Technology

Harmonic Announces First Quarter 2025 Results

Published

12 months ago

April 28, 2025

Broadband gross margins and profitability exceeded expectations

Strong Video results with revenue and profitability surpassing high end of guidance

Robust cash flow generation resulted in cash balance of $149 million at quarter end

SAN JOSE, Calif., April 28, 2025 /PRNewswire/ — Harmonic Inc. (NASDAQ: HLIT) today announced its unaudited results for the first quarter of 2025.

“Our first quarter results reflect strong execution as we exceeded expectations for Video revenue as well as gross margin and Adjusted EBITDA in both of our businesses,” said Nimrod Ben-Natan, president and chief executive officer of Harmonic. “We continue to drive key wins in our Broadband business and expand market share in Video while we prioritize cost management due to a fluid macroeconomic backdrop. While there are future uncertainties from the potential impact of tariff policies, to date we have not seen any change in our customers’ behavior. Considering our strong business execution, large backlog, and cumulative customer wins and market share, we remain confident in our strategy and long-term growth prospects.”

Q1 Financial and Business Highlights

Financial

Revenue: $133.1 million, compared to $122.1 million in the prior year periodBroadband segment revenue: $84.9 million, compared to $78.9 million in the prior year periodVideo segment revenue: $48.3 million, compared to $43.2 million in the prior year periodGross margin: GAAP 59.0% and Non-GAAP 59.4%, both higher compared to GAAP 51.7% and Non-GAAP 52.5% in the prior year periodBroadband segment Non-GAAP gross margin: 55.5% compared to 47.5% in the prior year periodVideo segment Non-GAAP gross margin: 66.4% compared to 61.6% in the prior year periodOperating income (loss): GAAP income $10.1 million and Non-GAAP income $18.6 million, compared to GAAP loss $9.5 million and Non-GAAP income $1.2 million in the prior year periodNet income (loss): GAAP net income $5.9 million and Non-GAAP net income of $13.4 million, compared to GAAP net loss $8.1 million and Non-GAAP net income $0.4 million in the prior year periodNon-GAAP adjusted EBITDA: $21.1 million compared to $4.1 million in the prior year periodNet income (loss) per share: GAAP net income per share of $0.05 and Non-GAAP net income per share of $0.11, compared to GAAP net loss per share of $0.07 and Non-GAAP net income per share of $0.00 in the prior year periodBacklog and deferred revenue of $485.1 millionCash: $148.7 million, compared to $84.3 million in the prior year periodRepurchased approximately 3.5 million shares of common stock for an aggregate amount of $36.1 million

Business

Commercially deployed our cOSTM solution with 129 customers, serving 33.9 million cable modemsWon seven new broadband customers including two US Tier 1s and three fiber customers of which one is a LATAM Tier 1Major Broadband innovations are now in production including our Beacon Speed Maximizer and PTP-less timing solution – both enabling higher subscriber satisfaction, elevated reliability and lower network operating costsAt the 2025 NAB Show, the Harmonic Video business highlighted a range of hybrid cloud and on-premise solutions and AI-powered innovations for broadcasters and service providers, including the industry-first playout-to-delivery

Select Financial Information

GAAP

Non-GAAP

Key Financial Results

Q1 2025

Q4 2024

Q1 2024

Q1 2025

Q4 2024

Q1 2024

(Unaudited, in millions, except per share data)

Net revenue

$ 133.1

$ 222.2

$ 122.1

Net income (loss)

$ 5.9

$ 38.1

$ (8.1)

$ 13.4

$ 52.4

$ 0.4

Net income (loss) per share

$ 0.05

$ 0.32

$ (0.07)

$ 0.11

$ 0.45

$ 0.00

Other Financial Information

Q1 2025

Q4 2024

Q1 2024

(Unaudited, in millions)

Adjusted EBITDA for the quarter (1)

$ 21.1

$ 71.8

$ 4.1

Bookings for the quarter

$ 113.7

$ 150.0

$ 146.1

Backlog and deferred revenue as of quarter end

$ 485.1

$ 496.3

$ 677.8

Cash and cash equivalents as of quarter end

$ 148.7

$ 101.5

$ 84.3

(1) Adjusted EBITDA is a Non-GAAP financial measure. Refer to “Preliminary Net Income (loss) to Consolidated Segment Adjusted EBITDA Reconciliation” below for a reconciliation to net income (loss), the most comparable GAAP measure.

* Not applicable

Explanations regarding our use of Non-GAAP financial measures and related definitions, and reconciliations of our GAAP and Non-GAAP measures, are provided in the sections below entitled “Use of Non-GAAP Financial Measures” and “GAAP to Non-GAAP Reconciliations.”

Financial Guidance

Q2 2025 GAAP Financial Guidance

(Unaudited, in millions, except
percentages and per share data)

Low

High

Broadband

Video

Total GAAP

Broadband

Video

Total GAAP

Net revenue

$ 75

$ 45

$ 120

$ 85

$ 50

$ 135

Gross margin %

50.8 %

51.9 %

Gross profit (1)

$ 61

$ 70

Tax rate

27 %

Net loss

$ (5)

$ (1)

Net loss per share

$ (0.04)

$ (0.01)

Shares (2)

113.4

(1) Includes estimated tariff impacts of approximately $3 million

(2) Diluted shares assumes stock price at $11.04 (Q1 2025 average price).

Q2 2025 Non-GAAP Financial Guidance (1)

(Unaudited, in millions, except
percentages and per share data)

Low

High

Broadband

Video

Total

Broadband

Video

Total

Gross margin %

44.0 %

63.0 %

51.1 %

45.0 %

64.0 %

52.0 %

Gross profit (2)

$ 33

$ 28

$ 61

$ 38

$ 32

$ 70

Adjusted EBITDA(3)

$ 2

$ 4

$ 6

$ 4

$ 10

Tax rate

20 %

Net income per share

$ —

$ 0.04

Shares (4)

113.7

(1) Refer to “Use of Non-GAAP Financial Measures” and “GAAP to Non-GAAP Reconciliations on Financial Guidance” below. Components may not sum to total due to rounding.

(2) Includes estimated tariff impacts of approximately $3 million

(3) Refer to “Net Loss to Consolidated Adjusted EBITDA Reconciliation on Financial Guidance” below for a reconciliation to net loss, the most comparable GAAP measure.

(4) Diluted shares assumes stock price at $11.04 (Q1 2025 average price).

Conference Call Information

Harmonic will host a conference call to discuss its financial results at 2:00 p.m. PT (5:00 p.m. ET) on Monday, April 28, 2025. The live webcast will be available on the Harmonic Investor Relations website at http://investor.harmonicinc.com. To participate via telephone, please register in advance using this link, https://register-conf.media-server.com/register/BI7092d817d9e24be09ac0e1b9dc7a42fd. A replay will be available after 5:00 p.m. PT on the same website.

About Harmonic Inc.

Harmonic (NASDAQ: HLIT), the worldwide leader in virtualized broadband and video delivery solutions, enables media companies and service providers to deliver ultra-high-quality video streaming and broadcast services to consumers globally. The company revolutionized broadband networking via the industry’s first virtualized broadband solution, enabling operators to more flexibly deploy gigabit internet service to consumers’ homes and mobile devices. Whether simplifying OTT video delivery via innovative cloud and software platforms, or powering the delivery of gigabit internet services, Harmonic is changing the way media companies and service providers monetize live and on-demand content on every screen. More information is available at www.harmonicinc.com.

Legal Notice Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including statements related to our stock repurchase program and our expectations regarding: net revenue, gross margins, operating expenses, operating income (loss), Adjusted EBITDA, tax expense and tax rate, and net income (loss) per diluted share. Our expectations regarding these matters may not materialize, and actual results in future periods are subject to risks and uncertainties that could cause actual results to differ materially from those projected. These risks include, in no particular order, the following: stock repurchases may not be conducted in the timeframe or in the manner we expect, or at all; customer concentration and consolidation; loss of one or more key customers; delays or decreases in capital spending in the cable, satellite telco, broadcast and media industries; the possibility that our products will not generate sales that are commensurate with our expectations or that our cost of revenue or operating expenses may exceed our expectations; the market and technology trends underlying our Broadband and Video businesses will not continue to develop in their current direction or pace; the impact of tariffs and general economic conditions on our sales and operations; the mix of products and services sold in various geographies and the effect it has on gross margins; our ability to develop new and enhanced products in a timely manner and market acceptance of our new or existing products; risks associated with our international operations; exchange rate fluctuations of the currencies in which we conduct business; risks associated with our cOSTM and VOS product solutions; dependence on various broadband and video industry trends; inventory management; the lack of timely availability or the impact of increases in the prices of parts or raw materials necessary to produce our products; the effect of competition, on both revenue and gross margins; difficulties associated with rapid technological changes in our markets; risks associated with unpredictable sales cycles; our dependence on contract manufacturers and sole or limited source suppliers; and the impact on our business of natural disasters. The forward-looking statements contained in this press release are also subject to other risks and uncertainties, including those more fully described in Harmonic’s filings with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K for the year ended December 31, 2024, our most recent Quarterly Report on Form 10-Q and our Current Reports on Form 8-K. The forward-looking statements in this press release are based on information available to the Company as of the date hereof, and Harmonic disclaims any obligation to update any forward-looking statements.

Use of Non-GAAP Financial Measures

The Company reports its financial results in accordance with accounting principles generally accepted in the United States (“GAAP” or referred to herein as “reported”). However, management believes that certain Non-GAAP financial measures provide management and other users with additional meaningful financial information that should be considered when assessing our ongoing performance. Our management regularly uses our supplemental Non-GAAP financial measures internally to understand, manage and evaluate our business, establish operating budgets, set internal measurement targets and make operating decisions.

These Non-GAAP measures are not in accordance with, or an alternative for, measures prepared in accordance with generally accepted accounting principles and may be different from Non-GAAP measures used by other companies. In addition, these Non-GAAP measures are not based on any comprehensive set of accounting rules or principles. The Company believes that Non-GAAP measures have limitations in that they do not reflect all of the amounts associated with Harmonic’s results of operations as determined in accordance with GAAP and that these measures should only be used to evaluate Harmonic’s results of operations in conjunction with the corresponding GAAP measures.

The Company believes that the presentation of Non-GAAP measures, when shown in conjunction with the corresponding GAAP measures, provides useful information to investors and management regarding financial and business trends relating to its financial condition and its historical and projected results of operations. Non-GAAP financial measures should be viewed in addition to, and not as an alternative to, the Company’s reported results prepared in accordance with GAAP.

The Non-GAAP measures presented here are: Gross profit, operating expenses, income (loss) from operations, non-operating expenses and net income (loss), Adjusted EBITDA (including those amounts as a percentage of revenue) and net income (loss) per diluted share. The presentation of Non-GAAP information is not intended to be considered in isolation or as a substitute for results prepared in accordance with GAAP, and is not necessarily comparable to Non-GAAP results published by other companies. A reconciliation of the historical Non-GAAP financial measures discussed in this press release to the most directly comparable historical GAAP financial measures is included with the financial statements provided with this press release. The Non-GAAP adjustments described below have historically been excluded from our GAAP financial measures.

Our Non-GAAP financial measures reflect adjustments based on the following items, as well as the related income tax effects:

Stock-based compensation – Although stock-based compensation is a key incentive offered to our employees, we continue to evaluate our business performance excluding stock-based compensation expenses. We believe that management is limited in its ability to project the impact stock-based compensation would have on our operating results. In addition, for comparability purposes, we believe it is useful to provide a Non-GAAP financial measure that excludes stock-based compensation in order to better understand the long-term performance of our core business and to facilitate the comparison of our results to the results of our peer companies.

Restructuring and related charges – Harmonic from time to time incurs restructuring charges which primarily consist of employee severance, one-time termination benefits related to the reduction of its workforce, and other costs. These charges are associated with material business shifts. We exclude these items because we do not believe they are reflective of our ongoing long-term business and operating results.

Non-cash interest expense related to convertible notes – We record the amortization of issuance costs as non-cash interest expense. We believe that excluding these costs provides meaningful supplemental information regarding operational performance and liquidity, along with enhancing investors’ ability to view the Company’s results from management’s perspective. In addition, we believe excluding these costs from the Non-GAAP measures facilitates comparisons to our historical operating results and comparisons to peer company operating results.

Depreciation – Depreciation expense is excluded from Adjusted EBITDA as this is a non-cash item unrelated to the ordinary course of our business and not reflective of our underlying business performance.

Non-recurring advisory fees – There were non-recurring costs that we excluded from Non-GAAP results relating to professional accounting, tax and legal fees associated with strategic corporate initiatives.

Asset impairment and related charges – We exclude asset impairment and related charges due to the nature of such expenses being unusual and arising outside the ordinary course of continuing operations. These costs primarily consist of impairments of fixed assets, right-of-use assets and related leasehold improvements, and other unrecoverable facility costs due to the intended change in use of certain leased space.

Discrete tax items and tax effect of Non-GAAP adjustments – The income tax effect of Non-GAAP adjustments relates to the tax effect of the adjustments that we incorporate into Non-GAAP financial measures in order to provide a more meaningful measure of Non-GAAP net income.

Harmonic Inc.

Preliminary Condensed Consolidated Balance Sheets

(Unaudited, in thousands, except par value)

March 28, 2025

December 31, 2024

ASSETS

Current assets:

Cash and cash equivalents

$ 148,708

$ 101,457

Restricted cash

330

332

Accounts receivable, net

98,568

178,013

Inventories

62,055

64,004

Prepaid expenses and other current assets

31,031

22,270

Total current assets

340,692

366,076

Property and equipment, net

26,635

26,823

Operating lease right-of-use assets

12,912

12,411

Goodwill

238,200

236,876

Deferred income taxes, net

120,472

121,028

Other non-current assets

34,837

33,292

Total assets

$ 773,748

$ 796,506

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current liabilities:

Current portion of long-term debt

2,444

2,194

Current portion of other borrowings

5,109

4,941

Accounts payable

27,332

35,250

Deferred revenue

51,090

47,069

Operating lease liabilities

5,679

5,675

Other current liabilities

73,567

72,440

Total current liabilities

165,221

167,569

Long-term debt

111,347

112,084

Other long-term borrowings

8,989

8,694

Operating lease liabilities, non-current

15,002

14,727

Other non-current liabilities

27,059

28,174

Total liabilities

327,618

331,248

Stockholders’ equity:

Preferred stock, $0.001 par value, 5,000 shares authorized; no shares issued or outstanding

—

Common stock, $0.001 par value, 150,000 shares authorized; 114,679 and 116,735 shares
issued and outstanding at March 28, 2025 and December 31, 2024, respectively

115

117

Additional paid-in capital

2,442,010

2,432,733

Accumulated deficit

(1,983,872)

(1,953,495)

Accumulated other comprehensive loss

(12,123)

(14,097)

Total stockholders’ equity

446,130

465,258

Total liabilities and stockholders’ equity

$ 773,748

$ 796,506

Harmonic Inc.

Preliminary Condensed Consolidated Statements of Operations

(Unaudited, in thousands, except per share data)

Three Months Ended

March 28, 2025

March 29, 2024

Revenue:

Appliance and integration

$ 91,541

$ 81,595

SaaS and service

41,594

40,465

Total net revenue

133,135

122,060

Cost of revenue:

Appliance and integration

41,664

43,074

SaaS and service

12,897

15,905

Total cost of revenue

54,561

58,979

Total gross profit

78,574

63,081

Operating expenses:

Research and development

31,349

30,705

Selling, general and administrative

37,098

38,865

Restructuring and related charges

—

3,037

Total operating expenses

68,447

72,607

Income (loss) from operations

10,127

(9,526)

Interest expense, net

(1,474)

(723)

Other expense, net

(172)

(289)

Income (loss) before income taxes

8,481

(10,538)

Provision for (benefit from) income taxes

2,541

(2,449)

Net income (loss)

$ 5,940

$ (8,089)

Net income (loss) per share:

Basic

$ 0.05

$ (0.07)

Diluted

$ 0.05

$ (0.07)

Weighted average shares outstanding:

Basic

116,319

112,350

Diluted

117,021

112,350

Harmonic Inc.

Preliminary Condensed Consolidated Statements of Cash Flows

(Unaudited, in thousands)

Three Months Ended

March 28, 2025

March 29, 2024

Cash flows from operating activities:

Net income (loss)

$ 5,940

$ (8,089)

Adjustments to reconcile net income (loss) to net cash provided by operating activities:

Depreciation

2,720

3,085

Stock-based compensation

8,465

6,923

Foreign currency remeasurement

377

(1,108)

Deferred income taxes, net

712

(3,806)

Provision for excess and obsolete inventories

1,793

757

Other adjustments

(19)

240

Changes in operating assets and liabilities:

Accounts receivable, net

79,609

35,187

Inventories

2,242

(4,571)

Prepaid expenses and other assets

(8,356)

(5,041)

Accounts payable

(8,820)

5,988

Deferred revenues

3,151

5,071

Other liabilities

(4,209)

(7,816)

Net cash provided by operating activities

83,605

26,820

Cash flows from investing activities:

Purchases of property and equipment

(1,872)

(1,911)

Net cash used in investing activities

(1,872)

(1,911)

Cash flows from financing activities:

Payments for debt issuance costs

—

(327)

Repurchase of common stock

(36,079)

(21,675)

Repayment of long-term debt

(500)

—

Proceeds from common stock issued to employees

3,056

3,542

Taxes paid related to net share settlement of equity awards

(2,551)

(5,413)

Net cash used in financing activities

(36,074)

(23,873)

Effect of exchange rate changes on cash and cash equivalents and restricted cash

1,590

(1,000)

Net increase in cash and cash equivalents and restricted cash

47,249

Cash and cash equivalents and restricted cash at beginning of period

101,789

84,269

Cash and cash equivalents and restricted cash at end of period

$ 149,038

$ 84,305

Cash and cash equivalents and restricted cash at end of period

Cash and cash equivalents

$ 148,708

$ 84,305

Restricted cash

330

—

Total cash, cash equivalents and restricted cash as shown in the condensed consolidated statement of cash flows

$ 149,038

$ 84,305

Harmonic Inc.

Preliminary Condensed Consolidated Statements of Cash Flows

(Unaudited, in thousands)

Three Months Ended

March 28, 2025

March 29, 2024

Supplemental cash flow disclosure:

Income tax payments, net

$ 1,138

$ 1,110

Interest payments, net

$ 1,686

$ 859

Supplemental schedule of non-cash investing activities:

Capital expenditures incurred but not yet paid

$ 1,064

$ 396

Harmonic Inc.

Preliminary GAAP Revenue Information

(Unaudited, in thousands, except percentages)

Three Months Ended

March 28, 2025

December 31, 2024

March 29, 2024

Geography

Americas

$ 101,681

76 %

$ 186,907

84 %

$ 93,031

76 %

EMEA

23,172

18 %

26,044

12 %

23,560

19 %

APAC

8,282

6 %

9,215

4 %

5,469

5 %

Total

$ 133,135

100 %

$ 222,166

100 %

$ 122,060

100 %

Market

Service Provider

$ 94,202

71 %

$ 178,266

80 %

$ 86,693

71 %

Broadcast and Media

38,933

29 %

43,900

20 %

35,367

29 %

Total

$ 133,135

100 %

$ 222,166

100 %

$ 122,060

100 %

Harmonic Inc.

Preliminary Segment Information

(Unaudited, in thousands, except percentages)

Three Months Ended March 28, 2025

Broadband

Video

Total Segment
Measures

Adjustments (1)

Consolidated
GAAP
Measures

Net revenue

$ 84,878

$ 48,257

$ 133,135

$ —

$ 133,135

Gross profit

47,080

(1)

32,055

(1)

79,135

(1)

(561)

78,574

Gross margin %

55.5 %

(1)

66.4 %

(1)

59.4 %

(1)

59.0 %

Three Months Ended December 31, 2024

Broadband

Video

Total Segment
Measures

Adjustments (1)

Consolidated
GAAP
Measures

Net revenue

$ 171,028

$ 51,138

$ 222,166

$ —

$ 222,166

Gross profit

90,200

(1)

34,451

(1)

124,651

(1)

—

124,651

Gross margin %

52.7 %

(1)

67.4 %

(1)

56.1 %

(1)

56.1 %

Three Months Ended March 29, 2024

Broadband

Video

Total Segment
Measures

Adjustments (1)

Consolidated
GAAP
Measures

Net revenue

$ 78,897

$ 43,163

$ 122,060

$ —

$ 122,060

Gross profit

37,494

(1)

26,569

(1)

64,063

(1)

(982)

63,081

Gross margin %

47.5 %

(1)

61.6 %

(1)

52.5 %

(1)

51.7 %

(1) Segment gross margin and segment gross profit are Non-GAAP financial measures. Refer to “Use of Non-GAAP Financial Measures” above and “GAAP to Non-GAAP Reconciliations” below.

Harmonic Inc.

GAAP to Non-GAAP Reconciliations (Unaudited)

(in thousands, except percentages and per share data)

Three Months Ended March 28, 2025

Revenue

Gross Profit

Total
Operating
Expense

Income from
Operations

Total Non-
operating
Expense, net

Net Income

GAAP

$ 133,135

$ 78,574

$ 68,447

$ 10,127

$ (1,646)

$ 5,940

Stock-based compensation

—

561

(7,904)

8,465

—

8,465

Discrete tax items and tax effect of Non-GAAP adjustments

—

(1,018)

Total adjustments

—

561

(7,904)

8,465

—

7,447

Non-GAAP

$ 133,135

$ 79,135

$ 60,543

$ 18,592

$ (1,646)

$ 13,387

As a % of revenue (GAAP)

59.0 %

51.4 %

7.6 %

(1.2) %

4.5 %

As a % of revenue (Non-GAAP)

59.4 %

45.5 %

14.0 %

(1.2) %

10.1 %

Diluted net income per share:

GAAP

$ 0.05

Non-GAAP

$ 0.11

Shares used in per share calculation:

GAAP and Non-GAAP

117,021

Three Months Ended December 31, 2024

Revenue

Gross Profit

Total
Operating
Expense

Income from
Operations

Total Non-
operating
Income, net

Net Income

GAAP

$ 222,166

$ 124,651

$ 71,783

$ 52,868

$ 3,232

$ 38,120

Stock-based compensation

—

(8,486)

8,486

—

8,486

Restructuring and related charges

—

(1,173)

1,173

—

1,173

Asset impairment and related charges (1)

—

(610)

610

—

610

Discrete tax items and tax effect of Non-GAAP adjustments

—

4,043

Total adjustments

—

(10,269)

10,269

—

14,312

Non-GAAP

$ 222,166

$ 124,651

$ 61,514

$ 63,137

$ 3,232

$ 52,432

As a % of revenue (GAAP)

56.1 %

32.3 %

23.8 %

1.5 %

17.2 %

As a % of revenue (Non-GAAP)

56.1 %

27.7 %

28.4 %

1.5 %

23.6 %

Diluted net income per share:

GAAP

$ 0.32

Non-GAAP

$ 0.45

Shares used in per share calculation:

GAAP and Non-GAAP

117,699

(1) Includes impairment charges of $0.2 million for right-of-use assets and $0.4 million related to the fair value of other unrecoverable facility costs.

Three Months Ended March 29, 2024

Revenue

Gross Profit

Total
Operating
Expense

Income
(Loss) from
Operations

Total Non-
operating
Expense, net

Net Income
(Loss)

GAAP

$ 122,060

$ 63,081

$ 72,607

$ (9,526)

$ (1,012)

$ (8,089)

Stock-based compensation

—

522

(6,401)

6,923

—

6,923

Restructuring and related charges

—

460

(3,037)

3,497

3,508

Non-recurring advisory fees

—

(349)

349

—

349

Non-cash interest expense related to convertible notes

—

229

Discrete tax items and tax effect of Non-GAAP adjustments

—

(2,538)

Total adjustments

—

982

(9,787)

10,769

240

8,471

Non-GAAP

$ 122,060

$ 64,063

$ 62,820

$ 1,243

$ (772)

$ 382

As a % of revenue (GAAP)

51.7 %

59.5 %

(7.8) %

(0.8) %

(6.6) %

As a % of revenue (Non-GAAP)

52.5 %

51.5 %

1.0 %

(0.6) %

0.3 %

Diluted net income (loss) per share:

GAAP

$ (0.07)

Non-GAAP

$ 0.00

Shares used in per share calculation:

GAAP

112,350

Non-GAAP

118,107

Harmonic Inc.

Calculation of Adjusted EBITDA by Segment (Unaudited)

(In thousands, except percentages)

Three Months Ended March 28, 2025

Broadband

Video

Income from operations

$ 14,021

$ 4,571

Depreciation

1,964

756

Other non-operating expense, net

(124)

(48)

Adjusted EBITDA(1)

$ 15,861

$ 5,279

Revenue

$ 84,878

$ 48,257

Adjusted EBITDA margin % (1)

18.7 %

10.9 %

Three Months Ended December 31, 2024

Broadband

Video

Income from operations

$ 57,787

$ 5,350

Depreciation

2,133

835

Other non-operating income, net

4,130

1,595

Adjusted EBITDA(1)

$ 64,050

$ 7,780

Revenue

$ 171,028

$ 51,138

Adjusted EBITDA margin % (1)

37.5 %

15.2 %

Three Months Ended March 29, 2024

Broadband

Video

Income (loss) from operations

$ 8,594

$ (7,351)

Depreciation

1,986

1,099

Other non-operating expense, net

(179)

(99)

Adjusted EBITDA(1)

$ 10,401

$ (6,351)

Revenue

$ 78,897

$ 43,163

Adjusted EBITDA margin % (1)

13.2 %

(14.7) %

(1) Adjusted EBITDA and Adjusted EBITDA margin are Non-GAAP financial measures. Refer below for the “Net Income (Loss) to Consolidated Segment Adjusted EBITDA Reconciliation.”

Harmonic Inc.

Preliminary Net Income (Loss) to Consolidated Segment Adjusted EBITDA Reconciliation (Unaudited)

(In thousands, except percentages)

Three Months Ended

March 28, 2025

December 31, 2024

March 29, 2024

Net income (loss) (GAAP)

$ 5,940

$ 38,120

$ (8,089)

Provision for (benefit from) income taxes

2,541

17,980

(2,449)

Interest expense, net

1,474

2,493

723

Depreciation

2,720

2,968

3,085

EBITDA

12,675

61,561

(6,730)

Adjustments

Stock-based compensation

8,465

8,486

6,923

Restructuring and related charges

—

1,173

3,508

Non-recurring advisory fees

—

349

Asset impairment and related charges

—

610

—

Total consolidated segment adjusted EBITDA (Non-GAAP)

$ 21,140

$ 71,830

$ 4,050

Revenue

$ 133,135

$ 222,166

$ 122,060

Net income (loss) margin (GAAP)

4.5 %

17.2 %

(6.6) %

Consolidated segment Adjusted EBITDA margin (Non-GAAP)

15.9 %

32.3 %

3.3 %

Harmonic Inc.

GAAP to Non-GAAP Reconciliations on Financial Guidance (Unaudited)

(In millions, except percentages and per share data)

Q2 2025 Financial Guidance (1)

Revenue

Gross Profit

Total Operating
Expense

Income from
Operations

Net Income (Loss)

GAAP

$ 120

$ 135

$ 61

$ 70

$ 67

$ 70

$ (6)

$ —

$ (5)

$ (1)

Stock-based compensation expense

—

(7)

Tax effect of Non-GAAP adjustments

—

(2)

Total adjustments

—

(7)

Non-GAAP

$ 120

$ 135

$ 61

$ 70

$ 60

$ 63

$ 1

$ 7

$ —

$ 4

As a % of revenue (GAAP)

50.8 %

51.9 %

55.8 %

51.9 %

(5.0) %

— %

(4.2) %

(0.7) %

As a % of revenue (Non-GAAP)

51.1 %

52.0 %

50.0 %

46.7 %

0.8 %

5.2 %

— %

3.0 %

Diluted net income (loss) per share:

GAAP

$ (0.04)

$ (0.01)

Non-GAAP

$ —

$ 0.04

Shares used in per share calculation:

GAAP

113.4

Non-GAAP

113.7

(1) Components may not sum to total due to rounding.

Harmonic Inc.

Calculation of Adjusted EBITDA by Segment on Financial Guidance (Unaudited) (1)

(In millions)

Q2 2025 Financial Guidance

Broadband

Video

Income from operations

$ —

$ 4

$ 1

$ 3

Depreciation

Segment adjusted EBITDA(2)

$ 2

$ 6

$ 2

$ 4

(1) Components may not sum to total due to rounding.

(2) Segment Adjusted EBITDA is a Non-GAAP financial measure. Refer below for the “Net Loss to Consolidated Segment Adjusted EBITDA reconciliation on Financial Guidance.”

Harmonic Inc.

Net Loss to Consolidated Segment Adjusted EBITDA Reconciliation on Financial Guidance (Unaudited) (1)

(In millions)

Q2 2025 Financial Guidance

Net loss (GAAP)

$ (5)

$ (1)

Benefit from income taxes

(3)

(1)

Interest expense, net

Depreciation

EBITDA

(3)

Adjustments

Stock-based compensation

Total consolidated segment adjusted EBITDA (Non-GAAP)

$ 4

$ 10

(1) Components may not sum to total due to rounding.

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SOURCE Harmonic Inc.

Technology

THE MINISTRY OF DEFENCE ENHANCES NATIONAL RESILIENCE THROUGH SMART DEFENCE TECHNOLOGY INNOVATION

Published

7 minutes ago

April 22, 2026

KUALA LUMPUR, Malaysia, April 22, 2026 /PRNewswire/ — On April 20, The Prime Minister of Malaysia, YAB Dato’ Seri Anwar bin Ibrahim, officiated the Defence Services Asia (DSA) & National Security (NATSEC) Asia 2026 Opening Ceremony at the Malaysia International Trade and Exhibition Centre (MITEC).

Themed “Enhancing Capabilities and Resilience Through Technology”, the 19th Edition of the DSA 2026 Exhibition will run for four days from 20 to 23 April 2026. This exhibition aims to enhance defence capabilities and drive future technology to ensure national resilience through innovation, international cooperation and the development of the local defence industry ecosystem.

The main focus of this event is on the evolution of defence technology that has shifted from conventional assets to smart systems. Emphasis is placed on mastering technology that is capable of facing the security threats of the new millennium which are asymmetric and hybrid in nature.

Among the core advanced technologies featured :

a) Autonomous & Robotic Systems: Exhibition of various variations of unmanned systems (UAV, UGV, and UUV) equipped with Artificial Intelligence (AI) for long-distance monitoring and detection operations.

b) Digital & Cyber Defence: Application of new generation encryption technology and cybersecurity platforms to protect the country’s data sovereignty and critical infrastructure.

c) Sensor & Electronic Technology: High-precision radar and sensor systems that enable ATM readiness to be at an optimal level in monitoring space, maritime, and land in real-time.

In line with this global technology exposure, the government continues to strengthen the Industrial Collaboration Programme (ICP) as the main mechanism for technology transfer. Through the ICP, the involvement of international industry players is required to contribute to the development of local talent and research and development (R&D) in the high-tech sector.

Among the key segments highlighted are the CBRNe Arena, focusing on technologies related to chemical, biological, radiological, nuclear and explosive threats; the Firearms and Tactical Equipment Segment, showcasing the latest operational capabilities and equipment; and the Coalition of Defence Industry Malaysia (CDIM) Pavilion, which highlights the capabilities of the country’s defence industry. The DSA & NATSEC Asia Lab also showcases innovation initiatives by providing a platform for small and medium-sized enterprises (SMEs) and start-ups to introduce their innovations on the international stage.

This edition recorded the participation of 1,456 companies from 63 countries, including 37 international pavilions, as well as approximately 600 official delegations and 50,000 trade visitors from more than 114 countries within the 48,000-square-metre exhibition space. This scale of participation reflects the strategic importance of the exhibition at the global level and further demonstrates Malaysia’s position as a strategic meeting point for defence and security cooperation.

Also present were the Minister of Defence, YB Dato’ Seri Mohamed Khaled Nordin; Chief Secretary to the Government, Tan Sri Shamsul Azri Abu Bakar; Speaker of the Dewan Rakyat, Tan Sri Dato’ Dr. Johari bin Abdul; Chairman of DSA Exhibition and Conference Sdn Bhd, Tan Sri Asmat Kamaludin; Chief of Defence Force, General Datuk Haji Malek Razak bin Sulaiman; Secretary-General of the Ministry of Defence, Datuk Lokman Hakim bin Ali; Deputy Minister of Defence, YB Adly Zahari; as well as top management and senior officers of the Ministry and the Malaysian Armed Forces.

– END –

“‘MALAYSIA MADANI” “BERKHIDMAT UNTUK NEGARA”
”PERTAHANAN NEGARA, TANGGUNGJAWAB BERSAMA”

Ministry of Defence Malaysia
20 April 2026

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SOURCE DSA & NATSEC ASIA

Technology

Grantd Launches Platform to Help Employees Understand Their Equity, Build Confidence in Their Financial Plan, and Connect to Advice When They Need It

Published

7 minutes ago

April 22, 2026

New Platform Gives Every Equity Recipient a Personalized View of Their Awards — and a Clear Path to Understand, Act, and Get Advice on Them

DENVER, April 21, 2026 /PRNewswire-PRWeb/ — Grantd, an AI-powered equity compensation platform whose advisor platform helps advisors manage over $14 billion in assets under administration for more than 400 registered investment advisory firms and 14,000 clients, today announced the launch of its issuer platform, Grantd for Work. The platform is built to give employees a clear, personalized understanding of their equity compensation — what they have, what it’s worth, how it fits into their broader financial picture, and what they should consider doing about it. Equity compensation is complex, and for most employees, it has been difficult to navigate without dedicated resources and support. Grantd for Work changes that — providing the tools, education, and guidance employees need to understand their awards with confidence, and connecting them to a financial advisor when they’re ready to take the next step.

“It gives every employee a real, personalized view of their equity — what it means for their financial goals, what actions they should consider, and a direct line to advice when they need it.”

The launch marks a significant expansion of Grantd’s reach — from individual equity recipients and their financial advisors to the employers and employees inside the companies that grant those awards. It also helps HR and compensation administrators gain better visibility into their programs, reduce the volume of manual employee questions, and identify where engagement and retention may be at risk.

“Equity is one of the most powerful forms of compensation companies offer — but for most employees, it’s also one of the least understood,” said Brian McDonald, Founder & CEO of Grantd. “An employee might receive an RSU grant, watch it vest, and still have no idea what the tax implications are, whether they should sell or hold, or how it changes their financial picture. Grantd for Work changes that. It gives every employee a real, personalized view of their equity — what it means for their financial goals, what actions they should consider, and a direct line to advice when they need it.”

Grantd for Work is built around the employee experience. Key capabilities include:

A personalized equity dashboard showing each employee’s total portfolio value, vested and unvested equity broken down by grant, external holdings, and concentration risk — giving them a complete, real-time picture of what they own, what it’s worth, and how it fits into their overall financial picture.AI-powered document reading that automatically extracts holdings from any brokerage statement or equity award summary — from any provider — so the platform is accurate and fully populated from day one, with no manual entry required.Financial goal tracking that maps each employee’s equity directly to their personal financial goals — financial independence, early retirement, a home purchase — showing whether they’re on track, what’s at risk, and how upcoming vests and exercises could change the outcome.A full equity planning toolkit, including concentration analysis, price target modeling, growth scenario projections, exercise planning, withholding analysis, and trading window tracking — alongside pre-built strategy templates like sell-to-cover, diversification sell-down, and automated trading plans.Ask Grant, an AI equity guide built directly into the platform that answers employees’ most pressing questions — from how RSU income is taxed at vest to what the ESPP 15% discount means for their tax situation — in plain language, on demand.AI agents that work for every employee — Grantd’s AI agents don’t wait to be asked. They continuously analyze each employee’s equity portfolio and surface timely, personalized insights. Every insight is specific to that employee — not generic equity education, but guidance grounded in what they actually hold.A learning center with articles and guides covering equity basics, tax and finance, investing strategy, and company-specific plan guides — so employees can build real confidence in their equity, not just access to it.A direct connection to financial advice when employees are ready to go beyond self-service — with their complete equity profile already structured and ready to share with an advisor.

For HR and compensation administrators, the platform also provides visibility into how equity programs are performing across the organization — including a live dashboard of total equity wealth created by employee, department, and level; proactive retention signals for employees with expiring grants or low engagement; and competitive equity modeling tools to help design compelling offers for prospective hires.

The new platform arrives at a time when industry leaders are rethinking equity program design and employee share plan strategy. Grantd will further that conversation at the Global Equity Organization’s (GEO) 27th Annual Conference in Austin, taking place April 21–23, 2026. On Wednesday, April 22, Brian McDonald will join the expert panel, “Strategic Shifts in Employee Share Plans: How Companies Are Redesigning Equity for 2026 and Beyond,” alongside fellow Grantd Advisory Board members Billy Vitense of Starbucks, Christine Zwerling of Asana, and Melissa Howell of Nike.

To learn more about Grantd for Work or schedule a demonstration, visit Grantd online at https://www.grantdequity.com/.

About Grantd:

Founded by Brian McDonald, Grantd is an AI-powered equity compensation platform built to simplify how equity is understood, managed, and acted on. Its advisor platform manages over $14 billion in assets under administration for more than 400 registered investment advisory firms, 2,600 advisors, and 14,000 clients. With the launch of Grantd for Work, the company now serves the full equity ecosystem — from individual equity recipients and their advisors to the employees who hold those awards and the HR and compensation teams who design and run the programs. Grantd is headquartered in Denver, Colorado.

Media Contact

Jane Kim, Grantd Equity, 1 (303) 515-3158, jane.kim@grantdequity.com, grantdequity.com

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SOURCE Grantd Equity

Technology

FERMI PROVIDES BUSINESS UPDATE

Published

7 minutes ago

April 22, 2026

DALLAS, April 21, 2026 /PRNewswire/ — Fermi Inc. (d/b/a Fermi America) (NASDAQ: FRMI) (LSE: FRMI), operating as Fermi America™ (“Fermi” or the “Company”), subsequent to the Company’s announcement of Fermi 2.0 on April 20, 2026, has received significant and positive feedback from multiple potential tenants, the Company’s landlord, the Texas Tech University System, as well as suppliers, vendors, contractors, financing sources, and other partners. The Company is gratified by that feedback and is pursuing Fermi 2.0’s business and leadership objectives with all deliberate speed.

The Company also acknowledges receipt of a letter from Mr. Toby Neugebauer, and has reviewed a press release issued by him, calling for the initiation of a process for the immediate sale of the Company. As Mr. Neugebauer indicated in his press release, he was removed from his position on April, 17, 2026, after careful consideration by the Company’s Board of Directors in accordance with its fiduciary duties. Given recent changes in leadership, which position the Company for its next chapter of growth and evolution from a startup to a scaled enterprise, the Company firmly believes a sale is not in the best interest of its continued momentum on Project Matador, ability to serve potential tenants and long-term value creation for shareholders. The Board, consistent with its fiduciary duties, will carefully review all avenues to maximize shareholder value, which include continued execution of its business plan, strategic investments from third parties, joint ventures or other transactions.

About Fermi America™

Fermi America™ (NASDAQ & LSE: FRMI) (fermiamerica.com) is pioneering the development of next-generation private electric grids that deliver highly redundant power at gigawatt scale, required to create next-generation artificial intelligence. Co-founded by former U.S. Energy Secretary Rick Perry and Co-Founder and former Co-Managing Partner of Quantum Energy Toby Neugebauer, Fermi America™ combines cutting-edge technology with a deep bench of proven world-class multi-disciplinary leaders to create the world’s largest, 17 GW next-generation private HyperGrid campus. Project Matador is expected to integrate the nation’s biggest combined-cycle natural gas project, one of the largest clean, new nuclear power complexes in America, utility grid power, solar power, and battery energy storage, to deliver hyperscaler artificial intelligence.

Additional Information and Where to Find It

If the Company determines to hold a special meeting of shareholders, the Company will file a proxy statement on Schedule 14A, an accompanying white proxy card and other relevant documents with the Securities and Exchange Commission (the “SEC”) in connection with the solicitation of proxies from the Company’s shareholders for such meeting. SHAREHOLDERS OF THE COMPANY ARE STRONGLY ENCOURAGED TO READ THE COMPANY’S DEFINITIVE PROXY STATEMENT (INCLUDING ANY AMENDMENTS OR SUPPLEMENTS THERETO), IF ANY, AND ALL OTHER DOCUMENTS FILED WITH THE SEC CAREFULLY AND IN THEIR ENTIRETY, IF AND WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. Investors and shareholders may obtain a copy of any definitive proxy statement of the Company, an accompanying white proxy card, any amendments or supplements thereto and other documents filed by the Company with the SEC if and when they become available at no charge at the SEC’s website at www.sec.gov. Copies will also be available at no charge in the “SEC Filings” subsection of the Company’s Investor Relations website at https://fermiamerica.com/ or by contacting the Company’s Investor Relations Department at IR@fermiamerica.com, as soon as reasonably practicable after such materials are electronically filed with, or furnished to, the SEC.

Participants in the Solicitation

If the Company determines to hold a special meeting of shareholders, the Company, its directors and certain of its executive officers may be deemed participants in the solicitation of proxies from the Company’s shareholders in connection with matters to be considered at such special meeting of shareholders. Information regarding the direct and indirect interests, by security holdings or otherwise, of the Company’s directors and executive officers is included in the Company’s final prospectus, filed with the SEC on October 1, 2025, the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, filed with the SEC on March 30, 2026, and in the Company’s Current Reports on Form 8-K filed with the SEC from time to time. Changes to the direct or indirect interests of the Company’s directors and executive officers are set forth in SEC filings on Initial Statements of Beneficial Ownership on Form 3 or Statements of Change in Ownership on Form 4. These documents are available free of charge as described above. Updated information regarding the identities of potential participants and their direct or indirect interests, by security holdings or otherwise, in the Company will be set forth in the definitive proxy statement for the Company’s special meeting of shareholders and other relevant documents to be filed with the SEC, if and when they become available.

Forward-Looking Statements

Statements contained in this press release which are not historical facts, such as those relating to future events, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Fermi undertakes no duty to publicly update or revise such forward-looking information, whether as a result of new information, future events, or otherwise. Investors should consult further disclosures and risk factors included in our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, the Registration Statement on Form S-8 and other documents filed from time to time with the SEC by Fermi.

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SOURCE Fermi Inc.