v3.26.1
Segment Information
6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Information

16. SEGMENT INFORMATION

The chief operating decision maker, the Company's CEO, regularly reviews the Company’s financial performance based on two reportable segments: (1) Network Solutions and (2) Services & Support.

The Network Solutions segment includes hardware and software products that enable a digital future which support the Company's Subscriber, Access & Aggregation, and Optical Networking Solutions. The Company's cloud-managed Wi-Fi gateways, virtualization software, and switches provide a mix of wired and wireless connectivity at the customer premises. In addition, its Carrier Ethernet products support a variety of applications at the network edge ranging from mobile backhaul to connecting enterprise customers (“Subscriber Solutions”). The Company's portfolio includes products for multi-gigabit service delivery over fiber or alternative media to homes and businesses.

The Services & Support segment offers a comprehensive portfolio of network design, implementation, maintenance and cloud-hosted services supporting its Subscriber, Access & Aggregation, and Optical Networking Solutions. These services assist operators in the deployment of multi-vendor networks while reducing their cost to maintain these networks. The cloud-hosted services include a suite of SaaS applications under the Company's Mosaic One platform that manages end-to-end network and service optimization for both fiber access infrastructure and mesh Wi-Fi connectivity. The Company backs these services with a global support organization that offers on-site and off-site support services with varying SLAs.

The performance of these segments is evaluated based on revenue, gross profit and gross margin; therefore, selling, general and administrative expenses, research and development expenses, interest and dividend income, interest expense, net investment gain, other income (expense), net and income tax expense are reported on a consolidated basis only. There is no inter-segment revenue. Asset information by reportable segment is not produced and, therefore, is not reported.

The following tables present information about the revenue and gross profit of the Company's reportable segments:

 

 

Three Months Ended

 

 

 

June 30, 2026

 

 

June 30, 2025

 

(In thousands)

 

Revenue

 

 

Cost of Revenue

 

 

Gross Profit

 

 

Revenue

 

 

Cost of Revenue

 

 

Gross Profit

 

Network Solutions

 

$

232,898

 

 

$

157,585

 

 

$

75,313

 

 

$

219,498

 

 

$

147,321

 

 

$

72,177

 

Services & Support

 

 

48,248

 

 

 

19,610

 

 

 

28,638

 

 

 

45,570

 

 

 

18,823

 

 

 

26,747

 

Total

 

$

281,146

 

 

$

177,195

 

 

$

103,951

 

 

$

265,068

 

 

$

166,144

 

 

$

98,924

 

 

 

 

Six Months Ended

 

 

 

June 30, 2026

 

 

June 30, 2025

 

(In thousands)

 

Revenue

 

 

Cost of Revenue

 

 

Gross Profit

 

 

Revenue

 

 

Cost of Revenue

 

 

Gross Profit

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Network Solutions

 

$

470,839

 

 

$

312,233

 

 

 

158,606

 

 

$

421,715

 

 

$

281,562

 

 

$

140,153

 

Services & Support

 

 

96,393

 

 

 

38,060

 

 

 

58,333

 

 

 

91,097

 

 

 

37,150

 

 

 

53,947

 

Total

 

$

567,232

 

 

$

350,293

 

 

$

216,939

 

 

$

512,812

 

 

$

318,712

 

 

$

194,100

 

For the three months ended June 30, 2026 and 2025, $1.7 million and $1.3 million, respectively, of depreciation expense was included in gross profit for our Network Solutions segment. For the six months ended June 30, 2026 and 2025, $3.4 million and $2.6 million, respectively, of depreciation expense was included in gross profit for our Network Solutions segment. For the three months ended June 30, 2026 and 2025, less than $0.1 million of depreciation expense was included in gross profit for our Services & Support segment. For the six months ended June 30, 2026 and 2025, $0.1 million of depreciation expense was included in gross profit for our Services & Support segment.

Revenue by Geographic Area

The following table presents revenue information by geographic area:

 

 

 

Three Months Ended

 

 

Six Months Ended

 

 

 

June 30,

 

 

June 30,

 

(In thousands)

 

2026

 

 

2025

 

 

2026

 

 

2025

 

United States

 

$

134,412

 

 

$

120,340

 

 

$

280,579

 

 

$

223,529

 

United Kingdom

 

 

37,682

 

 

 

56,249

 

 

 

81,487

 

 

 

119,158

 

Germany

 

 

48,441

 

 

 

31,205

 

 

 

82,366

 

 

 

58,393

 

Other international

 

 

60,611

 

 

 

57,274

 

 

 

122,800

 

 

 

111,732

 

Total

 

$

281,146

 

 

$

265,068

 

 

$

567,232

 

 

$

512,812