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A10 Networks (ATEN) investor relations material
A10 Networks Q3 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Q3 2025 revenue increased 12% year-over-year to $74.7 million, driven by AI infrastructure and cybersecurity demand, with the Americas region contributing 65% of global revenue.
Security-led solutions exceeded the 65% long-term target, reflecting strong alignment with AI and infrastructure trends.
Non-GAAP net income was $16.7 million ($0.23 per diluted share), while GAAP net income was $12.2 million ($0.17 per diluted share).
Adjusted EBITDA reached $21.9 million (29.3% margin), up from $17.0 million (26.0%) in Q3 2024.
The company is focused on leveraging AI and cybersecurity trends, maintaining disciplined capital allocation, and driving both organic and inorganic growth.
Financial highlights
Q3 2025 product revenue was $43.1 million (up 17% year-over-year); service revenue was $31.6 million (up 6%).
Non-GAAP gross margin was 80.7%; GAAP gross margin was 80.1%.
Non-GAAP operating margin was 24.7%; GAAP operating margin was 17.4%.
Adjusted EBITDA for Q3 2025 was $21.9 million (29.3% margin).
Cash and cash equivalents as of September 30, 2025, were $86.6 million, with $284.3 million in marketable securities.
Outlook and guidance
Full-year growth rate expected at 10%, with high single-digit growth (8%-10%) targeted for 2026.
EBITDA margin goal for 2026 is 26%-28%, with EPS growth expected to outpace top-line growth.
Board approved a quarterly cash dividend of $0.06 per share, payable December 1, 2025.
Management expects modest increases in operating expenses and continued investment in R&D and AI technologies.
Existing liquidity is expected to be sufficient for at least the next 12 months and beyond.
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