Canada's Vecima Networks Q3 revenue rises on video and broadband solutions growth

Vecima Networks

14/05/2026 11:08

Overview

Canada broadband and video solutions provider's fiscal Q3 revenue rose 1% yr/yr but missed analyst expectations

Adjusted EPS for fiscal Q3 met analyst expectations

Company raised calendar 2026 revenue growth outlook to 22.5%-30% amid robust demand

Outlook

Vecima raises calendar 2026 revenue growth outlook to 22.5%-30% from 20%-30%

Company expects adjusted EBITDA margins to exceed 20% in calendar 2026

Vecima forecasts adjusted EBITDA growth of 74%-85% for calendar 2026 vs calendar 2025

Result Drivers

VIDEO AND BROADBAND SOLUTIONS - Co said segment sales rose 9.6% yr/yr, driven by robust demand for fiber-to-the-home access products, which became a key part of product mix

CONTENT DELIVERY AND STORAGE - Segment revenue declined 24.1% yr/yr, which co attributed to timing of orders and projects

OPERATIONAL EFFICIENCIES - Co said improved margins were due to operational efficiencies and product mix

Company press release: ID:nBwRg55Xa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
C$64.80 mln
C$73.05 mln (2 Analysts)
Q3 Adjusted EPS
Meet
C$0.06
C$0.06 (3 Analysts)
Q3 EPS
-C$0.01
Q3 Net Income
-C$246,000
Q3 Adjusted EBITDA
C$11.30 mln
Q3 Gross Margin
47.30%


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 Vecima Networks Inc is C$18.00, about 34.6% above its May 13 closing price of C$13.37

The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 15 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.)