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Radcom Financials

RDCM
FY2025 annual
Revenue $71.5M +17.2% YoY
Net Income $12.0M +72.1% YoY
EPS (Diluted) $0.71 +65.1% YoY
Free Cash Flow $14.2M +29.8% YoY
Source SEC Filings (10-K/10-Q) Latest period FY2025, ended Dec 31, 2025 Reported Currency USD FYE December

Radcom (RDCM) reported $71.5M in revenue for fiscal year 2025, up 17.2% from the prior fiscal year. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 15 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).

Rhea AI RDCM FY2025

RADCOM’s operating model is converting revenue growth into expanding margins while requiring little capital reinvestment.

Revenue reached $71.5M in FY2025 from $51.6M in FY2023, while research and development remained broadly stable in dollar terms. That combination helped operating margin progress from -1.3% to 11.6%, pointing to fixed-cost absorption rather than growth being consumed by proportionally rising development costs.

FY2025 operating cash flow was $14.6M versus $12.0M of net income, so earnings converted into cash without a large accrual gap. Free cash flow was $14.2M while capital expenditures were only $384K, indicating that the reported cash generation did not depend on heavy physical reinvestment.

Liabilities declined to $30.9M while equity increased to $114.1M, leaving debt-to-equity at 0.3x. Combined with a 5.8x current ratio, this describes a balance sheet funded primarily through equity and current assets rather than substantial leverage, although the data do not identify the current assets’ cash composition.

[ NOT FINANCIAL ADVICE ]

Financial Health Signals

Profitability Growth Leverage Liquidity CashFlow Returns 67 / 100
Financial Health Score 67/100

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 Radcom'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.

Profitability
45

Radcom has an operating margin of 11.6%, meaning the company retains $12 of operating profit per $100 of revenue. This results in a moderate score of 45/100, indicating healthy but not exceptional operating efficiency. This is up from 5.1% the prior year.

Growth
79

Radcom's revenue surged 17.2% year-over-year to $71.5M, reflecting rapid business expansion. This strong growth earns a score of 79/100.

Leverage
70

Radcom carries a low D/E ratio of 0.27, meaning only $0.27 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 70/100, indicating a strong balance sheet with room for future borrowing.

Liquidity
92

With a current ratio of 5.75, Radcom holds $5.75 in current assets for every $1 of short-term obligations. This comfortable liquidity earns a score of 92/100.

Cash Flow
83

Radcom converts 19.9% of revenue into free cash flow ($14.2M). This strong cash generation earns a score of 83/100.

Returns
35

Radcom's ROE of 10.5% shows moderate profitability relative to equity, earning a score of 35/100. This is up from 7.3% the prior year.

Altman Z-Score Safe
4.35

Radcom scores 4.35, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($167.6M) relative to total liabilities ($30.9M). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.

Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.

Piotroski F-Score Partial
7/8

Radcom passes 7 of 8 computable financial strength tests (1 of the nine could not be computed from available data). All 4 profitability signals pass (positive income, cash flow, and earnings quality), 1 of 2 leverage/liquidity signals pass, both operating efficiency signals pass.

Earnings Quality Cash-Backed
1.22x

For every $1 of reported earnings, Radcom generates $1.22 in operating cash flow ($14.6M OCF vs $12.0M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.

Key Financial Metrics

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Earnings & Revenue

Revenue
$71.5M
YoY+17.2%
5Y CAGR+13.7%
10Y CAGR+14.4%

Radcom generated $71.5M in revenue in fiscal year 2025. This represents an increase of 17.2% from the prior year.

EBITDA
$9.0M
YoY+138.9%

Radcom's EBITDA was $9.0M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 138.9% from the prior year.

Net Income
$12.0M
YoY+72.1%

Radcom reported $12.0M in net income in fiscal year 2025. This represents an increase of 72.1% from the prior year.

EPS (Diluted)
$0.71
YoY+65.1%

Radcom earned $0.71 per diluted share (EPS) in fiscal year 2025. This represents an increase of 65.1% from the prior year.

Cash & Balance Sheet

Free Cash Flow
$14.2M
YoY+29.8%
10Y CAGR+23.1%

Radcom generated $14.2M in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 29.8% from the prior year.

Cash & Debt
$30.5M
YoY+58.4%
5Y CAGR+17.6%
10Y CAGR+13.3%

Radcom held $30.5M in cash as of fiscal year 2025; long-term debt is not reported for that period.

Shares Outstanding
17M
YoY+4.3%
5Y CAGR+3.6%
10Y CAGR+6.7%

Radcom had 17M shares outstanding in fiscal year 2025. This represents an increase of 4.3% from the prior year.

Dividends Per Share

Not reported for fiscal year 2025.

Margins & Returns

Gross Margin
75.9%
YoY+1.8pp
5Y CAGR+4.6pp
10Y CAGR-0.9pp

Radcom's gross margin was 75.9% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 1.8 percentage points from the prior year.

Operating Margin
11.6%
YoY+6.6pp
5Y CAGR+23.8pp
10Y CAGR+13.6pp

Radcom's operating margin was 11.6% in fiscal year 2025, reflecting core business profitability. This is up 6.6 percentage points from the prior year.

Net Margin
16.8%
YoY+5.3pp
5Y CAGR+27.4pp
10Y CAGR+21.7pp

Radcom's net profit margin was 16.8% in fiscal year 2025, showing the share of revenue converted to profit. This is up 5.3 percentage points from the prior year.

Return on Equity
10.5%
YoY+3.2pp
5Y CAGR+16.1pp
10Y CAGR+19.9pp

Radcom's ROE was 10.5% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is up 3.2 percentage points from the prior year.

Capital Allocation

R&D Spending
$20.2M
YoY+8.5%
5Y CAGR+1.1%
10Y CAGR+12.8%

Radcom invested $20.2M in research and development in fiscal year 2025. This represents an increase of 8.5% from the prior year.

Capital Expenditures
$384K
YoY-10.1%
5Y CAGR-2.1%
10Y CAGR+14.8%

Radcom invested $384K in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents a decrease of 10.1% from the prior year.

Share Buybacks

Not reported for fiscal year 2025.

RDCM Income Statement

Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.

RDCM quarterly income statement
MetricQ4'25Q4'24Q4'23Q4'22Q4'21Q4'20Q4'19Q2'19

Not reported in any period shown, so not listed: Revenue, Cost of Revenue, Gross Profit, R&D Expenses, SG&A Expenses, Operating Income, Interest Expense, Income Tax, Net Income, EPS (Diluted).

RDCM Balance Sheet

Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.

RDCM quarterly balance sheet
MetricQ4'25Q4'24Q4'23Q4'22Q4'21Q4'20Q4'19Q2'19
Total Assets$145.0M+11.0%$130.6M+21.4%$107.5M+6.5%$101.0M+10.2%$91.7M-2.1%$93.6M-2.9%$96.4M+0.1%$96.3M
Current Assets$132.5M+13.1%$117.2M+20.3%$97.4M+11.4%$87.5M+4.7%$83.5M+0.1%$83.4M+0.2%$83.2M+0.4%$82.8M
Cash & Equivalents$30.5M+58.4%$19.2M+76.7%$10.9M+14.3%$9.5M-20.3%$11.9M-11.8%$13.5M+118.5%$6.2M-44.9%$11.3M
Inventory$318K-80.9%$1.7M+577.6%$246K-69.1%$795K-14.6%$931K+72.4%$540K-60.2%$1.4M+93.2%$702K
Accounts Receivable$20.2M+6.3%$19.0M+41.9%$13.4M+21.1%$11.1M+10.4%$10.0M-19.4%$12.4M+12.7%$11.0M-49.7%$22.0M
Goodwill$1.2M0.0%$1.2M0.0%$1.2MN/AN/AN/AN/AN/A
Total Liabilities$30.9M-11.5%$34.9M+39.4%$25.0M-11.3%$28.2M+31.2%$21.5M-0.5%$21.6M-4.0%$22.5M+7.4%$21.0M
Current Liabilities$23.0M-17.5%$27.9M+38.8%$20.1M-11.8%$22.8M+40.3%$16.2M+9.0%$14.9M+17.1%$12.7M+19.9%$10.6M
Total Equity$114.1M+19.3%$95.7M+16.0%$82.5M+13.3%$72.8M+3.7%$70.2M-2.6%$72.0M-2.5%$73.9M-2.0%$75.4M
Retained Earnings-$51.0M+19.1%-$62.9M+10.0%-$69.9M+5.0%-$73.6M-3.2%-$71.4M-8.0%-$66.1M-6.4%-$62.1M-4.6%-$59.4M

Not reported in any period shown, so not listed: Long-Term Debt.

RDCM Cash Flow Statement

Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.

RDCM quarterly cash flow statement
MetricQ4'25Q4'24Q4'23Q4'22Q4'21Q4'20Q4'19Q2'19

Not reported in any period shown, so not listed: Operating Cash Flow, Capital Expenditures, Free Cash Flow, Investing Cash Flow, Financing Cash Flow, Dividends Paid, Share Buybacks.

RDCM Financial Ratios

Margins and returns are percentages; the remaining ratios are unitless multiples.

RDCM quarterly financial ratios
MetricQ4'25Q4'24Q4'23Q4'22Q4'21Q4'20Q4'19Q2'19
Current Ratio5.75+1.6x4.20-0.6x4.84+1.0x3.84-1.3x5.14-0.5x5.59-0.9x6.54-1.3x7.80
Debt-to-Equity0.27-0.1x0.36+0.1x0.30-0.1x0.39+0.1x0.310.0x0.300.0x0.300.0x0.28

Not reported in any period shown, so not listed: Gross Margin, Operating Margin, Net Margin, Return on Equity, Return on Assets, FCF Margin.

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Frequently Asked Questions

What is Radcom's annual revenue?

Radcom (RDCM) reported $71.5M in total revenue for fiscal year 2025. This represents a 17.2% 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 Radcom's revenue growing?

Radcom (RDCM) revenue grew by 17.2% year-over-year, from $61.0M to $71.5M in fiscal year 2025.

Is Radcom profitable?

Yes, Radcom (RDCM) reported a net income of $12.0M in fiscal year 2025, with a net profit margin of 16.8%.

Radcom (RDCM) reported diluted earnings per share of $0.71 for fiscal year 2025. This represents a 65.1% 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.

Radcom (RDCM) had EBITDA of $9.0M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

Radcom (RDCM) had a gross margin of 75.9% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.

Radcom (RDCM) had an operating margin of 11.6% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

Radcom (RDCM) had a net profit margin of 16.8% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

Radcom (RDCM) has a return on equity of 10.5% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

Radcom (RDCM) generated $14.2M in free cash flow during fiscal year 2025. This represents a 29.8% 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.

Radcom (RDCM) generated $14.6M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

Radcom (RDCM) had $145.0M in total assets as of fiscal year 2025, including both current and long-term assets.

Radcom (RDCM) invested $384K in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

Radcom (RDCM) invested $20.2M in research and development during fiscal year 2025.

Radcom (RDCM) had 17M shares outstanding as of fiscal year 2025.

Radcom (RDCM) had a current ratio of 5.75 as of fiscal year 2025, which is generally considered healthy.

Radcom (RDCM) had a debt-to-equity ratio of 0.27 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

Radcom (RDCM) had a return on assets of 8.3% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

Radcom (RDCM) has an Altman Z-Score of 4.35, placing it in the Safe Zone (low 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.

Radcom (RDCM) has a Piotroski F-Score of 7 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.

Radcom (RDCM) has an earnings quality ratio of 1.22x, considered cash-backed (high 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.

Radcom (RDCM) scores 67 out of 100 on our Financial Health Score, indicating strong 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.

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