NASDAQ$CMBMF

Cambium Networks Corporation · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Announced first quarter 2022 financial results, impacted by supply chain challenges and COVID lockdowns in China.

Cambium Networks reported revenues of $61.9 million for Q1 2022, a decrease of 30% year-over-year, primarily due to lower Point-to-Multi-Point and Point-to-Point revenues resulting from global supply and distribution constraints and slower demand from North American service providers. The company faced supply chain challenges due to COVID lockdowns in Shenzhen and Shanghai.

  • Revenues of $61.9 million, decreased 30% year-over-year.
  • GAAP net loss of $1.6 million or $0.06 per diluted share, non-GAAP net income of $0.3 million or $0.01 per diluted share.
  • Adjusted EBITDA of $1.9 million or 3.9% of revenues, compared to $16.5 million or 18.6% for the first quarter 2021.
  • Net cash used in operating activities of $19.2 million, compared to $7.6 million used in operating activities for the first quarter 2021.

Headline financials

Total Revenue

$61.9M

Previous: $88.5M-30.1%
EPS (adj)

$0.01

Previous: $0.41-97.6%
Non-GAAP Gross Margin

47.8%

No prior period
Adjusted EBITDA Margin

3.1%

Previous: 18.6%-83.3%
Gross Margin

47.1%

Previous: 49.9%-5.6%
Capital Expenditures

-$714K

Previous: -$814K+12.3%
Free Cash Flow

-$2.28M

Previous: $19M-112.0%
Net Income

-$1.57M

Previous: $19.9M-107.9%
Operating Income

-$2.2M

Previous: $13.4M-116.4%
Gross Profit

$29.2M

Previous: $44.2M-34.0%
Cash & Equivalents

$38.4M

Previous: $51.2M-25.0%
Total Assets

$214M

Previous: $212M+1.0%
Stock-Based Comp

$2.42M

Previous: $1.41M+71.6%

Revenue & EPS history

Cambium Networks · Revenue · Quarterly

$61.9M

Q1 2022-30.1%vs Q1 2021
Beat estimate in 3 of 12 quarters(25%)
ActualEstimate

Revenue by segment

Cambium Networks · $61.9M total across 4 segments · Q1 2022

  • Point-to-Multi-Point
    $30.9M-46.5%
  • Enterprise
    $15.5M+27.9%
  • Point-to-Point
    $14.7M-15.8%
  • Other
    $748K-33.0%

Forward guidance

For the second quarter ending June 30, 2022, Cambium Networks expects revenues between $65.0-$73.0 million, GAAP operating (loss) income between ($2.75)-$0.7 million, and adjusted EBITDA between $2.2-$5.8 million.

Tailwinds

  • Revenues between $65.0-$73.0 million
  • GAAP gross margin between 46.9%-47.9%; and non-GAAP gross margin between 47.5%-48.5%
  • GAAP operating expenses between $33.3-$34.3 million; and non-GAAP operating expenses between $29.7-$30.7 million
  • Non-GAAP operating income between $1.2-$4.7 million
  • Adjusted EBITDA between $2.2-$5.8 million; and adjusted EBITDA margin between 3.4%-7.9%

Headwinds

  • GAAP operating (loss) income between ($2.75)-$0.7 million
  • GAAP net (loss) income between ($2.8)-$0.0 million or between ($0.10) and $0.00 per diluted share
  • Interest expense, net of approximately $0.7 million
  • Paydown of debt: $1.3 million
  • Capital expenditures: $1.4-$1.6 million

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

-2.9%

Avg return

Earnings day

-0.5%

Avg return

5 days after

-0.4%

Avg return

30 days after

39%

11 / 28 earnings

Positive

+20.7%

Q3 2022

Best reaction

-29.8%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+11.8%+11.8%
Q3 2025+0.0%+158.7%+180.0%
Q2 2025-5.6%-21.8%-31.1%
Q1 2025-7.4%-5.6%+10.7%
Q4 2024-13.8%-0.8%-27.2%
Q3 2024-9.9%-3.1%-24.4%
Q2 2024-4.0%-6.2%-5.6%
Q1 2024-13.9%-13.5%-24.0%
Q4 2023+5.5%-3.9%+0.5%
Q3 2023-3.0%-8.9%+0.6%
Q2 2023-29.8%-38.5%-43.1%
Q1 2023-0.3%+3.0%+22.9%
Q4 2022+4.1%-5.2%-18.0%
Q3 2022+20.7%+17.9%+21.4%
Q2 2022+0.1%+1.7%-3.9%
Q1 2022-19.0%-17.6%-14.0%
Q4 2021+12.9%+3.9%+3.7%
Q3 2021-7.8%-7.1%-19.4%
Q2 2021+1.6%-12.4%-19.7%
Q1 2021+3.2%-13.2%-15.2%
Q4 2020+3.5%+4.3%+19.0%
Q3 2020+14.7%-0.3%+14.4%
Q2 2020+4.5%+4.8%+12.2%
Q1 2020-17.8%-25.3%+0.9%
Q4 2019-6.1%-12.9%-34.2%
Q3 2019-16.5%-15.3%-31.2%
Q4 2018-4.2%+1.1%+12.8%
Q2 2019-4.9%-8.9%+1.7%
Q1 2019
Q3 2018
Q2 2018
Q1 2018
Q1 2017

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro