RADCOM Reports Strong Q3 Growth and Margin Expansion

Radcom ( (RDCM) ) has released its Q3 earnings. Here is a breakdown of the information Radcom presented to its investors.

RADCOM Ltd., a prominent player in the telecommunications sector, specializes in providing advanced, AI-driven assurance solutions that enhance network observability and customer experience. In its latest earnings report, RADCOM announced a 16% year-over-year revenue growth for the third quarter of 2025, driven by the increased adoption of AI and 5G technologies. The company achieved record revenues of $18.4 million and reported its highest operating margin since 2018, alongside a positive cash flow of over $5 million.

Key financial highlights include a GAAP operating income of $2.4 million, marking a significant improvement from the previous year. Non-GAAP operating income rose to $3.8 million, reflecting a robust 20.9% of revenue. The company’s net income also saw a substantial increase, with GAAP net income reaching $3.5 million and non-GAAP net income at $4.9 million. RADCOM’s strategic initiatives, such as securing 1Global as a new customer and launching a high-capacity user analytics solution, underscore its commitment to technological leadership.

For the first nine months of 2025, RADCOM reported total revenues of $52.6 million, a 17.6% increase from the same period in 2024. The company maintained a strong cash position with $106.7 million in cash and cash equivalents, and no debt, highlighting its financial stability. RADCOM’s focus on expanding its customer base and advancing strategic partnerships continues to bolster its market position.

Looking ahead, RADCOM reaffirms its full-year 2025 guidance of 15%-18% year-over-year revenue growth. The company remains optimistic about converting its robust pipeline into revenue and further strengthening its market presence through disciplined execution and strategic collaborations.