segment](index=11&type=section&id=Item%201.%20Business-IP%20Optical%20Networks%20Business%20Segment) The IP Optical Networks segment provides high-performance hardware and software for IP networking, switching, routing, and optical transport, including Apollo, Neptune, and Muse SDN, competing with Ciena, Cisco, and Nokia - Provides solutions for IP networking, switching, routing, and optical transport for service providers and critical infrastructure[38](index=38&type=chunk) - The product portfolio includes the Apollo line for optical transport, the Neptune line for IP/MPLS switching and routing, and the Muse SDN software for orchestration[40](index=40&type=chunk)[41](index=41&type=chunk) - Competes with Ciena, Cisco, Nokia, and Infinera, among others, and believes its integrated multi-layer IP optical solutions are a key differentiator[42](index=42&type=chunk) [Services and Support](index=12&type=section&id=Item%201.%20Business-Services%20and%20Support) Ribbon's Global Services offers comprehensive support including professional services, maintenance, managed services, and education to complement its product offerings - Offers a broad range of services including professional services, maintenance support, managed services, and education services to help customers reduce costs and improve productivity[43](index=43&type=chunk) [Sales and Marketing](index=12&type=section&id=Item%201.%20Business-Sales%20and%20Marketing) The company employs a dual sales strategy with direct sales for service providers and indirect channels for enterprises, supported by marketing focused on brand awareness and demand generation - Employs a direct sales force for service providers and indirect channels (resellers, distributors) for enterprises[44](index=44&type=chunk) - Marketing is responsible for brand building, corporate messaging, and demand generation campaigns in conjunction with the sales force[45](index=45&type=chunk)[46](index=46&type=chunk) [Manufacturing and Sourcing](index=13&type=section&id=Item%201.%20Business-Manufacturing%20and%20Sourcing) Ribbon outsources manufacturing to global contract manufacturers, manages a strategic supply chain for key components, and mitigates disruptions through inventory investment and product redesigns - Relies on global contract manufacturers for product manufacturing, assembly, and testing, with a flexible manufacturing landscape to mitigate risks[47](index=47&type=chunk)[48](index=48&type=chunk) - Manages supply chain for key components and has been implementing actions like inventory investment and redesigns to manage disruptions that began in mid-2020[49](index=49&type=chunk)[52](index=52&type=chunk) [Research and Development](index=13&type=section&id=Item%201.%20Business-Research%20and%20Development) The company's R&D focuses on technology leadership, with Cloud and Edge R&D transitioning to cloud-native solutions, and IP Optical R&D improving performance and investing in open networking - Cloud and Edge R&D focuses on moving customers to virtualized, cloud-native, and as-a-Service (aaS) solutions[56](index=56&type=chunk) - IP Optical Networks R&D focuses on improving performance, cost-per-bit, and operational efficiency, with investment in open and disaggregated solutions[57](index=57&type=chunk) [Intellectual Property](index=14&type=section&id=Item%201.%20Business-Intellectual%20Property) Ribbon considers intellectual property fundamental, holding **669 U.S. patents** and **276 foreign patents** as of December 31, 2022, and actively manages its IP rights including licensing and defending against infringement Intellectual Property Portfolio as of Dec 31, 2022 | Jurisdiction | Issued Patents | In-Process Applications | Registered Trademarks | | :--- | :--- | :--- | :--- | | U.S. | 669 | 44 | 34 | | Foreign | 276 | 16 | 118 | [Our Employees and Corporate Responsibility](index=15&type=section&id=Item%201.%20Business-Our%20Employees%20and%20Corporate%20Responsibility) As of December 31, 2022, Ribbon had **3,394 employees** globally, with a **13.3%** voluntary turnover rate, focusing on DEI and ESG principles, including ISO 9001 and ISO 14001 certifications Employee Distribution as of Dec 31, 2022 | Region | Number of employees | Percentage of total | | :--- | :--- | :--- | | Asia | 1,276 | 38% | | North America | 943 | 28% | | EMEA | 1,056 | 31% | | LATAM | 119 | 3% | | **Total** | **3,394** | **100%** | - In 2022, the company hired 407 employees, and the global voluntary employee turnover rate was **13.3%**[70](index=70&type=chunk) - As of December 31, 2022, **23%** of employees identified as female[69](index=69&type=chunk) - The company has a strategic focus on ESG practices, aligning with standards like RoHS and holding ISO 9001 and ISO 14001 certifications[80](index=80&type=chunk)[81](index=81&type=chunk) [Seasonality](index=17&type=section&id=Item%201.%20Business-Seasonality) The company's business experiences seasonality, with higher order volume in the fourth quarter due to customer spending and lower volume and revenue in the first quarter - Typically experiences higher order volume in the fourth quarter due to customer spending cycles[84](index=84&type=chunk) - Typically experiences lower order volume and revenue in the first quarter as customers operationalize annual budgets[84](index=84&type=chunk) [Risk Factors](index=18&type=section&id=Item%201A.%20Risk%20Factors) The company faces significant business, operational, and financial risks, including unpredictable results, intense competition, supply chain issues, geopolitical instability, regulatory compliance, and debt covenant management - **Business Risks:** Unpredictable quarterly revenue, intense competition from large and small players, reliance on key customers like Verizon (**15% of 2022 revenue**), and risks associated with restructuring activities[89](index=89&type=chunk)[92](index=92&type=chunk)[95](index=95&type=chunk)[99](index=99&type=chunk) - **Supply Chain & Manufacturing Risks:** Reliance on a small number of contract manufacturers and single or limited sources for some components, which can lead to delays and increased costs[120](index=120&type=chunk)[122](index=122&type=chunk) - **International Risks:** International operations account for **57% of revenue** and are subject to geopolitical instability (e.g., Russia-Ukraine conflict, conditions in Israel), currency fluctuations, and trade tariffs[142](index=142&type=chunk)[144](index=144&type=chunk)[146](index=146&type=chunk)[149](index=149&type=chunk) - **Regulatory & Security Risks:** Compliance with complex data privacy laws (e.g., GDPR), anti-bribery laws (FCPA, UKBA), and export controls; vulnerability to cybersecurity breaches[158](index=158&type=chunk)[160](index=160&type=chunk)[164](index=164&type=chunk)[165](index=165&type=chunk) - **Financial Risks:** The company's credit agreement imposes operating limitations and requires meeting financial covenants, with a risk of goodwill or intangible asset impairment, which has occurred in prior years[170](index=170&type=chunk)[171](index=171&type=chunk)[174](index=174&type=chunk) [Properties](index=34&type=section&id=Item%202.%20Properties) The company consolidated facilities, relocating headquarters to Plano, Texas, with other principal leased facilities in Westford, Ottawa, and Petah Tikva, some of which are being subleased as part of restructuring Principal Leased Facilities | Location | Principal Use | Lease Expiration | | :--- | :--- | :--- | | Plano, Texas | Corporate headquarters, R&D, Sales, etc. | September 2032 | | Westford, Massachusetts | R&D, Customer Support, etc. | August 2028 | | Ottawa, Canada | R&D, Customer Support, etc. | December 2029 | | Petah Tikva, Israel (Main) | R&D, Sales, etc. | January 2025 | - The company initiated a plan in 2019 to consolidate facilities, relocating its corporate headquarters to a new office in Plano, Texas in Q1 2021[192](index=192&type=chunk) [Legal Proceedings](index=35&type=section&id=Item%203.%20Legal%20Proceedings) The company is subject to ordinary course legal proceedings, with material details in Note 25, and management does not anticipate a material adverse effect on financial condition - The company is subject to legal proceedings and claims that have arisen in the ordinary course of business[197](index=197&type=chunk) - Material legal proceedings are described in Note 25, "Commitments and Contingencies"[197](index=197&type=chunk) [Mine Safety Disclosures](index=35&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[199](index=199&type=chunk) Part II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=36&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) Ribbon's common stock trades on Nasdaq under "RBBN", with **374 holders of record** as of March 28, 2023, and the company repurchased **35,857 shares** in Q4 2022 for tax withholding obligations - The company's common stock trades on The Nasdaq Global Select Market under the symbol "RBBN"[202](index=202&type=chunk) - During Q4 2022, **35,857 shares** were repurchased from employees to satisfy tax withholding obligations related to vested restricted stock[205](index=205&type=chunk) Stock Performance vs. Indices (Dec 31, 2017 - Dec 31, 2022) | Index | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Ribbon Communications Inc. | $100.00 | $62.35 | $40.10 | $84.86 | $78.27 | $36.09 | | Nasdaq Composite | $100.00 | $97.16 | $132.81 | $192.47 | $235.15 | $158.65 | | Russell 2000 | $100.00 | $88.99 | $111.70 | $134.00 | $153.85 | $122.41 | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=38&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) In 2022, Ribbon's revenue decreased **3%** to **$819.8 million**, resulting in a **$98.1 million** net loss, driven by Cloud and Edge decline and lower gross margins, while navigating economic headwinds and managing debt [Overview and Key Trends](index=38&type=section&id=Item%207-Overview%20and%20Key%20Trends) The company's performance is influenced by global supply chain impacts from COVID-19, customer purchase delays due to the Ukraine conflict, and rising costs from inflation and interest rates - The military conflict in Ukraine has led to customer purchase delays and sanctions that prohibit the sale of certain products and services to Russia[214](index=214&type=chunk) - Inflation is causing near-term impacts, including higher component costs, freight premiums, and other operating costs[215](index=215&type=chunk) [Key Corporate and Financial Events](index=39&type=section&id=Item%207-Key%20Corporate%20and%20Financial%20Events) In 2022, Ribbon completed a **$52.1 million** equity offering, initiated a restructuring plan incurring **$10.2 million** in expenses, and settled its AVCT investment, acquiring a perpetual software license - On August 12, 2022, the company completed an equity offering, raising aggregate gross proceeds of approximately **$52.1 million**[219](index=219&type=chunk) - A 2022 Restructuring Plan was approved, resulting in **$10.2 million** of restructuring expenses in 2022, with an additional **$8 million** anticipated[221](index=221&type=chunk)[222](index=222&type=chunk) - On August 29, 2022, the company settled with AVCT, canceling its investment in AVCT shares and warrants (fair value **$2.6 million**) and acquiring a perpetual license for **$2.5 million** cash[232](index=232&type=chunk) [Results of Operations (2022 vs. 2021)](index=47&type=section&id=Item%207-Results%20of%20Operations) In 2022, total revenue decreased **3.0%** to **$819.8 million**, driven by Cloud and Edge decline, while gross margin fell to **48.9%**; operating expenses decreased due to the absence of a **$116.0 million** goodwill impairment, leading to a net loss of **$98.1 million** Revenue by Type (in thousands) | Revenue Type | 2022 | 2021 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Product | $442,680 | $453,042 | $(10,362) | (2.3)% | | Service | $377,080 | $391,915 | $(14,835) | (3.8)% | | **Total Revenue** | **$819,760** | **$844,957** | **$(25,197)** | **(3.0)%** | Revenue by Segment (in thousands) | Segment | 2022 | 2021 | | :--- | :--- | :--- | | Cloud and Edge | $508,137 | $556,656 | | IP Optical Networks | $311,623 | $288,301 | | **Total Revenue** | **$819,760** | **$844,957** | Gross Profit and Margin | Metric | 2022 | 2021 | | :--- | :--- | :--- | | Gross Profit | $400.9M | $444.7M | | Gross Margin | 48.9% | 52.6% | | Cloud and Edge Gross Margin | 61.1% | 61.7% | | IP Optical Networks Gross Margin | 29.1% | 35.1% | - Operating expenses were **$449.3 million** in 2022 compared to **$562.5 million** in 2021, with 2021 including a significant **$116.0 million** goodwill impairment charge that did not recur in 2022[240](index=240&type=chunk) - Net loss improved to **$98.1 million** in 2022 from a net loss of **$177.2 million** in 2021[238](index=238&type=chunk) [Liquidity and Capital Resources](index=53&type=section&id=Item%207-Liquidity%20and%20Capital%20Resources) Cash and restricted cash decreased to **$67.3 million** at year-end 2022, with **$26.4 million** net cash used in operations, while the company maintains a **$500 million** credit facility with **$330.4 million** outstanding debt Cash Flow Summary (in thousands) | Cash Flow | 2022 | 2021 | | :--- | :--- | :--- | | Net cash (used in) provided by operating activities | $(26,364) | $19,182 | | Net cash used in investing activities | $(12,136) | $(14,188) | | Net cash provided by (used in) financing activities | $931 | $(33,683) | - Cash and restricted cash totaled **$67.3 million** at Dec 31, 2022, down from **$106.5 million** at Dec 31, 2021[317](index=317&type=chunk) - As of Dec 31, 2022, the outstanding balance under the 2020 Term Loan was **$330.4 million**, and the company was in compliance with all debt covenants[333](index=333&type=chunk) - The company uses an interest rate swap to manage exposure to interest rate movements on its variable-rate debt, selling portions of the swap notional amount for a total of **$3.1 million** in 2022[335](index=335&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=58&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to interest rate and foreign currency risks, using an interest rate swap to mitigate variable-rate debt volatility, with hypothetical changes impacting 2022 interest expense by **$2 million** and net loss by **$16 million** - The company uses an interest rate swap to manage interest rate risk on its variable-rate debt; the derivative had a fair value of **$25.4 million** at Dec 31, 2022[355](index=355&type=chunk)[356](index=356&type=chunk) - A hypothetical +/- **50 basis point** change in interest rates would have changed 2022 interest expense by approximately **$2 million** (excluding the impact of the interest rate swap)[357](index=357&type=chunk) - A hypothetical **10%** adverse movement in foreign currency exchange rates would have adversely affected 2022 revenue by ~**$21 million** and net loss by ~**$16 million**[358](index=358&type=chunk) [Financial Statements and Supplementary Data](index=59&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents the company's audited consolidated financial statements for fiscal year 2022, including the auditor's report, balance sheets, income statements, cash flows, and detailed notes on accounting policies and financial matters Consolidated Financial Highlights (Year Ended Dec 31, 2022) | Metric | Amount (in thousands) | | :--- | :--- | | Total Revenue | $819,760 | | Gross Profit | $400,936 | | Loss from Operations | $(48,324) | | Net Loss | $(98,083) | | Diluted Loss Per Share | $(0.63) | | Total Assets | $1,255,564 | | Total Liabilities | $737,137 | | Total Stockholders' Equity | $518,427 | - The Report of Independent Registered Public Accounting Firm, Deloitte & Touche LLP, provides an unqualified opinion on the financial statements and the effectiveness of internal control over financial reporting[363](index=363&type=chunk)[364](index=364&type=chunk) - Critical Audit Matters identified by the auditor include Revenue Recognition (specifically the estimation of standalone selling price) and the impairment testing of Goodwill for the IP Optical Networks reporting unit[367](index=367&type=chunk)[368](index=368&type=chunk)[370](index=370&type=chunk) [Changes in and Disagreements With Accountants on Accounting and Financial Disclosure](index=115&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20With%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) No changes in or disagreements with accountants on accounting and financial disclosure were reported during the period - None reported[671](index=671&type=chunk) [Controls and Procedures](index=115&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management concluded that disclosure controls and internal control over financial reporting were effective as of December 31, 2022, with Deloitte & Touche LLP issuing an unqualified opinion - Management concluded that disclosure controls and procedures were effective as of December 31, 2022[672](index=672&type=chunk) - Management concluded that internal control over financial reporting was effective as of December 31, 2022, based on the COSO 2013 framework[674](index=674&type=chunk) - The independent registered public accounting firm, Deloitte & Touche LLP, issued an unqualified opinion on the company's internal control over financial reporting[678](index=678&type=chunk) [Other Information](index=117&type=section&id=Item%209B.%20Other%20Information) No other information is reported for this item - None[685](index=685&type=chunk) Part III [Directors, Executive Officers and Corporate Governance](index=117&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Information on directors, executive officers, and corporate governance is incorporated by reference from the 2023 Proxy Statement - Required information is incorporated by reference from the company's 2023 Proxy Statement[689](index=689&type=chunk) [Executive Compensation](index=117&type=section&id=Item%2011.%20Executive%20Compensation) Information regarding executive compensation is incorporated by reference from the 2023 Proxy Statement - Required information is incorporated by reference from the company's 2023 Proxy Statement[690](index=690&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=117&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Information on security ownership of beneficial owners, management, and related stockholder matters is incorporated by reference from the 2023 Proxy Statement - Required information is incorporated by reference from the company's 2023 Proxy Statement[691](index=691&type=chunk) [Certain Relationships and Related Transactions, and Director Independence](index=117&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) Information on certain relationships, related transactions, and director independence is incorporated by reference from the 2023 Proxy Statement - Required information is incorporated by reference from the company's 2023 Proxy Statement[692](index=692&type=chunk) [Principal Accountant Fees and Services](index=117&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Information regarding principal accountant fees and services is incorporated by reference from the 2023 Proxy Statement - Required information will be included in the company's 2023 Proxy Statement and is incorporated by reference[693](index=693&type=chunk) Part IV [Exhibit and Financial Statement Schedules](index=118&type=section&id=Item%2015.%20Exhibit%20and%20Financial%20Statement%20Schedules) This section lists financial statements included in Item 8 and provides an index of all exhibits filed with the Form 10-K, with financial statement schedules omitted as not applicable - The consolidated financial statements are listed under Item 8[695](index=695&type=chunk) - All financial statement schedules are omitted as they are not applicable or the information is included elsewhere[696](index=696&type=chunk) - A list of exhibits filed with the report is provided in the Exhibit Index[697](index=697&type=chunk) [Form 10-K Summary](index=118&type=section&id=Item%2016.%20Form%2010-K%20Summary) No Form 10-K summary is provided - None[698](index=698&type=chunk)