v3.26.1
Revenue
 6 Months Ended
Jun. 28, 2026
Revenue from Contract with Customer [Abstract]  
Revenue

Note 4. Revenue

Revenue from contracts with customers is recognized when control of the promised goods or services is transferred to the customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services.

Transaction Price Allocated to the Remaining Performance Obligations

Remaining performance obligations represent the transaction price allocated to performance obligations that are unsatisfied or partially unsatisfied as of the end of the reporting period. Unsatisfied and partially unsatisfied performance obligations consist of contract liabilities, in-transit orders with destination terms, and non-cancelable backlog. Non-cancelable backlog includes goods for which customer purchase orders have been accepted, that are scheduled or in the process of being scheduled for shipment, and that are not yet invoiced.

The following table summarizes estimated revenue expected to be recognized in the future related to performance obligations that were unsatisfied (or partially unsatisfied) as of June 28, 2026:

 

(In thousands)

 

 

Less than 1 year

 

 

 

1 to 2 years

 

 

 

Beyond 2 years

 

 

 

Total

 

Performance obligations

 

$

 

59,557

 

 

$

 

2,320

 

 

$

 

1,767

 

 

$

 

63,644

 

Contract Balances

The Company records accounts receivable when it has an unconditional right to consideration. Contract liabilities are recorded when cash payments are received or due in advance of performance. Contract liabilities consist of advance payments and deferred revenue, where the Company has unsatisfied performance obligations. Contract liabilities are classified as Deferred revenue (current portion) and Other non-current liabilities (non-current portion) on the unaudited condensed consolidated balance sheets.

Payment terms vary by customer. The time between invoicing and when payment is due is not significant. For certain products or services and customer types, payment is required before the products or services are delivered to the customer.

The following table reflects the contract balances:

 

(In thousands)

 

Balance Sheet Location

 

 

June 28, 2026

 

 

 

December 31, 2025

 

Accounts receivable, net

 

Accounts receivable, net

 

$

 

152,820

 

 

$

 

142,045

 

Contract liabilities – current

 

Deferred revenue

 

$

 

25,458

 

 

$

 

26,904

 

Contract liabilities – non-current

 

Other non-current liabilities

 

$

 

3,990

 

 

$

 

4,206

 

The difference in the balances of the Company’s contract assets and liabilities as of June 28, 2026 and December 31, 2025, primarily results from the timing difference between the Company’s performance and the customer’s payment. During the six months ended June 28, 2026, $22.7 million of revenue was deferred primarily due to unsatisfied performance obligations for service contracts, $24.4 million of revenue was recognized for the satisfaction of performance obligations and $21.5 million of this recognized revenue was included in the contract liability balance at the beginning of the period. During the six months ended June 29, 2025, $23.5 million of revenue was deferred primarily due to unsatisfied performance obligations for service contracts, $25.0 million of revenue was recognized for the satisfaction of performance obligations and $20.0 million of this recognized revenue was included in the contract liability balance at the beginning of the period.

There were no significant changes in estimates during the period that would affect the contract balances.

Disaggregation of Revenue

In the following tables, net revenue is disaggregated by geographic region and by product category, distinguishing the Company’s service provider and related products from its other products. The Company conducts business across three geographic regions: Americas; Europe, Middle East and Africa (“EMEA”); and Asia Pacific (“APAC”). The tables also include reconciliations of the disaggregated revenue by reportable segment. As disclosed above, effective in the fourth quarter of 2025, the Company operates and reports in two segments: Enterprise (formerly NETGEAR for Business), and Consumer (comprising the former Home Networking and Mobile segments). Prior-period segment information has been recast to conform to the current presentation. Sales and usage-based taxes are excluded from net revenue.

 

 

 

Three Months Ended

 

 

 

 

June 28, 2026

 

 

 

June 29, 2025

 

(In thousands)

 

 

Enterprise

 

 

 

Consumer

 

 

 

Total

 

 

 

Enterprise

 

 

 

Consumer

 

 

 

Total

 

Geographic regions (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Americas

 

$

 

47,831

 

 

$

 

68,695

 

 

$

 

116,526

 

 

$

 

41,690

 

 

$

 

74,589

 

 

$

 

116,279

 

EMEA

 

 

 

29,418

 

 

 

 

7,005

 

 

 

 

36,423

 

 

 

 

26,948

 

 

 

 

7,427

 

 

 

 

34,375

 

APAC

 

 

 

11,705

 

 

 

 

3,908

 

 

 

 

15,613

 

 

 

 

13,983

 

 

 

 

5,895

 

 

 

 

19,878

 

Total

 

$

 

88,954

 

 

$

 

79,608

 

 

$

 

168,562

 

 

$

 

82,621

 

 

$

 

87,911

 

 

$

 

170,532

 

Product categories:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service provider and related products (2)

 

$

 

138

 

 

$

 

23,777

 

 

$

 

23,915

 

 

$

 

238

 

 

$

 

27,218

 

 

$

 

27,456

 

Non-service provider

 

 

 

88,816

 

 

 

 

55,831

 

 

 

 

144,647

 

 

 

 

82,383

 

 

 

 

60,693

 

 

 

 

143,076

 

Total

 

$

 

88,954

 

 

$

 

79,608

 

 

$

 

168,562

 

 

$

 

82,621

 

 

$

 

87,911

 

 

$

 

170,532

 

 

 

 

 

Six Months Ended

 

 

 

 

June 28, 2026

 

 

 

June 29, 2025

 

(In thousands)

 

 

Enterprise

 

 

 

Consumer

 

 

 

Total

 

 

 

Enterprise

 

 

 

Consumer

 

 

 

Total

 

Geographic regions (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Americas

 

$

 

92,569

 

 

$

 

129,820

 

 

$

 

222,389

 

 

$

 

82,171

 

 

$

 

141,869

 

 

$

 

224,040

 

EMEA

 

 

 

54,531

 

 

 

 

15,367

 

 

 

 

69,898

 

 

 

 

51,287

 

 

 

 

15,217

 

 

 

 

66,504

 

APAC

 

 

 

25,656

 

 

 

 

9,438

 

 

 

 

35,094

 

 

 

 

28,354

 

 

 

 

13,694

 

 

 

 

42,048

 

Total

 

$

 

172,756

 

 

$

 

154,625

 

 

$

 

327,381

 

 

$

 

161,812

 

 

$

 

170,780

 

 

$

 

332,592

 

Product categories:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service provider and related products (2)

 

$

 

329

 

 

$

 

44,009

 

 

$

 

44,338

 

 

$

 

508

 

 

$

 

56,925

 

 

$

 

57,433

 

Non-service provider

 

 

 

172,427

 

 

 

 

110,616

 

 

 

 

283,043

 

 

 

 

161,304

 

 

 

 

113,855

 

 

 

 

275,159

 

Total

 

$

 

172,756

 

 

$

 

154,625

 

 

$

 

327,381

 

 

$

 

161,812

 

 

$

 

170,780

 

 

$

 

332,592

 

_____________________________

(1) No individual foreign country represented more than 10% of the Company’s total net revenue in the periods presented.

(2) Service provider and related products net revenue in Consumer Segment included cable net revenue sold through retail. Prior-period amounts have been recast to conform to the current-period presentation.