Harmonic Q4 revenue beats estimates on strong bookings

Overview

• Virtualized broadband solutions provider's Q4 revenue beat analyst expectations, driven by strong bookings

• Adjusted EPS for Q4 beat analyst expectations

• Company's Video business sale on track to close in Q2 2026

Outlook

• Harmonic expects Q1 2026 revenue between $100 mln and $105 mln

• Company forecasts 2026 revenue between $440 mln and $480 mln

• Harmonic anticipates strong Broadband revenue growth in 2026

Result Drivers

• RECORD BROADBAND BOOKINGS - Harmonic reported record Broadband bookings in Q4, resulting in a 3.5 book-to-bill ratio and a substantial increase in backlog, improving 2026 visibility

• VIDEO BUSINESS EXCEEDS EXPECTATIONS - The Video business, presented as discontinued operations, exceeded both revenue and profitability expectations for the quarter

• REST-OF-WORLD GROWTH - Harmonic achieved record Rest-of-World bookings in Q4, expected to drive continued revenue growth in 2026

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 2 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the communications & networking peer group is "buy."

• Wall Street's median 12-month price target for Harmonic Inc is $11.00, about 4.2% above its February 18 closing price of $10.56

• The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 15 three months ago

Press Release: ID:nPn1Jg2jJa

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