Calix shares rise as Q2 earnings, Q3 crushes expectations

Published 21/07/2025, 21:28
Calix shares rise as Q2 earnings, Q3 crushes expectations

Investing.com -- Calix, Inc. (NYSE:CALX) shares gained 2.4% after the broadband platform provider reported second-quarter earnings that exceeded analyst expectations and issued strong guidance for the current quarter.

The company reported adjusted earnings of $0.33 per share for the second quarter of 2025, significantly beating the analyst consensus of $0.21 per share. Revenue came in at $241.9 million, surpassing analyst estimates of $223.77 million and representing a 22% increase compared to the same quarter last year.

Calix’s strong performance was driven by broad-based demand from its broadband experience provider customers. The company saw its Unlimited Subscriber revenue increase by 59% year-over-year, while Intelligent Access revenue grew by 5% compared to the same period last year.

"During the second quarter of 2025, the Calix team delivered strong sequential revenue growth of 10%, as our broadband experience provider customers continued to win new subscribers, drive down churn and grow revenue via the unique capabilities of our appliance-based platform, cloud and managed services model," said the company in its earnings release.

Looking ahead, Calix provided guidance that exceeded analyst expectations. For the third quarter of 2025, the company expects adjusted earnings of $0.31 to $0.37 per share, well above the consensus estimate of $0.23. Revenue is projected to be between $243 million and $249 million, compared to analyst expectations of $227.7 million.

The company also reported record gross margins of 56.8% on a non-GAAP basis, up 170 basis points from the year-ago period. Remaining performance obligations rose 30% year-over-year to $347 million, indicating strong future revenue potential.

Calix added 19 new platform deployments and 22 new Calix Cloud deployments during the quarter, demonstrating continued adoption of its services. The company generated record quarterly operating cash flow of $39.4 million and ended the quarter with record cash and investments of $299 million.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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