Overview

* Vecima Q1 fiscal 2026 revenue of C$71.1 mln beats analyst expectations

* Adjusted EPS for Q1 fiscal 2026 beats consensus, reflecting strong operational performance

* Company reports 71% increase in adjusted EBITDA quarter-over-quarter

Outlook

* Vecima expects solid sales volumes and expanding margins in fiscal 2026

* Company anticipates demand shift due to industry consolidation into early fiscal 2027

* Vecima sees growth driven by DAA and IPTV investments

Result Drivers

* CDS SALES GROWTH - CDS segment sales increased 55% year-over-year and 30% quarter-over-quarter, contributing to revenue growth

* PRODUCT MIX IMPROVEMENT - Gross margin increased due to favorable product mix and reduced foreign exchange volatility

* VCMTS ENGAGEMENT - Significant progress in commercializing vCMTS solution with new customer wins and increased engagements

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q1 Beat C$71.10 C$67.72

Revenue mln mln (2

Analysts

)

Q1 Beat C$0.05 -C$0.09

Adjusted (2

EPS Analysts

)

Q1 EPS C$0.01

Q1 Net C$200,00

Income 0

Q1 C$11.50

Adjusted mln

EBITDA

Q1 Gross 42.10%

Margin

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* Wall Street's median 12-month price target for Vecima Networks Inc ( VNWTF ) is C$16.00, about 37.5% above its November 12 closing price of C$10.00

* The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 15 three months ago

Press Release:

For questions concerning the data in this report, contact [email protected]. For any other questions or feedback, contact .

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)