Ribbon Communications stock surges 6% on strong Q4 results, upbeat outlook

Published 12/02/2025, 22:20
Ribbon Communications stock surges 6% on strong Q4 results, upbeat outlook

PLANO, Texas - Ribbon Communications Inc. (NASDAQ:RBBN) shares jumped 6% in after-hours trading Wednesday after the communications technology provider reported fourth-quarter results that beat expectations and issued an optimistic forecast for 2025.

The company posted adjusted earnings of $0.16 per share for Q4, surpassing the analyst consensus of $0.13. Revenue rose 11% YoY to $251 million, slightly above estimates of $250.2 million.

Ribbon’s fourth-quarter performance was bolstered by robust demand across its key customer segments. CEO Bruce McClelland noted, "Revenue growth was underpinned by higher sales to U.S. Tier One Service Providers, U.S. Federal Defense agencies, and Enterprise customers."

For the full year 2024, Ribbon reported revenue of $834 million, up from $826 million in 2023. Adjusted EBITDA improved 31% to $119 million.

Looking ahead, the company provided an upbeat outlook for 2025. Ribbon expects full-year revenue between $870 million and $890 million, compared to the consensus estimate of $872 million. For Q1, the company projects revenue of $185 million to $195 million.

"We anticipate further momentum in 2025 as the industry-wide focus on network modernization and the investment in fiber networks drives a strong growth cycle," McClelland added.

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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