Overview

* Vecima reports Q4 revenue of C$68.8 mln, missing analysts' expectations, per LSEG data

* Adjusted EPS for Q4 missed estimates

* Company achieved first revenue from new vCMTS solution in Q4

Outlook

* Vecima expects strong top-line growth in Q1 fiscal 2026

* Company anticipates improved gross margins in fiscal 2026

* Vecima sees fiscal 2026 revenue growth from new technologies

* EN9000 and EN3400 platforms to boost fiscal 2026 revenues

Result Drivers

* VBS SEGMENT - Video and Broadband Solutions segment sales grew 22% QoQ, driven by Entra DAA product deployments

* vCMTS REVENUE - Achieved first revenue from new vCMTS solution, part of Entra Cloud platform

* EN9000 IMPACT - EN9000 platform rollout affected margins due to lower initial implementation phase margins

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q4 Miss C$68.80 C$69.20

Revenue mln mln (2

Analysts

)

Q4 Miss -C$0.05 C$0.1 (2

Adjusted Analysts

EPS )

Q4 EPS -C$0.54

Q4 Net -C$13.20

Income mln

Q4 C$6.70

Adjusted mln

EBITDA

Q4 Gross 27.3%

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"

* The average consensus recommendation for the communications & networking peer group is "buy"

* Wall Street's median 12-month price target for Vecima Networks Inc ( VNWTF ) is C$15.00, about 27% above its September 24 closing price of C$10.95

* The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 7 three months ago

Press Release:

(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.)