Business
Ceragon Networks Reports Financial Results For The Third Quarter Of 2020
- Strong Quarter With $70.6M Revenues, 33.4% Gross Margin and $0.02 GAAP EPS Reflecting Focused Execution Despite Covid Environment - - Current Growth Driven
About this update from Ceragon Networks Ltd.
[{"type":"text","content":"- Strong Quarter With $70.6M Revenues, 33.4% Gross Margin and $0.02 GAAP EPS Reflecting Focused Execution Despite Covid Environment -\n - Current Growth Driven By ISP & 4G Activities; Ongoing Progress With Major 5G Opportunities Paves Potential for Strong Mid-To-Long-Term Growth -\n\n\nLITTLE FALLS, N.J., Nov. 2, 2020 /PRNewswire/ -- Ceragon Networks Ltd. (NASDAQ: CRNT), the #1 wireless hauling specialist, today reported results for the third quarter ended September 30, 2020.\nThird Quarter 2020 Highlights:\nStrong revenues, high gross margin and lower operating expenses generated $1.6 million in GAAP net profit despite COVID-19 constraints, as Ceragon benefited from ISP and 4G operator projects to increase network reach, capacity and speed COVID-19-related uncertainty continued to impact Ceragon's performance, especially in Latin America Continued progress in multiple large operator 5G network processes, moving from design wins to proof of concepts and purchase orders with initial low-volume shipments, in preparation for potential high-volume orders in second half of 2021 Primary Financial Results:\nRevenues: $70.6 million compared with $72.2 million for Q3'19 and $62.4 million for Q2'20. \nGross margin: 33.4% compared to 32.2% for Q3'19 and 26.4% for Q2'20. \nOperating income (loss): $3.4 million compared with $2.1 million for Q3'19 and $(3.5) million for Q2'20. \nNet income (loss): $1.6 million, or $0.02 per diluted share compared with $0.2 million, or $0.00 per diluted share for Q3'19 and $(5.5) million, or $(0.07) per diluted share for Q2'20.\nNon-GAAP results: Gross margin 33.5%, operating income $3.7 million, and net income $2.3 million, or $0.03 per diluted share. For reconciliation of GAAP to non-GAAP results, see the attached tables.\nCash and cash equivalents: $29.2 million at September 30, 2020, compared to $35.2 million at June 30, 2020.\nIra Palti, President and CEO of Ceragon, commented, \"Q3 was a strong period for Ceragon, reflecting the market's urgent need for increased network capacity and its recognition of the critical advantages of our solutions, coupled with our focused execution despite the COVID-19 environment. During the quarter, we achieved new 5G design wins, some of which have already translated into small orders, and completed significant shipments against large-scale 4G expansion projects. We also...