Ceragon Networks(US:CRNT)2025-11-12 11:01Financial Performance - Q3 2025 revenues were $85.5 million, down 16.7% from $102.7 million in Q3 2024[8] - GAAP operating income was $3.8 million, compared to $14.6 million in Q3 2024[8] - Non-GAAP net income was $1.7 million, or $0.02 per diluted share, compared to $12.2 million, or $0.14 per diluted share in Q3 2024[9] - Net income for Q3 2025 was $28,000, a significant decrease from $12,217,000 in Q3 2024, while the net loss for the first nine months of 2025 was $(2,219,000) compared to a profit of $20,453,000 in the same period last year[31] - Operating cash flow for Q3 2025 was $7,161,000, down from $13,720,000 in Q3 2024, and $20,533,000 for the first nine months of 2025, compared to $25,069,000 in the same period last year[31] - GAAP gross profit for Q3 2025 was $29,350,000, a decrease of 16% from $34,940,000 in Q3 2024, while the gross profit for the first nine months of 2025 was $86,889,000, down from $100,469,000 in 2024[33] - Non-GAAP operating income for Q3 2025 was $5,332,000, compared to $15,844,000 in Q3 2024, and $14,547,000 for the first nine months of 2025, down from $36,574,000 in the same period last year[35] Cash and Liquidity - Cash and cash equivalents increased to $43.0 million from $35.3 million at the end of 2024[11] - Cash and cash equivalents at the end of Q3 2025 were $42,987,000, an increase from $34,014,000 at the end of Q3 2024[31] - The company incurred $10,500,000 in net cash provided by financing activities in Q3 2025, contrasting with a net cash outflow of $(2,985,000) in Q3 2024[31] Revenue Sources and Projections - North America accounted for 41% of total revenue, while India contributed 29%[12] - Full-year 2025 revenue is projected to be approximately $340 million, with expectations for non-GAAP profit and positive cash flow[15] - The company initiated a large Latin American smart city project expected to generate multi-year recurring revenue[6] Technology and Development - E-band technology has been validated through multiple proof-of-concept deployments with Tier-1 operators[6] - Research and development expenses for Q3 2025 were $6,955,000, down from $8,750,000 in Q3 2024, indicating a focus on cost management[33] - The company capitalized $964,000 in software development costs in Q3 2025, compared to $249,000 in Q3 2024, reflecting ongoing investment in technology[31] Market Outlook - Management anticipates year-over-year growth in 2026 based on current momentum and market trends[15] - Total revenues for Q3 2025 were not explicitly stated but can be inferred to have decreased based on the decline in gross profit and net income[33] - The company reported a significant decrease in trade receivables, with a net decrease of $12,130,000 in Q3 2025 compared to an increase of $(8,540,000) in Q3 2024[31]