By Connor Hart
Shares of Ribbon Communications fell after the company issued a downbeat outlook for the current quarter, after narrowing its loss and notching slightly higher revenue in the third quarter.
The stock sank 16% on Thursday, to $3.36. Shares are down 15% since the beginning of the year.
The company, which supplies communications technology and IP optical networking solutions, late Wednesday posted a third-quarter loss of $12.1 million, or 7 cents a share, compared with a loss of $13.4 million, or 8 cents a share, a year earlier.
Stripping out certain one-time items, adjusted earnings came in at 4 cents a share. Analysts surveyed by FactSet had expected adjusted earnings of 6 cents a share.
Revenue rose 2.4% to $215.4 million but missed the $220.1 million that Wall Street modeled.
Chief Executive Bruce McClelland said the federal government shutdown had a minor impact on the company's cloud & edge unit.
For the current quarter, Ribbon guided for adjusted earnings before interest, taxes, depreciation and amortization, which strip out exceptional and other one-off items, of $42 million to $48 million on revenue of $230 million to $250 million. Analysts were looking for adjusted Ebitda of $59.5 million on revenue of $255 million.
Write to Connor Hart at connor.hart@wsj.com
(END) Dow Jones Newswires
October 23, 2025 13:17 ET (17:17 GMT)
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