Vecima Networks (TSE:VCM – Get Free Report) released its quarterly earnings results on Thursday. The company reported C$0.29 earnings per share for the quarter, FiscalAI reports. The business had revenue of C$95.11 million for the quarter. Vecima Networks had a net margin of 1.06% and a return on equity of 1.49%.
Here are the key takeaways from Vecima Networks’ conference call:
- Vecima posted record quarterly revenue of CAD 95.1 million, up 37.5% year over year, while Adjusted EBITDA rose 72% to CAD 18.7 million. Adjusted EPS from continuing operations increased to CAD 0.29 from CAD 0.04 a year earlier.
- Broadband access revenue grew 39%, supported by Entra deployments, including continued demand from lead customer Charter and a wider customer base. Management cited 162 broadband customer engagements and said the Charter rollout remains early in a long-term network upgrade, though the business remains significantly exposed to that lead customer.
- Content delivery revenue rose 32% year over year, with TerraceIQ shipments beginning for a major North American operator’s modernization expected to cover thousands of locations. Management also pointed to vCMTS, XGS-PON and other newer products as potential growth drivers, particularly from fiscal 2028 onward.
- Management maintained its fiscal 2027 outlook for 30%–35% revenue growth and an Adjusted EBITDA margin of about 20%, but shifted some Entra deliveries from late Q2 to early Q3. It lowered its calendar 2026 revenue-growth outlook to about 20%.
- Adjusted gross margin fell to 41.9% from 45.0% in the prior quarter, reflecting product mix and elevated memory costs; management expects fiscal 2027 margins to remain below its 45%–49% long-term target. It said greater software and fiber-product contributions could support margin improvement over time.
Vecima Networks Trading Down 0.2%
Shares of TSE:VCM traded down C$0.03 during trading on Friday, reaching C$13.16. 293 shares of the company traded hands, compared to its average volume of 4,733. The company has a current ratio of 1.71, a quick ratio of 0.83 and a debt-to-equity ratio of 22.55. The business’s fifty day moving average is C$12.92 and its 200-day moving average is C$12.72. The firm has a market capitalization of C$319.99 million, a price-to-earnings ratio of 101.23 and a beta of 0.26. Vecima Networks has a 52-week low of C$9.31 and a 52-week high of C$14.49.
Vecima Networks Announces Dividend
The business also recently disclosed a quarterly dividend, which was paid on Monday, November 9th. Stockholders of record on Monday, November 9th were issued a $0.0550 dividend. The ex-dividend date was Friday, October 16th. This represents a $0.22 annualized dividend and a dividend yield of 1.7%. Vecima Networks’s payout ratio is currently 169.23%.
Insiders Place Their Bets
In related news, insider Colin Howlett sold 5,500 shares of the stock in a transaction on Wednesday, October 14th. The stock was sold at an average price of C$13.50, for a total transaction of C$74,250.00. Following the sale, the insider directly owned 16,158 shares of the company’s stock, valued at C$218,133. This trade represents a 25.39% decrease in their ownership of the stock. Insiders sold 11,800 shares of company stock valued at $159,232 over the last 90 days. 57.14% of the stock is owned by corporate insiders.
Vecima Networks Company Profile
Vecima Networks Inc. (TSX: VCM) builds the intelligent infrastructure powering the next generation of connectivity. Through broadband access, content delivery, cloud-native software, automation, and AI-enabled solutions, Vecima helps service providers modernize cable and fiber networks, deliver exceptional broadband and video experiences, and operate more intelligent, efficient networks. As operators evolve toward AI-enabled, software-driven architectures, Vecima’s platforms simplify operations, accelerate innovation, and enable the reliable, high-performance networks that connect homes, businesses, and communities around the world.
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