Q2 2023 Financial Highlights:
- Revenues of $86.2 million
- Operating income of $5.7 million on a GAAP basis, or $7.4 million on a non-GAAP basis; The non-GAAP operating income excludes an $0.9 million restructuring charge related to European operations.
- EPS of $0.02 per diluted share on a GAAP basis, or $0.05 per diluted share on a non-GAAP basis
Q2 2023 Business Highlights:
- Book-to-bill above 1 on a quarterly and trailing 12-month basis
- Ceragon won a multi-year contract worth up to $4.2 million with the City of Cincinnati to upgrade its public safety network
- North America:
– Nearly matched India in Q2 bookings, with bookings increasing nearly 10% sequentially compared to Q1
– Continued strong revenue in Q2 - India:
– Strongest region in terms of Q2 bookings and revenue
– Strong demand for ongoing 4G network and 5G network rollouts
Doron Arazi, CEO, commented: “Ceragon delivered strong double digit year-over-year revenue growth, margin expansion and solid profitability in the second quarter. During the quarter, we again recorded bookings that exceeded our revenue levels which improved our visibility into the third quarter and strengthened our confidence for the full year. We have not seen any signs of a slowdown or changes in demand across our customer base and remain focused on our operational execution as well as efforts to enhance our product portfolio including new product line based on system-on-a-chip technology.”
“Demand in key geographies remains robust, and we continue to deliver solid execution,” Arazi added. “Our year-to-date performance and improved visibility into the third quarter has given us the confidence to increase our full-year guidance and narrow the range to increase the midpoint.”
Primary Second Quarter 2023 Financial Results:
Revenues were $86.2 million, up 21.9% from $70.7 million in Q2 2022 and up 3.3% from $83.4 million in Q1 2023.
Gross profit was $30.4 million, giving us a gross margin of 35.2%, compared with a gross margin of 30.3% in Q2 2022 and 33.8% in Q1 2023.
Operating income (loss) was $5.7 million compared with $(0.3) million for Q2 2022 and $4.7 million for Q1 2023.
Net Income (loss) was $2.1 million, or $0.02 per diluted share compared with $(1.5) million, or $(0.02) per diluted share for Q2 2022 and $2.0 million, or $0.02 per diluted share for Q1 2023.
Non-GAAP results were as follows: Gross margin was 35.3%, operating profit was $7.4 million, and net income was $4.4 million, or $0.05 per diluted share.
Cash and cash equivalents were $24.5 million at June 30, 2023, compared to $26.4 million at March 31, 2023.
