Allot Ltd (ALLT)

Allot First Quarter 2026 Results: Revenue Growth Accelerates to 14% YoY with Increased MarginsMay 12, 2026 6:30 AM
PR Newswire (US) Recurring Revenue Reaches 67% of Total RevenueHOD HASHARON, Israel, May 12, 2026 /PRNewswire/ -- Allot Ltd. (NASDAQ: ALLT) (TASE: ALLT), a leading global provider of innovative Security-as-a-Service (SECaaS) and network intelligence solutions for communications service providers and enterprises, today announced its unaudited financial results for the first quarter of 2026. Financial Highlights for the First Quarter of 2026Revenues of $26.4 million, up 14% year-over-year;Security as a Service (SECaaS) revenues of $8.7 million, increasing 71% year-over-year;March 2026 SECaaS ARR* of $33.7 million, up 59% year-over-year;GAAP operating income of $1.5 million, compared with an operating loss of $0.7 million in the first quarter of 2025;Non-GAAP operating income of $2.6 million, compared with $0.4 million in the first quarter of 2025;Record operating cash flow of $10.6 million.Management CommentEyal Harari, CEO of Allot, commented, "We are pleased to report a strong start to 2026, with revenues increasing 14% year-over-year, marking our third consecutive quarter of double-digit revenue growth. Our success was driven by a robust expansion in our cybersecurity business, resulting in meaningful improvements in margins and profit, as well as record operating cash flow."Mr. Harari continued, "Our cybersecurity segment remains the primary engine of growth and drove Recurring Revenues** to over 67% of total revenue in the quarter. Strong organic growth in SECaaS revenues and ARR reflects increasing adoption of telco-provided cybersecurity services powered by Allot and provides us with strong visibility into continued double-digit growth for the full year."Concluded Mr. Harari, "Looking ahead, we reaffirm our 2026 revenue guidance of $113 million to $117 million, with continued profitability improvements throughout the year. Following a strong first quarter we feel increasingly confident toward the upper end of that range and furthermore, we now have the strong visibility ahead to predict 40% or more SECaaS revenue growth in 2026."First Quarter 2026 Financial Results SummaryTotal revenues for the first quarter of 2026 were $26.4 million, a 14% increase year-over-year compared with $23.2 million in the first quarter of 2025.Gross profit on a GAAP basis for the first quarter of 2026 was $18.7 million (gross margin of 70.9%), a 17% increase compared with $16.0 million (gross margin of 69.3%) in the first quarter of 2025.Gross profit on a non-GAAP basis for the first quarter of 2026 was $18.8 million (gross margin of 71.3%), a 16% increase compared with $16.3 million (gross margin of 70.4%) in the first quarter of 2025.Operating income on a GAAP basis for the first quarter of 2026 was $1.5 million (operating margin of 5.8%), compared with an operating loss of $0.7 million in the first quarter of 2025.Operating income on a non-GAAP basis for the first quarter of 2026 was $2.6 million (operating margin of 9.9%), compared with $0.4 million (operating margin of 1.8%) in the first quarter of 2025.Net income on a GAAP basis for the first quarter of 2026 was $1.9 million, or $0.04 per diluted share, compared with a net loss of $0.3 million, or $0.01 loss per basic share, in the first quarter of 2025.Net income on a non-GAAP basis for the first quarter of 2026 was $3.1 million, or $0.06 income per diluted share, compared with $0.8 million, or $0.02 per diluted share, in the first quarter of 2025.Operating cash flow generated in the quarter was $10.6 million compared with $1.7 million in the first quarter of 2025.Cash and cash equivalents, bank deposits, restricted deposits and investments as of March 31, 2026, totaled $98 million, compared with $88 million as of December 31, 2025.Conference Call & Webcast:The Allot management team will host a conference call to discuss its first quarter 2026 earnings results today, May 12, 2026 at 8:00 am ET, 3:00 pm Israel time. To access the conference call, please dial one of the following numbers:US: 1-888-668-9141, UK: 0-800-917-5108, Israel: +972-3-918-0699A live webcast and, following the end of the call, an archive of the conference call, will be accessible on the Allot website at: https://investors.allot.com/ About AllotAllot Ltd. (NASDAQ: ALLT) (TASE: ALLT) is a leading provider of innovative converged cybersecurity solutions and network intelligence offerings for service providers and enterprises worldwide. Allot enhances value to its customers' customers through its solutions, which are deployed globally for network-native cybersecurity services, network and application analytics, traffic control and shaping, and more. Allot's multi-service platforms are deployed by over 500 mobile, fixed and cloud service providers and over 1000 enterprises. Our industry-leading network-native security-as-a-service solution is already used by many millions of subscribers globally.For more information, visit www.allot.comPerformance Metrics* SECaaS ARR – measures the current annual recurring SECaaS revenues, which is calculated based on estimated revenues for the month of March 2026 and multiplied by 12.** Recuring Revenues - measures the current recurring support & maintenance revenues, plus the current SECaaS recuring revenues.GAAP to Non-GAAP Reconciliation:The Company presents non–GAAP financial measures that adjust GAAP results to exclude items that management considers not reflective of the Company's ongoing operational performance. Non-GAAP gross profit is defined as GAAP gross profit excluding share-based compensation expenses, amortization of intangible assets and acquisition–related expenses. Non-GAAP operating income is defined as GAAP net operating excluding primarily share-based compensation expenses, amortization of intangible assets and acquisition–related expenses. Non-GAAP net income is defined as GAAP net income excluding primarily share-based compensation expenses, amortization of intangible assets, acquisition–related and other non–recurring expenses, financial income or expenses related to exchange rate differences and changes in tax-related items.These non-GAAP measures should be considered in addition to, and not as a substitute for, comparable GAAP measures. The non-GAAP results and a full reconciliation between GAAP and non-GAAP results are presented below. The Company provides these non-GAAP financial measures because it believes they present a better measure of the Company's core business and management uses the non-GAAP measures internally to evaluate the Company's ongoing performance. Accordingly, the Company believes they are useful to investors in enhancing an understanding of the Company's operating performance.
Safe Harbor StatementThis release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this release that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding our expected financial performance and operational performance including, revenue, recurring revenue, SECaaS revenues and profitability growth, as well as statements that include the words "expect," "intend," "plan," "believe," "project," "forecast," "estimate," "may," "should," "anticipate" and similar statements of a future or forward-looking nature. These forward-looking statements express the current beliefs and expectations of Company management. Such statements involve a number of known and unknown risks and uncertainties that could cause our future results, performance or achievements to differ significantly from the results, performance or achievements set forth in such forward-looking statements. Important factors that could cause or contribute to such differences include risks relating to: our accounts receivables, including our ability to collect outstanding accounts and assess their collectability on a quarterly basis; our ability to meet expectations with respect to our financial guidance and outlook; our ability to compete successfully with other companies offering competing technologies; the loss of one or more significant customers; consolidation of, and strategic alliances by, our competitors; government regulation; the timing of completion of key project milestones which impact the timing of our revenue recognition; lower demand for key value-added services; our ability to keep pace with advances in technology and to add new features and value-added services; managing lengthy sales cycles; operational risks associated with large projects; our dependence on third party channel partners for a material portion of our revenues; and other factors discussed under the heading "Risk Factors" in the Company's annual report on Form 20-F for the fiscal year 2025, filed with the Securities and Exchange Commission as such factors may be updated from time to time in our other filings with the SEC, which are accessible on the SEC's website at www.sec.gov. Accordingly, you should not rely upon forward-looking statements as predictions of future events. Additionally, the forward-looking statements are made only as of the date hereof, and the company undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.Investor Relations Contact:EK Global Investor RelationsEhud Helft+1 212 378 8040allot@ekgir.com Public Relations Contact:Seth Greenberg, Allot Ltd.+972 54 922 2294sgreenberg@allot.com ALLOT LTD.AND ITS SUBSIDIARIESCONSOLIDATED  BALANCE  SHEETS(U.S. dollars in thousands)

March 31,
December 31,

2026
2025


ASSETS



CURRENT ASSETS:



Cash and cash equivalents
$                   13,116
$                17,107Restricted deposit
3,199
3,573Short-term bank deposits
21,800
15,100Available-for-sale marketable securities
59,299
48,663Trade receivables, net (net of allowance for credit losses of
$9,388 and $9,611 on March 31, 2026 and December 31,
2025 , respectively)
20,544
17,451Other receivables and prepaid expenses
10,105
9,906Inventories
15,756
13,180Total current assets
143,819
124,980




NON-CURRENT ASSETS:



Severance pay fund
$                        301
$                     295Restricted deposit
701
3,327Operating lease right-of-use assets
5,237
5,518Other assets 
1,040
732Property and equipment, net
5,736
6,014Goodwill
31,833
31,833Total non-current assets
44,848
47,719




Total assets
$                  188,667
$              172,699




LIABILITIES AND SHAREHOLDERS' EQUITY



CURRENT LIABILITIES:



Trade payables
$                     1,440
$                     938Employees and payroll accruals
7,907
9,254Deferred revenues
38,085
24,700Short-term operating lease liabilities
1,146
348Other payables and accrued expenses
11,669
11,919Total current liabilities
60,247
47,159




LONG-TERM LIABILITIES:



Deferred revenues
$                      7,495
$                  5,912Long-term operating lease liabilities
4,726
5,392Accrued severance pay
863
886Total long-term liabilities
13,084
12,190




SHAREHOLDERS' EQUITY
115,336
113,350




Total liabilities and shareholders' equity
$                  188,667
$              172,699 ALLOT LTD.AND ITS SUBSIDIARIESCONSOLIDATED STATEMENTS OF OPERATIONS(U.S. dollars in thousands, except share and per share data)






Three Months Ended


March 31,


2026
2025







Revenues$            26,425
$            23,150

Cost of revenues7,684
7,103

Gross profit  18,741
16,047







Operating expenses:




Research and development costs, net6,282
5,991

Sales and marketing7,823
7,338

General and administrative3,108
3,427

Total operating expenses17,213
16,756







Operating income (loss)1,528
(709)

Financial income, net785
673

Income (loss) before tax2,313
(36)

Income tax expenses370
296

Net income (loss)$             1,943
$               (332)







Income (loss) per share




 Basic$               0.04
$              (0.01)







 Diluted$               0.04
$              (0.01)







Weighted average shares outstanding




 Basic48,777,078
39,620,521

 Diluted49,893,370
39,620,521

 ALLOT LTD.AND ITS SUBSIDIARIESCONSOLIDATED STATEMENTS OF CASH FLOWS (U.S. dollars in thousands)





Three Months Ended

March 31,

2026
2025





Cash flows from operating activities:








Net income (loss)$          1,943
$           (332)
Adjustments to reconcile net income (loss) to net cash used in operating activities:



Depreciation and amortization659
1,346
Share-based compensation1,094
981
Capital loss -
255
Loss (Gain) of foreign exchange on cash and cash equivalents 20
(10)
Changes in operating assets and liabilities:



Decrease in accrued severance pay, net(29)
(4)
(Increase) Decrease in other assets, other receivables and prepaid expenses(1,434)
1,424
Increase  in accrued interest and amortization of premium on available-for sale marketable securities(234)
(341)
Decrease (Increase) in operating leases liability132
(143)
Decrease in operating lease right-of-use asset281
304
Increase in trade receivables(3,093)
(2,752)
(Increase) Decrease in inventories(2,576)
418
Increase in trade payables502
75
Decrease in employees and payroll accruals(1,347)
(2,212)
Increase in deferred revenues14,968
2,263
(Increase) Decrease in other payables and accrued expenses(311)
403





Net cash provided by operating activities$        10,575
$          1,675





Cash flows from investing activities:








Decrease in restricted deposit$          3,000
$             303
Investment in short-term bank deposits(10,500)
(8,700)
Withdrawal of short-term bank deposits3,800
7,250
Purchase of property and equipment(381)
(281)
Investment in marketable securities(29,965)
(28,976)
Proceeds from redemption or sale of marketable securities19,500
22,400





Net cash used in investing activities$       (14,546)
$         (8,004)





Cash flows from financing activities:








Proceeds from exercise of stock options$                  -
$             238
Net cash provided by financing activities$                  -
$             238





Effect of exchange rate changes on cash and cash equivalents(20)
10





Increase (Decrease) in cash and cash equivalents(3,991)
(6,081)
Cash, cash equivalents at the beginning of the period17,107
16,142





Cash, cash equivalents at the end of the period$        13,116
$        10,061





Non-cash activities:



ROU asset and lease liability decrease, due to lease termination$                  -
$              (71)
 ALLOT LTD.AND ITS SUBSIDIARIESRECONCILIATION OF GAAP TO NON-GAAP  CONSOLIDATED  STATEMENTS  OF  OPERATIONS(U.S. dollars in thousands, except per share data)







Three Months Ended


March 31,


2026
2025


(Unaudited)






GAAP cost of revenues$          7,684
$          7,103
 Share-based compensation (105)
(94)
 Amortization of intangible assets -
(152)
Non-GAAP cost of revenues$          7,579
$          6,857






 GAAP gross profit $        18,741
$        16,047
 Share-based compensation 105
94
 Amortization of intangible assets 

152
 Non-GAAP gross profit $        18,846
$        16,293






 GAAP operating expenses $        17,213
$        16,756
 Share-based compensation  - Research and development costs, net  (191)
(242)
 Share-based compensation - Sales and marketing (397)
(305)
 Share-based compensation - General and administrative (401)
(340)
 Non-GAAP operating expenses $        16,224
$        15,869






 GAAP operating Income (Loss) $          1,528
$           (709)
 Share-based compensation 1,094
1,039
 Amortization of intangible assets 

94
 Non-GAAP operating Income $          2,622
$            424






 GAAP Net income (Loss) $          1,943
$           (332)
 Share-based compensation 1,094
981
 Amortization of intangible assets -
152
 Exchange rate differences* (22)
(61)
 Changes in tax related items 
43
45
 Non-GAAP Net income  $          3,058
$            785






 Non-GAAP income (loss) per share 



 Basic  
$            0.06
$           0.02
 Diluted  
$            0.06
$           0.02












Weighted average shares outstanding



 Basic  
48,777,078
39,620,521
 Diluted  
50,966,541
42,880,655






* Financial income or expenses related to exchange rate differences in connection with revaluation of assets and
liabilities in non-dollar denominated currencies. 

 Other financial metrics (Unaudited)U.S. dollars in millions, except top 10 customers as a % of revenues and number of
shares


Q1-26
FY 2025
FY 2024
Revenues geographic breakdown







Americas
3.815 %19.119 %14.215 %
EMEA
15.960 %63.762 %54.059 %
Asia Pacific
6.725 %19.219 %24.026 %


26.4100 %102.0100 %92.2100 %








Revenues breakdown by type






SECaaS (Security as a Service)8.733 %26.826 %16.518 %
Products & Professional Services
8.633 %39.338 %38.442 %
Support & Maintenance9.134 %35.936 %37.340 %


26.4100 %102.0100 %92.2100 %








Top 10 customers as a %  of  revenues
46 %
41 %
43 %

 
SECaaS (Security as a Service) revenues- U.S. dollars in millions (Unaudited)


















Q1-20268.7








Q4-2025:8.1








Q3-2025:7.3








Q2-2025:6.4








Q1-2025:5.1



















SECaaS ARR* - U.S. dollars in millions (Unaudited)


















Mar. 2026:33.7








Dec. 2025:30.8








Dec. 2024:18.2








Dec. 2023:12.7





























 Logo - https://mma.prnewswire.com/media/703889/Allot_Logo.jpg View original content to download multimedia:https://www.prnewswire.com/news-releases/allot-first-quarter-2026-results-revenue-growth-accelerates-to-14-yoy-with-increased-margins-302769377.htmlSOURCE Allot Ltd. Original: Allot First Quarter 2026 Results: Revenue Growth Accelerates to 14% YoY with Increased Margins

Allot Announces Fourth Quarter 2025 Financial ResultsFebruary 25, 2026 6:30 AM
PR Newswire (US)

69% YoY SECaaS ARR growth in 2025, with strong revenue growth and record profitabilityGuiding for revenue growth acceleration to $113-$117 million in 2026HOD HASHARON, Israel, Feb. 25, 2026 /PRNewswire/ -- Allot Ltd. (NASDAQ: ALLT) (TASE: ALLT), a leading global provider of innovative Security-as-a-Service (SECaaS) and network intelligence solutions for communications service providers and enterprises, today announced its unaudited financial results for the fourth quarter and full year of 2025.  Financial Highlights for the Fourth Quarter of 2025Revenues of $28.4 million, up 14% year over year;December 2025 SECaaS ARR* of $30.8 million, up 69% year-over-year;GAAP operating profit of $2.6 million, compared with $0.3 million in Q4 2024;Non-GAAP operating profit of $3.6 million, a 101% increase compared with $1.8 million in Q4 2024;Strong positive operating cash flow of $8.1 million, 99% increase year-over-year;$88 million of total cash**, and no debt;Financial Highlights for 2025Revenues of $102.0 million, up 11% year over year;GAAP operating profit of $3.6 million; compared with a loss of $6.0 million in 2024Non-GAAP operating profit of $8.9 million, a significant improvement compared with $0.6 million in 2024;Strong positive operating cash flow of $17.8 million;Management CommentEyal Harari, CEO of Allot, commented, "We are very pleased with our turnaround and continued strong improvements throughout 2025. For the year, we drove double-digit revenue growth, our highest profit in over a decade, and strong operating cash flow. Our growth was primarily driven by continued excellent performance from our cybersecurity solutions."Mr. Harari continued, "We are advancing strongly with our cybersecurity-first strategy and developing products that bring together cybersecurity and network intelligence into a single, integrated solution. As the global AI transformation continues to accelerate, AI-driven threats and new attack surface are increasing the demand for our always-on, zero-effort security embedded in the network. Allot's advantages are resonating with customers, clearly differentiating us in the market and driving meaningful growth."Concluded Mr. Harari, "Given the continued growth in our cybersecurity business, strong visibility, and a solid backlog, our momentum is set to continue. In 2026, we expect SECaaS to deliver robust double-digit ARR growth and guiding for revenues to grow to between $113 and $117 million, with continued profitability improvements."Fourth Quarter 2025 Financial Results SummaryTotal revenues for the fourth quarter of 2025 were $28.4 million, a 14% increase year-over-year compared with $24.9 million in the fourth quarter of 2024.Gross profit on a GAAP basis for the fourth quarter of 2025 was $20.3 million (gross margin of 71.5%), a 19% increase compared with $17.1 million (gross margin of 68.5%) in the fourth quarter of 2024. Gross profit on a non-GAAP basis for the fourth quarter of 2025 was $20.4 million (gross margin of 71.9%), an 18% increase compared with $17.4 million (gross margin of 69.7%) in the fourth quarter of 2024.Operating income on a GAAP basis for the fourth quarter of 2025 was $2.6 million (operating margin of 9.1%), compared with $0.3 million (operating margin of 1.3%) in the fourth quarter of 2024.Operating income on a non-GAAP basis for the fourth quarter of 2025 was $3.6 million (operating margin of 12.7%), compared with an operating income of $1.8 million (operating margin of 7.2%) in the fourth quarter of 2024. Net income on a GAAP basis for the fourth quarter of 2025 was $2.9 million, or $0.06 per diluted share, compared with $0.2 million, or $0.01 per diluted share, in the fourth quarter of 2024.Net income on a non-GAAP basis for the fourth quarter of 2025 was $4.1 million, or income of $0.08 per diluted share, compared to the non-GAAP net income of $2.0 million, or income of $0.05 per diluted share, in the fourth quarter of 2024.Operating cash flow generated in the quarter was $8.1 million.Full Year 2025 Financial Results SummaryTotal revenues for 2025 were $102.0 million, an 11% increase compared to $92.2 million in 2024.Gross profit on a GAAP basis for 2025 was $72.6 million (gross margin of 71.1%), a 14% increase compared with $63.7 million (gross margin of 69.1%) in 2024.Gross profit on a non-GAAP basis for 2025 was $73.4 million (gross margin of 72.0%), a 13% year-over-year growth compared with $65.1 million (gross margin of 70.6%) in 2024.Operating income on a GAAP basis for 2025 was $3.6 million (operating margin of 3.5%), compared with a loss of $6.0 million in 2024.Operating income on a non-GAAP basis for 2025 was $8.9 million (operating margin of 8.8%), compared with an operating income of $0.6 million (operating margin of 0.7%) in 2024.Net income on a GAAP basis for 2025 was $3.7 million, or $0.08 per diluted share, compared with a net loss of $5.9 million, or $0.15 per basic share, in 2024.Net income on a non-GAAP basis for 2025 was $10.9 million, or $0.23 income per diluted share, compared with $1.6 million, or $0.04 per diluted share in 2024.Operating cash flow generated in 2025 was $17.8 million.Cash and cash equivalents, bank deposits, restricted deposits and investments as of December 31, 2025, totaled $88 million, an increase of $29 million versus $59 million cash and cash equivalents, bank deposits, restricted deposits and investment as of December 31, 2024. As of December 31, 2025, the company has no debt.Conference Call & Webcast:The Allot management team will host a conference call to discuss its fourth quarter and full year 2025 earnings results today, February 25, 2026 at 9:00 am ET, 4:00 pm Israel time. To access the conference call, please dial one of the following numbers:US: 1-888-668-9141, UK: 0-800-917-5108, Israel: +972-3-918-0644A live webcast and, following the end of the call, an archive of the conference call, will be accessible on the Allot website at: http://investors.allot.com/index.cfm About AllotAllot Ltd. (NASDAQ: ALLT) (TASE: ALLT) is a leading provider of innovative converged cybersecurity solutions and network intelligence offerings for service providers and enterprises worldwide. Allot enhances value to its customers' customers through its solutions, which are deployed globally for network-native cybersecurity services, network and application analytics, traffic control and shaping, and more. Allot's multi-service platforms are deployed by over 500 mobile, fixed and cloud service providers and over 1000 enterprises. Our industry-leading network-native security-as-a-service solution is already used by many millions of subscribers globally.For more information, visit www.allot.com Performance Metrics* SECaaS ARR – measures the current annual recurring SECaaS revenues, which is calculated based on estimated revenues for the month of December 2025 and multiplied by 12.** Total cash - cash and cash equivalents, bank deposits, restricted deposits and investments.GAAP to Non-GAAP Reconciliation:The difference between GAAP and non-GAAP revenues is related to the acquisitions made by the Company and represents revenues adjusted for the impact of the fair value adjustment to acquired deferred revenue related to purchase accounting. Non-GAAP net income is defined as GAAP net income after including deferred revenues related to the fair value adjustment resulting from purchase accounting and excluding stock-based compensation expenses, amortization of acquisition-related intangible assets, deferred tax asset adjustment and changes in taxes-related items.These non-GAAP measures should be considered in addition to, and not as a substitute for, comparable GAAP measures. The non-GAAP results and a full reconciliation between GAAP and non-GAAP results is provided in the accompanying Table 2. The Company provides these non-GAAP financial measures because management uses the non-GAAP measures internally to evaluate the Company's ongoing performance. Accordingly, the Company believes they are useful to investors in enhancing an understanding of the Company's operating performance.Safe Harbor StatementThis release contains forward-looking statements, which express the current beliefs and expectations of Company management. Such statements involve a number of known and unknown risks and uncertainties that could cause our future results, performance or achievements to differ significantly from the results, performance or achievements set forth in such forward-looking statements. Important factors that could cause or contribute to such differences include risks relating to: our accounts receivables, including our ability to collect outstanding accounts and assess their collectability on a quarterly basis; our ability to meet expectations with respect to our financial guidance and outlook; our ability to compete successfully with other companies offering competing technologies; the loss of one or more significant customers; consolidation of, and strategic alliances by, our competitors; government regulation; the timing of completion of key project milestones which impact the timing of our revenue recognition; lower demand for key value-added services; our ability to keep pace with advances in technology and to add new features and value-added services; managing lengthy sales cycles; operational risks associated with large projects; our dependence on fourth party channel partners for a material portion of our revenues; and other factors discussed under the heading "Risk Factors" in the Company's annual report on Form 20-F filed with the Securities and Exchange Commission. Forward-looking statements in this release are made pursuant to the safe harbor provisions contained in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made only as of the date hereof, and the company undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.Logo: https://mma.prnewswire.com/media/703889/Allot_Logo.jpgInvestor Relations Contact:
EK Global Investor Relations
Ehud Helft
+1 212 378 8040
allot@ekgir.com Public Relations Contact:
Seth Greenberg, Allot Ltd.
+972 54 922 2294
sgreenberg@allot.com   TABLE  - 1ALLOT LTD.AND ITS SUBSIDIARIESCONSOLIDATED STATEMENTS OF OPERATIONS(U.S. dollars in thousands, except share and per share data)









Three Months Ended

Year Ended 
December 31,

December 31,
2025
2024

2025
2024
(Unaudited)

(Unaudited)
(Audited)








Revenues$            28,387
$          24,906

$        101,993
$           92,195Cost of revenues8,079
7,853

29,441
$           28,505Gross profit  20,308
17,053

72,552
$           63,690








Operating expenses:







Research and development costs, net5,755
5,715

24,496
26,112Sales and marketing8,072
7,508

30,819
30,908General and administrative3,911
3,518

13,633
12,684Total operating expenses17,738
16,741

68,948
69,704Operating income (loss)2,570
312

3,604
(6,014)Loss from extinguishment-
-

(1,410)
-Other income-
-

100
-Gain on sales of securities-
-

193
-Financial income, net742
368

2,451
1,910Income (loss) before income tax benefit3,312
680

4,938
(4,104)








Income tax expenses410
439

1,233
1,765Net income (loss)$              2,902
$               241

$            3,705
$           (5,869)








 Basic net income (loss) per share$                0.06
$              0.01

$              0.08
$             (0.15)

















 Diluted net income (loss) per share$                0.06
$              0.01

$              0.08
$             (0.15)








Weighted average number of shares used in 







computing basic net income (loss) per share48,528,584
39,379,254

44,070,008
38,928,475








Weighted average number of shares used in 







computing diluted net income (loss) per share49,853,533
41,772,402

46,184,989
38,928,475






   
TABLE  - 2
ALLOT LTD.
AND ITS SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP  CONSOLIDATED  STATEMENTS  OF  OPERATIONS
(U.S. dollars in thousands, except per share data)












Three Months Ended
Year Ended


December 31,
December 31,


2025
2024
2025
2024


(Unaudited)
(Unaudited)
GAAP cost of revenues$           8,079
$          7,853
$       29,441
$       28,505
 Share-based compensation (1) (99)
(148)
(564)
(779)
 Amortization of intangible assets (2) -
(152)
(305)
(608)
Non-GAAP cost of revenues$           7,980
$          7,553
$       28,572
$       27,118










 GAAP gross profit $        20,308
$        17,053
$       72,552
$       63,690
 Gross profit adjustments 99
300
869
1,387
 Non-GAAP gross profit $        20,407
$        17,353
$       73,421
$       65,077










 GAAP operating expenses $        17,738
$        16,741
$       68,948
$       69,704
 Share-based compensation (1) (929)
(1,176)
(4,453)
(5,261)
 Non-GAAP operating expenses $        16,809
$        15,565
$       64,495
$       64,443










 GAAP Loss from extinguishment $                 -
$                -
$       (1,410)
$                -
 Loss from extinguishment -
-
1,410
-
 Non-GAAP Loss from extinguishment $                 -
$                -
$                -
$                -










 GAAP financial income $              742
$             368
$         2,451
$         1,910
 Exchange rate differences* (40)
159
119
502
 Non-GAAP Financial income $              702
$             527
$         2,570
$         2,412










 GAAP taxes on income $              410
$             439
$         1,233
$         1,765
 Changes in tax related items (225)
(130)
(375)
(352)
 Non-GAAP taxes on income $              185
$             309
$            858
$         1,413










 GAAP Net income (Loss) $           2,902
$             241
$         3,705
$       (5,869)
 Share-based compensation (1) 1,028
1,324
5,018
6,040
 Amortization of intangible assets (2) -
152
305
608
 Loss from extinguishment 
-
-
1,410
-
 Exchange rate differences* (40)
159
119
502
 Changes in tax related items 
225
130
375
352
 Non-GAAP Net income  $           4,115
$          2,006
$       10,931
$         1,633










 GAAP Net income (loss) per share (diluted) $             0.06
$            0.01
$           0.08
$         (0.15)
 Share-based compensation 0.02
0.03
0.11
0.16
 Amortization of intangible assets -
-
0.01
0.02
 Loss from extinguishment -
-
0.03
-
 Exchange rate differences* -
0.01
-
0.01
 Non-GAAP Net income per share (diluted) $             0.08
$            0.05
$           0.23
$           0.04


-
-
-
-






-


Weighted average number of shares used in 48,528,584
39,379,254
44,070,008
38,928,475
computing GAAP diluted net income per share



























Weighted average number of shares used in 50,913,796
42,560,457
47,181,673
42,289,637
computing non-GAAP diluted net income per share

















* Financial income or expenses related to exchange rate differences in connection
with revaluation of assets and liabilities in non-dollar denominated currencies. 












   
TABLE  - 2 cont.
ALLOT LTD.
AND ITS SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP  CONSOLIDATED  STATEMENTS  OF  OPERATIONS
(U.S. dollars in thousands, except per share data)












Three Months Ended
Year Ended


December 31,
December 31,


2025
2024
2025
2024


(Unaudited)
(Unaudited)










(1) Share-based compensation:








Cost of revenues$                99
$             148
$            564
$            779

Research and development costs, net190
301
1,213
1,988

Sales and marketing334
310
1,571
1,855

General and administrative405
565
1,670
1,418


$           1,028
$          1,324
$         5,018
$         6,040










 (2) Amortization of intangible assets 








Cost of revenues$                 -
$             152
$            305
$            608

Sales and marketing









$                 -
$             152
$            305
$            608









   TABLE  - 3ALLOT LTD.AND ITS SUBSIDIARIESCONSOLIDATED  BALANCE  SHEETS(U.S. dollars in thousands)











December 31,
December 31,

2025
2024

(Unaudited)
(Audited)


ASSETS



CURRENT ASSETS:



Cash and cash equivalents
$                     17,107
$                 16,142Restricted deposit
3,573
904Short-term bank deposits
15,100
15,250Available-for-sale marketable securities
48,663
26,470Trade receivables, net (net of allowance for credit losses of
$9,611 and $25,306 on December 31, 2025 and December
31, 2024 , respectively)
17,451
16,482Other receivables and prepaid expenses
9,906
6,317Inventories
13,180
8,611Total current assets
124,980
90,176




NON-CURRENT ASSETS:



Severance pay fund
$                          295
$                       464Restricted deposit
3,327
279Operating lease right-of-use assets
5,518
6,741Other assets 
732
2,151Property and equipment, net
6,014
7,692Intangible assets, net
-
305Goodwill
31,833
31,833Total non-current assets
47,719
49,465




Total assets
$                  172,699
$               139,641




LIABILITIES AND SHAREHOLDERS' EQUITY



CURRENT LIABILITIES:



Trade payables
$                          938
$                       946Employees and payroll accruals
9,254
8,208Deferred revenues
24,700
17,054Short-term operating lease liabilities
348
562Other payables and accrued expenses
11,919
9,200Total current liabilities
47,159
35,970




LONG-TERM LIABILITIES:



Deferred revenues
5,912
7,136Long-term operating lease liabilities
5,392
5,807Accrued severance pay
886
946Convertible debt
-
39,973Total long-term liabilities
12,190
53,862




SHAREHOLDERS' EQUITY
113,350
49,809




Total liabilities and shareholders' equity
$                  172,699
$               139,641




   TABLE  - 4ALLOT LTD.AND ITS SUBSIDIARIESCONSOLIDATED STATEMENTS OF CASH FLOWS (U.S. dollars in thousands)








Three Months Ended
Year Ended
December 31,
December 31,
2025
2024
2025
2024
(Unaudited)
(Unaudited)
(Audited)







Cash flows from operating activities:














Net income (loss)$          2,902
$          241
$          3,705
$          (5,869)Adjustments to reconcile net loss to net cash used in operating activities:






Depreciation and amortization794
2,348
4,048
6,424Share-based compensation1,029
1,324
5,018
6,040Capital loss -
-
255
-Loss from extinguishment-
-
1,410
-Other income-
-
(100)
-Gain on sales of securities-
-
(193)
-Changes in operating assets and liabilities:






Decrease (Increase)  in accrued severance pay, net(8)
(48)
109
(203)Decrease (Increase) in other assets, other receivables
and prepaid expenses2,063
(274)
(135)
702Decrease  in accrued interest and amortization of premium
on available-for sale marketable securities(309)
(223)
(1,215)
(1,392)Decrease in operating leases liability(533)
(545)
(546)
(1,644)Decrease in operating lease right-of-use asset269
325
1,140
2,174Decrease (Increase) in trade receivables3,363
888
(969)
(1,654)Decrease (Increase) in inventories1,028
1,438
(4,569)
3,263Increase in trade payables(6,260)
(2,178)
(8)
(24)Increase (Decrease) in employees and payroll accruals(371)
(1,798)
1,046
(4,358)Increase in deferred revenues3,466
3,265
6,422
1,861Increase (Decrease) in other payables and accrued expenses813
(684)
2,938
(494)Gain of foreign exchange on cash and cash equivalents (112)
-
(565)
-







Net cash provided by operating activities8,134
4,079
17,791
4,826







Cash flows from investing activities:














Decrease (Increase) in restricted deposit(6,070)
-
(5,717)
703Investment in short-term bank deposits(12,800)
(15,250)
(45,350)
(24,550)Withdrawal of short-term bank deposits14,500
5,500
45,500
19,300Purchase of property and equipment(1,504)
(445)
(2,293)
(2,117)Investment in marketable securities(14,022)
(16,719)
(113,669)
(61,003)Proceeds from redemption or sale of marketable securities4,525
10,750
92,902
64,790Proceeds from sale of patent-
-
100
-Net cash used in investing activities(15,371)
(16,164)
(28,527)
(2,877)







Cash flows from financing activities:














Issuance of share capital-
-
42,308
-Proceeds from exercise of stock options-
1
238
1Redemption of convertible debt-
-
(31,410)
-Net cash provided by  financing activities-
1
11,136
1







Effect of exchange rate changes on cash and cash equivalents112
-
565
-







Increase (Decrease) in cash and cash equivalents(7,125)
(12,084)
965
1,950Cash, cash equivalents at the beginning of the period24,232
28,226
16,142
14,192







Cash, cash equivalents at the end of the period$        17,107
$     16,142
$        17,107
$          16,142







Non-cash activities:






ROU asset and lease liability decrease, due to lease termination-
-
(83)
-Redemption of convertible debt-
-
(10,000)
-Right-of-use assets obtained in the exchange for operating lease liabilities-
63
-
5,858























   Other financial metrics (Unaudited)
U.S. dollars in millions, except top 10 customers as a % of revenues and number of shares 






















Q4-25
FY 2025
FY 2024
Revenues geographic breakdown






Americas
4.215 %19.119 %14.215 %
EMEA
18.264 %63.762 %54.059 %
Asia Pacific
6.021 %19.219 %24.026 %


28.4100 %102.0100 %92.2100 %








Revenues breakdown by type






SECaaS (Security as a Service)8.128 %26.826 %16.518 %
Products
8.430 %31.130 %30.133 %
Professional Services2.910 %8.28 %8.39 %
Support & Maintenance9.032 %35.936 %37.340 %


28.4100 %102.0100 %92.2100 %








Top 10 customers as a %  of  revenues46 %
41 %
43 %









Non-GAAP Weighted average number of basic shares
(in millions)48.5
44.1
38.9















Non-GAAP weighted average number of fully diluted shares
(in millions)50.9
47.2
42.3


   SECaaS (Security as a Service) revenues - U.S. dollars in millions (Unaudited)











Q4-2025:8.1






Q3-2025:7.3






Q2-2025:6.4






Q1-2025:5.1






Q4-2024:4.8















SECaaS ARR* - U.S. dollars in millions (Unaudited)














Dec. 2025:30.8






Dec. 2024:18.2






Dec. 2023:12.7






Dec. 2022:9.2
























   



View original content:https://www.prnewswire.com/news-releases/allot-announces-fourth-quarter-2025-financial-results-302696870.htmlSOURCE Allot Ltd.

Original: Allot Announces Fourth Quarter 2025 Financial Results

ALLT

ALLT BREAK OUT

ALLT under $3

This morning, model portfolio holding Allot Communications (ALLT:Nasdaq), announced it has received a multimillion dollar order from a U.S.-based, multinational cloud provider for its deep-packet inspection-enabled service gateway solution. The stock was recently trading 12% higher on the news to $14.09

I bought some today at 14, it has fallen to a 16 month low. The charts show that it has quickly rebounded after these dips.
I do not day trade so this is a buy and hold for me into the 18-20 retracement range.

Very glad I sold on the open 21.755 ALLT just not cutting it, wasn't sure which way it was going was hopeful of a bounce.

Nice time to average down, filling 21.36 another 300 shares. I likey this company very nice things to come here. Cheers

I'm soaking 300 more up here 21.85

This company is a great play as there aren't many in the sector to match. It's under the radar at the moment, excellent growth.

Time to load some more right here 21.75 very nice bottom coming in for $23+

Very nice action here today, this thing moves quick with ease. 22.75 not out of the question today. We're getting some legs here excellent!

30mil float by the way hence the gaps, excellent moves here from the blast yesterday. I've been playing this one since June. last earnings were actually rather nice check it folks.

Loading up 21.60-75

Allot is a great mover, not a huge amount of volume but it moves fast. This company is in the right place at the right time.