Calix (NYSE: CALX) posts record Q1 revenue, targets 15–20% 2026 growth
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
Calix, Inc. reported strong first quarter 2026 results driven by its AI-native Calix One platform. Revenue reached $280.0 million, up 3% sequentially and 27% year-over-year, within prior guidance. GAAP diluted EPS was $0.16, while non-GAAP diluted EPS was $0.40.
GAAP gross margin was 56.9% and non-GAAP gross margin 57.2%, helped by growing platform adoption, partly offset by temporary dual cloud costs during migration to Calix One. Non-GAAP operating expenses were $126.9 million, reflecting continued investment in AI capabilities and platform innovation.
Calix generated non-GAAP free cash flow of about $6.5 million and ended the quarter with $243.3 million in cash and investments after repurchasing 3.3 million shares for $170.9 million. For the second quarter of 2026, the company guides revenue to $287–$293 million and non-GAAP EPS to $0.35–$0.45, and expects full-year 2026 revenue growth of 15–20%.
Positive
- Record top-line growth: Q1 2026 revenue reached $280.0 million, up 27% year-over-year and 3% sequentially, marking the seventh consecutive quarter of growth and reflecting strong demand for the Calix One platform.
- Profitable at scale on a non-GAAP basis: Non-GAAP net income was $27.2 million with non-GAAP EPS of $0.40 and non-GAAP gross margin of 57.2%, demonstrating solid profitability alongside rapid growth.
- Robust capital return while preserving liquidity: Calix repurchased 3.3 million shares for $170.9 million yet still ended Q1 2026 with $243.3 million in cash and investments and positive non-GAAP free cash flow.
- Confident growth outlook: Management guides Q2 2026 revenue to $287–$293 million and expects full-year 2026 revenue growth of 15–20%, supported by broad adoption of the AI-native Calix One platform.
Negative
- None.
Insights
Calix posts record Q1 growth, strong cash returns, and guides to continued double‑digit 2026 expansion.
Calix delivered record Q1 2026 revenue of $280.0M, up 27% year-over-year and 3% sequentially, squarely within guidance. Non-GAAP gross margin of 57.2% and non-GAAP EPS of $0.40 show the AI-native Calix One platform is scaling profitably.
Operating discipline remained solid. Non-GAAP operating expenses were $126.9M as Calix invested in agentic AI and platform innovation. Free cash flow of about $6.5M and cash and investments of $243.3M supported substantial capital returns, including $170.9M of share repurchases in the quarter.
Forward-looking commentary is upbeat. Management guides Q2 2026 revenue to $287–$293M with non-GAAP EPS of $0.35–$0.45, and expects full-year 2026 revenue growth of 15–20%. While non-GAAP gross margin is guided down 50–150 basis points for 2026 due to memory costs and cloud migration, Calix still targets its long-term model and emphasizes strong demand visibility tied to Calix One adoption.
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Q1 2026 Revenue: $280.0M
Q1 2026 GAAP diluted EPS: $0.16
Q1 2026 Non-GAAP diluted EPS: $0.40
+5 more
8 metrics
Q1 2026 Revenue
$280.0M
Up 3% sequentially and 27% year-over-year
Q1 2026 GAAP diluted EPS
$0.16
Quarter ended March 28, 2026
Q1 2026 Non-GAAP diluted EPS
$0.40
Within prior non-GAAP guidance range of $0.34–$0.40
Q1 2026 Non-GAAP gross margin
57.2%
Down 80 bps sequentially, up 100 bps year-over-year
Share repurchases
$170.9M
3.3M shares repurchased in Q1 2026
Cash and investments
$243.3M
Balance at end of Q1 2026
Remaining performance obligations (RPOs)
$376.3M
As of end of Q1 2026, up 11% year-over-year
Q2 2026 revenue guidance
$287M–$293M
Management outlook for quarter ending June 27, 2026
Key Terms
non-GAAP gross margin, non-GAAP free cash flow, remaining performance obligations (RPOs), Target Financial Model, +2 more
6 terms
non-GAAP gross margin financial
"includes reference to the non-GAAP measures of non-GAAP gross margin, non-GAAP operating expenses"
Non-GAAP gross margin is a measure of a company's profitability that shows how much money it makes from sales after subtracting the direct costs of producing its products or services, but without applying certain accounting adjustments required by standard rules. It helps investors understand the company's core earning ability by excluding items like one-time expenses or accounting changes. This metric provides a clearer picture of ongoing business performance beyond official financial reports.
non-GAAP free cash flow financial
"non-GAAP free cash flow. These non-GAAP measures are provided to enhance the reader’s understanding"
Non-GAAP free cash flow is a company’s reported cash generated from operations after paying for routine investments in property and equipment, adjusted by management to exclude or include certain items that aren’t part of standard accounting rules. Investors watch it as a practical measure of the cash a business has available for dividends, stock buybacks, debt repayment or reinvestment — like a household’s usable savings after adjusting for one-time or unusual expenses — but calculations vary between firms, so comparisons require caution.
remaining performance obligations (RPOs) financial
"At the end of the first quarter of 2026, our RPOs were $376.3 million"
Target Financial Model financial
"Non-GAAP sales and marketing investments were 20% of revenue, which was in-line with our Target Financial Model range"
agentic AI technical
"service providers can securely and privately activate agentic-AI alongside their human teams"
Agentic AI refers to computer systems that can make their own decisions and take actions without needing someone to tell them what to do each time. It's like giving a robot a degree of independence to solve problems or achieve goals on its own, which matters because it could change how we work and interact with technology in everyday life.
dual cloud environment technical
"during which time we operated in a dual cloud environment to successfully support customer migrations"
Earnings Snapshot
Revenue: $280.0M · Guidance included
Q1 2026
Revenue
$280.0M
+27% YoY, +3% sequential
GAAP diluted EPS
$0.16
Improved from $(0.07) year ago
Non-GAAP diluted EPS
$0.40
Up from $0.34–$0.40 guided range midpoint
Non-GAAP gross margin
57.2%
+100 bps YoY, -80 bps sequential
Non-GAAP net income
$27.2M
Up from $13.1M year ago
Guidance
For Q2 2026, Calix guides revenue to $287M–$293M, non-GAAP gross margin to 54.25%–57.25%, non-GAAP operating expenses to $127M–$129M, and non-GAAP EPS to $0.35–$0.45, with full-year 2026 revenue expected to grow 15–20%.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): April 21, 2026
(Exact name of Registrant as specified in its charter)
| (State or other jurisdiction of incorporation) | (Commission File No.) | (I.R.S. Employer Identification No.) | ||||||||||||
| (Address of principal executive offices) | (Zip Code) | |||||||||||||
( | ||
| (Registrant’s telephone number, including area code) | ||
| Not Applicable | ||
| (Former name or former address if changed since last report) | ||
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Securities registered pursuant to Section 12(b) of the Act:
Title of Each Class | Trading Symbol | Name of Each Exchange on Which Registered | ||||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
| Emerging Growth Company | |||||||||||
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act). o
2
Item 2.02 Results of Operations and Financial Condition.
On April 21, 2026, Calix, Inc. (the “Company”) issued a press release announcing it has publicly disseminated a stockholder letter with its financial results for the first quarter ended March 28, 2026. The press release is attached hereto as Exhibit 99.1. The stockholder letter, a copy of which is attached hereto as Exhibit 99.2 and incorporated herein by reference, includes reference to the non-GAAP measures of non-GAAP gross margin, non-GAAP operating expenses, non-GAAP sales and marketing investments, non-GAAP research and development investments, non-GAAP general and administrative investments, non-GAAP effective income tax rate, non-GAAP net income or profitability, non-GAAP net income per diluted common share and non-GAAP free cash flow. These non-GAAP measures are provided to enhance the reader’s understanding of the Company’s operating performance as they exclude non-cash stock-based compensation and intangible asset amortization and the impact from changes in income taxes, which the Company believes are not indicative of its core operating results. Management believes that the non-GAAP measures used in this stockholder letter provide investors with important perspectives into the Company’s ongoing business performance and management uses these non-GAAP measures to evaluate financial results and to establish operational goals. The presentation of these non-GAAP measures is not meant to be a substitute for results presented in accordance with U.S. GAAP, but rather should be evaluated in conjunction with those GAAP results. A reconciliation of the non-GAAP results to the most directly comparable U.S. GAAP results is contained in tabular form in Exhibit 99.2. The non-GAAP financial measures used by the Company may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies.
Such information shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and is not incorporated by reference into any filing of the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits
| Exhibit No. | Description | |||||||
| 99.1 | Press Release, dated April 21, 2026 announcing first quarter 2026 financial results. | |||||||
| 99.2 | Stockholder Letter dated April 21, 2026 announcing financial results of the Company. | |||||||
3
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Date: | April 21, 2026 | CALIX, INC. | ||||||||||||||||||||||||
| By: | /s/ Cory Sindelar | |||||||||||||||||||||||||
| Cory Sindelar | ||||||||||||||||||||||||||
| Chief Financial Officer | ||||||||||||||||||||||||||
4
EXHIBIT INDEX
| Exhibit No. | Description | |||||||
| 99.1 | Press Release, dated April 21, 2026 announcing first quarter 2026 financial results. | |||||||
| 99.2 | Stockholder Letter dated April 21, 2026 announcing financial results of the Company. | |||||||
5
Exhibit 99.1
Calix Releases First Quarter 2026 Financial Results; To Host Investor Day 2026 at the NYSE, Outlining Next Phase of Long-Term Growth Strategy Powered by Calix One
SAN JOSE, CA – April 21, 2026 – Calix, Inc. (NYSE: CALX) today announced unaudited financial results for its first quarter of 2026. Results have been posted as a letter to stockholders in the investor relations section of its website. Please visit the Calix investor relations website to view the letter to stockholders.
A conference call to discuss these results with President and CEO Michael Weening and CFO Cory Sindelar will be held today, April 21, 2026, at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time.
Interested parties may listen to a live webcast of the conference call by visiting the Events section of the Calix Investor Relations website. The live conference call will be available by dialing (877) 407-4019, or international (201) 689-8337, with conference ID# 13759279. The conference call and webcast will include forward-looking information. A replay of the conference call will be accessible via webcast after its conclusion and will be archived on the Calix Investor Relations website.
Investor Day 2026
Calix will host its 2026 Investor Day on Wednesday, April 22, 2026, at the New York Stock Exchange. The event will begin at 10:00 a.m. Eastern Time, with doors opening at 9:15 a.m. Eastern Time for registered attendees. A live webcast will be available on the Calix investor relations website.
At the event, the Company expects to discuss its long‑term strategic direction and operating framework.
Agenda topics are expected to include:
•The Calix One platform and product roadmap
•How Calix supports service provider customers in delivering differentiated subscriber experiences
•The Company’s operating priorities and financial framework
•Capital allocation philosophy and approach to long‑term value creation
Presentation materials will be made available on the Calix investor relations website in conjunction with the event and will be archived following the webcast.
About Calix
Calix, Inc. (NYSE: CALX) is an AI platform company that enables service providers to transform their operations and accelerate delivery of differentiated experiences—so they can compete and win in the markets and communities they serve.
Through the AI-native Calix One platform, service providers can securely and privately activate agentic-AI alongside their human teams to acquire new subscribers, grow existing subscriber revenue, and build loyalty across residential, business, municipal, and MDU markets. More than 1,200 customers of all sizes leverage the Calix One platform, which has evolved over 15 years at an investment of more than $2 billion.
Calix Press Release | Page #PageNum# | |||||||
Calix innovation cycles are underpinned by a strong financial balance sheet and a people first culture that routinely earns broad industry recognition—winning 81 culture and innovation awards since 2025 alone, as well as Fortune’s 100 Best Companies to Work For® in 2026.
Forward-Looking Statements
This press release contains forward-looking statements that reflect management’s current expectations regarding Calix’s business, financial results, strategic initiatives, and events including the Company’s anticipated discussions at Investor Day 2026. These statements are inherently uncertain and involve risks and uncertainties that could cause actual results or the timing of events to differ materially from what is expressed or implied. Forward-looking statements are based on information available at the time of this release, and Calix undertakes no obligation to revise or update any such statement except as required by law. Readers are cautioned not to place undue reliance on these statements. For a discussion of potential risks and uncertainties that could impact Calix’s actual results, please refer to the Company’s most recent quarterly reports on Form 10-Q and annual reports on Form 10-K filed with the SEC, which are available at www.sec.gov.
Category: Financial
Investor Inquiries:
Nancy Fazioli
VP, Investor Relations
InvestorRelations@calix.com
(669) 308-3901
Exhibit 99.2
April 21, 2026
Fellow Calix stockholders:
We are issuing this first quarter 2026 stockholder letter just ahead of our earnings call and on the eve of our 2026 Investor Day. With the migration of all customers to our AI-native third-generation platform (“Calix One”) by the end of March, we began the third stage of the Calix journey. We look forward to hosting you tomorrow where we will expand on the significance of this milestone.
The year began with strong momentum as our customers continued to invest in the Calix platform to win new subscribers, reduce churn and expand revenue per subscriber. The team also continued its strong execution and progress in helping our customers to transform and win in the markets they serve. Our first quarter 2026 results highlight that strong momentum and execution.
Calix delivered record revenue of $280 million in the first quarter of 2026—our seventh consecutive quarter of growth—representing 3% sequential growth and 27% year-over-year growth. We also guided to continued sequential growth in the second quarter, underscoring sustained platform demand we continue to see from our customers. We added 14 new platform customers, who began their transformation by leveraging our appliances, software, cloud platform and managed services to differentiate their brands within the communities they serve.
Our operational execution remained strong. Days sales outstanding were 36 days; inventory turns were 3.0, reflecting targeted inventory investments to support demand; and we generated free cash flow of $7 million. During the first quarter of 2026, we returned $171 million to shareholders in the form of share repurchases. Meanwhile, our cash and investments at the end of the first quarter of 2026 remained strong at $243 million.
Entering a Sustained Growth Phase with Calix One
One of the most significant achievements in the quarter was our launch of Calix One, anchored by Agent Workforce Cloud and SmartLife™. With the migration of all customers to Calix One, customers are now able to take advantage of AI workflows and agents as our product organization pivots from enabling AI on the platform to delivering tangible AI-driven outcomes that transform operations and accelerate differentiation to compete and win. We will highlight these developments at Investor Day tomorrow. This milestone, and our ongoing ability to invest, positions Calix to scale across new customer segments, geographies and use cases while maintaining the financial discipline that has long distinguished our company.
The clarity of our strategy, our commitment to long-term customer transformation, the launch of Calix One and our strong financial foundation continue to position Calix and our customers to benefit from a structural shift in broadband—the commoditization of speed-and-price connectivity and the broader shift that is happening across all industries as the pace of AI-induced change increases. We are ready to execute against these shifts at scale.
With Calix One now live and broadly available, Calix has entered a sustained growth phase that can extend for many years. Continued strong demand visibility reinforces our confidence in this transition.
1
The Calix Difference – Strategically Aligned Culture Delivering Long-Term Value
Building on strong first-quarter execution and the successful launch of our AI-native Calix One platform, the team continued to be recognized for our culture and innovation. In the first quarter of 2026, we earned 14 awards, including:
•TMC recognized SmartMDU as “Internet Telephony’s Product of the Year”
•Glassdoor ranked Calix 88/100 on their “Best Places to Work US” list
•Glassdoor ranked Calix 22/25 “Best Places to Work in Tech and AI” list
•TMC recognized CommandIQ for “Cybersecurity Excellence”
•Comparably ranked Calix 1/100 for “Best Company Outlook”
This quarter’s performance reflects our commitment to strengthening the Calix operating model. As industry commoditization advances in 2026, Calix One now integrates AI, cloud, software, managed services and appliances to help customers win subscribers, reduce churn and grow revenue per user. We continue this unified approach to drive better customer outcomes and support sustainable growth as we expand into MDUs, new geographies and private deployments. Our focus remains on delivering long-term results through four clear objectives.
•Deliberate revenue growth
•Gross margin expansion
•Disciplined operating expense investment
•Ongoing predictability
We look forward to discussing these priorities in greater detail at our Investor Day tomorrow morning at the New York Stock Exchange. The webcast will begin at 10:00 a.m. ET and will be available on the Calix Investor Relations website.
First Quarter 2026 Financial Results
| GAAP | Non-GAAP | Guidance Non-GAAP 1 | |||||||||
| Revenue | $280.0m | $280.0m | $275.0m – $281.0m | ||||||||
| Gross margin | 56.9% | 57.2%2 | 56.25% – 58.25% | ||||||||
| Operating expenses | $146.6m | $127.0m2 | $127.0m – $129.0m | ||||||||
| Net income per diluted common share | $0.16 | $0.402 | $0.34 – $0.40 | ||||||||
1 | Non-GAAP guidance provided on January 28, 2026. | ||||
2 | Non-GAAP excludes stock-based compensation, net of the effect for income taxes. See GAAP to non-GAAP reconciliations beginning on page 14. | ||||
2
For the first quarter of 2026, revenue was $280.0 million, representing an increase of 3% from the prior quarter and an increase of 27% compared with the same quarter a year ago. We observed continued strong and broad-based demand from our customers during the quarter.
U.S. revenue was 95% of revenue for the first quarter of 2026 compared to 94% in the prior quarter and down from 96% for the year ago quarter. U.S. revenue increased 4% sequentially and increased 26% compared with the year ago quarter. International revenue was 5% of revenue in the first quarter of 2026, down 14% sequentially and up 62% compared with the year ago period. The sequential decrease in international revenue was primarily due to lower shipments to a European customer.
GAAP gross margin for the first quarter of 2026 was 56.9%, a decrease of 80 basis points sequentially and an increase of 120 basis points year-over-year. Excluding stock-based compensation, our non-GAAP gross margin for the first quarter of 2026 was 57.2%, a decrease of 80 basis points sequentially and an increase of 100 basis points from the year ago period. The sequential decreases in GAAP and non-GAAP gross margin related to our investment in dual cloud environments to support customer migrations to our third-generation cloud platform (which is now complete). The GAAP and non-GAAP year-over-year gross margin increases relate primarily to continued adoption of our platform by our customers and their winning new subscribers. U.S. tariff and tariff-related costs were not material to first quarter 2026 results.
Software revenue includes AXOS software licenses, which are recognized as delivered, and our SaaS offerings of Calix One (Agent Workforce Cloud and SmartLife™), which are recognized ratably over the service period. Service revenue includes customer success, support and warranty, which are recognized ratably over the service period, and professional services, which are recognized as delivered. Our software enables customers to benefit from the power of data-driven insights and improve their average revenue per user at higher margins with the greatest levels of subscriber satisfaction to drive best-in-class Net Promoter Scores℠. Our SmartLife managed services include: SmartHome™ (which includes Bark, Wi-FiIQ, CommandIQ®, ProtectIQ®, ExperienceIQ® and HomeOfficeIQ™), SmartBiz™, SmartMDU™ and SmartTown®.
3
During the first quarter of 2026, software and service revenue was $47.1 million, increases of 1% sequentially and 16% compared with the year ago quarter. The smaller sequential growth rate related to fewer days in the first quarter of 2026 relative to the fourth quarter of 2025 (87 days vs. 95 days). The year-over-year increase related to continued strong demand year-over-year for software licenses, Calix Cloud and SmartLife managed services and to a lesser extent service revenue.
Software and service GAAP gross margin in the first quarter of 2026 was 54.3%, representing a decrease of 590 basis points sequentially and 920 basis points from the year ago period. Excluding stock-based compensation, software and service non-GAAP gross margin for the first quarter of 2026 was 55.7%, representing a decrease of 560 basis points sequentially and 960 basis points from the year ago period. The sequential and year-over-year decreases related primarily to the transition from our second-generation platform to our third-generation platform during which time we operated in a dual cloud environment to successfully support customer migrations. We substantially completed this transition in the first quarter with no material impacts expected from dual clouds on our future quarterly results.
RPOs result from long-term commitments made by our customers and consist mainly of Calix Cloud, SmartLife managed services, extended warranties and support/maintenance agreements and exclude AXOS software licenses, month-to-month usage-based models and true-ups to actual usage from minimum commitments. These minimum commitments generally have a three-year term at signing.
At the end of the first quarter of 2026, our RPOs were $376.3 million, a decrease of $8.7 million, or 2%, from the prior quarter and an increase of $35.9 million, or 11%, from the same quarter a year ago. The sequential decrease in RPOs was due to our focus on migrating customers to our third-generation cloud platform. Our current RPOs were a record $156.7 million, up $5.2 million, or 3% from the prior quarter
4
and up $28.3 million, or 22%, from the year-ago quarter. RPOs and current RPOs increased year-over-year due to strong demand for our cloud and managed services model. Our ability to deliver agentic workflows occurred only after customers migrated to our third-generations platform. As such, we expect the growth in RPOs will accelerate in the second half of 2026 as we begin to deliver agentic workflows and demonstrate the value of Calix One and its ability to transform broadband businesses.
During the first quarter of 2026, appliance revenue, which includes our Access Edge, Experience Edge appliances and related optics, was $232.8 million, an increase of 3% sequentially and 30% compared with the year ago quarter on continued adoption of our platform. Our customers that adopt our appliance-based platform can quickly pivot toward improving the subscriber experience, thereby enabling them to improve their average revenue per user at higher margins with the greatest levels of subscriber satisfaction.
Appliance GAAP gross margin in the first quarter of 2026 was 57.4%, representing an increase of 20 basis points sequentially and an increase of 340 basis points from the year ago period. Excluding stock-based compensation, appliance non-GAAP gross margin in the first quarter of 2026 was 57.5%, representing an increase of 10 basis points sequentially and an increase of 330 basis points from the year ago period. The sequential and year-over-year increases relate primarily to the adoption of our platform and growing market share for network and on-premises appliances that are the foundation for the adoption of our software and services.
Our GAAP and non-GAAP operating expenses for the first quarter of 2026 were $146.6 million and $126.9 million, representing 52% and 45% of revenue, respectively. Sequentially, GAAP operating expenses decreased by $1.4 million primarily due to stock-based compensation, and non-GAAP operating expenses were relatively flat sequentially but higher than typical for the first quarter due
5
primarily to investments in our agentic platform. Compared with the year ago quarter, GAAP operating expenses increased by $17.8 million and non-GAAP operating expenses increased by $17.1 million primarily related to increased investments in platform innovation. Non-GAAP sales and marketing investments were 20% of revenue, which was in-line with our Target Financial Model range of 18% to 20%. Non-GAAP research and development investments were 30% of gross profit, which is above our Target Financial Model of 29% as we invest in Agent Workforce cloud. Non-GAAP general and administrative investments were 8% of revenue, which is above our Target Financial Model of 7% and was the result of a leadership meeting in January 2026.
Our GAAP net income was $11.2 million for the first quarter of 2026, a sequential increase of $4.0 million and an improvement of $16.0 million from the year ago period. The sequential increase was primarily the result of higher revenue and lower operating expenses and GAAP income taxes. GAAP net income for the first quarter of 2026 included stock-based compensation of $20.6 million. Excluding stock-based compensation, our non-GAAP net income was $27.2 million, a decrease of $0.1 million compared with the prior quarter due to higher revenue and gross profit offset by lower interest and other income and higher operating expenses. Non-GAAP net income increased $14.1 million, when compared with net income of $13.1 million in the year ago quarter due to higher revenue and gross margin.
Balance Sheet and Cash Flow
Our balance sheet remained strong. Our DSO in the first quarter of 2026 was 36 days, up 1 day from the prior quarter and up 6 days from the year ago period, reflecting continued strong shipment linearity. Our Target Financial Model for DSO remains between 35 and 45 days. Inventory turns were 3.0, in-line with the prior quarter and down from 3.6 a year ago. The year-over-year decrease in inventory turns represents investments in inventory to address the robust demand environment and supply chain trends. Inventory turns were within our Target Financial Model of 3 to 4 turns. Days payable outstanding (DPO) at the end of the first quarter was 37 days, up 11 days from the prior quarter and up 14 days from the year
6
ago quarter. Our Target Financial Model for DPO is between 25 and 35 days. Our cash conversion cycle was 122 days compared with 131 days in the prior quarter and 109 days in the same quarter last year. Our Target Financial Model for our cash conversion cycle remains between 100 and 130 days.
We ended the first quarter of 2026 with cash and investments of $243.3 million, a sequential decrease of $144.8 million. The decrease was primarily due to our common stock repurchases of 3.3 million shares for $170.9 million and capital expenditures of $8.1 million partially offset by proceeds from equity-based employee benefit plans of $20.0 million and quarterly operating cash inflows of $14.6 million. We continue to expect both GAAP operating and non-GAAP free cash flow to remain strong due to continued non-GAAP profitability and a robust cash conversion cycle.
The remaining common stock repurchase authorization at the end of the first quarter of 2026 was $63 million.
Second Quarter 2026 Guidance
| Guidance Non-GAAP | Guidance Reconciled to GAAP | |||||||
| Revenue | $287m – $293m | $287m – $293m | ||||||
| Gross margin | 54.25% – 57.25%1 | 53.95% – 56.95% | ||||||
| Operating expenses | $127.0m – $129.0m1 | $148.0m – $150.0m | ||||||
Net income per diluted common share2 | $0.35 – $0.451 | $0.11 – $0.21 | ||||||
1 | Non-GAAP excludes stock-based compensation as well as the income tax impact of these items. See GAAP to non-GAAP reconciliation on page 16. | ||||
2 | Based on 66.5 million weighted-average diluted common shares outstanding. | ||||
Our guidance for the second quarter of 2026, ending June 27, 2026, reflects our expectations as of the date of this letter.
Our revenue guidance for the second quarter of 2026 is for revenue to be between $287 million and $293 million, up 4% (at the midpoint) from the prior quarter taking into consideration the robust demand and visibility that we are experiencing across our customer base as well as taking into consideration the revenue impact from assessed surcharges to help partially offset memory component price increases. We expect our annual revenue to grow between 15% and 20% this year.
Our non-GAAP gross margin guidance for the second quarter of 2026 of 55.8% (at the midpoint) is down 140 basis points from the previous quarter. This decline is primarily due the increase in memory
7
component costs and to a lesser extent to customer and product mix partially offset by memory surcharges and the improvement in software and service gross margin after completing customer migrations to the third-generation cloud platform and winding down the second-generation cloud platform. We expect our non-GAAP gross margin to be down by 50 to 150 basis points in 2026, reflecting the impact from memory surcharges, memory component costs not absorbed by surcharges and incremental cloud costs associated with the migration of customers to our latest platform.
Our non-GAAP operating expense guidance for the second quarter of 2026 of $128.0 million (at the midpoint) represents a sequential increase primarily related to accelerating the development of AI functionality and capabilities of our platform, cloud and managed services into the first half of 2026. We expect to return to our Target Financial Model for operating expenses by the fourth quarter of 2026.
We continue to expect our non-GAAP effective tax rate for 2026 will be in a range of 23% to 25%.
Summary
The Calix team is excited to enter this next period of growth as customers turn to AI-native Calix One and a partnership with our Customer Success teams to transform operations and accelerate differentiation to compete and win. The third generation of our platform, including Agent Workforce Cloud, SmartMDU and our third-generation mobile app, represents the culmination of 15 years of investment and learning in partnership with our customers.
Our demand visibility is at a near all-time high, and we are pairing that momentum with an AI-enabled internal transformation to evolve how we operate and serve customers. As we build execution readiness to scale Calix One across our base and into new markets, we are embracing new customer segments such as MDU, new sovereign geographies and new private platform customers to compete and win for years to come.
The foundation for our growth continues to be based on three consistent vectors:
•Winning new subscribers: customers leverage our platform, cloud and managed services to differentiate themselves in their markets thereby adding subscribers.
•Growing existing subscriber revenue while reducing churn: customers adopt additional platform extensions, cloud and managed services, enabling them to reduce their operational costs, reduce churn and grow revenue per subscriber.
•Adding new customers: We continue to help legacy operators and operators in new customer segments and geographies become strategically-aligned experience providers who recognize that our unique platform, cloud and managed services model enables their teams to transform their business as they transform operations, subscriber engagement and services, accelerate differentiation across consumer, business and municipal subscribers and compete to win for members, investors and the communities they serve.
With strong demand for the Calix One platform, we are confident in our sequential revenue growth and excited by the multi-year outlook for our business. We appreciate the ongoing support of our customers, employees, partners, vendors, and shareholders, and we are eager to engage in meaningful strategic discussions during tomorrow’s investor day.
Sincerely,
8
 Michael Weening President and CEO |  Cory Sindelar CFO | |||||||
Conference Call
In conjunction with this announcement, Calix will host a conference call today, April 21, 2026 at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time to answer questions regarding our first quarter 2026 financial results. A live audio webcast and replay of the call will be available in the Investor Relations section of the Calix website at http://investor-relations.calix.com. Live call access information: Dial-in number: (877) 407-4019 (U.S.) or (201) 689-8337 (outside the U.S.) ID# 13759279.
Investor Day 2026
A live webcast and replay of Calix’s 2026 Investor Day held tomorrow, April 22, 2026, at 7:00 a.m. Pacific Time / 10:00 a.m. Eastern Time will be available in the Investor Relations section of the Calix website at https://investor-relations.calix.com/.
The conference call and webcasts will include forward-looking information.
Investor Inquiries
Nancy Fazioli
VP, Investor Relations
InvestorRelations@calix.com
(669) 308-3901
About Calix
Calix, Inc. (NYSE: CALX) is an AI platform company that enables service providers to transform their operations and accelerate delivery of differentiated experiences—so they can compete and win in the markets and communities they serve.
Through the AI-native Calix One platform, service providers can securely and privately activate agentic-AI alongside their human teams to acquire new subscribers, grow existing subscriber revenue, and build loyalty across residential, business, municipal, and MDU markets. More than 1,200 customers of all sizes leverage the Calix One platform, which has evolved over 15 years at an investment of more than $2 billion.
Calix innovation cycles are underpinned by a strong financial balance sheet and a people-first culture that routinely earns broad industry recognition—winning 81 culture and innovation awards since 2025 alone, as well as Fortune’s 100 Best Companies to Work For® in 2026.
Forward-Looking Statements
Statements made in this stockholder letter and the earnings call referencing the stockholder letter that are not statements of historical fact are forward-looking statements. Forward-looking statements are subject to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements relate to, but are not limited to, impact from U.S. tariffs and trade policies, potential customer or market opportunities, growth and future opportunities, customer demand or the sustainability of continued demand, anticipated customer purchase trends, anticipated government funding, programs
9
and proposals, expected customer and product mix or anticipated adoption or deployment of our appliances, platform, cloud or managed services, implementation of agentic AI, industry, market and customer trends, opportunities with existing and prospective customers, the timing of BEAD shipments, free cash flow and liquidity, continuation of our stock repurchase program and future financial performance (including the outlook for the second quarter of 2026, full year and future periods and performance against our Target Financial Model). Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from expectations, including but not limited to fluctuations in our financial and operating results, the capital spending decisions of our customers, U.S. tariffs, changes and disruptions in the market and industry, availability of capital in the market, potential for growth in our business driven by government funds, changes in and impacts of regulations and/or government sponsored programs, competition, our ability to achieve market acceptance of our appliances, platform, cloud or managed services, our ability to grow our customer base, our ability to implement agentic AI across our platform to scale our customer success team and our customers’ success, fluctuations in costs associated with our appliances and services including higher costs, dependence on third-parties for production and resource management associated with our global supply chain that may cause delays in production, inventory write-offs or component liabilities, cost overruns, disruptions in global trade and relations, social unrest and political uncertainties and other unanticipated factors, as well as the risks and uncertainties described in our annual report on Form 10-K and our quarterly reports on Form 10-Q, each as filed with the SEC and available at www.sec.gov, particularly in the sections titled “Risk Factors.” Forward-looking statements speak only as of the date the statements are made and are based on information available to us at the time those statements are made and/or management’s good faith belief as of that time with respect to future events. Calix assumes no obligation to update forward-looking statements to reflect actual performance or results, changes in assumptions or changes in other factors affecting forward-looking information, except to the extent required by applicable securities laws. Accordingly, investors should not place undue reliance on any forward-looking statements.
Use of Non-GAAP Financial Information
The Company uses certain non-GAAP financial measures in this stockholder letter to supplement its consolidated financial statements, which are presented in accordance with U.S. GAAP. These non-GAAP measures include non-GAAP gross margin, non-GAAP operating expenses, non-GAAP sales and marketing investments, non-GAAP research and development investments, non-GAAP general and administrative investments, non-GAAP effective income tax rate, non-GAAP net income or profitability, non-GAAP net income per diluted common share and non-GAAP free cash flow. These non-GAAP measures are provided to enhance the reader’s understanding of the Company’s operating performance as they exclude non-cash stock-based compensation and intangible asset amortization and the impact from changes in income taxes, which the Company believes are not indicative of its core operating results. Management believes that the non-GAAP measures used in this stockholder letter provide investors with important perspectives into the Company’s ongoing business performance and management uses these non-GAAP measures to evaluate financial results and to establish operational goals. The presentation of these non-GAAP measures is not meant to be a substitute for results presented in accordance with GAAP but rather should be evaluated in conjunction with those GAAP results. A reconciliation of the non-GAAP results to the most directly comparable GAAP results is provided in this stockholder letter. The non-GAAP financial measures used by the Company may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies.
10
| Calix, Inc. | ||||||||||||||||||||
| Condensed Consolidated Statements of Operations | ||||||||||||||||||||
| (Unaudited, in thousands, except per share data) | ||||||||||||||||||||
| Three Months Ended | ||||||||||||||||||||
| March 28, | March 29, | |||||||||||||||||||
| 2026 | 2025 | |||||||||||||||||||
| Revenue: | ||||||||||||||||||||
| Appliance | $ | 232,843 | $ | 179,743 | ||||||||||||||||
| Software and service | 47,141 | 40,499 | ||||||||||||||||||
| Total revenue | 279,984 | 220,242 | ||||||||||||||||||
| Cost of revenue: | ||||||||||||||||||||
| Appliance | 99,136 | 82,745 | ||||||||||||||||||
| Software and service | 21,552 | 14,789 | ||||||||||||||||||
| Total cost of revenue | 120,688 | 97,534 | ||||||||||||||||||
| Gross profit | 159,296 | 122,708 | ||||||||||||||||||
| Operating expenses: | ||||||||||||||||||||
| Sales and marketing | 63,486 | 58,059 | ||||||||||||||||||
| Research and development | 54,646 | 43,980 | ||||||||||||||||||
| General and administrative | 28,448 | 26,750 | ||||||||||||||||||
| Total operating expenses | 146,580 | 128,789 | ||||||||||||||||||
| Operating income (loss) | 12,716 | (6,081) | ||||||||||||||||||
| Interest income and other expense, net: | ||||||||||||||||||||
| Interest income, net | 2,858 | 3,287 | ||||||||||||||||||
| Other expense, net | (342) | (196) | ||||||||||||||||||
| Total interest income and other expense, net | 2,516 | 3,091 | ||||||||||||||||||
| Income (loss) before income taxes | 15,232 | (2,990) | ||||||||||||||||||
| Income taxes | 4,022 | 1,797 | ||||||||||||||||||
| Net income (loss) | $ | 11,210 | $ | (4,787) | ||||||||||||||||
| Net income (loss) per common share: | ||||||||||||||||||||
| Basic | $ | 0.17 | $ | (0.07) | ||||||||||||||||
| Diluted | $ | 0.16 | $ | (0.07) | ||||||||||||||||
| Weighted average number of shares used to compute net income (loss) per common share: | ||||||||||||||||||||
| Basic | 65,690 | 66,027 | ||||||||||||||||||
| Diluted | 68,570 | 66,027 | ||||||||||||||||||
11
| Calix, Inc. | ||||||||||||||
| Condensed Consolidated Balance Sheets | ||||||||||||||
| (Unaudited, in thousands) | ||||||||||||||
| March 28, | December 31, | |||||||||||||
| 2026 | 2025 | |||||||||||||
| ASSETS | ||||||||||||||
| Current assets: | ||||||||||||||
| Cash and cash equivalents | $ | 54,601 | $ | 143,086 | ||||||||||
| Marketable securities | 188,688 | 245,018 | ||||||||||||
| Accounts receivable, net | 116,772 | 99,367 | ||||||||||||
| Inventory | 154,626 | 133,737 | ||||||||||||
| Prepaid expenses and other current assets | 72,487 | 70,345 | ||||||||||||
| Total current assets | 587,174 | 691,553 | ||||||||||||
| Property and equipment, net | 38,998 | 37,812 | ||||||||||||
| Right-of-use operating leases | 13,662 | 14,665 | ||||||||||||
| Deferred tax assets | 164,719 | 165,636 | ||||||||||||
| Goodwill | 116,175 | 116,175 | ||||||||||||
| Other assets | 30,680 | 32,681 | ||||||||||||
| $ | 951,408 | $ | 1,058,522 | |||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||
| Current liabilities: | ||||||||||||||
| Accounts payable | $ | 69,122 | $ | 41,523 | ||||||||||
| Accrued liabilities | 78,555 | 91,339 | ||||||||||||
| Deferred revenue | 30,800 | 30,386 | ||||||||||||
| Total current liabilities | 178,477 | 163,248 | ||||||||||||
| Long-term portion of deferred revenue | 19,708 | 19,890 | ||||||||||||
| Operating leases | 11,860 | 12,756 | ||||||||||||
| Other long-term liabilities | 3,386 | 3,409 | ||||||||||||
| Total liabilities | 213,431 | 199,303 | ||||||||||||
| Stockholders’ equity: | ||||||||||||||
| Common stock | 1,610 | 1,678 | ||||||||||||
| Additional paid-in capital | 1,098,541 | 1,230,191 | ||||||||||||
| Accumulated other comprehensive loss | (1,142) | (408) | ||||||||||||
| Accumulated deficit | (361,032) | (372,242) | ||||||||||||
| Total stockholders’ equity | 737,977 | 859,219 | ||||||||||||
| $ | 951,408 | $ | 1,058,522 | |||||||||||
12
| Calix, Inc. | ||||||||||||||
| Condensed Consolidated Statements of Cash Flows | ||||||||||||||
| (Unaudited, in thousands) | ||||||||||||||
| Three Months Ended | ||||||||||||||
| March 28, | March 29, | |||||||||||||
| 2026 | 2025 | |||||||||||||
| Operating activities: | ||||||||||||||
| Net income (loss) | $ | 11,210 | $ | (4,787) | ||||||||||
| Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||||||||||||||
| Stock-based compensation | 20,605 | 19,745 | ||||||||||||
| Depreciation and amortization | 4,376 | 4,271 | ||||||||||||
| Deferred income taxes | 1,274 | (1,459) | ||||||||||||
| Net accretion of available-for-sale securities | (435) | (1,144) | ||||||||||||
| Changes in operating assets and liabilities: | ||||||||||||||
| Accounts receivable, net | (17,405) | 3,810 | ||||||||||||
| Inventory | (20,889) | 1,891 | ||||||||||||
| Prepaid expenses and other assets | 804 | 2,808 | ||||||||||||
| Accounts payable | 26,243 | 3,486 | ||||||||||||
| Accrued liabilities | (10,298) | (14,086) | ||||||||||||
| Deferred revenue | 232 | 3,158 | ||||||||||||
| Other long-term liabilities | (1,083) | (481) | ||||||||||||
| Net cash provided by operating activities | 14,634 | 17,212 | ||||||||||||
Investing activities: | ||||||||||||||
| Purchases of property and equipment | (8,118) | (4,310) | ||||||||||||
| Purchases of marketable securities | (10,038) | (36,856) | ||||||||||||
| Sales of marketable securities | 24,621 | — | ||||||||||||
| Maturities of marketable securities | 41,388 | 52,154 | ||||||||||||
| Net cash provided by investing activities | 47,853 | 10,988 | ||||||||||||
| Financing activities: | ||||||||||||||
| Proceeds from common stock issuances related to employee benefit plans | 19,999 | 10,845 | ||||||||||||
| Repurchases of common stock | (170,869) | (39,974) | ||||||||||||
| Net cash used in financing activities | (150,870) | (29,129) | ||||||||||||
| Effect of exchange rate changes on cash and cash equivalents | (102) | 67 | ||||||||||||
| Net decrease in cash and cash equivalents | (88,485) | (862) | ||||||||||||
| Cash and cash equivalents at beginning of period | 143,086 | 43,162 | ||||||||||||
| Cash and cash equivalents at end of period | $ | 54,601 | $ | 42,300 | ||||||||||
13
| Calix, Inc. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Reconciliation of GAAP to Non-GAAP Gross Margin | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| March 28, 2026 | December 31, 2025 | September 27, 2025 | June 28, 2025 | March 29, 2025 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Appliance | Software and service | Total | Appliance | Software and service | Total | Appliance | Software and service | Total | Appliance | Software and service | Total | Appliance | Software and service | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| GAAP gross margin | 57.4 | % | 54.3 | % | 56.9 | % | 57.2 | % | 60.2 | % | 57.7 | % | 56.1 | % | 63.3 | % | 57.3 | % | 54.4 | % | 65.0 | % | 56.3 | % | 54.0 | % | 63.5 | % | 55.7 | % | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Adjustments to GAAP amount: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Stock-based compensation | 0.1 | 1.4 | 0.3 | 0.2 | 1.1 | 0.3 | 0.1 | 1.0 | 0.3 | 0.2 | 1.0 | 0.4 | 0.2 | 1.0 | 0.4 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Intangible asset amortization | — | — | — | — | — | — | — | 0.9 | 0.1 | — | 0.5 | 0.1 | — | 0.8 | 0.1 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Non-GAAP gross margin | 57.5 | % | 55.7 | % | 57.2 | % | 57.4 | % | 61.3 | % | 58.0 | % | 56.2 | % | 65.2 | % | 57.7 | % | 54.6 | % | 66.5 | % | 56.8 | % | 54.2 | % | 65.3 | % | 56.2 | % | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Calix, Inc. | ||||||||||||||||||||||||||||||||
| Reconciliation of GAAP to Non-GAAP Operating Expenses | ||||||||||||||||||||||||||||||||
| (Unaudited, in thousands) | ||||||||||||||||||||||||||||||||
| Three Months Ended | ||||||||||||||||||||||||||||||||
| March 28, | December 31, | September 27, | June 28, | March 29, | ||||||||||||||||||||||||||||
| 2026 | 2025 | 2025 | 2025 | 2025 | ||||||||||||||||||||||||||||
| GAAP operating expenses: | ||||||||||||||||||||||||||||||||
| Sales and marketing | $ | 63,486 | $ | 66,667 | $ | 60,257 | $ | 63,653 | $ | 58,059 | ||||||||||||||||||||||
| Research and development | 54,646 | 53,534 | 47,055 | 45,787 | 43,980 | |||||||||||||||||||||||||||
| General and administrative | 28,448 | 27,827 | 27,293 | 26,464 | 26,750 | |||||||||||||||||||||||||||
| 146,580 | 148,028 | 134,605 | 135,904 | 128,789 | ||||||||||||||||||||||||||||
| Stock-based compensation: | ||||||||||||||||||||||||||||||||
| Sales and marketing | (6,649) | (7,059) | (6,158) | (11,047) | (6,469) | |||||||||||||||||||||||||||
| Research and development | (5,889) | (6,400) | (5,965) | (5,890) | (5,081) | |||||||||||||||||||||||||||
| General and administrative | (7,172) | (7,782) | (7,742) | (7,912) | (7,415) | |||||||||||||||||||||||||||
| (19,710) | (21,241) | (19,865) | (24,849) | (18,965) | ||||||||||||||||||||||||||||
| Non-GAAP operating expenses: | ||||||||||||||||||||||||||||||||
| Sales and marketing | 56,837 | 59,608 | 54,099 | 52,606 | 51,590 | |||||||||||||||||||||||||||
| Research and development | 48,757 | 47,134 | 41,090 | 39,897 | 38,899 | |||||||||||||||||||||||||||
| General and administrative | 21,276 | 20,045 | 19,551 | 18,552 | 19,335 | |||||||||||||||||||||||||||
| $ | 126,870 | $ | 126,787 | $ | 114,740 | $ | 111,055 | $ | 109,824 | |||||||||||||||||||||||
14
| Calix, Inc. | |||||||||||||||||||||||||||||||||||
| Reconciliation of GAAP Net Income (Loss) to Non-GAAP Net Income | |||||||||||||||||||||||||||||||||||
| (Unaudited, in thousands) | |||||||||||||||||||||||||||||||||||
| Three Months Ended | |||||||||||||||||||||||||||||||||||
| March 28, | December 31, | September 27, | June 28, | March 29, | |||||||||||||||||||||||||||||||
| 2026 | 2025 | 2025 | 2025 | 2025 | |||||||||||||||||||||||||||||||
| GAAP net income (loss) | $ | 11,210 | $ | 7,212 | $ | 15,658 | $ | (199) | $ | (4,787) | |||||||||||||||||||||||||
| Adjustments to GAAP amount: | |||||||||||||||||||||||||||||||||||
| Stock-based compensation | 20,605 | 22,012 | 20,618 | 25,613 | 19,745 | ||||||||||||||||||||||||||||||
| Intangible asset amortization | — | — | 381 | 228 | 298 | ||||||||||||||||||||||||||||||
| Income tax effect of non-GAAP adjustments | (4,579) | (1,959) | (6,071) | (3,398) | (2,125) | ||||||||||||||||||||||||||||||
| Non-GAAP net income | $ | 27,236 | $ | 27,265 | $ | 30,586 | $ | 22,244 | $ | 13,131 | |||||||||||||||||||||||||
| Calix, Inc. | ||||||||||||||||||||||||||||||||
| Non-GAAP Free Cash Flow Reconciliation | ||||||||||||||||||||||||||||||||
| (Unaudited, in thousands) | ||||||||||||||||||||||||||||||||
| Three Months Ended | ||||||||||||||||||||||||||||||||
| March 28, | December 31, | September 27, | June 28, | March 29, | ||||||||||||||||||||||||||||
| 2026 | 2025 | 2025 | 2025 | 2025 | ||||||||||||||||||||||||||||
| Net cash provided by operating activities | $ | 14,634 | $ | 46,046 | $ | 32,314 | $ | 39,381 | $ | 17,212 | ||||||||||||||||||||||
| Purchases of property and equipment | (8,118) | (5,765) | (5,625) | (3,735) | (4,310) | |||||||||||||||||||||||||||
| Non-GAAP free cash flow | $ | 6,516 | $ | 40,281 | $ | 26,689 | $ | 35,646 | $ | 12,902 | ||||||||||||||||||||||
| Calix, Inc. | ||||||||
Reconciliation of GAAP Net Income to Non-GAAP Net Income Per Diluted Common Share1 | ||||||||
| (Unaudited) | ||||||||
| Three Months Ended March 28, 2026 | ||||||||
| GAAP net income per diluted common share | $ | 0.16 | ||||||
| Adjustments to GAAP amount: | ||||||||
| Stock-based compensation | 0.30 | |||||||
Income tax effect of non-GAAP adjustments | (0.06) | |||||||
| Non-GAAP net income per diluted common share | $ | 0.40 | ||||||
1 | Based on 68.6 million weighted-average diluted common shares outstanding. | ||||
15
| Calix, Inc. | ||||||||||||||||||||
| Reconciliation of GAAP to Non-GAAP Guidance | ||||||||||||||||||||
| (Unaudited, dollars in thousands, except per share data) | ||||||||||||||||||||
| Three Months Ending June 27, 2026 | ||||||||||||||||||||
| GAAP | Stock-Based Compensation | Non-GAAP | ||||||||||||||||||
| Gross margin | 53.95% - 56.95% | 0.3% | 54.25% - 57.25% | |||||||||||||||||
| Operating expenses | $148,000 - $150,000 | $(21,000) | $127,000 - $129,000 | |||||||||||||||||
Net income per diluted common share1 | $0.11 - $0.21 | $0.24 2 | $0.35 - $0.45 | |||||||||||||||||
1 | Based on 66.5 million weighted-average diluted common shares outstanding. | ||||
2 | Net of income taxes. | ||||
16
FAQ
How did Calix (CALX) perform financially in Q1 2026?
Calix delivered strong Q1 2026 results with revenue of $280.0 million, up 27% year-over-year and 3% sequentially. GAAP diluted EPS was $0.16, while non-GAAP diluted EPS reached $0.40, reflecting profitable growth from the Calix One platform.
What were Calix (CALX) gross margins and profitability metrics in Q1 2026?
In Q1 2026, Calix reported GAAP gross margin of 56.9% and non-GAAP gross margin of 57.2%. Non-GAAP net income was $27.2 million, supported by platform adoption and controlled expenses, despite temporary dual cloud costs during the Calix One migration.
What guidance did Calix (CALX) provide for Q2 2026 and full-year 2026?
For Q2 2026, Calix guides revenue to $287–$293 million, non-GAAP gross margin to about 55.8% at midpoint, and non-GAAP EPS of $0.35–$0.45. For full-year 2026, management expects 15–20% annual revenue growth and a non-GAAP tax rate of 23–25%.
How strong is Calix (CALX) cash flow and balance sheet after Q1 2026?
Calix generated Q1 2026 non-GAAP free cash flow of about $6.5 million and ended the quarter with $243.3 million in cash and investments. The company maintained a solid balance sheet while funding growth and significant share repurchases during the period.
How much stock did Calix (CALX) repurchase in Q1 2026?
During Q1 2026, Calix repurchased 3.3 million common shares for $170.9 million. After these buybacks, the remaining stock repurchase authorization stood at $63 million, indicating ongoing capacity for further capital returns if management chooses.
What role does the Calix One platform play in CALX’s growth strategy?
Calix One is an AI-native platform underpinning the company’s growth. By the end of March 2026, all customers had migrated to Calix One, enabling AI workflows and managed services that help service providers win subscribers, reduce churn, and grow revenue per user.