ADTRAN Holdings Inc. published the transcript of its fourth quarter and full year 2025 earnings call held on February 26, 2026. The call featured Chairman and CEO Thomas Stanton and CFO Timothy Santo, alongside Vice President of Investor Relations Peter Schuman, with analysts attending including Mike Genovese (Rosenblatt Securities), Ryan Koontz (Needham & Company), Christian Schwab (Craig-Hallum), George Notter (Wolfe Research) and Dave Kang (B. Riley Securities). Management highlighted a strong Q4, with revenue of $291.6 million, up 20% year over year, driven by growth across optical networking, access and aggregation, and subscriber solutions. Stanton said results “reflected higher demand and strong execution,” adding, “Customer acceptance of products has been strong, and our product offerings and competitive position has never been better.” Optical networking revenue rose 33% year over year, supported by cloud providers and enterprise demand, while the company also pointed to sustained fiber investment in the US and Europe, including European vendor diversification away from higher-risk suppliers. The company discussed ongoing margin expansion and cash generation, with Santo reporting non-GAAP gross margin of 42.5% and non-GAAP operating margin of 6.4% in Q4, and full-year free cash flow of $60.5 million. ADTRAN also continued reducing minority interest in Adtran Networks SE through share purchases, and reiterated a long-term gross margin target of 42% to 43%. Looking ahead, Santo guided to Q1 2026 revenue of $275 million to $295 million and non-GAAP operating margin of 4% to 8%, reflecting seasonality. On market drivers, Stanton said fiber-to-the-premises activity “nothing has slowed down,” and noted early signs that BEAD funding is beginning to flow, while in Europe he cited momentum tied to Huawei-related vendor shifts: “If you’re a carrier and you’re doing a new award, you’re kind of crazy to be deploying Huawei at this point.” The full transcript can be accessed through the link below.
Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. ADTRAN Holdings Inc. published the original content used to generate this news brief on February 27, 2026, and is solely responsible for the information contained therein.
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