UTStarcom first-half revenue falls 26% to $3.4m

• UTStarcom reported first-half 2026 revenue of $3.4 million, down about 26% from $4.6 million a year earlier.
• Net loss widened to $5.1 million, while cash, equivalents and restricted cash declined to $35.8 million.
• UTStarcom increased R&D spending as it develops an Optical Circuit Switching solution for AI data-center networking.

UTStarcom (NASDAQ:UTSI) reported first-half 2026 revenue of $3.4 million, down about 26% as equipment and service sales declined.

Revenue fell from $4.6 million a year earlier, while gross profit swung to a $0.5 million loss with a negative 13.6% margin.

Operating loss widened to $6 million from $4.2 million, while net loss reached $5.1 million, or $0.55 per basic share.

UTStarcom ended June with $35.8 million in cash and restricted cash after using $4.9 million in operating activities during the period.

UTStarcom reported full-year 2025 revenue of $9 million, down 17.5%, while its annual net loss widened to $8 million.

The company is developing an Optical Circuit Switching platform for AI networking after previously targeting a functional prototype during the second half of 2026.