Ribbon Communications Financials
Financial Health Signals
Based on FY2024 annual data. Scores normalized against common benchmarks. How we calculate these scores
Ribbon Communications has an operating margin of 2.0%, meaning the company retains $2 of operating profit per $100 of revenue. This below-average margin results in a low score of 10/100, suggesting thin profitability after operating expenses. This is up from -2.9% the prior year.
Ribbon Communications's revenue grew a modest 0.9% year-over-year to $833.9M. This slow but positive growth earns a score of 31/100.
Ribbon Communications carries a low D/E ratio of 0.82, meaning only $0.82 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 81/100, indicating a strong balance sheet with room for future borrowing.
Ribbon Communications's current ratio of 1.41 indicates adequate short-term liquidity, earning a score of 36/100. The company can meet its near-term obligations, though with limited headroom.
Ribbon Communications's free cash flow margin of 3.3% results in a low score of 17/100. Capital expenditures of $22.4M absorb a large share of operating cash flow.
Ribbon Communications scores -0.70, below the 1.81 distress threshold. The score is driven primarily by a large market capitalization ($369.1M) relative to total liabilities ($757.9M). This indicates elevated financial distress risk and warrants close attention to liquidity and debt levels.
Ribbon Communications passes 5 of 9 financial strength tests. 3 of 4 profitability signals pass, 1 of 3 leverage/liquidity signals pass, 1 of 2 efficiency signals pass.
For every $1 of reported earnings, Ribbon Communications generates $-0.93 in operating cash flow ($50.2M OCF vs -$54.2M net income). This mixed ratio suggests some earnings may rely on non-cash accounting items.
This page shows Ribbon Communications (RBBN) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 10 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).
Key Financial Metrics
Ribbon Communications generated $833.9M in revenue in fiscal year 2024. This represents an increase of 0.9% from the prior year.
Ribbon Communications's EBITDA was $81.3M in fiscal year 2024, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 74.0% from the prior year.
Ribbon Communications generated $27.8M in free cash flow in fiscal year 2024, representing cash available after capex. This represents an increase of 261.2% from the prior year.
Ribbon Communications reported -$54.2M in net income in fiscal year 2024. This represents an increase of 18.1% from the prior year.
Ribbon Communications earned $-0.31 per diluted share (EPS) in fiscal year 2024. This represents an increase of 20.5% from the prior year.
Ribbon Communications held $87.8M in cash against $330.7M in long-term debt as of fiscal year 2024.
Ribbon Communications had 176M shares outstanding in fiscal year 2024. This represents an increase of 2.0% from the prior year.
Ribbon Communications's gross margin was 52.7% in fiscal year 2024, indicating the percentage of revenue retained after direct costs. This is up 3.3 percentage points from the prior year.
Ribbon Communications's operating margin was 2.0% in fiscal year 2024, reflecting core business profitability. This is up 5.0 percentage points from the prior year.
Ribbon Communications's net profit margin was -6.5% in fiscal year 2024, showing the share of revenue converted to profit. This is up 1.5 percentage points from the prior year.
Ribbon Communications invested $179.9M in research and development in fiscal year 2024. This represents a decrease of 5.6% from the prior year.
Ribbon Communications invested $22.4M in capex in fiscal year 2024, funding long-term assets and infrastructure. This represents an increase of 138.8% from the prior year.
RBBN Income Statement
| Metric | Q3'25 | Q2'25 | Q1'25 | Q3'24 | Q2'24 | Q1'24 | Q4'23 | Q3'23 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $215.4M-2.4% | $220.6M+21.7% | $181.3M-27.9% | $251.4M+30.5% | $192.6M+7.2% | $179.7M-20.6% | $226.4M+11.4% | $203.2M |
| Cost of Revenue | $107.4M-3.5% | $111.3M+12.5% | $98.9M-11.1% | $111.3M+17.4% | $94.8M+8.0% | $87.7M-16.2% | $104.7M+5.1% | $99.7M |
| Gross Profit | $108.0M-1.2% | $109.3M+32.7% | $82.4M-41.2% | $140.1M+43.1% | $97.9M+6.4% | $92.0M-24.4% | $121.7M+17.6% | $103.5M |
| R&D Expenses | $45.9M+2.7% | $44.7M+2.6% | $43.6M-3.3% | $45.0M+3.6% | $43.5M-5.0% | $45.8M+0.9% | $45.4M-1.9% | $46.2M |
| SG&A Expenses | $16.4M-1.6% | $16.6M+9.9% | $15.1M-11.3% | $17.1M+14.5% | $14.9M-1.9% | $15.2M+11.0% | $13.7M+6.2% | $12.9M |
| Operating Income | $2.8M-34.6% | $4.2M+121.6% | -$19.6M-159.0% | $33.2M+1816.8% | -$1.9M+85.7% | -$13.5M-180.9% | $16.7M+1847.4% | $856K |
| Interest Expense | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Income Tax | $3.1M+43.5% | $2.2M+389.5% | -$754K-144.5% | $1.7M+13.0% | $1.5M-55.6% | $3.4M+635.7% | -$630K-113.7% | $4.6M |
| Net Income | -$12.1M-9.2% | -$11.1M+57.7% | -$26.2M-512.1% | $6.4M+137.8% | -$16.8M+44.6% | -$30.4M-528.9% | $7.1M+152.4% | -$13.5M |
| EPS (Diluted) | $-0.07-16.7% | $-0.06+60.0% | $-0.15-400.0% | $0.05+150.0% | $-0.10+44.4% | $-0.18-550.0% | $0.04+150.0% | $-0.08 |
RBBN Balance Sheet
| Metric | Q3'25 | Q2'25 | Q1'25 | Q3'24 | Q2'24 | Q1'24 | Q4'23 | Q3'23 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $1.1B-3.2% | $1.1B+0.4% | $1.1B-2.2% | $1.2B+5.2% | $1.1B+2.5% | $1.1B-5.7% | $1.1B+2.0% | $1.1B |
| Current Assets | $418.4M-3.6% | $433.9M+2.1% | $425.1M-8.3% | $463.7M+14.7% | $404.2M+9.5% | $369.1M-11.8% | $418.7M+7.2% | $390.5M |
| Cash & Equivalents | $74.8M+23.7% | $60.5M-15.1% | $71.2M-18.8% | $87.8M+36.0% | $64.6M+108.7% | $30.9M+16.7% | $26.5M+8.1% | $24.5M |
| Inventory | $80.0M-0.4% | $80.3M+0.8% | $79.6M+0.6% | $79.2M0.0% | $79.2M-1.9% | $80.8M+4.2% | $77.5M+10.5% | $70.2M |
| Accounts Receivable | $218.3M-12.5% | $249.4M+10.6% | $225.5M-11.5% | $254.7M+20.7% | $211.0M-0.7% | $212.5M-20.8% | $268.4M+10.8% | $242.2M |
| Goodwill | $300.9M0.0% | $300.9M0.0% | $300.9M0.0% | $300.9M0.0% | $300.9M0.0% | $300.9M0.0% | $300.9M0.0% | $300.9M |
| Total Liabilities | $745.2M-3.4% | $771.7M+2.1% | $755.7M-0.3% | $757.9M+8.2% | $700.4M+7.1% | $653.8M-5.4% | $691.4M+2.0% | $677.7M |
| Current Liabilities | $291.9M-6.9% | $313.6M+2.8% | $305.2M-7.2% | $328.9M+20.7% | $272.6M-46.0% | $504.3M+47.9% | $341.1M+4.8% | $325.5M |
| Long-Term Debt | $326.1M-0.5% | $327.6M-0.5% | $329.2M-0.5% | $330.7M-1.0% | $334.0M | $0-100.0% | $197.5M-4.6% | $206.9M |
| Total Equity | $360.1M-2.8% | $370.4M-3.0% | $381.8M-5.6% | $404.6M-0.1% | $405.0M-4.6% | $424.7M-6.2% | $452.8M+2.0% | $443.9M |
| Retained Earnings | -$1.6B-0.8% | -$1.6B-0.7% | -$1.6B-1.7% | -$1.6B-0.5% | -$1.6B-1.1% | -$1.6B-2.0% | -$1.5B+0.5% | -$1.5B |
RBBN Cash Flow Statement
| Metric | Q3'25 | Q2'25 | Q1'25 | Q3'24 | Q2'24 | Q1'24 | Q4'23 | Q3'23 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $26.5M+3431.9% | -$795K+77.5% | -$3.5M-105.7% | $61.8M+731.7% | -$9.8M-174.6% | $13.1M-35.0% | $20.1M+273.2% | -$11.6M |
| Capital Expenditures | $5.5M-2.6% | $5.7M-53.2% | $12.1M+52.3% | $8.0M+157.4% | $3.1M+23.4% | $2.5M-9.0% | $2.8M+9.2% | $2.5M |
| Free Cash Flow | $21.0M+423.5% | -$6.5M+58.7% | -$15.7M-129.2% | $53.8M+517.7% | -$12.9M-221.6% | $10.6M-39.1% | $17.4M+222.8% | -$14.2M |
| Investing Cash Flow | -$5.5M+2.6% | -$5.7M+53.2% | -$12.1M-52.3% | -$8.0M-148.3% | -$3.2M-20.7% | -$2.7M+6.9% | -$2.9M-13.1% | -$2.5M |
| Financing Cash Flow | -$6.1M-9.2% | -$5.6M-208.0% | -$1.8M+26.7% | -$2.5M-105.0% | $49.3M+943.7% | -$5.8M+62.8% | -$15.7M-445.6% | $4.5M |
| Dividends Paid | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Share Buybacks | $3.5M+52.2% | $2.3M | N/A | N/A | N/A | N/A | N/A | N/A |
RBBN Financial Ratios
| Metric | Q3'25 | Q2'25 | Q1'25 | Q3'24 | Q2'24 | Q1'24 | Q4'23 | Q3'23 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 50.1%+0.6pp | 49.5%+4.1pp | 45.4%-10.3pp | 55.7%+4.9pp | 50.8%-0.4pp | 51.2%-2.6pp | 53.8%+2.8pp | 50.9% |
| Operating Margin | 1.3%-0.6pp | 1.9%+12.7pp | -10.8%-24.0pp | 13.2%+14.2pp | -1.0%+6.5pp | -7.5%-14.9pp | 7.4%+6.9pp | 0.4% |
| Net Margin | -5.6%-0.6pp | -5.0%+9.4pp | -14.5%-17.0pp | 2.5%+11.3pp | -8.7%+8.2pp | -16.9%-20.0pp | 3.1%+9.8pp | -6.7% |
| Return on Equity | N/A | N/A | N/A | 1.6% | N/A | N/A | 1.6% | N/A |
| Return on Assets | -1.1%-0.1pp | -1.0%+1.3pp | -2.3%-2.9pp | 0.5%+2.1pp | -1.5%+1.3pp | -2.8%-3.4pp | 0.6%+1.8pp | -1.2% |
| Current Ratio | 1.43+0.0 | 1.380.0 | 1.39-0.0 | 1.41-0.1 | 1.48+0.8 | 0.73-0.5 | 1.23+0.0 | 1.20 |
| Debt-to-Equity | 0.91+0.0 | 0.88+0.0 | 0.86+0.0 | 0.820.0 | 0.82+0.8 | 0.00-0.4 | 0.44-0.0 | 0.47 |
| FCF Margin | 9.7%+12.7pp | -2.9%+5.7pp | -8.6%-30.0pp | 21.4%+28.1pp | -6.7%-12.6pp | 5.9%-1.8pp | 7.7%+14.6pp | -7.0% |
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Frequently Asked Questions
What is Ribbon Communications's annual revenue?
Ribbon Communications (RBBN) reported $833.9M in total revenue for fiscal year 2024. This represents a 0.9% 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 Ribbon Communications's revenue growing?
Ribbon Communications (RBBN) revenue grew by 0.9% year-over-year, from $826.3M to $833.9M in fiscal year 2024.
Is Ribbon Communications profitable?
No, Ribbon Communications (RBBN) reported a net income of -$54.2M in fiscal year 2024, with a net profit margin of -6.5%.
What is Ribbon Communications's earnings per share (EPS)?
Ribbon Communications (RBBN) reported diluted earnings per share of $-0.31 for fiscal year 2024. This represents a 20.5% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.
What is Ribbon Communications's EBITDA?
Ribbon Communications (RBBN) had EBITDA of $81.3M in fiscal year 2024, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Ribbon Communications have?
As of fiscal year 2024, Ribbon Communications (RBBN) had $87.8M in cash and equivalents against $330.7M in long-term debt.
What is Ribbon Communications's gross margin?
Ribbon Communications (RBBN) had a gross margin of 52.7% in fiscal year 2024, indicating the percentage of revenue retained after direct costs of goods sold.
What is Ribbon Communications's operating margin?
Ribbon Communications (RBBN) had an operating margin of 2.0% in fiscal year 2024, reflecting the profitability of core business operations before interest and taxes.
What is Ribbon Communications's net profit margin?
Ribbon Communications (RBBN) had a net profit margin of -6.5% in fiscal year 2024, representing the share of revenue converted into profit after all expenses.
What is Ribbon Communications's free cash flow?
Ribbon Communications (RBBN) generated $27.8M in free cash flow during fiscal year 2024. This represents a 261.2% 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 Ribbon Communications's operating cash flow?
Ribbon Communications (RBBN) generated $50.2M in operating cash flow during fiscal year 2024, representing cash generated from core business activities.
What are Ribbon Communications's total assets?
Ribbon Communications (RBBN) had $1.2B in total assets as of fiscal year 2024, including both current and long-term assets.
What are Ribbon Communications's capital expenditures?
Ribbon Communications (RBBN) invested $22.4M in capital expenditures during fiscal year 2024, funding long-term assets and infrastructure.
How much does Ribbon Communications spend on research and development?
Ribbon Communications (RBBN) invested $179.9M in research and development during fiscal year 2024.
How many shares does Ribbon Communications have outstanding?
Ribbon Communications (RBBN) had 176M shares outstanding as of fiscal year 2024.
What is Ribbon Communications's current ratio?
Ribbon Communications (RBBN) had a current ratio of 1.41 as of fiscal year 2024, which is considered adequate.
What is Ribbon Communications's debt-to-equity ratio?
Ribbon Communications (RBBN) had a debt-to-equity ratio of 0.82 as of fiscal year 2024, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Ribbon Communications's return on assets (ROA)?
Ribbon Communications (RBBN) had a return on assets of -4.7% for fiscal year 2024, measuring how efficiently the company uses its assets to generate profit.
What is Ribbon Communications's Altman Z-Score?
Ribbon Communications (RBBN) has an Altman Z-Score of -0.70, 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 Ribbon Communications's Piotroski F-Score?
Ribbon Communications (RBBN) has a Piotroski F-Score of 5 out of 9, indicating neutral financial health. 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 7–9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Ribbon Communications's earnings high quality?
Ribbon Communications (RBBN) has an earnings quality ratio of -0.93x, 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.
How financially healthy is Ribbon Communications?
Ribbon Communications (RBBN) scores 35 out of 100 on our Financial Profile, indicating weak overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.