Harmonic ( (HLIT) ) has released its Q4 earnings. Here is a breakdown of the information Harmonic presented to its investors.
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Harmonic Inc., a global leader in virtualized broadband and video delivery solutions, provides innovative technology to media companies and service providers for high-quality video streaming and broadcast services. The company recently announced its unaudited fourth quarter and fiscal year 2024 results, highlighting record total quarterly revenue and adjusted EBITDA, alongside a significant expansion of their stock repurchase program.
Harmonic reported a 33% year-over-year increase in total revenue for the quarter, reaching $222.2 million, supported by a robust performance in its Broadband segment. The Broadband revenue soared to $171 million, reflecting a year-over-year increase of 48%, while the Video segment revenue remained stable at $51.1 million. The company’s gross margin improved significantly, reaching 56.1% compared to 49.0% in the previous year. Additionally, Harmonic’s operating income and net income saw substantial gains, with adjusted EBITDA climbing to $71.8 million from $21.7 million in the prior year period.
Strategically, Harmonic has doubled its stock repurchase program to $200 million, indicating strong confidence in its profitability and cash flow generation. The company has also expanded its global footprint by increasing its rest-of-world Broadband sales by over 50% and securing five new customers. Notably, Harmonic has the largest installed base of DOCSIS 4.0 and is working with major operators on Unified DOCSIS 4.0 technology.
Looking ahead, Harmonic’s management remains optimistic, despite short-term shifts in customer deployment timing. They anticipate a return to above-market growth in 2026 as the adoption of DOCSIS 4.0 accelerates and capital spending in the cable industry resumes its upward trajectory. The company’s strategic initiatives and financial discipline position it well for continued success in the broadband and video markets.
