Ribbon’s shares rose 7.4% following Q2 results that showed stronger-than-expected bookings and sequential revenue growth, particularly driven by record demand in the IP Optical segment and expanding U.S. enterprise opportunities.
- Revenue grew 18% sequentially to $192 million, with product and service revenue up 28% sequentially excluding maintenance.
- IP Optical segment bookings reached an all-time high with a book-to-bill ratio of 1.6x, driving a backlog increase of over 60% year-to-date.
- Strong U.S. market growth contributed to improved margins, with IP Optical Apollo solution revenue up over 70% sequentially.
- Cloud & Edge segment showed year-over-year declines due to lower Verizon sales but improved margins sequentially driven by a higher mix of product revenue.
- Ribbon secured a significant partnership with Salesforce to support AI-powered contact center deployments, highlighting new market opportunities.
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