Core Insights - Nokia is enhancing its data center networking portfolio to meet the growing demands of AI workloads and improve operational efficiency through AI-driven automation [1][3][12] Product Innovations - The introduction of the 7220 Interconnect Router (IXR) high-performance data center switches and an enhanced suite of AIOps tools for the Event-Driven Automation (EDA) platform aims to support advanced AI training and inference workloads [2][10] - The 7220 IXR-H6 switches offer exceptional throughput of up to 102.4 Tb/s and interface speeds of 800 GE and 1.6 TE, effectively doubling throughput and interface speeds within the same footprint [6][10] - The switches are compliant with Ultra Ethernet Consortium (UEC) specifications, designed to optimize packet flows and enhance network efficiency in large-scale AI environments [6][10] Market Trends - The rise of agentic AI applications is reshaping data center requirements, necessitating rapid advancements in networking solutions [3][5] - There is a significant push for automation and modernization strategies among cloud service providers and enterprises to reduce downtime and ensure resilient performance [11] Operational Efficiency - Nokia's EDA platform, enhanced with AIOps capabilities, can lead to a 96% reduction in data center network downtime, facilitating faster issue identification and remediation [11][12] - The platform combines natural language interactions with agentic AI to improve operational environments, backed by extensive real-time telemetry and integrated digital twin capabilities [11][12] Future Availability - The Nokia 7220 IXR-H6 switches are expected to be available in the first quarter of 2026, with EDA AIOps features available for demonstration by the end of 2025 [13]

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 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]

Financial Data and Key Metrics Changes - Revenue for Q3 2025 was $215 million, a 2% increase year over year, within the guidance range [24] - Year-to-date revenue increased by 6%, and EBITDA rose by 5% compared to the same period in 2024 [9][24] - Non-GAAP gross margin for Q3 was 52.6%, lower than expected due to reduced software sales to U.S. government customers [24] - Non-GAAP net income for the quarter was $7 million, down from $8 million in the prior year, resulting in a diluted EPS of $0.04 [27] Business Line Data and Key Metrics Changes - IP Optical Networks revenue for Q3 was $91 million, an 11% increase year over year, driven by strong sales in India and EMEA [28] - Cloud and Edge segment revenue was $124 million, a decrease of 3% year over year, primarily due to lower U.S. Federal sales [30] - Sales to service providers increased by 5% year over year, with Verizon's revenue growing approximately 20% [20][44] Market Data and Key Metrics Changes - Sales in Europe, Middle East, and Africa grew by 26% year over year, while Asia Pacific sales increased by 13%, led by India [13] - North American sales declined approximately 10% year over year, impacted by lower U.S. Federal sales due to the government shutdown [14][22] - IP Optical sales in North America were lower, but Europe and the Middle East saw significant growth, particularly in critical infrastructure projects [16][17] Company Strategy and Development Direction - The company is focusing on the convergence of AI and voice technologies, with the launch of the Acumen AIOps automation platform [5][6] - There is a strategic emphasis on modernizing voice and data networks for service providers and enterprises, with ongoing investments in cloud and edge solutions [13][20] - The company aims to expand its presence in the U.S. Federal market, despite current delays due to the government shutdown [12][90] Management's Comments on Operating Environment and Future Outlook - Management noted that the U.S. government shutdown has delayed procurement processes but emphasized that no business has been lost [10][12] - The outlook for Q4 is expected to be strong, with continued momentum in enterprise and service provider segments, despite the impact of the government shutdown [33][35] - The company anticipates revenue in Q4 to range from $230 million to $250 million, with adjusted EBITDA between $42 million and $48 million [37] Other Important Information - The company repurchased approximately 900,000 shares for a total cost of $3.5 million during the quarter [31] - The cash balance at the end of the quarter was $77 million, up $14 million from the previous quarter [31] Q&A Session Summary Question: Is AI a driver for future growth in Cloud and Edge? - Management views AI as a new category that will drive growth, particularly through AIOps and the convergence of voice and AI technologies [40][42] Question: How did Verizon perform in Q3 and what is the outlook? - Verizon grew about 20% year over year in Q3, with expectations for continued strong performance in Q4 [43][44] Question: What was the impact of the government shutdown on Q3 and Q4? - The shutdown impacted Q3 results, with management estimating a potential $10 million to $15 million effect on revenue for Q4 [79][82] Question: What is the expected growth rate for government business in 2026? - Management anticipates solid growth in government business as new projects are initiated, but specific growth rates are uncertain due to the current budget situation [90] Question: What is the impact of foreign exchange and tariffs? - Foreign exchange headwinds were approximately $3 million year over year, primarily due to the shekel's performance [54][56]

Core Insights - The evolution of observability technology is significantly influenced by AI, particularly through the capabilities of large language models (LLMs) [1][2][3] - AIOps is transitioning from experimental phases to practical applications, highlighting the dual empowerment between AI and observability technology [1][2] Group 1: AI's Impact on Observability - AI enhances observability by automating data extraction and analysis, achieving accuracy rates of 80%-90% in generating SQL queries from clear context [1][2] - The shift from manual to AI-driven analysis allows engineers to focus on complex problem-solving rather than routine tasks [2][3] - AI introduces new observability requirements, such as the need for efficient storage of trace data generated by AI systems [2][3] Group 2: Observability's Role in AI - Observability systems must evolve to diagnose AI model performance issues, such as identifying errors in document retrieval during workflows [2][3] - The integration of LLMs provides a foundational capability that accelerates the development of observability solutions [3][4] - Future observability systems are expected to create a complete feedback loop from discovery to resolution, enhancing operational efficiency [4][5] Group 3: Challenges and Opportunities - The reliance on high-quality data is critical, as poor data quality can significantly impair AI's analytical capabilities [25][28] - The relationship between traditional algorithms and LLMs is collaborative, with each serving distinct roles in observability [12][14] - Achieving "semi-autonomous" operations within three to five years is feasible, but full autonomy remains a long-term goal [37][36] Group 4: Trust and Implementation - Building trust in AI systems requires extensive practical testing and validation to ensure reliability in real-world applications [15][16] - The transition to AI-driven observability necessitates a cultural shift within organizations, emphasizing collaboration between AI and human expertise [20][21] - Effective data governance and standardization are essential for maximizing the potential of AI in observability [28][29]

Core Viewpoint - Infosys has announced its largest-ever share buyback, intending to repurchase approximately 10 crore shares, which represents 2.41% of its total equity, with a total buyback size of Rs 18,000 crore at a price of Rs 1,800 per share, aimed at returning value to shareholders [1][2][6] Group 1: Buyback Details - The buyback will be conducted through a tender offer, allowing shareholders to sell their shares at a fixed premium price, which is 19% higher than the closing price prior to the announcement [3][6][10] - The record date for the buyback will be announced later by the company [3][10] Group 2: Financial Implications - Analysts believe the buyback will enhance key financial metrics such as earnings per share (EPS) and return on equity (ROE), and is considered more tax-efficient compared to dividends [5][10] - Historically, Infosys' buybacks have resulted in share price appreciation over a 3- to 6-month period following the announcement, although short-term volatility may occur [6][10] Group 3: Market Context - Infosys' stock has seen a decline of nearly 20% this year, attributed to investor concerns regarding the company's growth amid a weak demand environment [6][10] - The company has guided for modest growth of 1–3% in constant currency terms for the current fiscal year, reflecting a subdued outlook influenced by global macroeconomic factors [7][10] Group 4: Strategic Partnerships - Infosys has entered into a decade-long strategic partnership with HanesBrands Inc. to support its digital transformation initiatives, utilizing proprietary platforms to enhance operational efficiency and data value [8][9]

Financial Data and Key Metrics Changes - Revenue for the first quarter was approximately $187 million, representing a 7% year-over-year increase driven by strong growth in the cybersecurity area [6][18] - Non-GAAP diluted earnings per share was $0.34, an increase of approximately 21% year-over-year [6][19] - Gross profit margin increased by 1.6 percentage points to 78.7% in the first quarter [18] Business Line Data and Key Metrics Changes - Service Assurance revenue increased approximately 1% year-over-year, driven by enterprise customer investments, while service provider revenue declined [7][20] - Cybersecurity revenue grew approximately 18% year-over-year, supported by strong demand from both enterprise and service provider customers [10][20] Market Data and Key Metrics Changes - 54% of revenue was generated from the United States, with the remaining 46% from international markets [22] - The enterprise customer vertical accounted for approximately 59% of total revenue, while the service provider vertical accounted for 41% [20] Company Strategy and Development Direction - The company is focused on driving product innovations, returning to annual revenue growth, and enhancing margins through disciplined cost management [14] - The introduction of AI-backed enhancements and integrated solutions aims to strengthen the company's position in both cybersecurity and service assurance markets [10][11] Management's Comments on Operating Environment and Future Outlook - Management remains cautiously optimistic amid ongoing macroeconomic uncertainty, with a solid pipeline supporting the fiscal year outlook [14][25] - The company anticipates year-over-year second quarter revenue growth in the range of 4% to 6% and non-GAAP earnings per share between $0.43 and $0.45 [26] Other Important Information - Free cash flow for the quarter was $71.7 million, and the company repurchased approximately 761,000 shares for about $15 million [22] - The company has no outstanding balance on its $600 million revolving credit facility as of June 30, 2025 [22] Q&A Session Summary Question: Can you talk about the macro environment relative to ninety days ago and the outlook around service provider spending? - Management noted that the external environment related to tariffs is still uncertain, but the software business is less impacted. The spending climate appears similar to last year [29][30] Question: Can you provide insights on the security portfolio and demand for newer products? - The integration of Arbor DDoS into the main business is a key growth area, with advancements in adaptive DDoS and partnerships enhancing cybersecurity offerings [31][32] Question: How did spending among federal government customers trend in the first quarter? - Federal government spending was strong, with mid-teens growth, and there is optimism for continued opportunities in this sector [41][42] Question: How are investments in AI data centers impacting enterprise business? - The expansion of the service assurance market into larger observability markets is increasing legitimacy and market size, with AI driving product improvements [43][44] Question: What are you hearing from service provider customers regarding potential incremental investments? - There has been no specific feedback from service providers regarding investments this year, and past changes have not significantly impacted business [46]

Group 1 - The 25th GOPS Global Operations Conference and Smart Technology Summit was held in Shenzhen, focusing on advanced technology ideas and practices for operations personnel in various industries including internet, finance, and telecommunications [1] - The conference featured experts from China Post Consumer Finance, who shared innovative practices in operations maintenance, emphasizing the integration of digital technology with consumer finance [1] - The event highlighted the challenges faced by traditional operations models due to increasing IT system complexity and business continuity requirements, advocating for a shift from reactive to proactive operational strategies [1] Group 2 - The AIOps best practices session included a presentation by Jiang Haolan on building a self-healing operations system, detailing the transition from "minute-level" to "second-level" operational capabilities [1] - The presentation emphasized the importance of a proactive defense system that enhances business continuity and operational efficiency while reducing the risk of unexpected failures [1] - Dong Pei presented on the construction of an intelligent observability system, focusing on a business scenario-oriented monitoring platform that covers seven major business scenarios with an 80% event monitoring coverage rate [2] Group 3 - The observability platform aims to address monitoring pain points and challenges, providing robust support for fault detection, diagnosis, and resolution [2] - The implementation of a comprehensive monitoring system has led to minute-level self-healing capabilities in business scenarios, significantly improving overall operational efficiency [2] - The successful presentations received high recognition from attendees, reinforcing the importance of intelligent operations capabilities in enhancing the core competitiveness of high-quality development for China Post Consumer Finance [2]

Financial Data and Key Metrics Changes - For Q4 FY2025, revenue increased by 1% to approximately $205 million, while non-GAAP diluted earnings per share (EPS) was $0.52, down approximately 5% year over year [7][24] - For the full fiscal year 2025, revenue was approximately $823 million, essentially flat year over year, down less than 1% [8][25] - Non-GAAP EPS for FY2025 was $2.22, a 1% improvement over FY2024 [8][26] Business Line Data and Key Metrics Changes - Service assurance revenue declined approximately 4% year over year, partially due to the divestiture of the test optimization business [9][27] - Cybersecurity offerings delivered nearly 7% year-over-year revenue growth, driven by strong momentum within the enterprise customer vertical [11][27] Market Data and Key Metrics Changes - The enterprise customer vertical grew 7.5%, while the service provider customer vertical revenue decreased 10.1% [27] - For FY2025, 57% of total revenue came from the enterprise customer vertical, while 43% came from the service provider vertical [27][28] Company Strategy and Development Direction - The company plans to continue investing in innovation and deepen relationships with customers while leveraging mission-critical solutions to support evolving performance, availability, and security needs [15][14] - The long-term strategy remains unchanged, focusing on sustainable long-term success [15] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding growth in the cybersecurity segment, despite broader economic uncertainties [13][14] - The company anticipates FY2026 revenue in the range of approximately $825 million to $865 million, with non-GAAP diluted EPS expected between $2.25 and $2.40 [32] Other Important Information - A leadership transition is occurring, with the current CEO and CFO retiring and being succeeded by the deputy CEO and deputy CFO [16][17] - The company ended FY2025 with $492.5 million in cash and cash equivalents, representing an increase of $68.4 million since the end of FY2024 [28][29] Q&A Session Summary Question: Impact of tariffs on customer sentiment and guidance - Management noted some delayed sales cycles and a "wait and see" approach from customers regarding timing of orders, but guidance accounts for these uncertainties [40] Question: Cybersecurity momentum and new products - Management highlighted that the service assurance business is evolving into a broader observability market, which presents opportunities for growth in both service assurance and cybersecurity segments [42] Question: Interest in software-only solutions - Management indicated that there is consistent demand for software solutions, with a focus on maintaining high margins despite growth challenges [50] Question: Impact of government and defense business on sales cycles - Management has not seen any significant impact from recent headlines but remains cautious about the contribution from federal business in FY2026 [53]

Financial Data and Key Metrics Changes - For the fourth quarter of fiscal year 2025, revenue increased by 1% to approximately $205 million, while non-GAAP diluted earnings per share was $0.52, down approximately 5% year over year [7][24] - For the full fiscal year 2025, revenue was approximately $823 million, essentially flat year over year, down less than 1% [8][25] - Non-GAAP EPS for the full fiscal year 2025 was $2.22, a 1% improvement over fiscal year 2024 [8][26] Business Line Data and Key Metrics Changes - Service assurance revenue declined approximately 4% year over year, partially due to the divestiture of the test optimization business [9][27] - Cybersecurity offerings delivered nearly 7% year over year revenue growth, driven by strong momentum within the enterprise customer vertical [11][27] Market Data and Key Metrics Changes - The enterprise customer vertical grew by 7.5%, while the service provider customer vertical revenue decreased by 10.1% [27] - 57% of total revenue came from the enterprise customer vertical, while 43% came from the service provider vertical [27][28] Company Strategy and Development Direction - The company plans to continue investing in innovation and deepen relationships with customers while leveraging mission-critical solutions to support evolving performance, availability, and security needs [14][13] - The long-term strategy remains unchanged, focusing on sustainable long-term success [14] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding growth in the cybersecurity offerings despite broader economic uncertainty [13][12] - The company expects fiscal year 2026 revenue to be in the range of approximately $825 million to $865 million, with non-GAAP diluted EPS expected between $2.25 and $2.40 [32] Other Important Information - A leadership transition was announced, with the current CEO and CFO retiring effective May 31, 2025, and successors appointed [16][17] - The company ended fiscal year 2025 with $492.5 million in cash and cash equivalents, representing an increase of $68.4 million since the end of fiscal year 2024 [28][29] Q&A Session Summary Question: Impact of tariffs on customer sentiment and guidance - Management noted some delayed sales cycles but indicated that guidance covers uncertainties, with a wait-and-see approach from customers regarding order timing [38][40] Question: Cybersecurity momentum and new product expectations - Management highlighted that the service assurance business is evolving into a broader observability market, which presents opportunities for growth in both service assurance and cybersecurity [41][43] Question: Interest in software-only solutions - Management confirmed a consistent demand for software solutions, with a focus on maintaining high margins despite growth challenges [50] Question: Contribution from government and defense business - Management indicated no significant impact from recent headlines on sales cycles, but noted that the pipeline remains a question mark for future contributions [52]