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ADTRAN Holdings, Inc. reports preliminary fourth quarter and full-year 2024 financial results

1. ADTRAN reports Q4 revenue of $242.9 million, up 7% sequentially. 2. Gross and operating margins improved, exceeding outlook expectations.

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FAQ

Why Bullish?

The sequential revenue increase and improved margins suggest strong financial health, positively influencing investor sentiment. Historical patterns indicate that exceeding revenue expectations typically leads to short-term price gains.

How important is it?

The reported financial performance indicates growth potential, which is likely to attract investor interest and affect stock price. Positive earnings releases are crucial for a tech company like ADTRAN to maintain market confidence.

Why Short Term?

Positive quarterly results often drive immediate market reactions, reflecting investor optimism in the short term. Similar past performance results have led to increased stock prices shortly after earnings releases.

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HUNTSVILLE, Ala.--(BUSINESS WIRE)--ADTRAN Holdings, Inc. (NASDAQ: ADTN and FSE: QH9) (“ADTRAN Holdings” or the “Company”) today announced its preliminary unaudited financial results for the fourth quarter and full-year ended December 31, 2024. Revenue: $242.9 million, up 7% sequentially and above the mid-point of outlook. Gross margin: GAAP gross margin: 37.6%; non-GAAP gross margin: 42.0%. Operating margin: improved sequentially on a GAAP and non-GAAP basis, above the mid-point of outlook. GAA.

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