AudioCodes Ltd【AUDC】株式ニュース

AudioCodes Reports First Quarter 2026 ResultsMay 5, 2026 2:00 AM
PR Newswire (US) OR YEHUDA, Israel, May 5, 2026 /PRNewswire/ -- First Quarter HighlightsQuarterly revenues increased by 2.9% year-over-year to $62.1 million;Quarterly services revenues increased by 4.3% year-over-year to $34.0 million;GAAP results:Quarterly GAAP gross margin was 66.2%;Quarterly GAAP operating margin was 5.4%;Quarterly GAAP net income was $2.0 million, or $0.07 per diluted share.Non-GAAP results:Quarterly Non-GAAP gross margin was 66.3%;Quarterly Non-GAAP operating margin was 7.7%;Quarterly Non-GAAP net income was $3.8 million, or $0.14 per diluted share;Net cash provided by operating activities was $12.8 million for the quarter.AudioCodes repurchased 1,740,329 of its ordinary shares during the quarter at an aggregate cost of $13.7 million.DetailsAudioCodes (NASDAQ: AUDC) (the "Company"), a global leader in enterprise voice and VoiceAI business solutions, today announced its financial results for the first quarter ended March 31, 2026.Revenues for the first quarter of 2026 were $62.1 million compared to $60.4 million for the first quarter of 2025.Net income was $2.0 million, or $0.07 per diluted share, for the first quarter of 2026 compared to net income of $4.0 million, or $0.13 per diluted share, for the first quarter of 2025.On a Non-GAAP basis, net income was $3.8 million, or $0.14 per diluted share, for the first quarter of 2026 compared to $4.7 million, or $0.15 per diluted share, for the first quarter of 2025.Non-GAAP net income excludes: (i) share-based compensation expenses; (ii) amortization expenses related to intangible assets; and (iii) financial income (expenses) related to exchange rate differences in connection with revaluation of assets and liabilities in non-dollar denominated currencies. Non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating income and non-GAAP operating margin exclude: (i) share-based compensation expenses and (ii) amortization expenses related to intangible assets. Reconciliations of the non-GAAP measures to their most directly comparable GAAP measures are provided in the tables that accompany the condensed consolidated financial statements contained in this press release.Net cash provided by operating activities was $12.8 million for the first quarter of 2026. Cash and cash equivalents, short-term bank deposits, short-term marketable securities, and long-term financial investments were $68.1 million as of March 31, 2026 compared to $75.7 million as of December 31, 2025. The decrease in cash and cash equivalents, short-term bank deposits, short-term marketable securities and long-term financial investments was the result of the use of cash for the continued repurchasing of the Company's ordinary shares pursuant to its share repurchase program and the payment of a cash dividend during the quarter. This was partially offset by cash generated from operating activities."I am pleased to announce strong financial results for the first quarter of 2026, reflecting effective execution of our strategic initiatives. In the first quarter of 2026, we made important progress in our transformation into an AI-driven hybrid cloud software and services organization," stated Shabtai Adlersberg, President and Chief Executive Officer of AudioCodes.The first-quarter results were propelled by sustained momentum across our two principal growth pillars: the Live suite of managed services for UCaaS and CX, alongside our Conversational AI (CAI) business. Collectively, these segments advanced Annual Recurring Revenue (ARR) to $80 million, marking an increase of nearly 20% compared to the year ago period. Conversational AI business grew by over 50% year-over-year, underscoring extensive demand for our Voice AI portfolio. Voca CIC, our Teams-certified contact center solution, achieved record revenues for the quarter. Additionally, our VAIC and Live Hub products secured significant new client acquisitions and expansions within the existing customer base, driven by the rising adoption of virtual agent and agent assist applications.Meeting Insights, our enterprise-grade cloud meeting intelligence platform, continues to experience substantial interest and increasing opportunities. The On-Prem version of Meeting Insights has also witnessed growing demand, fueled by the need for edge computing solutions, which provides enhanced control of data sovereignty, improved service availability, and cost reduction."We have seen continued strong positive operational cash flow. We believe that our increased investments in the Voice AI market will prove beneficial to our business expansion in the coming years. Overall, we achieved our operational and financial targets through maintaining budgetary and managerial discipline. The ongoing investments in Live services and Voice AI have significantly contributed to our current success and position us favorably for continued healthy top-line growth throughout the remainder of 2026," concluded Mr. Adlersberg.Share Buy Back Program and Cash DividendIn October 2025, the Company received court approval in Israel to purchase up to an aggregate amount of $25 million of ordinary shares. The court approval also permits AudioCodes to declare a dividend out of any part of this amount. The approval was valid through April 27, 2026.On February 3, 2026, the Company declared a cash dividend of 20 cents per share. The dividend, in the aggregate amount of approximately $5.3 million, was paid on March 6, 2026, to all of the Company's shareholders of record on February 20, 2026.During the quarter ended March 31, 2026, the Company acquired 1,740,329 of its ordinary shares under its share repurchase program for a total consideration of $13.7 million.As of March 31, 2026, the Company had $1.6 million available under this approval for the repurchase of shares and/or declaration of cash dividends.As of March 31, 2026, the total outstanding shares of the Company are 25,453,614.Conference Call & Web Cast InformationAudioCodes will conduct a conference call at 8:30 A.M., Eastern Time today to discuss the Company's first quarter of 2026 operating performance, financial results and outlook. Interested parties may participate in the conference call by dialing one of the following numbers:United States Participants: 888-506-0062International Participants: +1 (973) 528-0011The conference call will also be simultaneously webcast. Investors are invited to listen to the call live via webcast at the AudioCodes investor website at http://www.audiocodes.com/investors-lobby.Follow AudioCodes' social media channels:AudioCodes invites you to join our online community and follow us on: AudioCodes Voice Blog, LinkedIn, X, Facebook, and YouTube.About AudioCodesAudioCodes Ltd. (NASDAQ: AUDC) (TASE: AUDC) is a global leader in enterprise voice and VoiceAI business solutions. We help organizations unlock the full value of voice, transforming every conversation, whether human or AI, into a strategic asset that drives better business outcomes. Our portfolio spans voice connectivity, unified communications and contact center integration, and next-generation voice AI applications that enhance collaboration, automate workflows and deliver real-time insights. With over 30 years of global experience and trusted by 65 of the Fortune 100, AudioCodes powers the intelligent enterprise, connecting people, platforms and data to move business forward.For more information on AudioCodes, visit http://www.audiocodes.com.Statements concerning AudioCodes' business outlook or future economic performance, product introductions and plans and objectives related thereto, and statements concerning assumptions made or expectations as to any future events, conditions, performance or other matters, are "forward-looking statements'' as that term is defined under U.S. federal securities laws. Forward-looking statements are subject to various risks, uncertainties and other factors that could cause actual results to differ materially from those stated in such statements. These risks, uncertainties and factors include, but are not limited to, the following: the effect of global economic conditions in general and conditions in AudioCodes' industry and target markets in particular, including governmental undertakings to address such conditions; shifts in supply and demand; market acceptance of new products and the demand for existing products; the impact of competitive products and pricing on AudioCodes' and its customers' products and markets; timely product and technology development, upgrades, the advent of artificial intelligence and the ability to manage changes in market conditions and evolving regulatory regimes, as applicable; possible need for additional financing; the ability to satisfy covenants in AudioCodes' financing agreements; possible impacts and disruptions from AudioCodes' acquisitions, including the ability of AudioCodes to successfully integrate the products and operations of acquired companies into AudioCodes' business; possible adverse impacts attributable to any pandemic or other public health crisis on our business and results of operations; the effects of the current and any future hostilities involving Israel, including in the regions in which we or our counterparties operate, which may affect our operations and may limit our ability to produce and sell our solutions; any disruption in our operations by the obligations of our personnel to perform military service as a result of current or future military actions involving Israel; and any other factors described in AudioCodes' filings made with the U.S. Securities and Exchange Commission from time to time. AudioCodes assumes no obligation to update the information in this release.©2026 AudioCodes Ltd. All rights reserved. AudioCodes, AC, HD VoIP, HD VoIP Sounds Better, IPmedia, Mediant, MediaPack, What's Inside Matters, OSN, SmartTAP, User Management Pack, VMAS, VoIPerfect, VoIPerfectHD, Your Gateway To VoIP, 3GX, AudioCodes One Voice, AudioCodes Meeting Insights, and AudioCodes Room Experience are trademarks or registered trademarks of AudioCodes Limited. All other products or trademarks are property of their respective owners. Product specifications are subject to change without notice. AUDIOCODES LTD. AND ITS SUBSIDIARIESCONDENSED CONSOLIDATED BALANCE SHEETSU.S. dollars in thousands
March 31,
December 31,
2026
2025
(Unaudited)
(Unaudited)ASSETS

CURRENT ASSETS:

Cash and cash equivalents $ 40,928
$ 45,282Short-term bank deposits242
239Short-term marketable securities 24,426
27,350Trade receivables, net56,596
67,358Other receivables and prepaid expenses 19,431
19,064Inventories 22,940
22,032Total current assets164,563
181,325

LONG-TERM ASSETS:

Long-term Trade receivables$ 14,161
$ 13,065Long-term financial investments2,490
2,790Deferred tax assets 7,217
7,773Operating lease right-of-use assets29,433
30,077Severance pay funds 21,124
21,163Total long-term assets74,425
74,868

PROPERTY AND EQUIPMENT, NET29,111
29,248

GOODWILL, INTANGIBLE ASSETS AND OTHER, NET37,568
37,579

Total assets$ 305,667
$ 323,020

LIABILITIES AND SHAREHOLDERS' EQUITY

CURRENT LIABILITIES:

Trade payables7,659
6,416Other payables and accrued expenses26,020
30,284Deferred revenues41,786
38,243Short-term operating lease liabilities 6,544
6,635Total current liabilities82,009
81,578

LONG-TERM LIABILITIES:

Accrued severance pay$ 17,987
$ 18,278Deferred revenues and other liabilities 20,730
20,517Long-term operating lease liabilities 30,841
31,348Total long-term liabilities69,558
70,143

Total shareholders' equity154,100
171,299Total liabilities and shareholders' equity$ 305,667
$ 323,020 AUDIOCODES LTD. AND ITS SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENTS OF OPERATIONSU.S. dollars in thousands, except per share data

Three months ended

March 31,

2026
2025

(Unaudited)Revenues:

Products
$ 28,130
$ 27,775Services
34,013
32,599Total Revenues
62,143
60,374Cost of revenues:

Products
9,911
11,017Services
11,107
10,223Total Cost of revenues
21,018
21,240Gross profit
41,125
39,134Operating expenses:

Research and development, net
14,058
13,026Selling and marketing
19,680
18,561General and administrative
4,023
3,902Total operating expenses
37,761
35,489Operating income
3,364
3,645Financial income (expenses), net
(382)
1,716Income before taxes on income
2,982
5,361Taxes on income, net
(1,029)
(1,345)Net income
$ 1,953
$ 4,016Basic net earnings per share
$ 0.07
$ 0.14Diluted net earnings per share
$ 0.07
$ 0.13Weighted average number of shares used in computing basic net earnings
per share (in thousands)
26,468
29,528Weighted average number of shares used in computing diluted net
earnings per share (in thousands)
26,891
30,045 AUDIOCODES LTD. AND ITS SUBSIDIARIESRECONCILIATION OF GAAP TO NON-GAAP RESULTSU.S. dollars in thousands, except per share data

Three months ended

March 31,

2026
2025

(Unaudited)

Gross profit
$ 41,125
$ 39,134Gross margin
66.2 %
64.8 %Share-based compensation (1)
78
95Amortization expenses (2)
-
122Non-GAAP gross profit
41,203
39,351Non-GAAP gross margin
66.3 %
65.2 %

Operating income
$ 3,364
$ 3,645Operating margin
5.4 %
6.0 %Share-based compensation (1)
1,389
1,588Amortization expenses (2)
11
133Non-GAAP operating income
4,764
5,366Non-GAAP operating margin
7.7 %
8.9 %

Net income
$ 1,953
$ 4,016Net earnings per share
$ 0.07
$ 0.13Share-based compensation (1)
1,389
1,588Amortization expenses (2)
11
133Exchange rate differences (3)
408
(1,035)Non-GAAP net income
$ 3,761
$ 4,702Non-GAAP diluted net earnings per share
$ 0.14
$ 0.15Weighted average number of shares used in computing Non-GAAP
diluted net earnings per share (in thousands)
27,719
30,725
(1) Share-based compensation expenses related to options and restricted share units granted to employees and others.
(2) Amortization expenses related to intangible assets.
(3) Financial income (expenses) related to exchange rate differences in connection with revaluation of assets and liabilities in non-dollar denominated
currencies. Note: Non-GAAP measures should be considered in addition to, and not as a substitute for, the results prepared in accordance with GAAP. The Company believes that non-GAAP information is useful because it can enhance the understanding of its ongoing economic performance and therefore uses internally this non-GAAP information to evaluate and manage its operations. The Company has chosen to provide this information to investors to enable them to perform comparisons of operating results in a manner similar to how the Company analyzes its operating results and because many comparable companies report this type of information.
The non-GAAP measures used by the Company may not be comparable to similarly titled non-GAAP measures used by other companies. AUDIOCODES LTD. AND ITS SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENT OF CASH FLOWSU.S. dollars in thousands

Three months ended

March 31,

2026
2025

(Unaudited)Cash flows from operating activities:

Net income
$ 1,953
$ 4,016Adjustments required to reconcile net income to net cash provided by
operating activities:

Depreciation and amortization
1,081
954Amortization of marketable securities premiums and accretion of
discounts, net
78
104Decrease (increase) in accrued severance pay, net
(252)
133Share-based compensation expenses
1,389
1,588Decrease in deferred tax assets, net
525
619Cash financial loss (income), net
239
53Decrease in operating lease right-of-use assets
1,206
746Decrease in operating lease liabilities
(1,160)
(1,543)Decrease in trade receivables, net
9,666
786Decrease (increase) in other receivables and prepaid expenses
(367)
2,383Decrease (increase) in inventories
(955)
2,855Increase (decrease) in trade payables
1,614
(1,289)Decrease in other payables and accrued expenses
(6,159)
(2,595)Increase in deferred revenues
3,963
4,647Net cash provided by (used in) operating activities
12,821
13,457Cash flows from investing activities:

Proceeds from short-term deposits
(3)
1Proceeds from financial investment
34
113Proceeds from maturity of marketable securities
3,000
3,200Purchase of financial investments
-
(442)Purchase of property and equipment
(1,245)
(1,474) Net cash provided by (used in) investing activities
1,786
1,398 AUDIOCODES LTD. AND ITS SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENT OF CASH FLOWSU.S. dollars in thousands

Three months ended

March 31,

2026
2025

(Unaudited)Cash flows from financing activities:

Purchase of treasury shares
(13,672)
(5,208)Cash dividends paid to shareholders
(5,289)
(5,326)Proceeds from issuance of shares upon exercise of options
-
63Net cash used in financing activities
(18,961)
(10,471)

Net increase (decrease) in cash, cash equivalents
(4,354)
4,384Cash, cash equivalents at beginning of period
45,282
58,749Cash, cash equivalents at end of period
$ 40,928
$ 63,133 Company Contacts

Niran Baruch,
Chief Financial Officer
AudioCodes
Tel: +972-3-976-4000
niran.baruch@audiocodes.com
Roger L. Chuchen
VP, Investor Relations
AudioCodes
Tel: 732-764-2552
roger.chuchen@audiocodes.com Logo - https://mma.prnewswire.com/media/2391462/5953001/audiocodes_Logo.jpg View original content to download multimedia:https://www.prnewswire.com/news-releases/audiocodes-reports-first-quarter-2026-results-302762234.htmlSOURCE AudioCodes Original: AudioCodes Reports First Quarter 2026 Results

AudioCodes Reports Fourth Quarter and Full Year 2025 Results and Declares Semi-Annual Dividend of 20 cents per shareFebruary 3, 2026 2:00 AM
PR Newswire (US)

OR YEHUDA, Israel, Feb. 3, 2026 /PRNewswire/ --Fourth Quarter and Full Year 2025 HighlightsQuarterly revenues increased by 1.7% year-over-year to $62.6 million;
Full year 2025 revenue increased by 1.4% to $245.6 million.Quarterly services revenues increased by 1.0% year-over-year to $34.6 million;
Full year 2025 services revenues increased by 0.4% to $130.7 million.GAAP results:
Quarterly GAAP gross margin was 65.6%;Quarterly GAAP operating margin was 6.0%;Quarterly GAAP EBITDA was $4.9 million;Quarterly GAAP net income was $1.9 million, or $0.07 per diluted share; andFull year 2025 GAAP net income was $9.0 million, or $0.31 per diluted share.Non-GAAP results:
Quarterly Non-GAAP gross margin was 65.9%;Quarterly Non-GAAP operating margin was 8.6%;Quarterly Non-GAAP EBITDA was $6.5 million;Quarterly Non-GAAP net income was $4.5 million, or $0.16 per diluted share; andFull year 2025 Non-GAAP net income was $18.1 million, or $0.61 per diluted share.Net cash provided by operating activities was $4.1 million for the quarter and $29.4 million for the full year 2025.AudioCodes repurchased 667,193 of its ordinary shares during the quarter at an aggregate cost of $6.1 million.DetailsAudioCodes (NASDAQ: AUDC), a global leader in enterprise voice and VoiceAI business solutions, today announced its financial results for the fourth quarter and full year period ended December 31, 2025.Revenues for the fourth quarter of 2025 were $62.6 million compared to $61.6 million for the fourth quarter of 2024. Revenues were $245.6 million in 2025 compared to $242.2 million in 2024.EBITDA for the fourth quarter of 2025 was $4.9 million compared to $5.2 million for the fourth quarter of 2024. EBITDA was $18.3 million in 2025 compared to $21.1 million in 2024.On a Non-GAAP basis, EBITDA for the fourth quarter of 2025 was $6.5 million compared to $8.5 million for the fourth quarter of 2024. EBITDA was $24.8 million in 2025 compared to $31.4 million in 2024.Net income was $1.9 million, or $0.07 per diluted share, for the fourth quarter of 2025 compared to net income of $6.8 million, or $0.22 per diluted share, for the fourth quarter of 2024. Net income was $9.0 million, or $0.31 per diluted share in 2025, compared to $15.3 million, or $0.50 per diluted share in 2024.On a Non-GAAP basis, net income was $4.5 million, or $0.16 per diluted share, for the fourth quarter of 2025 compared to $11.6 million, or $0.37 per diluted share, for the fourth quarter of 2024. Non-GAAP net income was $18.1 million, or $0.61 per diluted share in 2025 compared to $27.3 million, or $0.87 per diluted share in 2024.Non-GAAP net income excludes: (i) share-based compensation expenses; (ii) amortization expenses related to intangible assets; (iii) financial income (expenses) related to exchange rate differences in connection with revaluation of assets and liabilities in non-dollar denominated currencies; (iv) tax impact which relates to our Non-GAAP adjustments; (v) in Q1 2024 non-cash lease expense which is required to be recorded during the quarter even though this is a free rent period under the lease for the Company's new headquarters; and (vi) a one-time, non-recurring expense attributable to the settlement agreement with former headquarter office landlord. A reconciliation of net income on a GAAP basis to a non-GAAP basis is provided in the tables that accompany the condensed consolidated financial statements contained in this press release.Net cash provided by operating activities was $4.1 million for the fourth quarter of 2025 and $29.4 million for 2025. Cash and cash equivalents, short-term bank deposits, long and short-term marketable securities, and long-term financial investments were $75.7 million as of December 31, 2025 compared to $93.9 million as of December 31, 2024. The decrease in cash and cash equivalents, short-term bank deposits, long and short-term marketable securities and long-term financial investments was the result of the use of cash for the continued repurchasing of the Company's ordinary shares pursuant to its share repurchase program and the payment of a cash dividend during each of the first and third quarters of 2025. This was partially offset by cash generated from operating activities."I am pleased to report solid financial results for the fourth quarter 2025. Fourth quarter performance demonstrates our success in the ongoing evolution towards becoming a Voice AI-focused hybrid cloud software and services company", said Shabtai Adlersberg, President and Chief Executive Officer of AudioCodes.Fourth quarter's performance was driven by strong momentum across our two primary growth engines: the Live family of managed services for UCaaS and CX, and the conversational AI (CAI) business. Together, these two units drove growth in our Annual Recurring Revenue (ARR) to $79 million, marking a 22% year-over-year increase. Within Conversational AI our revenues grew over 50% in the fourth quarter. Additionally, we saw recovery in our Connectivity business in NA, which was driven mainly by resurgence in demand triggered by the renewed focus on the PSTN shutdown trend in NA.We are experiencing robust and broad-based demand across our conversational AI portfolio which exhibited as a group growth of over 35% in 2025 compared to 2024. We saw substantial growth in the Voice AI Connect and Live Hub revenues which grew above 50% year-over-year. Voca CIC, our AI first CX solution for Microsoft Teams exhibited also 50% growth year-over-year. Additionally, we saw meaningful progress in our meeting insight solutions, both in the cloud edition and the on prem solution. With growing demand for our business voice applications in the enterprise space, we are confident in the success of this new growth engine for coming years. Overall, we executed well against our business goals. The increased investments in our Live services and CAI over the past several years have significantly contributed to the strong operational momentum, and are expected to contribute to sustained healthy top-line growth in 2026 and beyond," concluded Mr. Adlersberg. Share Buy Back ProgramDuring the quarter ended December 31, 2025, the Company acquired 667,193 of its ordinary shares under its share repurchase program for a total consideration of $6.1 million.In October 2025, the Company received court approval in Israel to purchase up to an aggregate amount of $25 million of ordinary shares. The court approval also permits AudioCodes to declare a dividend out of any part of this amount. The approval is valid through April 27, 2026.As of December 31, 2025, the Company had $20.6 million available under this approval for the repurchase of shares and/or declaration of cash dividends.Cash DividendAudioCodes also announced today that the Company's Board of Directors has declared a cash dividend in the amount of 20 cents per share. The aggregate amount of the dividend is approximately $5.4 million. The dividend is payable on March 6, 2026, to all of the Company's shareholders of record at the close of trading on the NASDAQ Global Select Market on February 20, 2026.In accordance with Israeli tax law, the dividend is subject to withholding tax at source at the rate of 25% of the dividend amount payable to each shareholder of record, subject to applicable exemptions. If the recipient of the dividend is at the time of distribution or was at any time during the preceding 12-month period the holder of 10% or more of the Company's share capital, the withholding rate is 30%.The dividend will be paid in U.S. dollars on the ordinary shares of AudioCodes Ltd. that are traded on the Nasdaq Global Select Market or the Tel-Aviv Stock Exchange. The amount and timing of any other dividends will be determined by the Company's Board of Directors.Conference Call & Web Cast InformationAudioCodes will conduct a conference call at 8:30 A.M., Eastern Time today to discuss the Company's fourth quarter of 2025 operating performance, financial results and outlook. Interested parties may participate in the conference call by dialing one of the following numbers:United States Participants: 888-506-0062International Participants: +1 (973) 528-0011The conference call will also be simultaneously webcast. Investors are invited to listen to the call live via webcast at the AudioCodes investor website at http://www.audiocodes.com/investors-lobby.Follow AudioCodes' social media channels:AudioCodes invites you to join our online community and follow us on: AudioCodes Voice Blog, LinkedIn, X, Facebook, and YouTube.About AudioCodesAudioCodes Ltd. (NASDAQ, TASE: AUDC) is a global leader in enterprise voice and VoiceAI business solutions. We help organizations unlock the full value of voice, transforming every conversation, whether human or AI, into a strategic asset that drives better business outcomes. Our portfolio spans voice connectivity, unified communications and contact center integration, and next-generation voice AI applications that enhance collaboration, automate workflows and deliver real-time insights. With over 30 years of global experience and trusted by 65 of the Fortune 100, AudioCodes powers the intelligent enterprise, connecting people, platforms and data to move business forward.For more information on AudioCodes, visit http://www.audiocodes.com.Statements concerning AudioCodes' business outlook or future economic performance, product introductions and plans and objectives related thereto, and statements concerning assumptions made or expectations as to any future events, conditions, performance or other matters, are "forward-looking statements'' as that term is defined under U.S. federal securities laws. Forward-looking statements are subject to various risks, uncertainties and other factors that could cause actual results to differ materially from those stated in such statements. These risks, uncertainties and factors include, but are not limited to, the following: the effect of global economic conditions in general and conditions in AudioCodes' industry and target markets in particular, including governmental undertakings to address such conditions; shifts in supply and demand; market acceptance of new products and the demand for existing products; the impact of competitive products and pricing on AudioCodes' and its customers' products and markets; timely product and technology development, upgrades, the advent of artificial intelligence and the ability to manage changes in market conditions and evolving regulatory regimes, as applicable; possible need for additional financing; the ability to satisfy covenants in AudioCodes' financing agreements; possible impacts and disruptions from AudioCodes' acquisitions, including the ability of AudioCodes to successfully integrate the products and operations of acquired companies into AudioCodes' business; possible adverse impacts attributable to any pandemic or other public health crisis on our business and results of operations; the effects of the current and any future hostilities involving Israel, including in the regions in which we or our counterparties operate, which may affect our operations and may limit our ability to produce and sell our solutions; any disruption in our operations by the obligations of our personnel to perform military service as a result of current or future military actions involving Israel; and any other factors described in AudioCodes' filings made with the U.S. Securities and Exchange Commission from time to time. AudioCodes assumes no obligation to update the information in this release.©2026 AudioCodes Ltd. All rights reserved. AudioCodes, AC, HD VoIP, HD VoIP Sounds Better, IPmedia, Mediant, MediaPack, What's Inside Matters, OSN, SmartTAP, User Management Pack, VMAS, VoIPerfect, VoIPerfectHD, Your Gateway To VoIP, 3GX, AudioCodes One Voice, AudioCodes Meeting Insights, and AudioCodes Room Experience are trademarks or registered trademarks of AudioCodes Limited. All other products or trademarks are property of their respective owners. Product specifications are subject to change without notice. AUDIOCODES LTD. AND ITS SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETSU.S. dollars in thousands

December 31,
December 31,
2025
2024
(Unaudited)
(Unaudited)ASSETS

CURRENT ASSETS:

Cash and cash equivalents $ 45,282
$58,749Short-term bank deposits239
210Short-term marketable securities 27,350
3,426Trade receivables, net67,358
56,016Other receivables and prepaid expenses 18,040
13,012Inventories 22,032
31,463Total current assets180,301
162,876

LONG-TERM ASSETS:

Long-term Trade receivables$ 13,065
$ 15,753Long-term marketable securities -
28,518Long-term financial investments2,790
3,008Deferred tax assets 8,797
9,838Operating lease right-of-use assets30,217
32,534Severance pay funds 21,163
18,004Total long-term assets76,032
107,655

PROPERTY AND EQUIPMENT, NET29,248
27,321

GOODWILL, INTANGIBLE ASSETS AND OTHER, NET37,579
38,049

Total assets$ 323,160
$ 335,901

LIABILITIES AND SHAREHOLDERS' EQUITY

CURRENT LIABILITIES:

Trade payables6,416
7,543Other payables and accrued expenses30,424
25,823Deferred revenues38,243
38,438Short-term operating lease liabilities 6,635
5,954Total current liabilities81,718
77,758

LONG-TERM LIABILITIES:

Accrued severance pay$ 18,278
$ 16,387Deferred revenues and other liabilities 20,517
19,434Long-term operating lease liabilities 31,348
30,508Total long-term liabilities70,143
66,329

Total shareholders' equity171,299
191,814Total liabilities and shareholders' equity$ 323,160
$ 335,901  AUDIOCODES LTD. AND ITS SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONSU.S. dollars in thousands, except per share data

Year ended
Three months ended
December 31,
December 31,
2025
2024
2025
2024
(Unaudited)
(Unaudited)Revenues:

Products$ 114,911
$ 111,966
$ 28,015
$ 27,319Services130,693
130,210
34,590
34,235Total Revenues245,604
242,176
62,605
61,554Cost of revenues:

Products44,197
44,448
11,111
10,325Services41,775
39,567
10,405
10,510Total Cost of revenues 85,972
84,015
21,516
20,835Gross profit 159,632
158,161
41,089
40,719Operating expenses:

Research and development, net52,591
52,125
13,504
12,345Selling and marketing77,242
71,167
19,924
18,740General and administrative15,760
17,678
3,928
5,532Total operating expenses145,593
140,970
37,356
36,617Operating income14,039
17,191
3,733
4,102Financial income (expenses), net(461)
(2,095)
(1,047)
(1,900)Income before taxes on income13,578
15,096
2,686
2,202Taxes on income, net(4,623)
215
(785)
4,573Net income$ 8,955
$ 15,311
$ 1,901
$ 6,775Basic net earnings per share $ 0.31
$ 0.51
$ 0.07
$ 0.23Diluted net earnings per share $ 0.31
$ 0.50
$ 0.07
$ 0.22Weighted average number of shares used in
computing basic net earnings per share (in
thousands)28,498
30,200
27,418
29,932Weighted average number of shares used in
computing diluted net earnings per share (in
thousands)28,984
30,636
27,868
30,260  AUDIOCODES LTD. AND ITS SUBSIDIARIES RECONCILIATION OF GAAP NET INCOME TO NON-GAAP NET INCOME U.S. dollars in thousands, except per share data

Year ended
Three months ended
December 31,
December 31,
2025
2024
2025
2024
(Unaudited)
(Unaudited)GAAP net income$ 8,955
$ 15,311
$ 1,901
$ 6,775GAAP net earnings per share$ 0.31
$ 0.50
$ 0.07
$ 0.22Cost of revenues:

Share-based compensation (1)396
369
77
95Amortization expenses (2)426
488
60
122Lease expenses (5)-
304
-
-
822
1,161
137
217Research and development, net:

Share-based compensation (1)1,489
2,108
362
466Lease expenses (5)-
342
-
-
1,489
2,450
362
466Selling and marketing:

Share-based compensation (1)2,317
2,959
515
704Amortization expenses (2)44
44
11
11Lease expenses (5)-
38
-
-
2,361
3,041
526
715General and administrative:

Share-based compensation (1)2,308
2,792
655
679Settlement with former headquarter office landlord (6)-
1,355
-
1,355Lease expenses (5)-
76
-
-
2,308
4,223
655
2,034Financial expenses (income):

Exchange rate differences (3)2,186
507
876
1,261

Income taxes:

Taxes on income, net (4)-
585
-
163Non-GAAP net income$ 18,121
$ 27,278
$ 4,457
$ 11,631Non-GAAP diluted net earnings per share$ 0.61
$ 0.87
$ 0.16
$ 0.37Weighted average number of shares used in computing
Non-GAAP diluted net earnings per share (in thousands)29,743
31,443
28,692
31,192

(1) Share-based compensation expenses related to options and restricted share units granted to employees and others.(2) Amortization expenses related to intangible assets.(3) Financial income (expenses) related to exchange rate differences in connection with revaluation of assets and liabilities in non-dollar
denominated currencies.(4) Tax impact which relates to our non-GAAP adjustments.(5) In Q1 2024, non-cash lease expense which is required to be recorded during the quarter even though this is a free rent period
under the lease for the Company's new headquarters.(6) A one-time, non-recurring expense attributable to the settlement agreement with former headquarter office landlord. Note: Non-GAAP measures should be considered in addition to, and not as a substitute for, the results prepared in accordance with GAAP.
The Company believes that non-GAAP information is useful because it can enhance the understanding of its ongoing economic performance
and therefore uses internally this non-GAAP information to evaluate and manage its operations. The Company has chosen to provide this
information to investors to enable them to perform comparisons of operating results in a manner similar to how the Company analyzes its
operating results and because many comparable companies report this type of information.   AUDIOCODES LTD. AND ITS SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWSU.S. dollars in thousands

Year ended
Three months ended

December 31,
December 31,

2025
2024
2025
2024

(Unaudited)
(Unaudited)Cash flows from operating activities:

Net income
$ 8,955
$ 15,311
$ 1,901
$ 6,775Adjustments required to reconcile net income to net
cash provided by operating activities:

Depreciation and amortization
4,235
3,883
1,139
1,095Amortization of marketable securities premiums and
accretion of discounts, net
400
1,120
88
509Net loss from sales of marketable securities
-
882
-
608Increase in accrued severance pay, net
(1,268)
(1,077)
(554)
(378)Share-based compensation expenses
6,510
8,228
1,609
1,944Decrease (increase) in deferred tax assets, net
695
(4,548)
(13)
(5,374)Cash financial loss (income), net
574
313
537
176Decrease in operating lease right-of-use assets
3,542
6,009
250
1,254Increase (decrease) in operating lease liabilities
296
(4,651)
429
(720)Decrease (increase) in trade receivables, net
(8,654)
(3,846)
1,719
2,168Decrease (increase) in other receivables and prepaid
expenses
(5,028)
(3,631)
1,436
(927)Decrease in inventories
9,251
12,283
1,990
2,164Increase (decrease) in trade payables
(232)
(13)
(2,993)
2,064Increase in other payables and accrued expenses
9,642
3,223
2,615
3,817Increase (decrease) in deferred revenues
443
1,767
(6,028)
136Net cash provided by (used in) operating activities
29,361
35,253
4,125
15,311Cash flows from investing activities:

Proceeds from short-term deposits
(29)
2
(6)
(8)Proceeds from sale of marketable securities
-
35,177
-
25,186Proceeds from financial investment
278
132
35
56Proceeds from redemption of marketable securities
5,200
7,450
-
4,000Purchase of financial investments
(523)
(675)
(81)
-Purchase of property and equipment
(6,472)
(24,280)
(1,642)
(3,512) Net cash provided by (used in) investing activities
(1,546)
17,806
(1,694)
25,722

  AUDIOCODES LTD. AND ITS SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWSU.S. dollars in thousands

Year ended
Three months ended

December 31,
December 31,

2025
2024
2025
2024

(Unaudited)
(Unaudited)Cash flows from financing activities:

Purchase of treasury shares
(30,599)
(14,328)
(6,085)
(5,988)Cash dividends paid to shareholders
(10,934)
(10,896)
-
-Proceeds from issuance of shares upon exercise of
options
251
368
11
182Net cash used in financing activities
(41,282)
(24,856)
(6,074)
(5,806)

Net increase (decrease) in cash, cash equivalents, and
restricted cash
(13,467)
28,203
(3,643)
35,227Cash, cash equivalents and restricted cash at beginning
of period
58,749
30,546
48,925
23,552Cash, cash equivalents and restricted cash at end
of period
$ 45,282
$ 58,749
$ 45,282
$ 58,749  Company Contacts

Niran Baruch,Chief Financial Officer AudioCodesTel: +972-3-976-4000niran.baruch@audiocodes.com
Roger L. ChuchenVP, Investor RelationsAudioCodesTel: 732-764-2552roger.chuchen@audiocodes.comLogo: https://mma.prnewswire.com/media/2391462/audiocodes_Logo.jpg

View original content:https://www.prnewswire.com/news-releases/audiocodes-reports-fourth-quarter-and-full-year-2025-results-and-declares-semi-annual-dividend-of-20-cents-per-share-302677253.htmlSOURCE AudioCodes

Original: AudioCodes Reports Fourth Quarter and Full Year 2025 Results and Declares Semi-Annual Dividend of 20 cents per share