Adtran Inc Financials
This page shows Adtran Inc (ADTN) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 18 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Cash generation recovered faster than accounting earnings as margin repair and leaner working capital offset a thin equity base.
Over the last two years, free cash flow swung from-$79.4M to$98.0M while net income stayed negative, showing that the recovery reached cash generation before it fully reached reported profit. That matters more because equity was just$145.8M against liabilities of$1.06B , so internally generated cash is doing much of the balance sheet's stabilization work.
The repair in operating performance was not only a sales rebound: gross margin rebuilt to
Debt-to-equity stayed high at 7.3x, but that ratio is being amplified by a thin equity base of
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Adtran Inc's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Adtran Inc has an operating margin of -1.4%, meaning the company retains $-1 of operating profit per $100 of revenue. This below-average margin results in a low score of 21/100, suggesting thin profitability after operating expenses. This is up from -46.3% the prior year.
Adtran Inc's revenue surged 17.5% year-over-year to $1.1B, reflecting rapid business expansion. This strong growth earns a score of 22/100.
Adtran Inc has elevated debt relative to equity (D/E of 7.26), meaning the company relies heavily on borrowed funds. This high leverage results in a low score of 7/100, reflecting increased financial risk.
Adtran Inc's current ratio of 1.76 indicates adequate short-term liquidity, earning a score of 50/100. The company can meet its near-term obligations, though with limited headroom.
Adtran Inc has a free cash flow margin of 9.0%, earning a moderate score of 49/100. The company generates positive cash flow after capital investments, but with room for improvement.
Adtran Inc generates a -31.3% ROE, indicating limited profit relative to shareholders' investment. This results in a returns score of 20/100. This is up from -362.3% the prior year.
Adtran Inc scores 0.90, below the 1.81 distress threshold. The score is driven primarily by a large market capitalization ($1.1B) relative to total liabilities ($1.1B). This indicates elevated financial distress risk and warrants close attention to liquidity and debt levels.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Adtran Inc passes 5 of 8 computable financial strength tests (1 of the nine could not be computed from available data). 3 of 4 profitability signals pass, no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), both operating efficiency signals pass.
For every $1 of reported earnings, Adtran Inc generates $-2.84 in operating cash flow ($129.8M OCF vs -$45.7M net income). This mixed ratio suggests some earnings may rely on non-cash accounting items.
Adtran Inc earns $-0.8 in operating income for every $1 of interest expense (-$15.6M vs $19.3M). This narrow margin raises concern about the company's ability to service its debt if operating income declines.
Key Financial Metrics
Earnings & Revenue
Adtran Inc generated $1.1B in revenue in fiscal year 2025. This represents an increase of 17.5% from the prior year.
Adtran Inc's EBITDA was $77.0M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 122.8% from the prior year.
Adtran Inc reported -$45.7M in net income in fiscal year 2025. This represents an increase of 90.1% from the prior year.
Adtran Inc earned $-0.52 per diluted share (EPS) in fiscal year 2025. This represents an increase of 91.0% from the prior year.
Cash & Balance Sheet
Adtran Inc generated $98.0M in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 41.9% from the prior year.
Adtran Inc held $95.7M in cash against $0 in long-term debt as of fiscal year 2025.
Adtran Inc had 80M shares outstanding in fiscal year 2025. This represents an increase of 0.9% from the prior year.
Margins & Returns
Adtran Inc's gross margin was 38.3% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 3.2 percentage points from the prior year.
Adtran Inc's operating margin was -1.4% in fiscal year 2025, reflecting core business profitability. This is up 44.9 percentage points from the prior year.
Adtran Inc's net profit margin was -4.2% in fiscal year 2025, showing the share of revenue converted to profit. This is up 45.6 percentage points from the prior year.
Adtran Inc's ROE was -31.3% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is up 330.9 percentage points from the prior year.
Capital Allocation
Adtran Inc invested $204.3M in research and development in fiscal year 2025. This represents a decrease of 7.8% from the prior year.
Adtran Inc invested $31.7M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents a decrease of 8.0% from the prior year.
ADTN Income Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $286.1M-1.9% | $291.6M+4.3% | $279.4M+5.4% | $265.1M+7.0% | $247.7M+2.0% | $242.9M+6.7% | $227.7M+0.8% | $226.0M |
| Cost of Revenue | $173.1M-2.7% | $177.8M+3.2% | $172.3M+3.7% | $166.1M+8.9% | $152.6M-0.5% | $153.3M+6.0% | $144.7M0.0% | $144.7M |
| Gross Profit | $113.0M-0.7% | $113.7M+6.2% | $107.1M+8.3% | $98.9M+3.9% | $95.2M+6.3% | $89.6M+7.9% | $83.0M+2.2% | $81.3M |
| R&D Expenses | $50.8M-2.1% | $51.8M+0.3% | $51.7M-0.4% | $51.9M+6.2% | $48.9M-0.9% | $49.3M-4.4% | $51.6M-14.5% | $60.4M |
| SG&A Expenses | $55.8M-2.7% | $57.4M-1.4% | $58.2M-3.5% | $60.3M+20.0% | $50.3M-11.8% | $57.0M-0.9% | $57.5M-3.1% | $59.4M |
| Operating Income | $6.4M+42.4% | $4.5M+260.6% | -$2.8M+79.1% | -$13.3M-235.6% | -$4.0M+76.3% | -$16.8M+35.7% | -$26.1M+32.2% | -$38.5M |
| Interest Expense | $4.2M-6.2% | $4.5M-17.8% | $5.5M+20.5% | $4.6M-4.1% | $4.8M-2.2% | $4.9M-14.2% | $5.7M-17.8% | $6.9M |
| Income Tax | $1.9M-39.6% | $3.2M+163.9% | $1.2M+18.3% | $1.0M+355.9% | -$397K-101.7% | $23.5M+5915.6% | $390K-81.7% | $2.1M |
| Net Income | -$1.3M+63.3% | -$3.6M+65.0% | -$10.3M+50.0% | -$20.5M-82.2% | -$11.3M+75.6% | -$46.1M-38.3% | -$33.3M+32.9% | -$49.7M |
| EPS (Diluted) | $-0.01 | N/A | $-0.12+50.0% | $-0.24-71.4% | $-0.14+75.9% | $-0.58-52.6% | $-0.38+39.7% | $-0.63 |
ADTN Balance Sheet
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $1.2B-1.6% | $1.2B-0.4% | $1.2B-0.6% | $1.2B+1.9% | $1.2B+1.9% | $1.2B-7.5% | $1.3B-1.5% | $1.3B |
| Current Assets | $634.2M-0.2% | $635.2M+5.3% | $603.1M-0.7% | $607.2M-0.8% | $611.8M+2.1% | $599.1M-4.8% | $629.7M-4.0% | $656.2M |
| Cash & Equivalents | $88.3M-7.8% | $95.7M+2.1% | $93.7M-11.8% | $106.3M+4.9% | $101.3M+33.3% | $76.0M-14.1% | $88.5M-20.4% | $111.2M |
| Inventory | $209.0M-3.1% | $215.7M-3.6% | $223.8M-6.8% | $240.1M-5.3% | $253.6M-3.0% | $261.6M-5.3% | $276.3M-2.6% | $283.6M |
| Accounts Receivable | $215.5M+2.3% | $210.7M+18.0% | $178.6M+8.4% | $164.8M-1.1% | $166.5M-6.5% | $178.0M+3.5% | $172.0M-7.6% | $186.2M |
| Goodwill | $59.0M-1.6% | $60.0M+0.1% | $59.9M-0.5% | $60.2M+8.9% | $55.3M+4.4% | $52.9M-7.0% | $56.9M+3.6% | $54.9M |
| Total Liabilities | $1.0B-1.1% | $1.1B-0.8% | $1.1B+2.0% | $1.0B-0.7% | $1.1B+0.9% | $1.0B-1.6% | $1.1B-1.0% | $1.1B |
| Current Liabilities | $359.2M-0.7% | $361.9M+17.6% | $307.8M-0.6% | $309.7M+2.0% | $303.4M+3.4% | $293.5M-5.2% | $309.7M+7.4% | $288.4M |
| Long-Term Debt | $193.4M | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Equity | $137.5M-5.7% | $145.8M+3.0% | $141.6M-16.5% | $169.6M+22.1% | $138.9M+9.4% | $127.0M-38.2% | $205.6M-3.8% | $213.6M |
| Retained Earnings | -$731.3M-0.2% | -$730.0M-0.2% | -$728.7M-1.3% | -$719.2M-2.7% | -$700.5M-1.7% | -$688.8M-7.2% | -$642.8M-5.0% | -$612.2M |
ADTN Cash Flow Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $12.7M-70.0% | $42.2M+246.6% | $12.2M-62.1% | $32.2M-25.5% | $43.2M+1671.2% | $2.4M-94.4% | $43.3M+117.9% | $19.9M |
| Capital Expenditures | $7.5M-35.7% | $11.7M+46.2% | $8.0M+70.4% | $4.7M-36.7% | $7.4M+122.0% | $3.3M-46.2% | $6.2M-45.9% | $11.5M |
| Free Cash Flow | $5.2M-83.1% | $30.6M+626.7% | $4.2M-84.7% | $27.5M-23.2% | $35.8M+4098.0% | -$895K-102.4% | $37.1M+340.8% | $8.4M |
| Investing Cash Flow | -$15.9M+20.8% | -$20.0M-17.4% | -$17.1M-24.0% | -$13.8M+25.0% | -$18.3M-24.7% | -$14.7M+25.4% | -$19.7M-23.2% | -$16.0M |
| Financing Cash Flow | -$1.7M+94.1% | -$28.6M-2087.1% | $1.4M+107.3% | -$19.8M-6214.5% | $324K+192.0% | -$352K+99.2% | -$44.8M-6590.6% | -$670K |
| Dividends Paid | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Share Buybacks | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
ADTN Financial Ratios
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 39.5%+0.5pp | 39.0%+0.7pp | 38.3%+1.0pp | 37.3%-1.1pp | 38.4%+1.5pp | 36.9%+0.4pp | 36.5%+0.5pp | 36.0% |
| Operating Margin | 2.2%+0.7pp | 1.5%+2.5pp | -1.0%+4.0pp | -5.0%-3.4pp | -1.6%+5.3pp | -6.9%+4.5pp | -11.5%+5.6pp | -17.0% |
| Net Margin | -0.5%+0.8pp | -1.2%+2.4pp | -3.7%+4.1pp | -7.8%-3.2pp | -4.5%+14.4pp | -19.0%-4.3pp | -14.6%+7.3pp | -22.0% |
| Return on Equity | -1.0%+1.5pp | -2.5%+4.8pp | -7.2%+4.9pp | -12.1%-4.0pp | -8.1%+28.2pp | -36.3%-20.1pp | -16.2%+7.0pp | -23.3% |
| Return on Assets | -0.1%+0.2pp | -0.3%+0.6pp | -0.9%+0.8pp | -1.7%-0.7pp | -0.9%+3.0pp | -3.9%-1.3pp | -2.6%+1.2pp | -3.9% |
| Current Ratio | 1.77+0.0 | 1.76-0.2 | 1.960.0 | 1.96-0.1 | 2.02-0.0 | 2.040.0 | 2.03-0.2 | 2.28 |
| Debt-to-Equity | 7.62+0.4 | 7.26-0.3 | 7.54+1.4 | 6.17-1.4 | 7.59-0.6 | 8.23+3.1 | 5.16+0.1 | 5.02 |
| FCF Margin | 1.8%-8.7pp | 10.5%+9.0pp | 1.5%-8.9pp | 10.4%-4.1pp | 14.4%+14.8pp | -0.4%-16.7pp | 16.3%+12.6pp | 3.7% |
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Frequently Asked Questions
What is Adtran Inc's annual revenue?
Adtran Inc (ADTN) reported $1.1B in total revenue for fiscal year 2025. This represents a 17.5% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Adtran Inc's revenue growing?
Adtran Inc (ADTN) revenue grew by 17.5% year-over-year, from $922.7M to $1.1B in fiscal year 2025.
Is Adtran Inc profitable?
No, Adtran Inc (ADTN) reported a net income of -$45.7M in fiscal year 2025, with a net profit margin of -4.2%.
What is Adtran Inc's EBITDA?
Adtran Inc (ADTN) had EBITDA of $77.0M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
What is Adtran Inc's gross margin?
Adtran Inc (ADTN) had a gross margin of 38.3% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Adtran Inc's operating margin?
Adtran Inc (ADTN) had an operating margin of -1.4% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Adtran Inc's net profit margin?
Adtran Inc (ADTN) had a net profit margin of -4.2% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Adtran Inc's return on equity (ROE)?
Adtran Inc (ADTN) has a return on equity of -31.3% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Adtran Inc's free cash flow?
Adtran Inc (ADTN) generated $98.0M in free cash flow during fiscal year 2025. This represents a 41.9% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Adtran Inc's operating cash flow?
Adtran Inc (ADTN) generated $129.8M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Adtran Inc's total assets?
Adtran Inc (ADTN) had $1.2B in total assets as of fiscal year 2025, including both current and long-term assets.
What are Adtran Inc's capital expenditures?
Adtran Inc (ADTN) invested $31.7M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does Adtran Inc spend on research and development?
Adtran Inc (ADTN) invested $204.3M in research and development during fiscal year 2025.
What is Adtran Inc's current ratio?
Adtran Inc (ADTN) had a current ratio of 1.76 as of fiscal year 2025, which is generally considered healthy.
What is Adtran Inc's debt-to-equity ratio?
Adtran Inc (ADTN) had a debt-to-equity ratio of 7.26 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Adtran Inc's return on assets (ROA)?
Adtran Inc (ADTN) had a return on assets of -3.8% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Adtran Inc's Altman Z-Score?
Adtran Inc (ADTN) has an Altman Z-Score of 0.90, placing it in the Distress Zone (elevated bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Adtran Inc's Piotroski F-Score?
Adtran Inc (ADTN) has a Piotroski F-Score of 5 out of 8 computable signals; 1 of the nine could not be computed from available data, so the full-scale strength rating is not shown. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Adtran Inc's earnings high quality?
Adtran Inc (ADTN) has an earnings quality ratio of -2.84x, considered mixed quality. This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Adtran Inc cover its interest payments?
Adtran Inc (ADTN) has an interest coverage ratio of -0.8x, meaning it can struggle to cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Adtran Inc?
Adtran Inc (ADTN) scores 28 out of 100 on our Financial Health Score, indicating weak standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.