Radcom Q2 Revenue Plunges 33%, Swings to Loss; Launches $25M Buyback
RDCM is trading near its 52-week low of $9.4 (11% above the low).
Summary
Radcom's Q2 revenue dropped 33% year-over-year to ~$12 million, missing expectations and swinging to a non-GAAP net loss from a profit last year. Deployment delays from higher component costs and supply constraints hit results, though management insists no deals were lost. The company launched a $20-25 million share buyback and secured three new contracts after the quarter, while reaffirming full-year guidance of $57-$63 million and projecting double-digit revenue growth in 2027. This follows a July 30 pre-announcement that had already cut guidance, but today's release adds actual loss figures, the buyback, and post-quarter contract wins. The stock closed at $10.05, down sharply from its $18 analyst target, reflecting ongoing execution concerns.
At the time of this announcement, RDCM was trading at $10.40 on NASDAQ in the Technology sector, with a market capitalization of approximately $168.2M. The 52-week trading range was $9.40 to $16.74. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Reuters.