Management Expects Full-Year 2024 Revenue of $385-405 Million and Targets Operating Margins of
At Least 10% at Revenue Midpoint
Moves Long-Range Target for $500
Million in Annual Revenue Forward by 12 Months to
2026
ROSH
HA'AIN, Israel,
Jan. 17,
2024 /PRNewswire/ -- Ceragon Networks Ltd. (NASDAQ:
CRNT), the global innovator and leading solutions provider of 5G
wireless transport, today confirmed its expectations for the 2023,
and provided its guidance for 2024.
Based on preliminary and unaudited results, management expects
to deliver revenue for the full year 2023 at the high end of its
previously disclosed range of $338
million to $346 million.
Management also expects positive free cash flow, excluding the
impact of the acquisition of Siklu.
For 2024, management expects:
- Revenue of $385 million to
$405 million, representing growth at
the midpoint of approximately 14% compared to expected 2023 levels.
This guidance includes the contribution from Siklu, which was
acquired in December 2023.
- Non-GAAP operating margins are targeted to be at least 10% at
the mid-point of the revenue guidance.
- As a result, management expects increased non-GAAP profit and
positive free cash flow for the full year of 2024 as compared with
2023.
"We expect continued double-digit growth, reflecting expansion
of our addressable market and further penetration into the private
network ecosystem, in 2024," commented Doron Arazi, Ceragon CEO. "The integration of
Siklu is well underway, and we expect the strategic benefits of
this acquisition to bolster our competitive position with the
higher growing portions of our addressable market, especially
private network operators in general and in North America in particular. We now expect to
reach our long-term target of $500
million in annual revenue in 2026, a year earlier than we
previously expected, with solid margin expansion and continued
profitability."
Doron Arazi, Chief Executive
Officer will discuss this outlook later today at a presentation at
the Needham Growth Conference. The live presentation will take
place at 10:15 a.m. ET and will be
webcast on Ceragon's website
at https://www.ceragon.com/investors/webcasts. An archived
webcast will remain posted on the Company's investor relations
website for at least 30 days.
Ceragon is expected to report its audited fourth quarter and
full-year 2023 financial results in mid-February.
About Ceragon Networks
Ceragon Networks Ltd. (NASDAQ: CRNT) is the global innovator and
leading solutions provider of 5G wireless transport. We help
operators and other service providers worldwide increase
operational efficiency and enhance end customers' quality of
experience with innovative wireless backhaul and fronthaul
solutions. Our customers include service providers, public safety
organizations, government agencies and utility companies, which use
our solutions to deliver 5G & 4G broadband wireless
connectivity, mission-critical multimedia services, stabilized
communications, and other applications at high reliability and
speed.
Ceragon's unique multicore technology and disaggregated approach
to wireless transport provides highly reliable, fast to deploy,
high-capacity wireless transport for 5G and 4G networks with
minimal use of spectrum, power, real estate, and labor resources.
It enables increased productivity, as well as simple and quick
network modernization, positioning Ceragon as a leading solutions
provider for the 5G era. We deliver a complete portfolio of turnkey
end-to-end AI-based managed and professional services that ensure
efficient network rollout and optimization to achieve the highest
value for our customers. Our solutions are deployed by more than
600 service providers, as well as more than 1,600 private network
owners, in more than 130 countries. For more information please
visit: www.ceragon.com.
Ceragon Networks® and FibeAir® are registered trademarks of
Ceragon Networks Ltd. in the United
States and other countries. CERAGON ® is a trademark of
Ceragon Networks Ltd., registered in various countries. Other names
mentioned are owned by their respective holders.
Safe Harbor
This press release contains statements that constitute
"forward-looking statements" within the meaning of the Securities
Act of 1933, as amended and the Securities Exchange Act of 1934, as
amended, and the safe-harbor provisions of the Private Securities
Litigation Reform Act of 1995. Such forward-looking statements are
based on the current beliefs, expectations and assumptions of
Ceragon's management about Ceragon's business, financial condition,
results of operations, micro and macro market trends and other
issues addressed or reflected therein. Examples of forward-looking
statements include, but are not limited to, statements regarding
the benefits of the transaction as well as statements regarding the
companies' products, prospects and results following the
transaction. You may identify these and other forward-looking
statements by the use of words such as "may", "plans",
"anticipates", "believes", "estimates", "targets", "expects",
"intends", "potential" and similar expressions, or the negative of
such terms, or other comparable terminology (although not all
forward-looking statements contain these identifying words that are
intended to identify forward-looking statements).
Although we believe that the expectations reflected in such
forward-looking statements are based upon reasonable assumptions,
we can give no assurance that our expectations will be obtained or
that any deviations therefrom will not be material. Such
forward-looking statements involve known and unknown risks and
uncertainties that may cause the actual results, performance or
achievements of both Ceragon and Siklu to be materially different
from any future results or performance to differ materially from
those anticipated, expressed or implied by such forward-looking
statements. These risks and uncertainties include, but are not
limited to: the effects of global economic trends, including
recession, rising inflation, rising interest rates, commodity price
increases and fluctuations, commodity shortages and exposure to
economic slowdown; The effects of the evolving nature of the war
situation in Israel, including in
Gaza with the Hamas and in
Lebanon with the Hezbollah;
potential adverse reactions or changes to business relationships
resulting from the completion of the transaction with Siklu, and
ongoing or potential litigations or disputes, incidental to the
conduct of Siklu's business and other risks related to the
integration of Siklu's business into Ceragon business; and such
other risks, uncertainties and other factors that could affect our
results of operation, as further detailed in Ceragon's most recent
Annual Report on Form 20-F , as published on May 1, 2023, and in Ceragon's other filings with
the Securities and Exchange Commission as well as other documents
that may be subsequently filed by Ceragon from time to time with
the SEC
We caution you not to place undue reliance on forward-looking
statements, which speak only as of the date hereof. Ceragon does
not assume any obligation to update any forward-looking statements
in order to reflect events or circumstances that may arise after
the date of this release unless required by law.
Ceragon's public filings are available on the SEC's website at
www.sec.gov and may also be obtained from Ceragon's website at
www.ceragon.com.
Investor & Media Contact:
Rob Fink or Bob
Meyers
FNK IR
Tel. 1+646-809-4048
crnt@fnkir.com
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SOURCE Ceragon Networks Ltd.