Netgear Expects Q2 Revenue Of $150 Mln: $165 mln

NetGear

29/04/2026 21:26

Overview

U.S. networking equipment maker's Q1 revenue fell 2% yr/yr; adjusted EPS improved

Company achieved record gross margin, led by Enterprise segment and supply chain discipline

Company repurchased $20 mln in shares during the quarter

Outlook

NETGEAR expects Q2 net revenue between $150 mln and $165 mln

Company sees Q2 GAAP operating margin of (8.4)% to (5.4)% and non-GAAP margin of (1.0)% to 2.0%

Company expects Q2 Service Provider and related products revenue around $18 mln, down about 33% from Q2 2025

Result Drivers

ENTERPRISE SEGMENT - Growth in ProAV solutions and new service offerings drove Enterprise revenue

SUPPLY CHAIN DISCIPLINE - Tighter supply chain management supported margin improvement

SUBSCRIPTION REVENUE - Growth in recurring services and subscriptions contributed to higher Consumer gross margin

Company press release: ID:nBw9Qfj0Ya

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$158.82 mln
$152.49 mln (2 Analysts)
Q1 Adjusted EPS
Beat
$0.06
-$0.04 (2 Analysts)
Q1 Net Income
-$13.04 mln
Q1 Gross Margin
40.50%
Q1 Gross Profit
$64.30 mln
Q1 Operating Income
-$13.59 mln
Q1 Operating Margin
-8.60%
Q1 Pretax Profit
-$12.01 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "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 NETGEAR Inc is $36.00, about 44.6% above its April 28 closing price of $24.89

The stock recently traded at 97 times the next 12-month earnings vs. a P/E of 98 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)