ADTRAN Shares Tumble As Preliminary Results Miss Guidance and Estimates - Adtran Holdings (NASDAQ:ADTN)

ADTRAN shares fell sharply after preliminary results missed guidance and estimates, widening the gap versus market expectations. The company projected preliminary second-quarter revenue of $280 million to $282 million, below its prior guidance range of $283 million to $303 million and below the $293.39 million analyst estimate. ADTRAN forecast a non-GAAP operating margin of 3.5% to 4.0% versus earlier guidance of 5.0% to 9.0%, and a GAAP operating margin of negative 3.2% to negative 4.0%. It expected a GAAP loss of 12 to 14 cents per share and non-GAAP earnings of 3 to 5 cents per share. CEO Tom Stanton attributed the weakness to a project delay from a single customer plus elevated component and freight costs. For the third quarter, ADTRAN expects revenue of $275 million to $295 million, below the $300.31 million estimate, with a non-GAAP operating margin of 1.5% to 5.5%. The full Q2 results are scheduled for August 3, 2026, and the stock was down 16.31% to $10.16 premarket at publication.