Financial Data and Key Metrics Changes - Total revenues for Q1 2026 were $107.3 million, an increase of 21.4% compared to $88.4 million in Q1 2025 [5][12] - Non-GAAP gross margin was 33.8%, up from 23.2% in the prior year [12][13] - Adjusted EBITDA for the quarter was $9.1 million, an increase of $16.8 million year-over-year [15] - Non-GAAP EPS was $0.43, significantly up from a loss of $1.30 in the year-ago period [14][15] Business Line Data and Key Metrics Changes - Private networks remain a core focus, with significant project bookings in public safety and utility networks [5][6] - The utility vertical saw a large multi-state network modernization project worth approximately $8 million [6] - The introduction of the Apriza LTE/5G router solution for public safety vehicles marks a significant expansion in offerings [7][9] Market Data and Key Metrics Changes - North America accounted for 49.1% of total revenues, with $52.6 million, a 24.7% increase from the previous year [12] - International revenues were $54.7 million, an 18.3% increase driven by mobile network operator business and growing private network demand [12][13] - The global cellular router and gateway market is projected to grow at a 12% annual rate, reaching $2.8 billion by 2028 [7][8] Company Strategy and Development Direction - The company aims to capture additional market share in private networks and mobile networks [16] - The strategy includes leveraging the technology acquired from the 4RF acquisition to enhance product offerings [9][22] - The company maintains its fiscal 2026 revenue guidance of $440-$460 million and Adjusted EBITDA guidance of $45-$55 million [16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the fiscal 2026 setup, particularly in U.S. public safety and private networks [11][19] - The impact of the U.S. federal government shutdown is expected to be minimal, with some revenues potentially pushed to Q3 [10][19] - There is optimism regarding the BEAD program, with expectations for growth in fixed wireless access [48][50] Other Important Information - The company has over $450 million in net operating losses, which will minimize cash tax payments for the foreseeable future [14] - Cash and marketable securities at the end of Q1 were $64.8 million, with outstanding debt of $106.5 million [15] Q&A Session Summary Question: Sequential outlook for December quarter - Management noted strong expectations from U.S. public safety, but remained cautious due to the early fiscal year and potential government shutdown impacts [19] Question: Growth potential from 4RF and MDU opportunities - Management highlighted significant synergy from the 4RF acquisition and expressed confidence in the MDU market's growth potential [21][22] Question: Performance in India - India contributed mid-single-digit revenue percentages, with expectations for a potential upgrade cycle impacting future growth [26][27] Question: Gross margin expectations for fiscal 2026 - Management indicated potential for gross margin growth by a percentage point or two throughout the year [28] Question: Competitive landscape for Apriza router - The mobile cellular router market is valued at $2.8 billion, with management identifying a significant opportunity for growth [33][34] Question: Impact of federal government shutdown - Management estimated a worst-case scenario of 1% pull-in and 4%-5% push-out of revenues due to the shutdown [36] Question: Update on BEAD program - Management expressed growing optimism regarding BEAD funding and its potential impact on revenue growth [48][50]