Adtran Networks SE has released its financial results for Q1 2025, revealing a 4.1% increase in revenues to EUR 114.119 million compared to EUR 109.606 million in Q1 2024. The pro forma gross profit rose by 6.1% to EUR 39.171 million, up from EUR 36.917 million in the same period last year, with the pro forma gross profit margin improving from 33.7% to 34.3%. The company reported a notable improvement in its pro forma EBIT, which was a negative EUR 4.791 million (negative 4.2% of revenues) in Q1 2025, compared to a negative EUR 9.045 million (negative 8.3% of revenues) in Q1 2024. The operating loss also decreased significantly to EUR 6.529 million from EUR 14.490 million in the previous year. This reduction in operating loss reflects increased sales and is partially attributed to the absence of restructuring expenses and integration costs that were present in 2024. Adtran Networks SE experienced a positive cash flow from operating activities, amounting to EUR 24.5 million in Q1 2025, slightly down from EUR 24.9 million in the same quarter of the previous year. However, cash flow from investing activities was negative EUR 15.4 million. The company also saw a reduction in financial debt, which decreased by 8.0% to EUR 89.464 million as of March 30, 2025, from EUR 97.220 million at the end of 2024. Cash and cash equivalents increased by 23.3% to EUR 33.352 million. Looking forward, Adtran Networks SE management expects revenue growth in the high single-digit or low double-digit percentage range for 2025. The company anticipates that pro forma EBIT will shift from a negative single-digit percentage in 2024 to a positive single-digit percentage in 2025, driven by ongoing cost control measures and operational efficiencies.