$HLIT

HARMONIC INC

CIK:0000851310|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2026	Jun. 27, 2025	Jul. 03, 2026	Jun. 27, 2025
Revenue:
Total net revenue	$ 133,462	$ 86,918	$ 255,157	$ 171,796
Cost of revenue:
Total cost of revenue	63,574	47,132	121,654	85,530
Total gross profit	69,888	39,786	133,503	86,266
Operating expenses:
Research and development expense	21,199	17,992	42,080	37,656
Selling, general and administrative	24,630	20,483	46,915	40,263
Asset impairment and related charges	428	1,637	428	1,637
Restructuring and related charges	0	428	0	428
Total operating expenses	46,257	40,540	89,423	79,984
Income from operations	23,631	(754)	44,080	6,282
Interest expense, net	(1,082)	(1,090)	(2,161)	(2,401)
Other expense, net	(579)	(1,192)	(621)	(1,813)
Income before income taxes	21,970	(3,036)	41,298	2,068
Provision for income taxes	4,919	(2,179)	14,599	556
Income (loss) from continuing operations	17,051	(857)	26,699	1,512
Income (loss) from discontinued operations, net of tax	(19,375)	3,728	(21,714)	7,299
Net income (loss)	$ (2,324)	$ 2,871	$ 4,985	$ 8,811
Net income (loss) per share:
Basic	$ (0.02)	$ 0.03	$ 0.05	$ 0.08
Diluted	$ (0.02)	$ 0.03	$ 0.05	$ 0.08
Weighted average common shares:
Basic (in shares)	108,654	113,392	109,186	114,855
Diluted	109,682	113,392	110,176	115,256
Continuing operations [Member]
Net income (loss) per share:
Basic	$ 0.16	$ (0.01)	$ 0.24	$ 0.01
Diluted	0.16	(0.01)	0.24	0.01
Discontinued Operations [Member]
Net income (loss) per share:
Basic	(0.18)	0.04	(0.19)	0.07
Diluted	$ (0.18)	$ 0.04	$ (0.19)	$ 0.07
Appliance & Integration [Member]
Revenue:
Total net revenue	$ 117,016	$ 72,601	$ 220,775	$ 144,126
Cost of revenue:
Total cost of revenue	56,413	41,652	107,271	74,086
SaaS & Service [Member]
Revenue:
Total net revenue	16,446	14,317	34,382	27,670
Cost of revenue:
Total cost of revenue	$ 7,161	$ 5,480	$ 14,383	$ 11,444

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jul. 03, 2026	Jun. 27, 2025
Cash flows from operating activities:
Net Income (Loss)	$ 4,985	$ 8,811
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	5,193	5,392
Stock-based compensation	21,467	16,162
Foreign currency remeasurement	88	596
Deferred income taxes, net	2,917	(2,718)
Provision for excess and obsolete inventories	1,441	1,988
Other	18	(9)
Changes in operating assets and liabilities:
Accounts receivable, net	8,152	58,067
Inventories	(23,567)	(6,607)
Prepaid expenses and other assets	(4,334)	(492)
Accounts payable	16,729	3,030
Deferred revenues	5,979	2,202
Other liabilities	8,951	(16,151)
Net cash provided by operating activities	(26,260)	71,908
Cash flows from investing activities:
Purchases of property and equipment	(3,005)	(5,672)
Net cash used in investing activities	128,958	(5,672)
Cash flows from financing activities:
Proceeds from long-term debt	170,000	40,000
Repayment of long-term debt and other borrowings	(171,519)	(42,466)
Repurchase of common stock	(42,950)	(50,102)
Proceeds from common stock issued to employees	4,534	3,056
Taxes paid related to net share settlement of equity awards	(6,025)	(3,206)
Net cash used in financing activities	45,960	(48,883)
Effect of exchange rate changes on cash and cash equivalents and restricted cash	1,479	5,132
Net increase (decrease) in cash and cash equivalents and restricted cash	107,779	22,485
Cash and cash equivalents and restricted cash at beginning of period	124,461	101,789
Cash and cash equivalents and restricted cash at end of period	232,240	124,274
Cash and cash equivalents and restricted cash at end of period
Cash and cash equivalents	231,862	123,918
Restricted cash included in other current assets	378	356
Total cash, cash equivalents and restricted cash as shown in the condensed consolidated statement of cash flows	232,240	124,274
Supplemental cash flow disclosure:
Income tax payments, net	4,914	13,764
Interest payments, net	2,162	2,715
Supplemental schedule of non-cash investing activities:
Capital expenditures incurred but not yet paid	$ 591	$ 1,141

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jul. 03, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 231,862	$ 124,105
Accounts receivable, net of allowances for credit losses of $136 and $227 as of July 3,2026 and December 31,2025 respectively	89,906	85,935
Inventories	66,473	47,840
Prepaid expenses and other current assets	28,948	12,530
Assets held for sale	0	223,961
Total current assets	417,189	494,371
Property and equipment, net	23,478	25,648
Operating lease right-of-use assets	13,142	13,687
Goodwill	61,092	60,900
Deferred income taxes, net	99,425	104,043
Other non-current assets	18,319	19,834
Total assets	632,645	718,483
Current liabilities:
Current portion of long-term debt	2,944	2,944
Accounts payable	39,263	23,093
Deferred revenue	20,775	31,519
Operating lease liabilities	5,988	6,433
Other current liabilities	67,962	48,288
Liabilities to be disposed of	0	85,671
Total current liabilities	136,932	197,948
Long-term debt	107,667	109,140
Operating lease liabilities, non-current	13,524	14,664
Other non-current liabilities	14,176	13,485
Total liabilities	272,299	335,237
Commitments and contingencies (Note 12)
Stockholders’ equity:
Preferred stock, $0.001 par value, 5,000 shares authorized; no shares issued or outstanding	0	0
Common stock, $0.001 par value, 150,000 shares authorized; 109,024 and 111,186 shares issued and outstanding at July 3, 2026 and December 31, 2025, respectively	109	111
Additional paid-in capital	2,483,251	2,466,177
Accumulated deficit	(2,114,668)	(2,076,406)
Accumulated other comprehensive loss	(8,346)	(6,636)
Total stockholders’ equity	360,346	383,246
Total liabilities and stockholders’ equity	$ 632,645	$ 718,483