v3.26.1
SEGMENT INFORMATION
 6 Months Ended
Jul. 03, 2026
Segment Reporting [Abstract]  
SEGMENT INFORMATION

NOTE 11: SEGMENT INFORMATION

Historically, the Company managed its business through two reportable segments: Broadband and Video. Following the sale of the Video business, the Company’s continuing operations now consist of a single reportable segment: Broadband. The Chief Executive Officer, who is the Company’s Chief Operating Decision Maker (“CODM”), now evaluates the performance of the Company and makes decisions regarding the allocation of resources based on the Company’s consolidated results. Our CODM does not evaluate operating results using asset or liability information.

The following table is a reconciliation of the Company's measure of segment profit or loss, significant segment expenses and other segment items:

Three Months Ended

 

Six Months Ended

(in thousands)

July 3, 2026

 

June 27, 2025

 

July 3, 2026

 

June 27, 2025

Total net revenue

$

133,462

 

$

86,918

 

$

255,157

 

$

171,796

Less significant expenses and other segment items:

 

 

 

 

 

 

 

 

 

 

 

Cost of revenue

 

62,766

 

 

46,774

 

 

120,581

 

 

84,912

Research and development expense

 

20,438

 

 

17,161

 

 

40,251

 

 

35,637

Selling, general and administrative

 

18,915

 

 

16,017

 

 

36,969

 

 

32,228

Segment operating income

 

31,343

 

 

6,966

 

 

57,356

 

 

19,019

Stock-based compensation

 

(7,284)

 

 

(5,655)

 

 

(12,848)

 

 

(10,672)

Restructuring and related charges

 

—

 

 

(428)

 

 

—

 

 

(428)

Asset impairment and related charges

 

(428)

 

 

(1,637)

 

 

(428)

 

 

(1,637)

Segment income (loss) from operations

 

23,631

 

 

(754)

 

 

44,080

 

 

6,282

Non-operating expense, net

 

(1,661)

 

 

(2,282)

 

 

(2,782)

 

 

(4,214)

Income (loss) from continuing operations before income taxes

$

21,970

 

$

(3,036)

 

$

41,298

 

$

2,068

Together with stock-based compensation, the Company does not allocate restructuring and related charges, asset impairment charges and other non-recurring expenses (none in either period presented) to the operating income of its reportable segment because management does not include this information in the measurement of the performance of the operating segment.

Disaggregation of Revenues

The following table provides a summary of total revenues disaggregated by type:

Three Months Ended

 

Six Months Ended

(in thousands)

July 3, 2026

 

June 27, 2025

 

July 3, 2026

 

June 27, 2025

Product sales

$

104,092

 

$

70,128

 

$

195,717

 

$

141,478

Professional services

 

12,924

 

 

2,473

 

 

25,058

 

 

2,648

Total Appliance and integration

 

117,016

 

 

72,601

 

 

220,775

 

 

144,126

Total SaaS and service

 

16,446

 

 

14,317

 

 

34,382

 

 

27,670

Total revenue

$

133,462

 

$

86,918

 

$

255,157

 

$

171,796

The following table provides a summary of total revenues by geographic region:

 

Net revenue:

Three Months Ended

 

Six Months Ended

(in thousands)

July 3, 2026

 

June 27, 2025

 

July 3, 2026

 

June 27, 2025

United States (1)

$

113,364

 

$

70,016

 

$

210,579

 

$

132,206

Other countries (1)

 

20,098

 

 

16,902

 

 

44,578

 

 

39,590

Total

$

133,462

 

$

86,918

 

$

255,157

 

$

171,796

 

 

 

 

 

 

 

 

 

 

 

 

Americas

$

120,603

 

$

80,283

 

$

227,033

 

$

155,306

EMEA

 

8,421

 

 

5,776

 

 

18,880

 

 

14,396

APAC

 

4,438

 

 

859

 

 

9,244

 

 

2,094

Total

$

133,462

 

$

86,918

 

$

255,157

 

$

171,796

(1) Revenue is attributed to countries based on the location of the customer.

Customer Concentration

Net revenue:

Three Months Ended

 

Six Months Ended

(in thousands)

July 3, 2026

 

June 27, 2025

 

July 3, 2026

 

June 27, 2025

Top 2 customers (2)

$

84,053

 

$

52,611

 

$

155,154

 

$

109,114

Rest-of-Market

 

49,409

 

 

34,307

 

 

100,003

 

 

62,682

Total

$

133,462

 

$

86,918

 

$

255,157

 

$

171,796

(2) Based on largest subscriber footprint.

During the three months ended July 3, 2026, two of our customers accounted for approximately 45% and 18%, respectively, of our net revenue, compared to one customer accounted for approximately 54% of our net revenue during the three months ended June 27, 2025.

During the six months ended July 3, 2026, two of our customers accounted for approximately 41% and 20%, respectively, of our net revenue, compared to two customers accounted for approximately 51% and 13%, respectively, of our net revenue during the six months ended June 27, 2025.

No single country, other than the United States, accounted for 10% or more of the Company’s net revenues for the three and six months ended July 3, 2026 and June 27, 2025, respectively.