Radware Reports Second Quarter 2026 Financial Results
Rhea-AI Summary
Radware (NASDAQ: RDWR) reported second quarter 2026 revenue of $82.3 million, up 11% year-over-year, with Cloud annual recurring revenue at $103 million, an increase of 22% year-over-year. Regional revenue was $37.2 million in the Americas (+24%), $27.3 million in EMEA (-2%), and $17.8 million in APAC (+9%).
GAAP net income from continuing operations was $3.9 million, or $0.09 per diluted share, versus $6.4 million or $0.14 a year earlier. Non-GAAP net income from continuing operations was $13.0 million, or $0.30 per diluted share, compared with $14.3 million or $0.32. Operating cash flow from continuing operations was $13.0 million, and cash, deposits, and marketable securities totaled $422.9 million as of June 30, 2026. Results for subsidiary SkyHawk are classified as discontinued operations.
Positive
- Revenue $82.3M, up 11% year-over-year in Q2 2026
- Cloud ARR $103M, growing 22% year-over-year
- Americas region revenue $37.2M, up 24% year-over-year
- APAC region revenue $17.8M, up 9% year-over-year
- Operating cash flow from continuing operations $13M in Q2 2026
- Total cash, deposits and marketable securities $422.9M at June 30, 2026
Negative
- GAAP net income from continuing operations down to $3.9M from $6.4M
- Non-GAAP net income from continuing operations down to $13.0M from $14.3M
- GAAP operating income declined to $2.5M from $5.1M
- Total operating expenses rose to $64.0M from $55.1M
- EMEA revenue fell 2% year-over-year to $27.3M
- Loss from discontinued operations about $2.2M in Q2 2026
News Explained
The June 30 balance sheet shows 422.9 million dollars of liquidity across cash, securities, and bank deposits; no ownership transaction is disclosed.
Radware reported its completed second-quarter results for the period ended
Radware defines annual recurring revenue as the annualized value of booked orders for term-based cloud services, subscription licenses, and maintenance contracts in effect at period-end; it is separate from revenue and is not a forecast of future revenue.
The company’s non-GAAP measures exclude specified items including stock-based compensation, intangible-asset amortization, acquisition costs, and tax-related adjustments, so the reported non-GAAP results are presented as an operating comparison rather than a replacement for GAAP results.
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 07 | First-quarter earnings | Positive | +5.6% | Revenue and Cloud ARR grew year over year; non-GAAP EPS was $0.30. |
| Feb 11 | Fourth-quarter earnings | Positive | +5.4% | Record quarterly revenue, Cloud ARR, and non-GAAP diluted EPS were reported. |
| Oct 29 | Third-quarter earnings | Positive | -2.4% | Revenue and Cloud ARR increased, but the 24-hour price reaction was -2.37%. |
| Jul 30 | Second-quarter earnings | Positive | -5.8% | Revenue and earnings improved year over year, while the reaction was -5.79%. |
| May 07 | First-quarter earnings | Positive | -1.5% | Revenue, Cloud ARR, and EPS improved, while the reaction was -1.49%. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Tag-specific earnings reactions were mixed: 2 events aligned positively with the reported results, while 3 diverged despite positive earnings announcements.
Key Terms
non-gaap financial
gaap financial
annual recurring revenue financial
discontinued operations financial
ddos protection technical
AI-generated analysis. How Rhea-AI works. Not financial advice.
Second Quarter 2026 Financial Results and Highlights
- Record revenue of $82.3 million, an increase of 11% year-over-year
- Cloud ARR of $103 million, an increase of 22% year-over-year
- Non-GAAP diluted EPS from continuing operations of
$0 .30; GAAP diluted EPS from continuing operations of $0.09 - Cash flow provided by continuing operations activities of $13.0 million dollars
TEL AVIV, Israel, July 29, 2026 (GLOBE NEWSWIRE) -- Radware® (NASDAQ: RDWR), a global leader in application security and delivery solutions for multi-cloud environments, today announced its consolidated financial results for the second quarter ended June 30, 2026.
“We delivered another strong quarter, highlighted by double-digit revenue growth, Cloud ARR exceeding
Financial Highlights for the Second Quarter 2026
Revenue for the second quarter of 2026 totaled
- Revenue in the Americas region was
$37.2 million for the second quarter of 2026, an increase of24% from$30.1 million in the second quarter of 2025. - Revenue in the Europe, Middle East, and Africa (“EMEA”) region was
$27.3 million for the second quarter of 2026, a decrease of2% from$27.8 million in the second quarter of 2025. - Revenue in the Asia-Pacific (“APAC”) region was
$17.8 million for the second quarter of 2026, an increase of9% from$16.3 million in the second quarter of 2025.
GAAP net income from continuing operations for the second quarter of 2026 was
Non-GAAP net income from continuing operations for the second quarter of 2026 was
As of June 30, 2026, the Company had cash, cash equivalents, short-term and long-term bank deposits, and marketable securities of
Conference Call
Radware management will host a call today, July 29, 2026, at 8:30 a.m. ET to discuss its second quarter 2026 results and third quarter 2026 outlook. To participate in the call, please use the following link: Q2 2026 earnings call registration link.
A replay of the call will be available within approximately 24 hours of the live event on the Investors section of Radware’s website at: https://www.radware.com/ir/financial-reports/.
Use of Non-GAAP Financial Information and Key Performance Indicators
Non-GAAP results are calculated excluding, as applicable, the impact of stock-based compensation expenses, amortization of intangible assets, litigation costs, acquisition costs, restructuring costs, exchange rate differences, net on balance sheet items included in financial income, net, and tax-related adjustments. A reconciliation of each of the Company’s non-GAAP measures to the most directly comparable GAAP measure is included at the end of this press release.
In addition to reporting financial results in accordance with generally accepted accounting principles (GAAP), Radware uses non-GAAP measures of gross profit, research and development expense, selling and marketing expense, general and administrative expense, total operating expenses, operating income, financial income, net, income before taxes on income, taxes on income, net income and diluted earnings per share, which are adjustments from results based on GAAP to exclude, as applicable, stock-based compensation expenses, amortization of intangible assets, litigation costs, acquisition costs, restructuring costs, exchange rate differences, net on balance sheet items included in financial income, net, and tax-related adjustments. Management believes that exclusion of these charges allows for meaningful comparisons of operating results across past, present, and future periods. Radware’s management believes the non-GAAP financial measures provided in this release are useful to investors for the purpose of understanding and assessing Radware’s ongoing operations. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for results prepared in accordance with GAAP. A reconciliation of each non-GAAP financial measure to the most directly comparable GAAP financial measure is included with the financial information contained in this press release. Management uses both GAAP and non-GAAP financial measures in evaluating and operating the business and, as such, has determined that it is important to provide this information to investors.
Annual recurring revenue ("ARR") is a key performance indicator defined as the annualized value of booked orders for term-based cloud services, subscription licenses, and maintenance contracts that are in effect at the end of a reporting period. ARR should be viewed independently of revenue and deferred revenue and is not intended to be combined with or to replace either of those items. ARR is not a forecast of future revenue, which can be impacted by contract start and end dates and renewal rates and does not include revenue reported as perpetual license or professional services revenue in our consolidated statement of operations. We consider ARR a key performance indicator of the value of the recurring components of our business.
Safe Harbor Statement
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and other U.S. securities laws. Any forward-looking statements made herein that are not statements of historical fact, including statements about Radware’s plans, objectives, expectations, beliefs, projections, future financial performance, business strategies, market opportunities, and developments in our industry, are forward-looking statements. In some cases, forward-looking statements can be identified by words such as “believe,” “expect,” “anticipate,” “intend,” “estimate,” “plan,” “project,” “forecast,” “target,” and similar expressions, as well as future or conditional verbs such as “will,” “should,” “would,” “may,” and “could.”
Because such statements deal with future events, they are subject to various risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: the impact of global market and economic conditions; our dependence on independent distributors; disruptions in our supply chain, including shortages of components or manufacturing capacity; our reliance on a limited number of vendors; our ability to attract, train and retain qualified personnel; intense competition in the cybersecurity and application delivery markets; our ability to develop new solutions and enhance existing solutions; risks related to defects, vulnerabilities or failures in our products or services, including cybersecurity incidents affecting our systems or those of our customers; risks associated with the use of artificial intelligence technologies, including evolving regulatory frameworks, litigation exposure and reputational considerations; risks related to our information technology systems, including failures, disruptions or security breaches; outages, interruptions, or delays in hosting or cloud-based services; risks related to the interoperability of our products; risks associated with our global operations; and geopolitical risks, including instability in the Middle East and Israel.
These factors are not exhaustive. For a more detailed description of the risks and uncertainties affecting Radware, please refer to Radware’s Annual Report on Form 20-F and other reports filed with or furnished to the Securities and Exchange Commission (SEC) from time to time.
Forward-looking statements speak only as of the date on which they are made, and, except as required by applicable law, Radware undertakes no obligation to update or revise any forward-looking statements to reflect events or circumstances after the date of such statements. Radware’s public filings are available from the SEC’s website at www.sec.gov or on Radware’s website at www.radware.com.
About Radware
Radware® (NASDAQ: RDWR) is a global leader in application security and delivery solutions for multi-cloud environments. The company’s cloud application, infrastructure, API, and AI security solutions use AI-driven algorithms for precise, behavior-based, real-time protection against sophisticated web, application, and DDoS attacks, API abuse, business logic threats, and malicious bots. Radware delivers end-to-end API security, including discovery, posture management, testing, and runtime protection, along with advanced protection for AI agents and models. Enterprises and carriers worldwide rely on Radware to address evolving cyberthreats, protect their brands and business operations, and reduce costs. For more information, please visit the Radware website.
Radware encourages you to join our community and follow us on Facebook, LinkedIn, Radware Blog, X, and YouTube.
©2026 Radware Ltd. All rights reserved. Any Radware products and solutions mentioned in this press release are protected by trademarks, patents, and pending patent applications of Radware in the U.S. and other countries. For more details, please see: https://www.radware.com/LegalNotice/. All other trademarks and names are property of their respective owners.
Radware believes the information in this document is accurate in all material respects as of its publication date. However, the information is provided without any express, statutory, or implied warranties and is subject to change without notice.
The contents of any website or hyperlinks mentioned in this press release are for informational purposes and the contents thereof are not part of this press release.
CONTACTS
Investor Relations:
Yisca Erez, +972-72-3917211, ir@radware.com
Media Contact:
Gina Sorice, ginaso@radware.com
| Radware Ltd. | |||||
| Condensed Consolidated Balance Sheets | |||||
| (U.S. Dollars in thousands) | |||||
| June 30, | December 31, | ||||
| 2026 | 2025 | ||||
| (Unaudited) | (Unaudited) | ||||
| Assets | |||||
| Current assets | |||||
| Cash and cash equivalents | 85,200 | 102,748 | |||
| Marketable securities | 28,379 | 15,900 | |||
| Short-term bank deposits | 134,858 | 129,961 | |||
| Trade receivables, net | 39,480 | 34,604 | |||
| Other receivables and prepaid expenses | 13,423 | 10,639 | |||
| Inventories | 13,655 | 13,220 | |||
| Current assets held for sale | 5,149 | 9,435 | |||
| 320,144 | 316,507 | ||||
| Long-term investments | |||||
| Marketable securities | 59,006 | 71,398 | |||
| Long-term bank deposits | 115,482 | 131,922 | |||
| Other assets | 3,150 | 2,830 | |||
| 177,638 | 206,150 | ||||
| Property and equipment, net | 17,280 | 16,387 | |||
| Goodwill and intangible assets, net | 78,041 | 72,159 | |||
| Other long-term assets | 43,740 | 40,641 | |||
| Operating lease right-of-use assets | 14,208 | 15,456 | |||
| Long-term assets held for sale | 3,337 | 3,865 | |||
| Total assets | 654,388 | 671,165 | |||
| Liabilities and equity | |||||
| Current liabilities | |||||
| Trade payables | 8,157 | 7,231 | |||
| Deferred revenues | 128,212 | 111,917 | |||
| Operating lease liabilities | 4,861 | 4,862 | |||
| Other payables and accrued expenses | 52,743 | 67,948 | |||
| Current liabilities held for sale | 2,103 | 2,325 | |||
| 196,076 | 194,283 | ||||
| Long-term liabilities | |||||
| Deferred revenues | 80,349 | 65,764 | |||
| Operating lease liabilities | 11,225 | 11,970 | |||
| Other long-term liabilities | 7,605 | 8,464 | |||
| 99,179 | 86,198 | ||||
| Equity | |||||
| Radware Ltd. equity | |||||
| Share capital | 775 | 770 | |||
| Additional paid-in capital | 591,486 | 578,652 | |||
| Accumulated other comprehensive income (loss) | (252 | ) | 1,393 | ||
| Treasury stock, at cost | (425,720 | ) | (377,561 | ) | |
| Retained earnings | 151,364 | 146,107 | |||
| Total Radware Ltd. shareholder's equity | 317,653 | 349,361 | |||
| Non–controlling interest | 41,480 | 41,323 | |||
| Total equity | 359,133 | 390,684 | |||
| Total liabilities and equity | 654,388 | 671,165 | |||
* The results of our subsidiary, SkyHawk, have been classified as discontinued operations effective the first quarter of 2026 and are presented accordingly. Comparative prior-year figures have been adjusted to align with this presentation and ensure consistency.
| Radware Ltd. | ||||||||||||
| Condensed Consolidated Statements of Income | ||||||||||||
| (U.S Dollars in thousands, except share and per share data) | ||||||||||||
| For the three months ended | For the six months ended | |||||||||||
| June 30, | June 30, | |||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||
| (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||
| Revenues | 82,280 | 74,108 | 162,093 | 146,130 | ||||||||
| Cost of revenues | 15,819 | 13,904 | 30,931 | 27,466 | ||||||||
| Gross profit | 66,461 | 60,204 | 131,162 | 118,664 | ||||||||
| Operating expenses, net: | ||||||||||||
| Research and development, net | 23,773 | 18,163 | 44,876 | 35,715 | ||||||||
| Selling and marketing | 32,264 | 30,737 | 64,856 | 61,377 | ||||||||
| General and administrative | 7,955 | 6,192 | 14,443 | 12,424 | ||||||||
| Total operating expenses, net | 63,992 | 55,092 | 124,175 | 109,516 | ||||||||
| Operating income | 2,469 | 5,112 | 6,987 | 9,148 | ||||||||
| Financial income, net | 3,543 | 3,517 | 7,315 | 8,179 | ||||||||
| Income before taxes on income from continuing operations | 6,012 | 8,629 | 14,302 | 17,327 | ||||||||
| Taxes on income | 2,131 | 2,237 | 4,300 | 4,337 | ||||||||
| Net income from continuing operations | 3,881 | 6,392 | 10,002 | 12,990 | ||||||||
| Loss from discontinued operations | (2,168 | ) | (2,170 | ) | (4,745 | ) | (4,424 | ) | ||||
| Net income | 1,713 | 4,222 | 5,257 | 8,566 | ||||||||
| Basic net income per share attributed to Radware Ltd.'s shareholders: | ||||||||||||
| Continuing operations | 0.09 | 0.15 | 0.23 | 0.30 | ||||||||
| Discontinued operations | (0.05 | ) | (0.05 | ) | (0.11 | ) | (0.10 | ) | ||||
| Total basic net income per share attributed to Radware Ltd.'s shareholders | 0.04 | 0.10 | 0.12 | 0.20 | ||||||||
| Weighted average number of shares used to compute basic net income per share | 41,714,046 | 42,734,026 | 42,250,915 | 42,711,279 | ||||||||
| Diluted net income per share attributed to Radware Ltd.'s shareholders: | ||||||||||||
| Continuing operations | 0.09 | 0.14 | 0.23 | 0.29 | ||||||||
| Discontinued operations | (0.05 | ) | (0.05 | ) | (0.11 | ) | (0.10 | ) | ||||
| Total diluted net income per share attributed to Radware Ltd.'s shareholders | 0.04 | 0.09 | 0.12 | 0.19 | ||||||||
| Weighted average number of shares used to compute diluted net income per share | 43,687,694 | 44,510,896 | 44,089,154 | 44,364,057 | ||||||||
* The results of our subsidiary, SkyHawk, have been classified as discontinued operations effective the first quarter of 2026 and are presented accordingly. Comparative prior-year figures have been adjusted to align with this presentation and ensure consistency.
| Radware Ltd. | ||||||||||||
| Reconciliation of GAAP to Non-GAAP Financial Information | ||||||||||||
| (U.S Dollars in thousands, except share and per share data) | ||||||||||||
| For the three months ended | For the six months ended | |||||||||||
| June 30, | June 30, | |||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||
| (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||
| GAAP gross profit | 66,461 | 60,204 | 131,162 | 118,664 | ||||||||
| Share-based compensation | 114 | 131 | 280 | 252 | ||||||||
| Amortization of intangible assets | 734 | 732 | 1,466 | 1,465 | ||||||||
| Non-GAAP gross profit | 67,309 | 61,067 | 132,908 | 120,381 | ||||||||
| GAAP research and development, net | 23,773 | 18,163 | 44,876 | 35,715 | ||||||||
| Share-based compensation | 1,723 | 1,259 | 3,411 | 2,394 | ||||||||
| Amortization of intangible assets | 253 | - | 253 | - | ||||||||
| Non-GAAP research and development, net | 21,797 | 16,904 | 41,212 | 33,321 | ||||||||
| GAAP selling and marketing | 32,264 | 30,737 | 64,856 | 61,377 | ||||||||
| Share-based compensation | 3,279 | 2,669 | 5,931 | 5,722 | ||||||||
| Non-GAAP selling and marketing | 28,985 | 28,068 | 58,925 | 55,655 | ||||||||
| GAAP general and administrative | 7,955 | 6,192 | 14,443 | 12,424 | ||||||||
| Share-based compensation | 2,216 | 1,401 | 3,218 | 2,772 | ||||||||
| Acquisition costs | 100 | 138 | 389 | 291 | ||||||||
| Non-GAAP general and administrative | 5,639 | 4,653 | 10,836 | 9,361 | ||||||||
| GAAP total operating expenses, net | 63,992 | 55,092 | 124,175 | 109,516 | ||||||||
| Share-based compensation | 7,218 | 5,329 | 12,560 | 10,888 | ||||||||
| Acquisition costs | 100 | 138 | 389 | 291 | ||||||||
| Non-GAAP total operating expenses, net | 56,674 | 49,625 | 111,226 | 98,337 | ||||||||
| GAAP operating income | 2,469 | 5,112 | 6,987 | 9,148 | ||||||||
| Share-based compensation | 7,332 | 5,460 | 12,840 | 11,140 | ||||||||
| Amortization of intangible assets | 987 | 732 | 1,719 | 1,465 | ||||||||
| Acquisition costs | 100 | 138 | 389 | 291 | ||||||||
| Non-GAAP operating income | 10,888 | 11,442 | 21,935 | 22,044 | ||||||||
| GAAP financial income, net | 3,543 | 3,517 | 7,315 | 8,179 | ||||||||
| Exchange rate differences, net on balance sheet items included in financial income, net | 824 | 1,673 | 1,598 | 2,182 | ||||||||
| Non-GAAP financial income, net | 4,367 | 5,190 | 8,913 | 10,361 | ||||||||
| GAAP income before taxes on income from continuing operations | 6,012 | 8,629 | 14,302 | 17,327 | ||||||||
| Share-based compensation | 7,332 | 5,460 | 12,840 | 11,140 | ||||||||
| Amortization of intangible assets | 987 | 732 | 1,719 | 1,465 | ||||||||
| Acquisition costs | 100 | 138 | 389 | 291 | ||||||||
| Exchange rate differences, net on balance sheet items included in financial income, net | 824 | 1,673 | 1,598 | 2,182 | ||||||||
| Non-GAAP income before taxes on income from continuing operations | 15,255 | 16,632 | 30,848 | 32,405 | ||||||||
| GAAP taxes on income | 2,131 | 2,237 | 4,300 | 4,337 | ||||||||
| Tax related adjustments | 91 | 61 | 153 | 123 | ||||||||
| Non-GAAP taxes on income | 2,222 | 2,298 | 4,453 | 4,460 | ||||||||
| GAAP net income from continuing operations | 3,881 | 6,392 | 10,002 | 12,990 | ||||||||
| Share-based compensation | 7,332 | 5,460 | 12,840 | 11,140 | ||||||||
| Amortization of intangible assets | 987 | 732 | 1,719 | 1,465 | ||||||||
| Acquisition costs | 100 | 138 | 389 | 291 | ||||||||
| Exchange rate differences, net on balance sheet items included in financial income, net | 824 | 1,673 | 1,598 | 2,182 | ||||||||
| Tax related adjustments | (91 | ) | (61 | ) | (153 | ) | (123 | ) | ||||
| Non-GAAP net income from continuing operations | 13,033 | 14,334 | 26,395 | 27,945 | ||||||||
| Non-GAAP loss from discontinued operations | 1,898 | 1,739 | 4,192 | 3,532 | ||||||||
| Non-GAAP net income | 11,135 | 12,595 | 22,203 | 24,413 | ||||||||
| GAAP diluted net income per share from continuing operations | 0.09 | 0.14 | 0.23 | 0.29 | ||||||||
| Share-based compensation | 0.17 | 0.12 | 0.29 | 0.25 | ||||||||
| Amortization of intangible assets | 0.02 | 0.02 | 0.04 | 0.03 | ||||||||
| Acquisition costs | 0.00 | 0.00 | 0.01 | 0.01 | ||||||||
| Exchange rate differences, net on balance sheet items included in financial income, net | 0.02 | 0.04 | 0.03 | 0.05 | ||||||||
| Tax related adjustments | (0.00 | ) | (0.00 | ) | (0.00 | ) | (0.00 | ) | ||||
| Non-GAAP diluted net earnings per share from continuing operations | 0.30 | 0.32 | 0.60 | 0.63 | ||||||||
| Non-GAAP diluted net loss per share from discontinued operations | (0.05 | ) | (0.04 | ) | (0.10 | ) | (0.08 | ) | ||||
| Non-GAAP diluted net earnings per share | 0.25 | 0.28 | 0.50 | 0.55 | ||||||||
| Weighted average number of shares used to compute non-GAAP diluted net earnings per share | 43,687,694 | 44,510,896 | 44,089,154 | 44,364,057 | ||||||||
| Radware Ltd. | ||||||||||||
| Condensed Consolidated Statements of Cash Flow | ||||||||||||
| (U.S. Dollars in thousands) | ||||||||||||
| For the three months ended | For the six months ended | |||||||||||
| June 30, | June 30, | |||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||
| (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||
| Cash flow from operating activities: | ||||||||||||
| Net income | 1,713 | 4,222 | 5,257 | 8,566 | ||||||||
| Loss from discontinued operations activities | 2,168 | 2,170 | 4,745 | 4,424 | ||||||||
| Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||
| Depreciation and amortization | 2,910 | 2,594 | 5,504 | 5,476 | ||||||||
| Share-based compensation | 7,332 | 5,460 | 12,840 | 11,139 | ||||||||
| Amortization of premium, accretion of discounts and accrued interest on marketable securities, net | 112 | (93 | ) | 137 | (254 | ) | ||||||
| Decrease in accrued interest on bank deposits | (610 | ) | (2,839 | ) | (1,078 | ) | (4,440 | ) | ||||
| Increase (decrease) in accrued severance pay, net | (193 | ) | 15 | (480 | ) | 76 | ||||||
| Decrease (increase) in trade receivables, net | (7,545 | ) | 2,133 | (4,876 | ) | (6,053 | ) | |||||
| Increase in other receivables and prepaid expenses and other long-term assets | (4,176 | ) | (928 | ) | (7,252 | ) | (1,088 | ) | ||||
| Decrease (increase) in inventories | (525 | ) | 199 | (435 | ) | 718 | ||||||
| Increase (decrease) in trade payables | 1,658 | 438 | 926 | (1,402 | ) | |||||||
| Increase (decrease) in deferred revenues | 16,270 | (1,261 | ) | 30,880 | 16,471 | |||||||
| Increase (decrease) in other payables and accrued expenses | (6,583 | ) | 2,281 | (13,702 | ) | 5,562 | ||||||
| Operating lease liabilities, net | 511 | 1,228 | 502 | 1,000 | ||||||||
| Net cash provided by operating activities - continuing operations | 13,042 | 15,619 | 32,968 | 40,195 | ||||||||
| Net cash used in operating activities - discontinued operations | (1,904 | ) | (1,127 | ) | (4,190 | ) | (3,261 | ) | ||||
| Net cash provided by operating activities | 11,138 | 14,492 | 28,778 | 36,934 | ||||||||
| Cash flows from investing activities: | ||||||||||||
| Purchase of property and equipment | (2,025 | ) | (2,659 | ) | (4,678 | ) | (3,770 | ) | ||||
| Proceeds from (investment in) other long-term assets, net | (32 | ) | (19 | ) | (16 | ) | 90 | |||||
| Proceeds from (investment in) bank deposits, net | (12,279 | ) | (17,401 | ) | 12,621 | (44,513 | ) | |||||
| Investment in, redemption of and purchase of marketable securities, net | (147 | ) | (5,239 | ) | (945 | ) | 10,955 | |||||
| Acquisition of subsidiary, net of cash acquired | - | - | (5,938 | ) | - | |||||||
| Proceeds from other deposits | - | - | - | 5,000 | ||||||||
| Net cash provided by (used in) investing activities - continuing operations | (14,483 | ) | (25,318 | ) | 1,044 | (32,238 | ) | |||||
| Net cash provided by investing activities - discontinued operations | 299 | 3,599 | 3,300 | 3,598 | ||||||||
| Net cash provided by (used in) investing activities | (14,184 | ) | (21,719 | ) | 4,344 | (28,640 | ) | |||||
| Cash flows from financing activities: | ||||||||||||
| Proceeds from exercise of share options | 1 | - | 4 | 1 | ||||||||
| Payment of contingent consideration related to acquisition | (3,405 | ) | (3,167 | ) | (3,405 | ) | (3,167 | ) | ||||
| Repurchase of shares | (18,767 | ) | - | (48,159 | ) | - | ||||||
| Net cash used in financing activities - continuing operations | (22,171 | ) | (3,167 | ) | (51,560 | ) | (3,166 | ) | ||||
| Net cash used in financing activities - discontinued operations | - | (3 | ) | - | - | |||||||
| Net cash used in financing activities | (22,171 | ) | (3,170 | ) | (51,560 | ) | (3,166 | ) | ||||
| Increase (decrease) in cash and cash equivalents | (25,217 | ) | (10,397 | ) | (18,438 | ) | 5,128 | |||||
| Cash and cash equivalents at the beginning of the period | 111,857 | 114,239 | 105,078 | 98,714 | ||||||||
| Cash and cash equivalents at the end of the period | 86,640 | 103,842 | 86,640 | 103,842 | ||||||||
| Less cash and cash equivalents of discontinued operations | (1,440 | ) | (3,210 | ) | (1,440 | ) | (3,210 | ) | ||||
| Cash and cash equivalents at the end of the period - continuing operations | 85,200 | 100,632 | 85,200 | 100,632 | ||||||||
* The results of our subsidiary, SkyHawk, have been classified as discontinued operations effective the first quarter of 2026 and are presented accordingly. Comparative prior-year figures have been adjusted to align with this presentation and ensure consistency.
| Radware Ltd. | ||||||||||||
| RECONCILIATION OF GAAP NET INCOME TO EBITDA AND ADJUSTED EBITDA (NON-GAAP) | ||||||||||||
| (U.S Dollars in thousands) | ||||||||||||
| For the three months ended | For the six months ended | |||||||||||
| June 30, | June 30, | |||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||
| (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||
| GAAP net income for continuing operations | 3,881 | 6,392 | 10,002 | 12,990 | ||||||||
| Exclude: Financial income, net | (3,543 | ) | (3,517 | ) | (7,315 | ) | (8,179 | ) | ||||
| Exclude: Depreciation and amortization expense | 2,910 | 2,594 | 5,504 | 5,476 | ||||||||
| Exclude: Taxes on income | 2,131 | 2,237 | 4,300 | 4,337 | ||||||||
| EBITDA | 5,379 | 7,706 | 12,491 | 14,624 | ||||||||
| Share-based compensation | 7,332 | 5,460 | 12,840 | 11,140 | ||||||||
| Acquisition costs | 100 | 138 | 389 | 291 | ||||||||
| Adjusted EBITDA for continuing operations | 12,811 | 13,304 | 25,720 | 26,055 | ||||||||
| For the three months ended | For the six months ended | |||||||||||
| June 30, | June 30, | |||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||
| Amortization of intangible assets | 987 | 732 | 1,719 | 1,465 | ||||||||
| Depreciation | 1,923 | 1,862 | 3,785 | 4,011 | ||||||||
| 2,910 | 2,594 | 5,504 | 5,476 | |||||||||
