Ribbon munications (US:RBBN)2025-10-22 20:10Revenue Performance - Revenue for Q3 2025 was $215 million, a 2% increase from $210 million in Q3 2024[3] - Year-to-date revenue growth reached 6%, with IP Optical Networks sales up 11% year-over-year[2] - Total revenue for Q3 2025 was $215,371, a decrease of 2% from $220,583 in Q2 2025 and an increase of 2.4% from $210,238 in Q3 2024[26] - Total revenue for the nine months ended September 30, 2025, was $617,233, an increase of 6% from $582,522 in the same period of 2024[28] - The company expects revenue for the year ending December 31, 2025, to be approximately $857 million, with a range of +/- $10 million[43] Profitability Metrics - Non-GAAP Adjusted EBITDA for Q3 2025 was $29 million, slightly down from $30 million in Q3 2024[3] - GAAP Operating Income improved to $3 million, compared to a loss of $1 million in Q3 2024[3] - GAAP Gross Margin for Q3 2025 was 50.1%, down from 52.1% in Q3 2024[3] - Gross profit for Q3 2025 was $107,966, with a gross margin of 50.1%, compared to 49.6% in Q2 2025 and 52.1% in Q3 2024[26] - Non-GAAP gross margin for the same period was 52.6%, up from 52.1% in the previous quarter and down from 55.3% year-over-year[37] - The GAAP outlook for gross margin for the year ending December 31, 2025, is projected at 50.0%[43] Cash Flow and Liquidity - Cash flow from operations was $26 million, with a closing cash balance of $77 million, up $14 million from Q2 2025[2] - Cash and cash equivalents at the end of Q3 2025 were $74,799, down from $87,770 at the end of Q4 2024[30] - The company reported a net cash provided by operating activities of $22,159 for the nine months ended September 30, 2025, compared to a net cash used of $11,527 in the same period of 2024[32] Operating Expenses - Operating expenses were lower year-over-year despite foreign exchange headwinds of approximately $3 million[2] - Operating expenses for the nine months ended September 30, 2025, totaled $312,264, a decrease from $315,787 in the same period of 2024[28] - Total stock-based compensation for the nine months ended September 30, 2025, was $14.62 million, compared to $12.06 million for the same period in 2024[39] Net Income and Loss - Net loss for Q3 2025 was $12,109, compared to a net loss of $11,093 in Q2 2025 and $13,422 in Q3 2024[26] - GAAP net loss for the three months ended September 30, 2025, was $12.1 million, compared to a loss of $11.1 million in the previous quarter and a loss of $13.4 million in the same quarter last year[37] - Non-GAAP net income for the three months ended September 30, 2025, was $6.95 million, down from $9.61 million in the previous quarter and $8.49 million year-over-year[37] Future Projections - The company projects Q4 2025 revenue between $230 million and $250 million, with Non-GAAP gross margin expected to be 55% to 56%[6] - Non-GAAP adjusted EBITDA for the three months ending December 31, 2025, is expected to be $45.0 million, with a range of +/- $3 million[43] - Non-GAAP adjusted EBITDA for the nine months ended September 30, 2025, was $66.56 million, compared to $63.32 million for the same period in 2024[39] Innovation and Customer Base - The Acumen AIOps platform was launched and deployed with a leading U.S. service provider, enhancing the company's innovation pipeline[2] - The company continues to expand its customer base, particularly in Network Transformation programs and IP Optical Networks segment[2]