Revenue and operating margin have recovered sharply, with operating margin rising from 3.8% in 2025Q4 to 17.6% in 2026Q3, yet the 9.8% quarterly net margin and -12.0% trailing net margin suggest below-the-line items warrant further investigation.
Harmonic Inc. (HLIT) annual income statement — 30-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 502.23M | 360.52M | 678.72M | 607.91M | 624.96M | 507.15M | 378.83M | 402.87M | 403.56M | 358.25M | 405.91M | 377.03M | 433.56M | 461.94M | 530.46M | 549.33M | 423.34M | 319.57M | 364.96M | 311.2M | 247.68M | 257.38M | 248.31M | 182.28M | 186.63M | 203.81M | 263.05M | 184.1M | 83.9M | 74.4M | 60.9M |
| Revenue Growth % | -21% | -46.88% | 11.65% | -2.73% | 23.23% | 33.87% | -5.97% | -0.17% | 12.65% | -11.74% | 7.66% | -13.04% | -6.14% | -12.92% | -3.43% | 29.76% | 32.47% | -12.44% | 17.27% | 25.65% | -3.77% | 3.65% | 36.23% | -2.33% | -8.43% | -22.52% | 42.88% | 119.43% | 12.77% | 22.17% | 55.36% |
| Cost of Goods Sold | 248.03M | 196.86M | 312.8M | 295.36M | 309.07M | 247.41M | 183.83M | 179.86M | 194.35M | 188.43M | 205.16M | 174.31M | 221.21M | 241.5M | 293.91M | 294.82M | 227.94M | 185.21M | 187.43M | 177.13M | 146.24M | 163.43M | 143.81M | 121.67M | 132.2M | 202.25M | 162.22M | 97.2M | 49M | 36.4M | 30.7M |
| COGS % of Revenue | - | 54.6% | 46.09% | 48.59% | 49.46% | 48.78% | 48.53% | 44.64% | 48.16% | 52.6% | 50.54% | 46.23% | 51.02% | 52.28% | 55.41% | 53.67% | 53.84% | 57.96% | 51.36% | 56.92% | 59.04% | 63.5% | 57.92% | 66.75% | 70.84% | 99.24% | 61.67% | 52.8% | 58.4% | 48.92% | 50.41% |
| Gross Profit | 254.21M | 163.66M | 365.92M | 312.55M | 315.88M | 259.74M | 195M | 223.01M | 209.21M | 169.82M | 200.75M | 202.71M | 212.35M | 220.44M | 236.56M | 254.51M | 195.4M | 134.36M | 177.53M | 134.07M | 101.45M | 93.95M | 104.5M | 60.6M | 54.43M | 1.55M | 100.83M | 86.9M | 34.9M | 38M | 30.2M |
| Gross Margin % | 50.62% | 45.4% | 53.91% | 51.41% | 50.54% | 51.22% | 51.47% | 55.36% | 51.84% | 47.4% | 49.46% | 53.77% | 48.98% | 47.72% | 44.59% | 46.33% | 46.16% | 42.04% | 48.64% | 43.08% | 40.96% | 36.5% | 42.08% | 33.25% | 29.16% | 0.76% | 38.33% | 47.2% | 41.6% | 51.08% | 49.59% |
| Gross Profit Growth % | - | -55.27% | 17.08% | -1.06% | 21.61% | 33.2% | -12.56% | 6.6% | 23.19% | -15.41% | -0.97% | -4.54% | -3.67% | -6.81% | -7.06% | 30.25% | 45.43% | -24.32% | 32.41% | 32.16% | 7.98% | -10.09% | 72.43% | 11.34% | 3400.26% | -98.46% | 16.03% | 149% | -8.16% | 25.83% | 53.3% |
| Operating Expenses | 180.2M | 146.63M | 302.79M | 290.37M | 270.37M | 240.93M | 207.45M | 209.93M | 211.3M | 235.39M | 253.18M | 214.29M | 231.16M | 242.05M | 245.86M | 242.74M | 190.26M | 146.4M | 138.23M | 114.82M | 105.17M | 100.99M | 103.06M | 91.15M | 131.78M | 170.34M | 363.74M | 57.9M | 42.8M | 33.5M | 25M |
| OpEx % of Revenue | - | 40.67% | 44.61% | 47.77% | 43.26% | 47.51% | 54.76% | 52.11% | 52.36% | 65.71% | 62.37% | 56.84% | 53.32% | 52.4% | 46.35% | 44.19% | 44.94% | 45.81% | 37.87% | 36.89% | 42.46% | 39.24% | 41.5% | 50.01% | 70.61% | 83.58% | 138.28% | 31.45% | 51.01% | 45.03% | 41.05% |
| Selling, General & Admin | 96.97M | 81.38M | 153.12M | 163.28M | 146.72M | 138.09M | 119.61M | 119.03M | 118.95M | 136.27M | 144.38M | 120.96M | 131.32M | 134.01M | 130.94M | 131.09M | 108.15M | 81.14M | 83.12M | 70.69M | 65.24M | 61.48M | 59.74M | 48.31M | 81.43M | 106.34M | 67.04M | 34.3M | 25M | 18.4M | 13.3M |
| SG&A % of Revenue | - | 22.57% | 22.56% | 26.86% | 23.48% | 27.23% | 31.57% | 29.55% | 29.48% | 38.04% | 35.57% | 32.08% | 30.29% | 29.01% | 24.68% | 23.86% | 25.55% | 25.39% | 22.77% | 22.71% | 26.34% | 23.89% | 24.06% | 26.5% | 43.63% | 52.18% | 25.48% | 18.63% | 29.8% | 24.73% | 21.84% |
| Research & Development | 82.7M | 65.25M | 120.97M | 126.28M | 120.31M | 102.23M | 82.49M | 84.61M | 89.16M | 95.98M | 98.4M | 87.55M | 93.06M | 99.94M | 106.22M | 102.73M | 77.2M | 61.44M | 54.47M | 42.9M | 39.45M | 38.17M | 35.59M | 35.11M | 40.83M | 51.32M | 49.31M | 17.3M | 13.5M | 11.7M | 9.2M |
| R&D % of Revenue | - | 18.1% | 17.82% | 20.77% | 19.25% | 20.16% | 21.78% | 21% | 22.09% | 26.79% | 24.24% | 23.22% | 21.46% | 21.63% | 20.02% | 18.7% | 18.24% | 19.22% | 14.93% | 13.79% | 15.93% | 14.83% | 14.33% | 19.26% | 21.88% | 25.18% | 18.75% | 9.4% | 16.09% | 15.73% | 15.11% |
| Other Operating Expenses | 530K | 0 | 28.69M | 809K | 3.34M | 617K | 5.34M | 6.28M | -536K | -2.22M | -31K | -282K | -356K | -347K | -293K | 8.92M | 4.91M | 3.82M | 639K | 1.23M | 470K | 1.35M | 7.73M | 7.73M | 9.52M | 12.68M | 247.38M | 6.3M | 4.3M | 3.4M | 2.5M |
| Operating Income | 74.01M | 17.03M | 63.14M | 22.17M | 45.52M | 18.81M | -12.45M | 13.08M | -5.01M | -70.88M | -67.04M | -12.95M | -21.57M | -23.02M | -9.31M | 11.77M | 5.14M | -12.04M | 39.3M | 19.26M | -3.72M | -7.04M | 1.44M | -30.55M | -77.35M | -168.79M | -262.91M | 29M | -7.9M | 4.5M | 5.2M |
| Operating Margin % | 14.74% | 4.72% | 9.3% | 3.65% | 7.28% | 3.71% | -3.29% | 3.25% | -1.24% | -19.78% | -16.52% | -3.43% | -4.98% | -4.98% | -1.75% | 2.14% | 1.21% | -3.77% | 10.77% | 6.19% | -1.5% | -2.74% | 0.58% | -16.76% | -41.44% | -82.82% | -99.95% | 15.75% | -9.42% | 6.05% | 8.54% |
| Operating Income Growth % | - | -73.02% | 184.76% | -51.29% | 142.01% | 251.09% | -195.15% | 361.09% | 92.93% | -5.73% | -417.73% | 39.98% | 6.31% | -147.38% | -179.05% | 128.96% | 142.73% | -130.62% | 104.1% | 617.41% | 47.16% | -590.53% | 104.7% | 60.51% | 54.17% | 35.8% | -1006.58% | 467.09% | -275.56% | -13.46% | 36.84% |
| EBITDA | 85.19M | 28.11M | 75.28M | 34.43M | 57.78M | 31.86M | 3.26M | 32.69M | 16.33M | -47.96M | -33.38M | 6.79M | 15.41M | 20.95M | 35.09M | 56.06M | 32.56M | 8.52M | 52.59M | 31.26M | 5.86M | 4.24M | 24.74M | -4.38M | -42.97M | -129.88M | -15.52M | 35.3M | -3.6M | 7.9M | 7.7M |
| EBITDA Margin % | 16.96% | 7.8% | 11.09% | 5.66% | 9.25% | 6.28% | 0.86% | 8.11% | 4.05% | -13.39% | -8.22% | 1.8% | 3.55% | 4.53% | 6.62% | 10.21% | 7.69% | 2.67% | 14.41% | 10.04% | 2.37% | 1.65% | 9.96% | -2.4% | -23.02% | -63.72% | -5.9% | 19.17% | -4.29% | 10.62% | 12.64% |
| EBITDA Growth % | -6.63% | -62.65% | 118.65% | -40.42% | 81.34% | 877.96% | -90.03% | 100.21% | 134.05% | -43.66% | -591.26% | -55.9% | -26.44% | -40.31% | -37.4% | 72.19% | 281.95% | -83.79% | 68.26% | 433.3% | 38.39% | -82.88% | 665.18% | 89.81% | 66.92% | -736.67% | -143.97% | 1080.56% | -145.57% | 2.6% | 37.5% |
| D&A (Non-Cash Add-back) | 11.18M | 11.08M | 12.14M | 12.26M | 12.26M | 13.05M | 15.71M | 19.61M | 21.34M | 22.92M | 33.66M | 19.74M | 36.98M | 43.97M | 44.4M | 44.29M | 27.41M | 20.56M | 13.29M | 12M | 9.58M | 11.28M | 23.3M | 26.17M | 34.38M | 38.91M | 247.38M | 6.3M | 4.3M | 3.4M | 2.5M |
| EBIT | 72.98M | 12.66M | 65.26M | 21.84M | 49.39M | 19.5M | -14.71M | 5.05M | -5.55M | -73.63M | -69.8M | -15.73M | -18.81M | -21.6M | -9.09M | 1.51M | 5.14M | -12.04M | 39.3M | 19.26M | -3.72M | -7.04M | 1.44M | -30.55M | -77.35M | -168.79M | -262.91M | 29M | -7.9M | 4.5M | 5.2M |
| Net Interest Income | -2.33M | -3.8M | -7.33M | -2.7M | -5.04M | -10.63M | -11.51M | -11.65M | -11.4M | -11.08M | -10.63M | -333K | 132K | 219K | 515K | 374K | 1.08M | 3.18M | 9.22M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 231K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 132K | 219K | 515K | 374K | 297K | 2.3M | 6.66M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 2.56M | 3.8M | 7.33M | 2.7M | 5.04M | 10.63M | 11.51M | 11.65M | 11.4M | 11.08M | 10.63M | 333K | 0 | 0 | 0 | 0 | 1.08M | 3.18M | 9.22M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -3.59M | -8.17M | -5.2M | -3.03M | -1.03M | -9.94M | -13.77M | -19.68M | -11.94M | -13.83M | -13.39M | -3.12M | -224K | -128K | 222K | -140K | 297K | 2.3M | 6.66M | 6.26M | 5.34M | 1.75M | 727K | 1.41M | 931K | 1.57M | -1.41B | 2.6M | -13.5M | 700K | 1M |
| Pretax Income | 70.42M | 8.86M | 57.93M | 19.14M | 44.48M | 8.87M | -26.22M | -6.6M | -16.95M | -84.71M | -80.43M | -16.07M | -21.8M | -23.15M | -9.09M | 11.63M | 5.44M | -9.73M | 45.97M | 25.52M | 1.62M | -5.29M | 2.16M | -29.13M | -76.42M | -167.21M | -1.67B | 31.6M | -21.4M | 5.2M | 6.2M |
| Pretax Margin % | 14.02% | 2.46% | 8.54% | 3.15% | 7.12% | 1.75% | -6.92% | -1.64% | -4.2% | -23.64% | -19.81% | -4.26% | -5.03% | -5.01% | -1.71% | 2.12% | 1.28% | -3.05% | 12.6% | 8.2% | 0.65% | -2.06% | 0.87% | -15.98% | -40.95% | -82.04% | -635.85% | 17.16% | -25.51% | 6.99% | 10.18% |
| Income Tax | 23.83M | 7.64M | 18.72M | -64.85M | 16.3M | -4.38M | 3.05M | -672K | 4.09M | -1.75M | -8.12M | -407K | 24.45M | -44.74M | 1.85M | 2.85M | 9.77M | 14.4M | -18.02M | 2.1M | 609K | 437K | 589K | 300K | 500K | -806K | -18.57M | 7.9M | 13.6M | 300K | 300K |
| Effective Tax Rate % | 33.84% | 86.28% | 32.31% | -338.82% | 36.65% | -49.41% | -11.65% | 10.19% | -24.11% | 2.07% | 10.09% | 2.53% | -112.2% | 193.25% | -20.39% | 24.53% | 179.7% | -147.96% | -39.21% | 8.23% | 37.69% | -8.25% | 27.23% | -1.03% | -0.65% | 0.48% | 1.11% | 25% | -63.55% | 5.77% | 4.84% |
| Net Income | -35.19M | -43.31M | 39.22M | 83.99M | 28.18M | 13.25M | -29.27M | -5.92M | -21.04M | -82.95M | -72.31M | -15.66M | -46.25M | 37.03M | -10.94M | 8.78M | -4.33M | -24.14M | 63.99M | 23.42M | 1.01M | -5.73M | 1.57M | -29.43M | -76.92M | -166.41M | -1.65B | 23.7M | -21.5M | 4.9M | 5.9M |
| Net Margin % | -7.01% | -12.01% | 5.78% | 13.82% | 4.51% | 2.61% | -7.73% | -1.47% | -5.21% | -23.16% | -17.82% | -4.15% | -10.67% | 8.02% | -2.06% | 1.6% | -1.02% | -7.55% | 17.53% | 7.53% | 0.41% | -2.23% | 0.63% | -16.15% | -41.21% | -81.65% | -628.79% | 12.87% | -25.63% | 6.59% | 9.69% |
| Net Income Growth % | -170.92% | -210.44% | -53.31% | 198.04% | 112.63% | 145.28% | -394.11% | 71.84% | 74.64% | -14.71% | -361.75% | 66.14% | -224.9% | 438.55% | -224.58% | 302.51% | 82.04% | -137.72% | 173.22% | 2225.82% | 117.57% | -464.1% | 105.35% | 61.73% | 53.78% | 89.94% | -7078.94% | 210.23% | -538.78% | -16.95% | 43.9% |
| Net Income (Continuing) | 46.59M | 1.22M | 39.22M | 83.99M | 28.18M | 13.25M | -29.27M | -5.92M | -21.04M | -82.95M | -72.31M | -15.66M | -46.25M | 21.59M | -16.19M | 2.02M | -4.33M | -24.14M | 63.99M | 23.42M | 1.01M | -5.73M | 1.57M | -29.43M | -76.92M | -166.41M | -1.65B | 23.7M | -21.5M | 4.9M | 5.9M |
| Discontinued Operations | -4M | -44.53M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 15.44M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.32 | -0.38 | 0.33 | 0.72 | 0.25 | 0.12 | -0.30 | -0.07 | -0.25 | -1.02 | -0.93 | -0.18 | -0.50 | 0.34 | -0.09 | 0.08 | -0.04 | -0.25 | 0.67 | 0.28 | 0.01 | -0.08 | 0.02 | -0.47 | -1.29 | -2.84 | -34.06 | 0.76 | -0.46 | 0.11 | 0.26 |
| EPS Growth % | -170.79% | -215.15% | -54.17% | 188% | 108.33% | 140% | -328.57% | 72% | 75.49% | -9.68% | -416.67% | 64% | -247.06% | 462.09% | -217.38% | 287.35% | 82.92% | -137.31% | 139.29% | 2700% | 112.79% | -491% | 104.26% | 63.57% | 54.58% | 91.66% | -4581.58% | 265.22% | -518.18% | -57.69% | 160% |
| EPS (Basic) | - | -0.38 | 0.34 | 0.75 | 0.27 | 0.13 | -0.30 | -0.07 | -0.25 | -1.02 | -0.93 | -0.18 | -0.50 | 0.35 | -0.09 | 0.08 | -0.04 | -0.25 | 0.68 | 0.29 | 0.01 | -0.08 | 0.02 | -0.47 | -1.29 | -2.84 | -34.06 | 0.84 | -0.46 | 0.12 | 0.26 |
| Diluted Shares Outstanding | 110.26M | 114.18M | 117.48M | 117.36M | 112.38M | 106.17M | 96.97M | 89.58M | 85.61M | 80.97M | 77.7M | 87.51M | 92.51M | 107.81M | 116.46M | 116.43M | 101.49M | 95.83M | 95.43M | 83.25M | 75.18M | 73.28M | 73.04M | 62.29M | 59.78M | 58.54M | 48.56M | 30.97M | 46.49M | 20.83M | 22.95M |
| Basic Shares Outstanding | 109.11M | 113.66M | 115.12M | 111.65M | 105.08M | 101.48M | 96.97M | 89.58M | 85.61M | 80.97M | 77.7M | 87.01M | 92.5M | 106.53M | 115.64M | 115.17M | 101.49M | 95.83M | 94.53M | 81.88M | 74.64M | 73.28M | 72.02M | 62.29M | 59.78M | 58.54M | 48.56M | 28.29M | 46.49M | 20.83M | 22.95M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying HLIT stock.
For fiscal year 2025, Harmonic Inc. (HLIT) reported total revenue of $360.5M. This represents a 492.0% increase compared to $60.9M in 1996.
Harmonic Inc. (HLIT) reported a net loss of $43.3M for the fiscal year ending 2025.
Harmonic Inc. (HLIT) reported an operating income of $17.0M, resulting in an operating profit margin of 4.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Harmonic Inc. (HLIT) generated $163.7M in gross profit for the year, representing a gross profit margin of 45.4%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Lumpy Cable Operator Demand
Metrics are mathematically derived from official filings.
Recovery Emerging From Deep Trough
Based on the reported quarterly figures, HLIT's revenue rebounded from $98.2M in 2025Q4 to $148.8M in 2026Q3, a 64% year-over-year gain that suggests the cyclical trough may be behind the company.
The trailing decline of roughly 46.9% still dominates the annual picture, so the recovery appears early-stage rather than fully restored. The sequential strength in Rest-of-Market revenue points to broadening demand, though investors should monitor whether this momentum survives beyond a single driver.
Gross Margin Holds Above 51%
As reported in recent financial statements, HLIT's gross margin has stayed between 51.8% and 52.4% across the last three quarters, indicating pricing and mix have held steady through the revenue swing.
This stability suggests the software-weighted mix is cushioning hardware cost pressure, though the blended figure may conceal a shifting split between licenses and hardware. Margin durability will depend on whether Video SaaS growth offsets lower-margin DAA node sales during the upcoming deployment cycle.
Operating Leverage Returns Post-Trough
Based on reported figures, HLIT's operating margin climbed from 3.8% in 2025Q4 to 17.6% in 2026Q3 as SG&A held near $22-27M while gross profit rose sharply.
Operating income scaling faster than gross profit in recent quarters suggests the fixed-cost base is absorbing incremental revenue efficiently. Whether this pattern persists depends on whether operating expenses remain controlled if revenue returns toward the prior-year peak levels.
Net Income Lags Operating Strength
According to reported figures, HLIT posted a 17.6% operating margin in 2026Q3 yet only a 9.8% net margin, and trailing net margin remains negative at -12.0%, warranting scrutiny of below-the-line items.
The gap between operating and net income may reflect interest, tax, or other non-operating charges that the supplied data does not decompose. Investors should monitor whether net income converts consistently from operating gains before treating the margin recovery as durable.
Guidance Implies Limited Sequential Growth
Based on management's forward guidance of $141M-$151M against the latest $148.8M quarter, the midpoint suggests little incremental sequential growth, which may temper the headline beat.
A flat-to-modest guide after a strong quarter could indicate conservative planning or early normalization in cable operator spending. If Rest-of-Market momentum fades, the trailing deterioration in revenue and ROE of -10.2% may prove harder to reverse than current quarterly results imply.