Harmonic reported Nov. 2, 2026, that third-quarter revenue from continuing operations rose 64% from a year earlier to $148.8 million. The broadband equipment and software company also lifted its annual revenue outlook, while management described supply purchases and rising component costs as operating priorities.
This Rapid News Brief separates reported quarterly performance from management’s expectations for the remainder of the year.
Growth after the Video business sale
Harmonic’s earnings release covers the quarter ended Oct. 2. Continuing operations produced $26.2 million in GAAP operating profit, compared with $4 million a year earlier. The company forecast full-year revenue of $545 million to $555 million; that is guidance, not completed sales.
The comparison excludes the Video business sold to MediaKind in June. In its August results, Harmonic reported $133.5 million of second-quarter broadband revenue and a $505 million to $525 million annual broadband revenue forecast. The new outlook therefore represents an increase from that earlier range on the continuing-business basis.
The August release also reported $587.6 million in backlog and deferred revenue. The latest release puts that combined measure at $534 million, up from the prior year but lower than the second quarter. Backlog is not the same thing as revenue already recognized.
Demand and working capital need separate readings
On the earnings call, Chief Financial Officer Walter Jankovic said quarterly free cash flow was negative $5.1 million, partly because inventory and receivables increased, according to the published transcript. He said Harmonic was buying memory and other supplies to support growth and secure availability.
Jankovic also said the company expected component-cost pressures to persist into 2027 and planned to pass increases to customers where appropriate. That was management’s plan, not a report that customers had accepted every proposed increase.
For network operators evaluating suppliers, the results present two different signals: expanding broadband sales and the cash requirements of supplying that growth. Neither revenue growth alone nor one quarter’s cash flow establishes future delivery performance or pricing.