Adtran Holdings (NASDAQ:ADTN) today issued preliminary fourth-quarter results that surpassed its own guidance and analyst expectations.
The Huntsville, Alabama-based company projected revenue between $290 million and $293 million, comfortably exceeding its previous forecast of $275 million to $285 million.
The revenue beat is expected to flow through to the bottom line, with Adtran signaling that non-GAAP earnings per share will likely exceed the current analyst consensus of $0.08 per share.
While the company did not provide a specific figure for the earnings variance, it confirmed that its non-GAAP operating margin for the quarter landed between 6% and 6.9%, a significant improvement from the prior year as it reaps the benefits of a large-scale business efficiency program.
For the full year 2025, Adtran expects GAAP revenue to reach approximately $1.08 billion, marking a steady recovery as service provider spending stabilizes and the shift toward fiber access acceleration continues.
The company has faced a challenging period of inventory digestion among its customers, but CEO Tom Stanton noted in recent months that market conditions have improved, driven by a global trend toward high-speed optical networking.
Adtran is scheduled to release its finalized financial results and 2026 outlook on February 25.