Israeli telecommunications software company RADCOM increased third-quarter revenue by 19.4 per cent from the preceding quarter to 14 million dollars, although revenue remained 23.6 per cent below a year earlier. It returned to adjusted operating profit while posting an operating loss under standard US accounting rules. Cash and short-term deposits reached 111.4 million dollars, with no debt.
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Revenue rises from the second quarter
RADCOM, an Israeli company supplying software to monitor telecommunications networks and service quality, reported third-quarter revenue of 14 million dollars. Revenue rose 19.4 per cent from the preceding quarter but fell 23.6 per cent from the same period of 2025. The results cover the three months ended 30 September. Revenue for the first nine months reached 44.4 million dollars, down 15.7 per cent year over year. Gross profit declined from 14,024,000 dollars a year earlier to 10,224,000 dollars. Operating expenses fell from 11,609,000 dollars to 11,117,000 dollars. Within those expenses, net research and development spending rose from 4,930,000 dollars to 5,355,000 dollars, while sales and marketing spending decreased from 5,144,000 dollars to 4,076,000 dollars.[1], [2]
Adjusted profit accompanies an operating loss
Under US generally accepted accounting principles, or GAAP, the company posted an operating loss of 893,000 dollars, compared with operating profit of 2,415,000 dollars a year earlier. Its separate non-GAAP calculation returned to operating profit. That calculation excludes items including share-based compensation and amortization of intangible assets arising from acquisitions.[1]
Net financial income was 1,493,000 dollars. GAAP net income reached 441,000 dollars, against 3,471,000 dollars a year earlier. Quarterly cash flow was positive at 1.7 million dollars. Cash, cash equivalents and short-term bank deposits rose from 109.7 million dollars at the end of June to 111.4 million dollars at the end of September, with no debt reported.[1]
Two new customers join the network business
Chief executive Benny Eppstein named VNPT and CETIN Networks as new customers following competitive selection processes. VNPT is a Vietnamese telecommunications operator, while CETIN Networks operates in Slovakia. RADCOM said the latter agreement spans multiple years. The contracts replace incumbent service-assurance suppliers, according to the company’s account of the quarter.[1]
Management retained full-year revenue guidance of 57–63 million dollars. It said discussions with customers suggested some deployments delayed during 2026 could advance in early 2027. The timing of share repurchases remains at management’s discretion.[1]
