Business
Allot First Quarter 2026 Results: Revenue Growth Accelerates to 14% YoY with Increased Margins
Allot Ltd. (NASDAQ: ALLT) (TASE: ALLT), a leading global provider of innovative Security-as-a-Service (SECaaS) and network intelligence solutions for communications service providers and enterprises, today announced its unaudited financial results for the first quarter of 2026.
About this update from Allot Ltd.
Recurring Revenue Reaches 67% of Total Revenue HOD HASHARON, Israel, May 12, 2026 /PRNewswire/ -- Allot Ltd. (NASDAQ: ALLT) (TASE: ALLT), a leading global provider of innovative Security-as-a-Service (SECaaS) and network intelligence solutions for communications service providers and enterprises, today announced its unaudited financial results for the first quarter of 2026. Financial Highlights for the First Quarter of 2026 Management Comment Eyal Harari, CEO of Allot, commented, "We are pleased to report a strong start to 2026, with revenues increasing 14% year-over-year, marking our third consecutive quarter of double-digit revenue growth. Our success was driven by a robust expansion in our cybersecurity business, resulting in meaningful improvements in margins and profit, as well as record operating cash flow." Mr. Harari continued, "Our cybersecurity segment remains the primary engine of growth and drove Recurring Revenues** to over 67% of total revenue in the quarter. Strong organic growth in SECaaS revenues and ARR reflects increasing adoption of telco-provided cybersecurity services powered by Allot and provides us with strong visibility into continued double-digit growth for the full year." Concluded Mr. Harari, "Looking ahead, we reaffirm our 2026 revenue guidance of $113 million to $117 million, with continued profitability improvements throughout the year. Following a strong first quarter we feel increasingly confident toward the upper end of that range and furthermore, we now have the strong visibility ahead to predict 40% or more SECaaS revenue growth in 2026." First Quarter 2026 Financial Results Summary Total revenues for the first quarter of 2026 were $26.4 million, a 14% increase year-over-year compared with $23.2 million in the first quarter of 2025. Gross profit on a GAAP basis for the first quarter of 2026 was $18.7 million (gross margin of 70.9%), a 17% increase compared with $16.0 million (gross margin of 69.3%) in the first quarter of 2025. Gross profit on a non-GAAP basis for the first quarter of 2026 was $18.8 million (gross margin of 71.3%), a 16% increase compared with $16.3 million (gross margin of 70.4%) in the first quarter of 2025. Operating income on a GAAP basis for the first quarter of 2026 was $1.5 million (operating margin of 5.8%), compared with an operat...