Financial Data and Key Metrics Changes - The total company revenue for Q4 2025 was $157.3 million, with EPS at $0.14 and adjusted EBITDA at $23.8 million, all exceeding Q4 guidance [20] - For continuing operations, Q4 broadband revenue was $98.2 million, above the guidance range of $85 million to $95 million, with adjusted EBITDA of $12.1 million and EPS of $0.06 [21] - The full year 2025 net revenue was $570.8 million, with a gross margin of 55.8%, adjusted EBITDA of $83.8 million, and EPS of $0.47 [22] Business Line Data and Key Metrics Changes - Broadband revenue for Q4 was $98.2 million, reflecting a 9% sequential growth and record quarterly bookings of $346.9 million, resulting in a 3.5 book-to-bill ratio [5][20] - The video business, now classified as discontinued operations, exceeded expectations in revenue and profitability, with a planned sale to MediaKind for approximately $145 million [7] - Rest-of-world revenue grew 33% year-over-year in Q4, now representing 41% of total broadband revenue, indicating a significant shift in revenue mix [8][21] Market Data and Key Metrics Changes - The cable serviceable addressable market is expected to grow from approximately $510 million in 2025 to over $1.1 billion by 2030, driven by increased data consumption and network modernization [15] - The addressable market for fiber exceeds $2.6 billion, with Harmonic's share growing [16] Company Strategy and Development Direction - The company is transitioning to a pure-play broadband leader following the sale of its video business, focusing on broadband infrastructure growth [4][18] - Key strategic priorities include expanding market leadership in DOCSIS, increasing customer diversification, driving software and cloud differentiation, and maintaining operational discipline [16][17] - The company aims for sustained rest-of-world growth of 30% or more annually, expanding beyond its largest North American customers [17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in long-term growth due to strong bookings, backlog growth, and the transition of DOCSIS 4.0 technology from trials to commercial scale [34] - The company anticipates significant full-year broadband revenue growth in 2026, supported by a robust backlog and deferred revenue of $573.8 million, up 73% year-over-year [25][34] Other Important Information - The company ended the year with $124.1 million in cash and cash equivalents, with a strong free cash flow of $9.6 million in Q4 [23] - Stranded costs related to the pending video sale are expected to be approximately $10 million for 2026, with about 30% considered temporary [28] Q&A Session Summary Question: Customer mix for full year 2026 - Management indicated that while rest-of-world customers showed strong growth, the percentage of revenue from these customers may fluctuate based on larger customer spending [39] Question: Impact of memory pricing on gross margins - Management confirmed a net impact of around $6 million from memory pricing, with committed orders in place for 2026 [41][42] Question: Bookings composition in Q4 - Bookings were strong across both larger customers and rest-of-world, with multi-year contracts contributing to the backlog [60] Question: SaaS and service revenue breakdown - The majority of the $58 million in 2025 SaaS revenue came from SLA contracts, with a focus on growing intelligence and tools for customers [76][78]