Aviat Networks (AVNW) Q2 2025 earnings summary

Executive summary

• Q2 FY2025 revenue reached $118.2 million, up 26.2% year-over-year, driven by product sales and contributions from PASOLINK, 4RF, and NEC acquisitions.

• Achieved record adjusted EBITDA of $14.8 million, up 22.2% year-over-year, with disciplined cost management.

• Net income rose to $4.5 million (GAAP) and $10.5 million (non-GAAP); non-GAAP EPS was $0.82.

• North America revenue grew 14.5% to $58 million; international revenue rose 39.8% to $60.2 million, both year-over-year.

• Net debt improved by $10 million sequentially to $22.3 million; 34,600 shares repurchased during the quarter.

Financial highlights

• Q2 revenue: $118.2 million, up 26.2% year-over-year; TTM revenue at $434.1 million, up 22.7%.

• Adjusted EBITDA: $14.8 million (12.6% margin), up 22% year-over-year.

• GAAP gross margin: 34.6%; non-GAAP gross margin: 35.3%, both down from 38.8% last year due to product mix.

• GAAP operating income: $8.0 million; non-GAAP operating income: $12.6 million.

• Cash and marketable securities: $52.6 million; total debt: $74.9 million.

Outlook and guidance

• Fiscal 2025 revenue guidance: $430–$470 million; adjusted EBITDA guidance: $30–$40 million.

• Q3 expected to be seasonally lower; Q4 anticipated to rebound if bookings persist.

• Management expects continued growth in mobile backhaul and private network markets, with ongoing integration of recent acquisitions.