, /PRNewswire/ -- RADCOM Ltd. (Nasdaq: RDCM)Â announced today that it has secured a contract for its Smart Network Visibility Solution through Rakuten Symphony for a leading mobile operator. Acting as a critical layer between the network and a mobile operator's service assurance platform, the solution delivers accurate, intelligent data collection with flexible options for retention and delivery. This enables a comprehensive end-to-end view of the network while significantly reducing monitoring costs. About ...

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Core Insights - RADCOM reported third-quarter 2025 non-GAAP earnings per share (EPS) of 29 cents, exceeding the Zacks Consensus Estimate of 12 cents and up from 23 cents in the prior-year quarter [1][9] - Revenues for the quarter reached $18.4 million, surpassing the Zacks Consensus Estimate by 2.7% and reflecting a year-over-year increase of 16.2%, driven by demand for AI and automation solutions [2][9] Financial Performance - The company achieved a strong gross margin of just over 77%, attributed to an improved revenue mix with fewer third-party costs, and expects to maintain this level in the fourth quarter [5] - Non-GAAP R&D expenses increased by 11.6% year over year to $4.7 million, indicating a commitment to innovation and portfolio expansion [6] - Non-GAAP operating income rose to $3.8 million from $2.6 million, marking the highest level since 2017, supported by strong scalability and disciplined execution [6] Strategic Developments - RADCOM partnered with 1Global to deploy its AI-driven assurance platform, RADCOM ACE, across Europe, North America, and Asia, covering over 43 million connections [3] - The company launched its High-Capacity User Analytics solution, the first in the industry to capture data at 400Gbps on a single server, showcasing its focus on next-generation network observability [3] Cash Flow & Liquidity - As of September 30, 2025, RADCOM had $106.7 million in cash and equivalents with no debt, exiting the third quarter with a cash flow of $5.1 million [7] Future Guidance - RADCOM reaffirmed its full-year 2025 guidance of 15%-18% year-over-year revenue growth, implying approximately $71.1 million in revenue at the midpoint [8]

Financial Data and Key Metrics Changes - RADCOM achieved record revenue of $18.4 million for Q3 2025, representing a 16.2% year-over-year growth with continued profitability and expanding profit margins [6][19] - Non-GAAP operating income reached $3.8 million, which is 20.9% of revenue, marking the highest since 2017 [6][21] - The company generated a positive cash flow of $5.1 million, ending the quarter with a cash balance of $106.7 million and no debt [7][22] Business Line Data and Key Metrics Changes - The company is deepening deployments with existing customers while developing new opportunities, particularly in 5G standalone networks and AI operations [5][8] - RADCOM's high-capacity user analytics solution, powered by NVIDIA, is currently in field trials and is expected to materialize in 2026 [25] Market Data and Key Metrics Changes - The telecom market is experiencing strong and durable tailwinds, with operators increasing investments in AI-native networks to enhance customer experiences and operational efficiency [7][8] - There is a clear industry shift towards cloud-native platforms leveraging AI, particularly in Europe and other regions [12][13] Company Strategy and Development Direction - RADCOM is focusing on converting a strong pipeline into revenue, deepening strategic partnerships, and investing in AI and automation to maintain leadership [16] - The company is enhancing its technology leadership through partnerships with NVIDIA and ServiceNow, which are expected to contribute initial revenue in 2026 [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving double-digit growth for 2026, supported by new opportunities in the market and ongoing customer transformations [32] - The company anticipates sustained investment across its customer base, driven by improving capital conditions [16] Other Important Information - The company announced a leadership transition, with Hadar Rahav leaving and Hod Kohen joining as the new CFO [17] - RADCOM's agentic AI solution received recognition, winning the Best AI/ML Innovation Award at the Global Connectivity Award [15] Q&A Session Summary Question: Early feedback on the high-capacity user analytics solution - Management is excited about the performance seen in field trials and expects materialization in 2026 [25] Question: Trends in expansion with existing customers - There is a solid pipeline building up, with expectations for double-digit growth and more opportunities in 2026 [28] Question: Visibility into next year and major renewals - Management is confident in maintaining double-digit growth, with new opportunities arising from cloud-native and 5G transformations [32] Question: Earnings leverage and spending plans for next year - Plans include increased spending on sales and marketing, as well as R&D [33] Question: 5G Core deployments in various geographies - There is good momentum in 5G Core deployments across the U.S., Europe, and parts of Asia, driving customer excitement [34]

Financial Data and Key Metrics Changes - RADCOM achieved record revenue of $18.4 million for Q3 2025, representing a 16.2% year-over-year growth [6][19] - Non-GAAP operating income reached $3.8 million, which is 20.9% of revenue, marking the highest since 2017 [6][21] - The company generated a positive cash flow of $5.1 million, ending the quarter with a cash balance of $106.7 million and no debt [7][22] - GAAP net income for Q3 2025 was $3.5 million, a 54% increase year-over-year, with GAAP earnings per share at $0.21 compared to $0.14 last year [21] Business Line Data and Key Metrics Changes - The gross margin for the quarter was just over 77%, reflecting a favorable revenue mix [19] - Non-GAAP R&D expenses were $4.7 million, up 11.6% year-over-year, indicating a focus on innovation and portfolio expansion [20] - Sales and marketing expenses increased by 15.4% to $4.6 million, reflecting intentional investment to grow sales presence [20] Market Data and Key Metrics Changes - The telecom market is experiencing strong and durable tailwinds, particularly in AI-native networks and 5G standalone networks [7][8] - Operators are increasingly investing in customer experience as a core driver of retention and revenue growth [8] Company Strategy and Development Direction - RADCOM is deepening partnerships with NVIDIA and ServiceNow to enhance technology leadership and market reach [9] - The company is focusing on developing an AI-powered automation layer to enable autonomous network communication [9] - RADCOM aims to convert a strong pipeline into revenue while expanding its customer base and investing in AI and automation [16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in maintaining double-digit growth into 2026, supported by new opportunities in cloud-native and 5G-dependent markets [32] - The company anticipates initial revenue contributions from strategic partnerships in 2026 [9] - Management highlighted a shift in the industry towards advanced cloud-native platforms leveraging AI for operational efficiency [13] Other Important Information - The company announced a leadership transition with the departure of CFO Hadar Rahav and the appointment of Hod Kohen as the new CFO [17] - RADCOM's agentic AI solution received the Best AI/ML Innovation Award at the Global Connectivity Award, underscoring its technology leadership [15] Q&A Session Summary Question: Early feedback on the high-capacity user analytics solution - Management is excited about the performance seen in field trials and anticipates materialization in 2026 [25] Question: Trends in expansion with existing customers - A solid pipeline is being built, with expectations for double-digit growth and more opportunities in 2026 [28] Question: Visibility into next year and major renewals - Management remains confident in double-digit growth for 2026, with new opportunities in cloud-native and 5G markets [32] Question: Earnings leverage and spending plans - Plans to increase spending on sales and marketing as well as R&D to support growth [33] Question: 5G Core deployments in various geographies - Good momentum is observed in 5G Core deployments across the U.S., Europe, and parts of Asia [34]

Financial Data and Key Metrics Changes - RADCOM achieved record revenue of $18.4 million for Q3 2025, representing a 16.2% year-over-year growth with continued profitability and expanding profit margins [5][17] - Non-GAAP operating income reached $3.8 million, which is 20.9% of revenue, marking the highest since 2017 [6][20] - The company generated a positive cash flow of $5.1 million, ending the quarter with a cash balance of $106.7 million and no debt [6][21] - GAAP net income for Q3 2025 was $3.5 million, a 54% increase year-over-year, with GAAP earnings per share at $0.21 compared to $0.14 last year [20] Business Line Data and Key Metrics Changes - The company is deepening deployments with existing customers while developing new market opportunities, particularly in 5G standalone networks and AI operations [5][12] - RADCOM's high-capacity user analytics solution, powered by NVIDIA, is currently in field trials and is expected to materialize in 2026 [22] Market Data and Key Metrics Changes - The telecom market is experiencing strong and durable tailwinds, with operators increasing investments in AI-native networks to enhance customer experiences and operational efficiency [7][8] - There is a clear industry shift towards cloud-native platforms leveraging AI, particularly in Europe and other regions, as operators modernize their networks [12] Company Strategy and Development Direction - RADCOM is focusing on converting a strong pipeline into revenue, expanding its customer base, and deepening strategic partnerships to drive innovation [15] - The company is investing in AI and automation to maintain leadership and drive lower total cost of ownership for real-time network intelligence [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving double-digit growth in 2026, supported by new opportunities in cloud-native and 5G-dependent bases [23][24] - The company anticipates initial revenue contributions from strategic partnerships in 2026, particularly with NVIDIA and ServiceNow [9][10] Other Important Information - RADCOM's agentic AI solution received the Best AI/ML Innovation Award at the Global Connectivity Award, highlighting the company's technology leadership [14] - The company is transitioning to a new CFO, Hod Kohen, who is expected to build on the strong financial foundation established by the outgoing CFO [16] Q&A Session Summary Question: Early feedback on the high-capacity user analytics solution - Management reported great performance in field trials and is excited about the solution, targeting materialization in 2026 [22] Question: Trends in expansion with existing customers - There is a solid pipeline build-up, with expectations for double-digit growth and more opportunities emerging in 2026 [22] Question: Visibility into next year and major renewals - Management remains confident in maintaining double-digit growth into 2026, with new opportunities in cloud-native and 5G driving transformation [23] Question: Earnings leverage and spending plans for next year - Increased spending is planned for sales and marketing, along with R&D investments to support growth [24] Question: 5G Core deployments in various geographies - Management confirmed good momentum in 5G Core deployments across the U.S., Europe, and parts of Asia, driving customer excitement [24]

Q3 - 2 5 Earning s N o vem ber 1 2 , 2 0 2 5 B e n n y E p p s t e i n CEO Had a r R a h a v CFO 1 SAFE HARBOR PROVISION This conference call will contain forward-looking statements. Forward-looking statements in the conference call involve several risks and uncertainties, including, but not limited, to the Company's statements about its commitment to delivering solutions that are transforming the assurance landscape, continued adoption and investment in AI and 5G as well as other favorable market trends, t ...

Core Insights - RADCOM Ltd. reported record revenue of $18.4 million for Q3 2025, marking a 16.2% increase from $15.8 million in Q3 2024, and achieved its highest operating margin since 2018 [2][10] - The company generated over $5 million in positive cash flow during the third quarter, with cash and cash equivalents totaling $106.7 million and no debt [2][10] - RADCOM reaffirms its full-year 2025 revenue growth guidance of 15%-18%, projecting approximately $71.1 million in revenue at the midpoint [5][10] Financial Highlights for Q3 2025 - Total revenues reached $18.4 million, a 16.2% increase year-over-year [10] - GAAP operating income was $2.4 million, representing 13.1% of revenue, compared to $1.2 million (7.6% of revenue) in Q3 2024 [10] - Non-GAAP operating income was $3.8 million, or 20.9% of revenue, up from $2.6 million (16.7% of revenue) in the same quarter last year [10] - GAAP net income for Q3 2025 was $3.5 million, or $0.21 per diluted share, compared to $2.3 million ($0.14 per diluted share) in Q3 2024 [10] Financial Highlights for the First Nine Months of 2025 - Total revenues for the first nine months were $52.6 million, a 17.6% increase from $44.8 million in the same period of 2024 [10] - GAAP operating income was $5.6 million (10.7% of revenue), compared to $1.8 million (4.0% of revenue) in the first nine months of 2024 [10] - Non-GAAP operating income for the first nine months was $10.4 million (19.8% of revenue), up from $6.7 million (14.9% of revenue) in the previous year [10] - GAAP net income for the first nine months was $8.3 million ($0.50 per diluted share), compared to $4.7 million ($0.29 per diluted share) in the same period of 2024 [10] Recent Developments - RADCOM secured 1Global as a new customer, deploying its AI-driven assurance solution RADCOM ACE to enhance customer experiences across multiple regions [10] - The company launched its High-Capacity User Analytics solution, capable of capturing network data at speeds of up to 400Gbps on a single server [10] - RADCOM's solutions are designed to be open, vendor-neutral, and cloud-agnostic, driving next-generation network automation and efficiency [8]

Core Insights - RADCOM Ltd. has signed a multi-year agreement with 1GLOBAL to deploy RADCOM ACE, an AI-powered assurance solution aimed at optimizing network operations and enhancing customer experiences across Europe, North America, and Asia, supporting over 43 million connections [1][2]. Company Overview - RADCOM is a leading provider of advanced, intelligent assurance solutions with integrated AI Operations (AIOps) capabilities, focusing on improving customer experiences through its flagship platform, RADCOM ACE [4][5]. - 1GLOBAL is a technology-driven global mobile communications provider, serving over 43 million devices globally and generating over US$100 million in revenue for the full year 2024, positioning itself as a profitable business with significant cash flows [7][8]. Partnership Details - The partnership with RADCOM will enable 1GLOBAL to enhance its service quality and customer experiences through next-generation, AI-driven assurance, leveraging RADCOM's cloud-native platform for faster and more flexible network monitoring [2][3]. - RADCOM ACE will provide 1GLOBAL with a comprehensive, scalable, and flexible assurance solution that adapts to network growth and rising traffic demands, incorporating advanced capabilities such as AI-driven anomaly detection and deep analysis of voice and data traffic [3][4]. Technological Advancements - RADCOM ACE features patented load-balancing technology and is designed to maximize efficiency by processing only the most relevant data, significantly reducing data volumes while maintaining full visibility [2][3]. - The solution supports full IP Multimedia Subsystem (IMS)/Voice over Long-Term Evolution (VoLTE) and 4G/5G data monitoring, ensuring precise troubleshooting across all required protocols [3].

Core Insights - RADCOM Ltd. announced the appointment of Hod Cohen as Chief Financial Officer, effective January 11, 2026, succeeding Hadar Rahav, who will remain in an advisory role through Q1 2026 [1][3] Company Overview - RADCOM is a leading provider of cloud-native service assurance solutions, focusing on advanced, intelligent assurance solutions with integrated AI Operations (AIOps) capabilities [4][5] - The company's flagship platform, RADCOM ACE, utilizes AI-driven analytics and generative AI to enhance customer experiences and offers end-to-end network observability, particularly in 5G [4][5] Leadership Transition - Hod Cohen brings two decades of financial leadership experience, having previously served as Head of the Global Business Finance Group at Amdocs Limited, where he contributed to strategic planning and M&A execution [2][3] - The CEO, Benny Eppstein, emphasized that Cohen's financial expertise will be crucial for advancing RADCOM's growth plans and building long-term shareholder value [3] Strategic Focus - The appointment of Cohen reflects RADCOM's commitment to winning new customers and strategically expanding its business [3] - The company aims to enhance financial performance and support its next phase of expansion through effective leadership and strategic execution [3]