HLIT

EX-99.1

2 hlit-ex99_1.htm

EX-99.1

EX-99.1

Exhibit 99.1

FOR IMMEDIATE RELEASE

Harmonic Announces Third Quarter 2026 Results

Revenue increased 64% year over year to $148.8 million, well above the high end of guidance

Rest-of-Market revenue more than doubled year over year to a record 46% of total revenue

Company raises full-year 2026 revenue outlook to $545 million - $555 million

SAN JOSE, California, November 2, 2026 - Harmonic Inc. (Nasdaq: HLIT) today announced its unaudited results for the third quarter ended October 2, 2026.

“Our accelerating momentum led to a breakout third quarter with revenue growing 64% year over year, driven mainly by Rest-of-Market growth which more than doubled year over year,” said Nimrod Ben-Natan, president and chief executive officer of Harmonic. “Additionally, we continued executing on our strategy by introducing new fiber and intelligence products including our Recon platform, Oyster+, cOS LoopTM and cOS SensAITM. We remain confident in our ability to deliver sustainable, profitable growth while simultaneously investing to significantly increase our addressable markets as outlined in our recent Investor Day.”

Financial and Business Highlights for Continuing Operations1

Q3 2026

GAAP

Non-GAAP

(Unaudited, in millions, except per share data)

Net revenue

$

148.8

$

n/a

Operating profit (1)

26.2

33.0

Net income per share (1)

$

0.16

$

0.23

• Backlog and deferred revenue of $534.0 million, an increase of 58%, compared to $338 million last year

• Cash: $142.8 million at October 2, 2026, compared to $124.1 million at December 31, 2025

• $160 million available under our revolving credit facility at October 2, 2026, compared to $85 million at July 3, 2026, due to a $75 million repayment in the third quarter

Business Highlights

• Commercially deployed our cOS™ solution with 167 customers, serving 52.6 million CPE devices, with ongoing expansion across all tier-1 accounts and new customer wins

• Rest-of-Market bookings represented over 60% of total Q3 bookings, reflecting meaningful progress in customer diversification

• Launched cOS SensAI, a recurring revenue service, in September following extended trials; secured first customer wins and began migrating existing cloud customers to the platform

• Unveiled Recon, developed in collaboration with Comcast, extending Harmonic’s intelligence portfolio to fiber reliability and helping operators detect and resolve network issues before subscribers are affected

• Acquired a vendor-agnostic fiber management and provisioning platform company

(1) Includes stranded costs of approximately $1.5 million for Q3 2026.

1

Discontinued Operations - Video Business

The results of the Company's Video Business are presented as held-for-sale and discontinued operations in the condensed consolidated statements of operations and condensed consolidated balance sheets for all periods presented in this press release. As previously announced, on December 8, 2025, the Company entered into a Put Option Agreement to sell its Video business to Leone Media Inc. (d/b/a MediaKind) for a purchase price of $145 million in cash (the "Disposition"). On March 20, 2026, MediaKind and the Company executed the Asset Purchase Agreement (the "APA") for the Disposition.

On June 16, 2026, the Company and MediaKind completed the Disposition. Proceeds from the sale were $137.9 million paid at closing, subject to final post-closing adjustments under the terms of the APA. Following the Disposition, Harmonic operates as a pure-play broadband company with a single reportable segment: Broadband. As such, and unless stated otherwise, all results presented in the following table reflect those of continuing operations. The Company and MediaKind are in the process of finalizing the post-closing adjustments, which are currently expected to be completed in the first quarter of 2027.

Select Financial Information for Continuing Operations 2

GAAP

Non-GAAP

Key Financial Results

Q3 2026

Q2 2026

Q3 2025

Q3 2026

Q2 2026

Q3 2025

(Unaudited, in millions, except per share data)

Net revenue

$

148.8

$

133.5

$

90.5

n/a

n/a

n/a

Operating profit (1)

$

26.2

$

23.6

$

4.0

$

33.0

$

31.3

$

10.1

Net income (loss) per share

$

0.16

$

0.16

$

(0.00)

$

0.23

$

0.21

$

0.07

Other Financial Information

Q3 2026

Q2 2026

Q3 2025

(Unaudited, in millions)

Bookings for the quarter

$

105.9

$

144.3

$

97.4

Backlog and deferred revenue as of quarter end

$

534.0

$

587.6

$

338.0

Cash and cash equivalents as of quarter end

$

142.8

$

231.9

$

127.4

Explanations regarding our use of Non-GAAP financial measures and related definitions, and reconciliations of our GAAP and Non-GAAP measures, are provided in the sections below entitled “Use of Non-GAAP Financial Measures” and “GAAP to Non-GAAP Reconciliations.”

(1) Includes stranded costs of approximately $1.5 million in Q3 2026, $2.3 million in Q2 2026, and $2.2 million in Q3 2025.

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