UTStarcom Reports Unaudited Financial Results for First Half of 2025
UTStarcom (NASDAQ: UTSI), a global telecommunications infrastructure provider, reported challenging financial results for H1 2025. The company posted revenue of $4.6 million, down 19.3% year-over-year, with a net loss of $3.7 million ($0.41 per share).
Despite financial headwinds, UTStarcom secured notable business wins, including a major RFP from China Telecom Research Institute for manufacturing disaggregated router hardware platforms. The company also received multiple maintenance and support service orders for PTN, NMS, SyncRing, and IMS solutions, along with expansion orders from European and Indian customers.
Financial metrics showed broad deterioration with gross profit declining 52.9% to $0.8 million, while operating loss widened to $4.2 million. The company maintained a solid cash position of $49.2 million as of June 30, 2025.
UTStarcom (NASDAQ: UTSI), fornitore globale di infrastrutture per le telecomunicazioni, ha registrato risultati finanziari difficili nel primo semestre 2025. La società ha riportato ricavi per $4,6 milioni, in calo del 19,3% su base annua, e un perdita netta di $3,7 milioni (pari a $0,41 per azione).
Nonostante le difficoltà finanziarie, UTStarcom ha ottenuto commesse rilevanti, tra cui una importante RFP dal China Telecom Research Institute per la produzione di piattaforme hardware router disaggregate. Ha inoltre ricevuto diversi ordini di manutenzione e servizi di supporto per le soluzioni PTN, NMS, SyncRing e IMS, oltre a ordini di ampliamento da clienti europei e indiani.
I principali indicatori finanziari hanno mostrato un peggioramento generalizzato: il utile lordo è diminuito del 52,9% attestandosi a $0,8 milioni, mentre la perdita operativa si è ampliata a $4,2 milioni. Al 30 giugno 2025 la società disponeva di una solida posizione di cassa pari a $49,2 milioni.
UTStarcom (NASDAQ: UTSI), proveedor global de infraestructuras de telecomunicaciones, presentó resultados financieros complicados en el primer semestre de 2025. La compañía informó ingresos de $4,6 millones, una caída del 19,3% interanual, y una pérdida neta de $3,7 millones ($0,41 por acción).
A pesar de los vientos en contra financieros, UTStarcom consiguió contratos importantes, entre ellos una RFP significativa del China Telecom Research Institute para fabricar plataformas hardware de routers desagregados. También recibió múltiples órdenes de mantenimiento y servicios de soporte para las soluciones PTN, NMS, SyncRing e IMS, además de pedidos de expansión de clientes europeos e indios.
Los indicadores financieros mostraron un deterioro generalizado: el beneficio bruto cayó un 52,9% hasta $0,8 millones, mientras que la pérdida operativa se amplió a $4,2 millones. Al 30 de junio de 2025, la compañía mantenía una sólida posición de caja de $49,2 millones.
UTStarcom (NASDAQ: UTSI)는 글로벌 통신 인프라 제공업체로서 2025년 상반기에 어려운 재무 성과를 보고했습니다. 회사는 매출 $460만을 기록해 전년 동기 대비 19.3% 감소했으며, 순손실 $370만(주당 $0.41)을 기록했습니다.
재무적 역풍에도 불구하고 UTStarcom은 중요한 수주를 확보했습니다. 그중에는 중국전신연구원(China Telecom Research Institute)의 대형 RFP로 분산형 라우터 하드웨어 플랫폼 제조 관련 계약이 포함됩니다. 또한 PTN, NMS, SyncRing 및 IMS 솔루션에 대한 다수의 유지보수 및 지원 서비스 주문과 유럽 및 인도 고객으로부터의 확장 주문을 받았습니다.
재무 지표는 전반적으로 악화되었습니다. 매출총이익은 52.9% 감소해 $80만에 그쳤고, 영업손실은 $420만으로 확대되었습니다. 2025년 6월 30일 기준 회사는 $4,920만의 안정적인 현금 보유고를 유지하고 있습니다.
UTStarcom (NASDAQ: UTSI), fournisseur mondial d'infrastructures de télécommunications, a annoncé des résultats financiers difficiles pour le premier semestre 2025. La société a publié un chiffre d'affaires de 4,6 M$, en baisse de 19,3% sur un an, et une perte nette de 3,7 M$ (0,41 $ par action).
Malgré ces vents contraires, UTStarcom a remporté des contrats significatifs, notamment une RFP majeure du China Telecom Research Institute pour la fabrication de plateformes matérielles de routeurs désagrégés. L'entreprise a également reçu plusieurs commandes de maintenance et de support pour les solutions PTN, NMS, SyncRing et IMS, ainsi que des commandes d'expansion de clients européens et indiens.
Les indicateurs financiers montrent une détérioration généralisée : le résultat brut a diminué de 52,9% pour s'établir à 0,8 M$, tandis que la perte d'exploitation s'est creusée à 4,2 M$. Au 30 juin 2025, la société disposait d'une position de trésorerie solide de 49,2 M$.
UTStarcom (NASDAQ: UTSI), ein globaler Anbieter von Telekommunikationsinfrastruktur, meldete für das erste Halbjahr 2025 schwierige Finanzergebnisse. Das Unternehmen verzeichnete Umsatz in Höhe von $4,6 Millionen, ein Rückgang von 19,3% gegenüber dem Vorjahr, sowie einen Nettoverlust von $3,7 Millionen (entsprechend $0,41 je Aktie).
Trotz der finanziellen Gegenwinde sicherte sich UTStarcom bedeutende Aufträge, darunter eine große RFP vom China Telecom Research Institute für die Fertigung disaggregierter Router-Hardwareplattformen. Zudem erhielt das Unternehmen mehrere Wartungs- und Supportaufträge für PTN-, NMS-, SyncRing- und IMS-Lösungen sowie Erweiterungsbestellungen von Kunden in Europa und Indien.
Die finanziellen Kennzahlen zeigten eine breite Verschlechterung: der Bruttogewinn sank um 52,9% auf $0,8 Millionen, während der Betriebsverlust auf $4,2 Millionen anstieg. Zum 30. Juni 2025 hielt das Unternehmen eine solide Barposition von $49,2 Millionen.
- Won major RFP from China Telecom Research Institute for STN-A equipment hardware production
- Secured multiple maintenance and support services orders for existing solutions
- Received network expansion orders from European and Indian customers
- Maintained strong cash position of $49.2 million
- Reduced operating expenses by 7.5% through cost control measures
- Revenue declined 19.3% year-over-year to $4.6 million
- Net loss increased to $3.7 million from $2.0 million year-over-year
- Gross profit dropped 52.9% to $0.8 million
- Equipment sales showed negative gross margin of 30.4%
- Service gross margin decreased to 22.4% from 33.1%
Insights
UTStarcom reports deteriorating financials despite contract wins; revenues down 19.3% with widening losses amid structural challenges.
UTStarcom's H1 2025 results reveal concerning financial deterioration despite securing new contracts. Revenue declined by
The company's net loss widened substantially to
The China Telecom Research Institute RFP win for disaggregated router hardware manufacturing represents a potential bright spot, though no revenue figures were disclosed. This contract could help diversify revenue away from the declining Indian market, where both equipment and service sales have fallen significantly. However, given the company's execution challenges and deteriorating margins, it remains uncertain whether this new contract can meaningfully reverse UTStarcom's negative financial trajectory. The remaining cash cushion of
HANGZHOU, China, Aug. 29, 2025 (GLOBE NEWSWIRE) -- UTStarcom (“UT,” “UTStarcom” or the “Company”) (NASDAQ: UTSI), a global telecommunications infrastructure provider, today reported its unaudited financial results and a business update for the six months ended June 30, 2025 (“the first half”).
Business Highlights:
- Multi-million dollar China Telecom Research Institute RFP win. UTStarcom has been selected as a major winner of the RFP “Self-developed STN-A Equipment Hardware Production and OEM Procurement Project” from Guangdong Research Institute of China Telecom Co., Ltd (“China Telecom Research Institute”) for manufacturing of a large number of disaggregated router hardware platforms intended for use on China Telecom’s STN network – China Telecom’s metropolitan area network, which is crucial for supporting its 5G mobile network services, as well as enterprise, broadband, cloud, and other services.
- Maintenance and support services orders. In 1H 2025, UTStarcom received multiple maintenance and warranty support orders from our customers. The ordered services are related to the deployed UT’s solutions such as PTN, NMS, SyncRing, and IMS.
- Expansion orders. In 1H 2025, UTStarcom continued receiving expansion orders, including the NetRing PTN network expansion for the mobile transport network of a Mobile Operator in Europe, and the features expansion order for the IMS Broadband Core solution deployed by one of our key Indian customers.
UTStarcom’s Chief Executive Officer, Mr. Hua Li, commented, “We have been working hard to develop and market our products to new clients, while continuing to support our existing customers. We are pleased with the progress we have made so far, and we will continue to explore additional opportunities for growth.”
First Half 2025 Financial Results
Summary of 1H 2025 Key Financials
| 1H 2025 | 1H 2024 | Y/Y Change | |
| Revenue | - | ||
| Gross Profit | - | ||
| Operating Expenses | - | ||
| Operating Loss | ( | ( | - |
| Net Loss | ( | ( | - |
| Basic EPS | ( | ( | - |
| Cash Balance (including Restricted Cash) | - |
* Dollar comparisons are used where percentage comparisons are not meaningful.
* All amounts are in U.S. Dollars millions except for Earnings Per Share (EPS)
Total Revenues
Total revenues for the first half of 2025 were
- Net equipment sales were
$0.5 million , a decrease of31.6% from$0.8 million in the corresponding period in 2024, driven by lower sales to major customers in India.
- Net services sales were
$4.1 million , a decrease of16.9% from$4.9 million in the corresponding period in 2024. The decrease was mainly due to the completion of current projects and no new major projects in India.
Gross Profit
Gross profit was
- Gross loss on equipment sales was
$0.2 million , compared to gross profit of$0.1 million in the corresponding period in 2024. Equipment gross margin for the first half of 2025 was negative30.4% , compared to10.6% for the corresponding period in 2024. The decrease in gross margin was due to a lower equipment revenue and higher inventory reserves.
- Service gross margin was
$1.0 million , compared to$1.6 million in the corresponding period in 2024. Service gross margin was22.4% , compared to33.1% for the corresponding period in 2024, due to decreased activity with the major customer in India.
Operating Expenses
Operating expenses for the first half of 2025 were
- Selling, general and administrative (“SG&A”) expenses for the first half of 2025 were
$2.6 million , compared to$2.7 million in the corresponding period in 2024. The decrease was mainly due to continued tight cost controls.
- Research and development (“R&D”) expenses were
$2.3 million , compared to$2.6 million in the corresponding period in 2024. The decrease was mainly attributable to the completion of current projects and continued tight cost controls.
Operating Loss
Operating loss for the first half of 2025 was
Interest Income, Net
Net interest income for the first half of 2025 was
Other Income (Expenses), Net
Net other expense for the first half of 2025 was
Net Loss
Net loss attributable to shareholders for the first half of 2025 was
Cash Flow
Cash used in operating activities in the first half of 2025 was
About UTStarcom Holdings Corp.
UTStarcom is committed to helping network operators offer their customers the most innovative, reliable and cost-effective communication services. UTStarcom offers high performance advanced equipment optimized for the most rapidly growing network functions, such as mobile backhaul, metro aggregation and broadband access. UTStarcom has operations and customers around the world, with a special focus on Japan, India and China. UTStarcom was founded in 1991 and listed its shares on the Nasdaq Market in 2000 (symbol: UTSI). For more information about UTStarcom, please visit http://www.utstar.com.
Forward-Looking Statements
This press release includes forward-looking statements, including statements regarding the Company’s strategic initiatives and the Company’s business outlook. These statements are forward-looking in nature and subject to risks and uncertainties that may cause actual results to differ materially and adversely from the Company’s current expectations. These include risks and uncertainties related to, among other things, changes in the financial condition and cash position of the Company, changes in the composition of the Company’s management and their effect on the Company, the Company’s ability to realize anticipated results of operational improvements and benefits of the divestiture transaction, the ability to successfully identify and acquire appropriate technologies and businesses for inorganic growth and to integrate such acquisitions, the ability to internally innovate and develop new products, assumptions the Company makes regarding the growth of the market and the success of the Company’s offerings in the market and the Company’s ability to execute its business plan and manage regulatory matters. The risks and uncertainties also include the risk factors identified in the Company’s latest annual report on Form 20-F and current reports on Form 6-K as filed with the Securities and Exchange Commission. The Company is in a period of strategic transition and the conduct of its business is exposed to additional risks as a result. All forward-looking statements included in this press release are based upon information available to the Company as of the date of this press release, which may change and the Company assumes no obligation to update any such forward-looking statements.
For investor and media inquiries, please contact:
UTStarcom Holdings Corp.
Tel: +86 (571) 8192 8888
Ms. Shelley Jiang, Investor Relations
Email: utsi-ir@utstar.com/ Shelleyjiang@utstar.com /
| UTStarcom Holdings Corp. | ||||||||
| Unaudited Condensed Consolidated Balance Sheets | ||||||||
| June 30, | December 31, | |||||||
| 2025 | 2024 | |||||||
| (In thousands) | ||||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 40,423 | $ | 43,913 | ||||
| Accounts and notes receivable, net | 5,293 | 5,508 | ||||||
| Short-term investments | 105 | 165 | ||||||
| Inventories and deferred costs | 2,024 | 2,207 | ||||||
| Short-term restricted cash | 6,681 | 6,824 | ||||||
| Prepaid and other current assets | 4,051 | 4,454 | ||||||
| Total current assets | 58,577 | 63,071 | ||||||
| Long-term assets: | ||||||||
| Property, plant and equipment, net | 430 | 476 | ||||||
| Operating lease right-of-use assets, net | 926 | 1,399 | ||||||
| Long-term restricted cash | 2,097 | 2,406 | ||||||
| Other long-term assets | 870 | 848 | ||||||
| Total long-term assets | 4,323 | 5,129 | ||||||
| Total assets | $ | 62,900 | $ | 68,200 | ||||
| LIABILITIES AND EQUITY | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 5,602 | $ | 7,008 | ||||
| Customer advances | 512 | 769 | ||||||
| Deferred revenue | 39 | 62 | ||||||
| Income tax payable | 8,305 | 8,163 | ||||||
| Operating lease liabilities, current | 1,085 | 1,184 | ||||||
| Other current liabilities | 4,072 | 4,342 | ||||||
| Total current liabilities | 19,615 | 21,528 | ||||||
| Long-term liabilities: | ||||||||
| Operating lease liabilities, non-current | 25 | 404 | ||||||
| Long-term deferred revenue and other liabilities | 1,052 | 1,042 | ||||||
| Total liabilities | 20,692 | 22,974 | ||||||
| Total equity | 42,208 | 45,226 | ||||||
| Total liabilities and equity | $ | 62,900 | $ | 68,200 | ||||
| UTStarcom Holdings Corp. | ||||||||
| Unaudited Condensed Consolidated Statements of Operations | ||||||||
| Six months ended June 30, | ||||||||
| 2025 | 2024 | |||||||
| (In thousands, except per share data) | ||||||||
| Net sales | $ | 4,634 | $ | 5,719 | ||||
| Cost of net sales | 3,883 | 4,004 | ||||||
| Gross profit | 751 | 1,715 | ||||||
| 16.2 | % | 30.0 | % | |||||
| Operating expenses: | ||||||||
| Selling, general and administrative | 2,580 | 2,740 | ||||||
| Research and development | 2,324 | 2,575 | ||||||
| Total operating expenses | 4,904 | 5,315 | ||||||
| Operating loss | (4,153) | (3,600) | ||||||
| Interest income, net | 1,155 | 1,332 | ||||||
| Other income (expense), net | (161) | 806 | ||||||
| Loss before income taxes | (3,159) | (1,462) | ||||||
| Income tax expense | (563) | (554) | ||||||
| Net loss attributable to UTStarcom Holdings Corp. | $ | (3,722) | $ | (2,016) | ||||
| Net loss per share attributable to UTStarcom Holdings Corp.—Basic | $ | (0.41) | $ | (0.22) | ||||
| Weighted average shares outstanding—Basic | 9,150 | 9,141 | ||||||
| UTStarcom Holdings Corp. | ||||||||
| Unaudited Condensed Consolidated Statements of Cash Flows | ||||||||
| Six months ended June 30, | ||||||||
| 2025 | 2024 | |||||||
| (In thousands) | ||||||||
| CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
| Net Loss | $ | (3,722) | $ | (2,016) | ||||
| Depreciation | 100 | 137 | ||||||
| Allowance(Recovery) for credit losses | 43 | (2) | ||||||
| Stock-based compensation expense | 57 | 61 | ||||||
| Gain on release of tax liability due to expiration of the statute of limitations | (11) | (11) | ||||||
| Right-of-use assets amortization | 533 | 579 | ||||||
| Changes in fair value of equity securities investment | 60 | (369) | ||||||
| Changes in operating assets and liabilities | (1,595) | (866) | ||||||
| Net cash used in operating activities | (4,535) | (2,487) | ||||||
| CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
| Additions to property, plant and equipment | (46) | (106) | ||||||
| Net cash used in investing activities | (46) | (106) | ||||||
| CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
| Net cash provided by financing activities | — | — | ||||||
| Effect of exchange rate changes on cash and cash equivalents | 639 | (1,016) | ||||||
| Net decrease in cash and cash equivalents | (3,942) | (3,609) | ||||||
| Cash, cash equivalents and restricted cash at beginning of period | 53,143 | 59,647 | ||||||
| Cash, cash equivalents and restricted cash at end of period | $ | 49,201 | $ | 56,038 | ||||
FAQ
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