Ceragon Networks nearly doubled its EPS estimate in Q3 2026

Ceragon Networks reported adjusted earnings of $0.07 per share for the third quarter of 2026, nearly doubling the consensus estimate of $0.036. That 94% beat stands as the company's most profitable quarter in two years, a meaningful step change for a stock carrying a $183 million market cap.

Revenue came in at $95.5 million, a touch above the $94.4 million analyst target and up roughly 12% from the year-ago quarter. Two forces drove that growth: persistently strong demand out of India, where network modernization spending by major operators continued, and a sequential rebound in North America as Tier 1 carrier activity picked back up and a richer software mix pushed non-GAAP gross margin to 36.4%.

Operating cash flow rose 75% to $14.1 million, and the company used some of that financial flexibility to cut short-term debt sharply, with short-term loans falling to $7 million from $19 million at year-end 2025. Non-GAAP operating income climbed to $8.08 million from $5.33 million a year earlier.

Management set full-year 2026 revenue guidance at $365 million to $375 million and expects non-GAAP operating margin between 5% and 6%. CEO Doron Arazi was notably direct about 2027, pointing to E-band solutions gaining traction in EMEA, expanding opportunities in North American network architectures, and early private-network wins that management believes can be replicated across new customers and use cases.

Ceragon drifted between $0.01 and $0.03 per share across the previous five quarters, making the $0.07 result a clear inflection point. Whether the India demand holds and the North America rebound proves durable are the two variables most worth monitoring heading into the fourth quarter.