A10 Networks, Inc 8-K, filed Nov 5, 2026
A10 Networks, Inc. (ATEN)
8-K
2026-11-05
For: 2026-11-05
View Original
Added on
November 06, 2026
About this 8-K
A10 Networks, Inc filed this 8-K on November 5, 2026.
A10 Networks reported third-quarter revenue of $91.5 million, up 22.6% year-over-year, and raised full-year revenue growth guidance to approximately 16% from 12-14%. Non-GAAP diluted EPS guidance rose to $1.08 - $1.10, representing growth of 20-22% over 2025. AI summary
Items reported
- Item 2.02: Financial results
- Item 7.01: Regulation FD disclosure
- Item 8.01: Other events
- Item 9.01: Financial statements and exhibits
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
____________________________________________________________________________
FORM 8-K
____________________________________________________________________________
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported)
____________________________________________________________________________
(Exact name of the registrant as specified in its charter)
____________________________________________________________________________
| (State or Other Jurisdiction of Incorporation or Organization) | (Commission File Number) | (I.R.S. Employer Identification Number) | ||||||
(Address of principal executive offices, including zip code)
(408 ) 325-8668
(Name and telephone number, including area code, of the person to contact in connection with this report)
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
____________________________________________________________________________
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading symbol(s) | Name of each exchange on which registered | ||||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition
On November 5, 2026, A10 Networks, Inc. (the “Company”) issued a press release regarding financial results for the quarter ended September 30, 2026. A copy of the press release is furnished herewith as Exhibit 99.1.
Item 7.01 Regulation FD Disclosure
On November 5, 2026, the Company posted on its website (www.a10networks.com) slides regarding the financial results for the quarter ended September 30, 2026. A copy of the slides is furnished herewith as Exhibit 99.2.
The information in Item 2.02, Item 7.01 and Item 9.01 in this Current Report on Form 8-K and the exhibits attached hereto shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended ("Exchange Act"), or otherwise subject to the liabilities of that Section, nor shall it be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act. The information in Item 2.02 shall not be incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.
Item 8.01 Other Events.
On November 5, 2026, the Company announced that its Board of Directors (the “Board”) approved a quarterly dividend. The quarterly dividend, in the amount of $0.06 per share, will be payable, subject to any prior revocation, on December 1, 2026 to stockholders of record on November 16, 2026. Future dividends will be subject to further review and approval by the Board in accordance with applicable law. The Board reserves the right to adjust or withdraw the quarterly dividend in future periods as it reviews the Company’s capital allocation strategy from time-to-time.
Forward Looking Statements
This Current Report on Form 8-K contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act. These forward-looking statements involve risks and uncertainties. These forward-looking statements may be identified by terms such as “will,” “may,” “plans,” or the negative of these terms, and similar expressions intended to identify forward-looking statements. These forward-looking statements include, but are not limited to, statements regarding the anticipated amount, duration, methods, timing, term and other aspects of our dividend program and any anticipated benefits or value resulting from such program. These statements involve known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to differ materially from those expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to, any unforeseen need for capital which may require us to divert funds we may have otherwise used for the dividend program, which may in turn negatively impact our ability to administer the quarterly dividends. In addition, the timing and amount of future dividends, if any, will be made as management deems appropriate and will depend on a variety of factors including stock price, market conditions, corporate and regulatory requirements (including applicable securities laws and regulations and the rules of The New York Stock Exchange), any additional constraints related to material inside information the Company may possess, and capital availability. More information regarding these and other risks, uncertainties and factors is contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the Securities and Exchange Commission ("SEC") on February 25, 2026, and in other reports filed by the Company with the SEC from time to time. You are cautioned not to unduly rely on these forward-looking statements, which speak only as of the date of this Current Report. All information in this Current Report and its attachments is as of the date stated and unless required by law, the Company undertakes no obligation to update or publicly revise any forward-looking statement to reflect circumstances or events after the date of this Current Report or to report the occurrence of unanticipated events other than as required by law or regulation.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits
| Exhibit | Description | |||||||
| 99.1 | ||||||||
| 99.2 | ||||||||
| 104.1 | Cover Page Interactive Data File (embedded within the inline XBRL document). | |||||||
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Date: November 5, 2026
| A10 NETWORKS, INC. | |||||
| By: /s/ Michelle Caron | |||||
| Michelle Caron | |||||
| Chief Financial Officer (Principal Accounting and Financial Officer) | |||||
EXHIBIT 99.1
A10 Networks Reports Financial Results for the Third Quarter of 2026
Broad-Based Demand Drives 23% Revenue Growth and Record Quarterly Results
SAN JOSE, Calif., November 5, 2026 -- A10 Networks, Inc. (NYSE: ATEN), a leading provider of secure application services and solutions, today announced financial results for its third quarter ended September 30, 2026.
Third Quarter 2026 Financial Summary
•Quarterly revenue of $91.5 million, a 22.6% year-over-year increase. Revenue for the first nine months of 2026 was $246.7 million compared to $210.2 million for the first nine months of 2025, an increase of approximately 17.4%.
•GAAP gross profit of $72.1 million and non-GAAP gross profit of $73.3 million. GAAP gross margin was 78.7% and non-GAAP gross margin was 80.0%.
•GAAP income from operations of $18.3 million, and Non-GAAP income from operations of $25.5 million.
•GAAP net income of $17.2 million, or $0.23 per diluted share, non-GAAP net income of $23.6 million, or $0.31 per diluted share.
•Non-GAAP Adjusted EBITDA of $29.5 million, or 32.2% of revenue.
•The Company returned $27.4 million to investors, having repurchased 879 thousand shares during the quarter at an average price of $26.18 per share for a total of $23.0 million and having paid $4.4 million in cash dividends in the quarter.
•The Board of Directors approved the quarterly cash dividend of $0.06 per share, payable December 1, 2026 to stockholders of record at the close of business on November 16, 2026.
•As of September 30, 2026, A10 had $360.4 million in cash, cash equivalents, and marketable securities.
A reconciliation between GAAP and non-GAAP information is contained in the financial statements below.
“Third quarter revenue increased 22.6% year-over-year to record quarterly levels, supported by broad-based customer demand, with our business model enabling record non-GAAP operating and net income levels,” said Dhrupad Trivedi, President and Chief Executive Officer of A10 Networks. “Rising network traffic volumes, expanding AI deployments and increasingly complex security requirements are driving demand for A10’s networking and security solutions. Revenue from customers other than our largest customer grew double digits year over year in the quarter, underscoring the breadth of our momentum. Non-GAAP EPS grew faster than revenue, and our combined revenue growth and adjusted EBITDA margin exceeded the rule of 40.”
“Our priority remains supporting our customers, particularly as they deploy AI, while capturing growing demand and protecting the long-term earnings power of the business,”Trivedi continued. “As the industry navigates supply challenges, we are focused on translating revenue growth into higher gross profit dollars, operating leverage and EPS growth. Our progress, expanding global opportunity and continued execution give us confidence in setting long-term targets of $500 million in annual revenue through organic growth and $2.00 in annual non-GAAP EPS for fiscal year 2029. This target incorporates the accounting impact of our warrant agreement with our largest customer and implies a 14% compound annual revenue growth rate.”
2026 Outlook
Based on year-to-date performance, demand visibility and the current supply environment, management is updating its full-year 2026 outlook to the following:
•Full-year revenue growth of approximately 16%, compared to prior guidance of 12-14% full-year growth.
•Non-GAAP Adjusted EBITDA margin in excess of 30%.
•Non-GAAP diluted EPS of between $1.08 - $1.10, representing growth of 20-22% over 2025 and exceeding the revenue growth rate, compared to prior guidance of 14-16% EPS growth.
Conference Call
Management will host a call at 1:30 p.m. Pacific time (4:30 p.m. Eastern time) today, Thursday, November 5, 2026, to discuss these results.
Interested parties may access the conference call by dialing (888) 506-0062 (toll-free) or (973) 528-0011 (international) and referencing access code: 810983.
A live audio webcast of the conference call will be accessible from the “Investor Relations” section of A10 Network’s website at investors.a10networks.com. The webcast will be archived for one year. A telephonic replay of the conference call will be available until November 19, 2026 and may be accessed by dialing (877) 481-4010 (toll-free) or (919) 882-2331 (international) and entering the passcode: 54623.
Forward-Looking Statements
This press release contains “forward-looking statements,” including statements regarding dividends and capital return, demand and market trends, strategy and competitive positioning, our commercial partnerships and agreements, financial performance and profitability, supply chain management, 2026 financial guidance and our long-term financial targets. Forward-looking statements are subject to known and unknown risks and uncertainties and are based on assumptions that may prove to be incorrect, which could cause actual results to differ materially from those expected or implied by the forward-looking statements. Factors that may cause actual results to differ include any unforeseen need for capital which may require us to divert funds we may have otherwise used for the dividend program or stock repurchase program, which may in turn negatively impact our ability to administer the quarterly dividends or the repurchase of our common stock; a significant decline in global macroeconomic or political conditions that have an adverse impact on our business and financial results; an expansion of adversarial global trade dynamics or other changes to international trade regulations; business interruptions related to our supply chain; our ability to manage our business and expenses if customers cancel or delay orders; execution risks related to closing key deals and improving our execution; the continued market adoption of our products; our ability to successfully anticipate market needs and opportunities; our timely development of new products and features; our ability to achieve or maintain profitability; any loss or delay of expected purchases by our largest end-customers; our ability to maintain or improve our competitive position; competitive and execution risks related to cloud-based computing trends; our ability to attract and retain new end-customers and our largest end-consumers; our ability to maintain and enhance our brand and reputation; changes demanded by our customers in the deployment and payment model for our products; continued growth rates in markets relating to network security; the success of any future acquisitions or investments in complementary companies, products, services or technologies; the ability of our sales team to execute well; our ability to shorten our close cycles; the ability of our channel partners to sell our products; variations in product mix or geographic locations of our sales; risks associated with our presence in international markets; weaknesses or deficiencies in our internal control over financial reporting; our ability to timely file periodic reports required to be filed under the Securities Exchange Act of 1934; and other risks that are described in “Risk Factors” in our periodic filings with the Securities and Exchange Commission, including our Form 10-K filed with the Securities and Exchange Commission on February 25, 2026. We do not intend to update or alter our forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.
Non-GAAP Financial Measures
In addition to disclosing financial measures prepared in accordance with U.S. generally accepted accounting principles (GAAP), we refer to certain non-GAAP financial measures, including non-GAAP net income, non-GAAP net income per basic and diluted share (or non-GAAP EPS), non-GAAP gross profit and gross margin, non-GAAP operating expenses, non-GAAP operating income and operating margin, EBITDA, Adjusted EBITDA and Adjusted EBITDA margin. Non-GAAP financial measures do not have any standardized meaning and are therefore unlikely to be comparable to similarly titled measures presented by other companies.
A10 Networks considers these non-GAAP financial measures to be important because they provide useful measures of the operating performance of the company by excluding certain items that, while they may recur, can vary significantly in amount and timing or are not directly indicative of ongoing operational trends, and are used by the company’s management to evaluate operating performance, prepare budgets and forecasts, and assess performance relative to peer companies.
Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP.
We define non-GAAP net income as our GAAP net income excluding: (i) stock-based compensation and related payroll tax, (ii) acquisition-related expense, (iii) amortization of acquired intangible assets, (iv) amortization of debt
issuance costs, (v) certain legal expense, (vi) tax planning expense and (vii) income tax effect of non-GAAP items (i) to (vi) listed above. We define non-GAAP net income per basic and diluted share as our non-GAAP net income divided by our basic and diluted weighted-average shares outstanding. We define non-GAAP gross profit as our GAAP gross profit excluding (i) stock-based compensation and related payroll tax and (ii) amortization of acquired intangible assets. We define non-GAAP gross margin as our non-GAAP gross profit divided by our GAAP revenue. We define non-GAAP operating expense as our GAAP operating expense excluding (i) stock-based compensation and related payroll tax, (ii) acquisition-related expense, (iii) amortization of acquired intangible assets, (iv) certain legal expense and (v) tax planning expense. We define non-GAAP operating income as our GAAP income from operations excluding (i) stock-based compensation and related payroll tax, (ii) acquisition-related expense, (iii) amortization of acquired intangible assets, (iv) certain legal expense and (v) tax planning expense. We define non-GAAP operating margin as our non-GAAP operating income divided by our GAAP revenue. We define Adjusted EBITDA as our GAAP net income excluding (i) interest and other income, net, (ii) depreciation and amortization expense, (iii) provision for income taxes, (iv) stock-based compensation and related payroll tax, (v) acquisition-related expense, (vi) certain legal expense and (vii) tax planning expense. We define Adjusted EBITDA margin as our Adjusted EBITDA divided by our GAAP revenue. We define EBITDA as our GAAP net income excluding (i) interest and other income, net, (ii) depreciation and amortization expense and (iii) provision for income taxes.
Non-GAAP financial measures are presented for supplemental informational purposes only for understanding the company's operating results.
About A10 Networks
A10 Networks (NYSE: ATEN) delivers secure application and network solutions designed to protect, optimize, and scale business-critical systems across on-premises, hybrid cloud, and edge environments. Our portfolio is designed to enable large enterprises, service providers, and cloud platforms worldwide to achieve performance, reliability, and protection against cyber threats, while preparing their networks for the demands of AI and next-generation applications. Founded in 2004 and headquartered in San Jose, California, A10 Networks serves over 7,000 global customers. For more information, visit A10networks.com and follow us at A10Networks.
The A10 logo and A10 Networks are trademarks or registered trademarks of A10 Networks, Inc. in the United States and other countries. All other trademarks are the property of their respective owners.
Investor Contact:
Rob Fink / Tom Baumann
FNK IR
646.809.4048 / 646.349.6641
aten@fnkir.com
David Schroeder
VP, Corporate Development
investors@a10networks.com
Source: A10 Networks, Inc.
A10 NETWORKS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited, in thousands, except per share amounts, on a GAAP Basis)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Net revenue: | |||||||||||||||||||||||
| Products | $ | 58,496 | $ | 43,109 | $ | 151,506 | $ | 118,261 | |||||||||||||||
| Services | 33,049 | 31,573 | 95,176 | 91,941 | |||||||||||||||||||
| Total net revenue | 91,545 | 74,682 | 246,682 | 210,202 | |||||||||||||||||||
| Cost of net revenue: | |||||||||||||||||||||||
| Products | 13,315 | 8,101 | 32,324 | 23,561 | |||||||||||||||||||
| Services | 6,176 | 6,729 | 19,199 | 19,383 | |||||||||||||||||||
| Total cost of net revenue | 19,491 | 14,830 | 51,523 | 42,944 | |||||||||||||||||||
| Gross profit | 72,054 | 59,852 | 195,159 | 167,258 | |||||||||||||||||||
| Operating expenses: | |||||||||||||||||||||||
| Sales and marketing | 22,017 | 21,531 | 63,936 | 62,040 | |||||||||||||||||||
| Research and development | 21,573 | 18,377 | 61,744 | 50,533 | |||||||||||||||||||
| General and administrative | 10,169 | 6,950 | 29,161 | 22,602 | |||||||||||||||||||
| Total operating expenses | 53,759 | 46,858 | 154,841 | 135,175 | |||||||||||||||||||
| Income from operations | 18,295 | 12,994 | 40,318 | 32,083 | |||||||||||||||||||
| Non-operating income (expense): | |||||||||||||||||||||||
| Interest income | 3,289 | 3,386 | 9,992 | 8,170 | |||||||||||||||||||
| Interest and other income (expense), net | (1,842) | (2,387) | (6,421) | (3,853) | |||||||||||||||||||
| Total non-operating income, net | 1,447 | 999 | 3,571 | 4,317 | |||||||||||||||||||
| Income before income taxes | 19,742 | 13,993 | 43,889 | 36,400 | |||||||||||||||||||
| Provision for income taxes | 2,582 | 1,802 | 5,815 | 4,128 | |||||||||||||||||||
| Net income | $ | 17,160 | $ | 12,191 | $ | 38,074 | $ | 32,272 | |||||||||||||||
| Net income per share: | |||||||||||||||||||||||
| Basic | $ | 0.24 | $ | 0.17 | $ | 0.53 | $ | 0.45 | |||||||||||||||
| Diluted | $ | 0.23 | $ | 0.17 | $ | 0.51 | $ | 0.44 | |||||||||||||||
| Weighted-average shares used in computing net income per share: | |||||||||||||||||||||||
| Basic | 72,412 | 71,891 | 72,083 | 72,478 | |||||||||||||||||||
| Diluted | 75,702 | 73,046 | 74,953 | 73,805 | |||||||||||||||||||
A10 NETWORKS, INC.
RECONCILIATION OF GAAP NET INCOME TO NON-GAAP NET INCOME
(unaudited, in thousands, except per share amounts)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| GAAP net income | $ | 17,160 | $ | 12,191 | $ | 38,074 | $ | 32,272 | |||||||||||||||
| Non-GAAP items: | |||||||||||||||||||||||
| Stock-based compensation and related payroll tax | 6,162 | 4,961 | 20,504 | 15,839 | |||||||||||||||||||
| Acquisition-related expense | 173 | 465 | 1,519 | 1,383 | |||||||||||||||||||
| Amortization of acquired intangible assets | 820 | 380 | 1,652 | 963 | |||||||||||||||||||
| Amortization of debt issuance costs | 366 | — | 1,096 | — | |||||||||||||||||||
| Certain legal expense | — | 22 | 807 | 1,269 | |||||||||||||||||||
| Tax planning expense | — | — | — | 150 | |||||||||||||||||||
| Income tax-effect of non-GAAP items | (1,118) | (1,318) | (3,612) | (4,687) | |||||||||||||||||||
| Total non-GAAP items | 6,403 | 4,510 | 21,966 | 14,917 | |||||||||||||||||||
| Non-GAAP net income | $ | 23,563 | $ | 16,701 | $ | 60,040 | $ | 47,189 | |||||||||||||||
| GAAP net income per share: | |||||||||||||||||||||||
| Basic | $ | 0.24 | $ | 0.17 | $ | 0.53 | $ | 0.45 | |||||||||||||||
| Diluted | $ | 0.23 | $ | 0.17 | $ | 0.51 | $ | 0.44 | |||||||||||||||
| Non-GAAP items: | |||||||||||||||||||||||
| Stock-based compensation and related payroll tax | 0.08 | 0.07 | 0.27 | 0.21 | |||||||||||||||||||
| Acquisition-related expense | — | 0.01 | 0.02 | 0.02 | |||||||||||||||||||
| Amortization of acquired intangible assets | 0.01 | 0.01 | 0.02 | 0.01 | |||||||||||||||||||
| Amortization of debt issuance costs | — | — | 0.02 | — | |||||||||||||||||||
| Certain legal expense | — | — | 0.01 | 0.02 | |||||||||||||||||||
| Tax planning expense | — | — | — | — | |||||||||||||||||||
| Income tax-effect of non-GAAP items | (0.01) | (0.02) | (0.05) | (0.06) | |||||||||||||||||||
| Total non-GAAP items | 0.08 | 0.06 | 0.29 | 0.20 | |||||||||||||||||||
| Non-GAAP net income per share: | |||||||||||||||||||||||
| Basic | $ | 0.33 | $ | 0.23 | $ | 0.83 | $ | 0.65 | |||||||||||||||
| Diluted | $ | 0.31 | $ | 0.23 | $ | 0.80 | $ | 0.64 | |||||||||||||||
| Weighted average shares used in computing net income per share: | |||||||||||||||||||||||
| Basic | 72,412 | 71,891 | 72,083 | 72,478 | |||||||||||||||||||
| Diluted | 75,702 | 73,046 | 74,953 | 73,805 | |||||||||||||||||||
Net income and earnings per share excluding adjustments are non-GAAP financial measures presented as supplemental financial measures to enable a user of the financial information to understand the impact of these adjustments on reported results and to facilitate comparison of operating results across reporting periods. These financial measures should not be considered an alternative to net income, operating income, cash flows provided by operating activities, or any other measure of financial performance or liquidity presented in accordance with U.S. GAAP. Our adjusted net income and earnings per share may not be comparable to similarly titled measures of another company because companies may not all calculate adjusted net income and earnings per share in the same manner.
A10 NETWORKS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited, in thousands, except par value, on a GAAP Basis)
| As of September 30, 2026 | As of December 31, 2025 | ||||||||||
| ASSETS | |||||||||||
| Current assets: | |||||||||||
| Cash and cash equivalents | $ | 75,795 | $ | 71,139 | |||||||
| Marketable securities | 284,570 | 306,714 | |||||||||
| Accounts receivable, net of allowances of $102 and $66, respectively | 52,067 | 62,069 | |||||||||
| Inventory | 36,434 | 18,032 | |||||||||
| Prepaid expenses and other current assets | 29,826 | 18,000 | |||||||||
| Total current assets | 478,692 | 475,954 | |||||||||
| Property and equipment, net | 49,307 | 50,221 | |||||||||
| Goodwill | 47,302 | 15,134 | |||||||||
| Intangible assets, net | 13,406 | 6,259 | |||||||||
| Deferred tax assets, net | 58,504 | 62,109 | |||||||||
| Other non-current assets | 15,678 | 20,136 | |||||||||
| Total assets | $ | 662,889 | $ | 629,813 | |||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||
| Current liabilities: | |||||||||||
| Accounts payable | $ | 16,359 | $ | 11,694 | |||||||
| Accrued and other liabilities | 33,335 | 41,132 | |||||||||
| Deferred revenue, current | 88,797 | 80,824 | |||||||||
| Total current liabilities | 138,491 | 133,650 | |||||||||
| Deferred revenue, non-current | 68,221 | 61,982 | |||||||||
| Long-term debt, net | 219,884 | 218,787 | |||||||||
| Other non-current liabilities | 3,471 | 3,848 | |||||||||
| Total liabilities | 430,067 | 418,267 | |||||||||
| Stockholders' equity: | |||||||||||
| Common stock, $0.00001 par value: 500,000 shares authorized; 93,609 and 91,996 shares issued and 72,008 and 71,498 shares outstanding, respectively | 1 | 1 | |||||||||
| Treasury stock, at cost: 21,601 and 20,498 shares, respectively | (277,809) | (249,912) | |||||||||
| Additional paid-in-capital | 557,647 | 531,790 | |||||||||
| Dividends paid | (85,770) | (72,785) | |||||||||
| Accumulated other comprehensive income (expense) | (1,114) | 659 | |||||||||
| Retained earnings | 39,867 | 1,793 | |||||||||
| Total stockholders' equity | 232,822 | 211,546 | |||||||||
| Total liabilities and stockholders' equity | $ | 662,889 | $ | 629,813 | |||||||
A10 NETWORKS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited, in thousands, on a GAAP Basis)
| Nine Months Ended September 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Cash flows from operating activities: | |||||||||||
| Net income | $ | 38,074 | $ | 32,272 | |||||||
| Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
| Depreciation and amortization | 13,258 | 10,876 | |||||||||
| Stock-based compensation | 19,570 | 15,206 | |||||||||
| Other non-cash items | 2,832 | 2,251 | |||||||||
| Changes in operating assets and liabilities: | |||||||||||
| Accounts receivable | 10,025 | 14,803 | |||||||||
| Inventory | (18,443) | 2,728 | |||||||||
| Prepaid expenses and other assets | (6,758) | (6,912) | |||||||||
| Accounts payable | 3,951 | (2,100) | |||||||||
| Accrued and other liabilities | (11,232) | 351 | |||||||||
| Deferred revenue | 14,036 | (7,288) | |||||||||
| Net cash provided by operating activities | 65,313 | 62,187 | |||||||||
| Cash flows from investing activities: | |||||||||||
| Proceeds from sales and maturities of marketable securities | 169,336 | 96,426 | |||||||||
| Purchases of marketable securities | (148,931) | (278,920) | |||||||||
| Acquisition of businesses, net of cash acquired | (34,080) | (19,100) | |||||||||
| Capital expenditures | (7,815) | (13,464) | |||||||||
| Net cash used in investing activities | (21,490) | (215,058) | |||||||||
| Cash flows from financing activities: | |||||||||||
| Proceeds from issuance of common stock under employee equity incentive plans | 1,714 | 1,710 | |||||||||
| Proceeds from the issuance of convertible notes | — | 225,000 | |||||||||
| Payment of debt issuance costs | — | (7,330) | |||||||||
| Repurchase of common stock | (27,897) | (62,008) | |||||||||
| Payments for dividends | (12,984) | (13,075) | |||||||||
| Net cash provided by (used in) financing activities | (39,167) | 144,297 | |||||||||
| Net increase (decrease) in cash and cash equivalents | 4,656 | (8,574) | |||||||||
| Cash and cash equivalents—beginning of period | 71,139 | 95,129 | |||||||||
| Cash and cash equivalents—end of period | $ | 75,795 | $ | 86,555 | |||||||
| Non-cash investing and financing activities: | |||||||||||
| Transfers between inventory and property and equipment | $ | 41 | $ | 314 | |||||||
| Capital expenditures included in accounts payable | $ | 342 | $ | 229 | |||||||
| Common stock consideration for acquisition | $ | 5,035 | $ | — | |||||||
| Supplemental cash flow disclosure: | |||||||||||
| Cash paid for income taxes, net | $ | 7,485 | $ | 3,694 | |||||||
| Cash paid for interest on debt | $ | 6,188 | $ | — | |||||||
A10 NETWORKS, INC.
RECONCILIATION OF GAAP GROSS PROFIT TO NON-GAAP GROSS PROFIT
(unaudited, in thousands, except percentages)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| GAAP gross profit | $ | 72,054 | $ | 59,852 | $ | 195,159 | $ | 167,258 | |||||||||||||||
| GAAP gross margin | 78.7 | % | 80.1 | % | 79.1 | % | 79.6 | % | |||||||||||||||
| Non-GAAP adjustments: | |||||||||||||||||||||||
| Stock-based compensation and related payroll tax | 580 | 136 | 1,601 | 1,284 | |||||||||||||||||||
| Amortization of acquired intangible assets | 636 | 281 | 1,257 | 712 | |||||||||||||||||||
| Non-GAAP gross profit | $ | 73,270 | $ | 60,269 | $ | 198,017 | $ | 169,254 | |||||||||||||||
| Non-GAAP gross margin | 80.0 | % | 80.7 | % | 80.3 | % | 80.5 | % | |||||||||||||||
A10 NETWORKS, INC.
RECONCILIATION OF GAAP TOTAL OPERATING EXPENSES
TO NON-GAAP TOTAL OPERATING EXPENSES
(unaudited, in thousands)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| GAAP total operating expenses | $ | 53,759 | $ | 46,858 | $ | 154,841 | $ | 135,175 | |||||||||||||||
| Non-GAAP adjustments: | |||||||||||||||||||||||
| Stock-based compensation and related payroll tax | (5,582) | (4,825) | (18,903) | (14,555) | |||||||||||||||||||
| Acquisition-related expense | (173) | (101) | (1,519) | (655) | |||||||||||||||||||
| Amortization of acquired intangible assets | (184) | (99) | (395) | (251) | |||||||||||||||||||
| Certain legal expense | — | (22) | (807) | (1,269) | |||||||||||||||||||
| Tax planning expense | — | — | — | (150) | |||||||||||||||||||
| Non-GAAP total operating expenses | $ | 47,820 | $ | 41,811 | $ | 133,217 | $ | 118,295 | |||||||||||||||
A10 NETWORKS, INC.
RECONCILIATION OF GAAP INCOME FROM OPERATIONS
TO NON-GAAP OPERATING INCOME
(unaudited, in thousands, except percentages)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| GAAP income from operations | $ | 18,295 | $ | 12,994 | $ | 40,318 | $ | 32,083 | |||||||||||||||
| GAAP operating margin | 20.0 | % | 17.4 | % | 16.3 | % | 15.3 | % | |||||||||||||||
| Non-GAAP adjustments: | |||||||||||||||||||||||
| Stock-based compensation and related payroll tax | 6,162 | 4,961 | 20,504 | 15,839 | |||||||||||||||||||
| Acquisition-related expense | 173 | 101 | 1,519 | 655 | |||||||||||||||||||
| Amortization of acquired intangible assets | 820 | 380 | 1,652 | 963 | |||||||||||||||||||
| Certain legal expense | — | 22 | 807 | 1,269 | |||||||||||||||||||
| Tax planning expense | — | — | — | 150 | |||||||||||||||||||
| Non-GAAP operating income | $ | 25,450 | $ | 18,458 | $ | 64,800 | $ | 50,959 | |||||||||||||||
| Non-GAAP operating margin | 27.8 | % | 24.7 | % | 26.3 | % | 24.2 | % | |||||||||||||||
A10 NETWORKS, INC.
RECONCILIATION OF GAAP NET INCOME TO
EBITDA AND ADJUSTED EBITDA (NON-GAAP)
(unaudited, in thousands, except percentages)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| GAAP net income | $ | 17,160 | $ | 12,191 | $ | 38,074 | $ | 32,272 | |||||||||||||||
| GAAP net income margin | 18.7 | % | 16.3 | % | 15.4 | % | 15.4 | % | |||||||||||||||
| Exclude: Interest and other income, net | (1,447) | (999) | (3,571) | (4,317) | |||||||||||||||||||
| Exclude: Depreciation and amortization | 4,840 | 3,799 | 13,258 | 11,079 | |||||||||||||||||||
| Exclude: Provision for income taxes | 2,582 | 1,802 | 5,815 | 4,128 | |||||||||||||||||||
| EBITDA | 23,135 | 16,793 | 53,576 | 43,162 | |||||||||||||||||||
| Exclude: Stock-based compensation and related payroll tax | 6,162 | 4,961 | 20,504 | 15,839 | |||||||||||||||||||
| Exclude: Acquisition-related expense | 173 | 101 | 1,519 | 655 | |||||||||||||||||||
| Exclude: Certain legal expense | — | 22 | 807 | 1,269 | |||||||||||||||||||
| Exclude: Tax planning expense | — | — | — | 150 | |||||||||||||||||||
| Adjusted EBITDA | $ | 29,470 | $ | 21,877 | $ | 76,406 | $ | 61,075 | |||||||||||||||
| Adjusted EBITDA margin | 32.2 | % | 29.3 | % | 31.0 | % | 29.1 | % | |||||||||||||||
Q3 2026 Financial Results and Commentary November 5, 2026
Cautionary Statements & Disclosures This presentation and the accompanying oral presentation contain “forward-looking” statements that are based on our management’s beliefs and assumptions, including statements regarding dividends and capital return, demand and market trends, strategy and competitive positioning, financial performance and profitability, supply chain management, and 2026 financial guidance and long-term financial targets. Forward-looking statements are subject to known and unknown risks and uncertainties and are based on assumptions that may prove to be incorrect, which could cause actual results to differ materially from those expected or implied by the forward-looking statements. Factors that may cause actual results to differ include any unforeseen need for capital which may require us to divert funds we may have otherwise used for the dividend program or stock repurchase program, which may in turn negatively impact our ability to administer the quarterly dividends or the repurchase of our common stock; a significant decline in global macroeconomic or political conditions that have an adverse impact on our business and financial results; an expansion of adversarial global trade dynamics or other changes to international trade regulations; business interruptions related to our supply chain; our ability to manage our business and expenses if customers cancel or delay orders; execution risks related to closing key deals and improving our execution; the continued market adoption of our products; our ability to successfully anticipate market needs and opportunities; our timely development of new products and features; our ability to achieve or maintain profitability; any loss or delay of expected purchases by our largest end-customers; our ability to maintain or improve our competitive position; competitive and execution risks related to cloud-based computing trends; our ability to attract and retain new end-customers and our largest end-consumers; our ability to maintain and enhance our brand and reputation; changes demanded by our customers in the deployment and payment model for our products; continued growth in markets relating to network security; the success of any future acquisitions or investments in complementary companies, products, services or technologies; the ability of our sales team to execute well; our ability to shorten our close cycles; the ability of our channel partners to sell our products; variations in product mix or geographic locations of our sales; risks associated with our presence in international markets; weaknesses or deficiencies in our internal control over financial reporting; our ability to timely file periodic reports required to be filed under the Securities Exchange Act of 1934; and other risks that are described in “Risk Factors” in our periodic filings with the Securities and Exchange Commission, including our Form 10-K filed with the Securities and Exchange Commission on February 25, 2026. We do not intend to update or alter our forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. This presentation and the accompanying oral presentation also include certain non-GAAP financial measures including non-GAAP net income, non-GAAP net income per basic and diluted share (or non-GAAP EPS), non-GAAP gross profit and gross margin, non-GAAP operating expenses, non-GAAP operating income and operating margin, Adjusted EBITDA and Adjusted EBITDA margin. Non-GAAP financial measures do not have any standardized meaning and are therefore unlikely to be comparable to similarly titles measures presented by other companies. A10 Networks considers these non-GAAP financial measures to be important because they provide useful measures of the operating performance of the company by excluding certain items that, while they may recur, can vary significantly in amount and timing or are not directly indicative of ongoing operational trends, and are used by the company’s management to evaluate operating performance, prepare budgets and forecasts, and assess performance relative to peer companies. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. We define non-GAAP net income as our GAAP net income excluding: (i) stock-based compensation and related payroll tax, (ii) acquisition-related expense, (iii) amortization of acquired intangible assets, (iv) amortization of debt issuance costs, (v) certain legal expense, (vi) tax planning expense and (vii) income tax effect of non-GAAP items (i) to (vi) listed above. We define non-GAAP net income per basic and diluted share as our non-GAAP net income divided by our basic and diluted weighted- average shares outstanding. We define non-GAAP gross profit as our GAAP gross profit excluding (i) stock-based compensation and related payroll tax and (ii) amortization of acquired intangible assets. We define non-GAAP gross margin as our non-GAAP gross profit divided by our GAAP revenue. We define non-GAAP operating expense as our GAAP operating expense excluding (i) stock-based compensation and related payroll tax, (ii) acquisition-related expense, (iii) amortization of acquired intangible assets, (iv) certain legal expense and (v) tax planning expense. We define non-GAAP operating income as our GAAP income from operations excluding (i) stock-based compensation and related payroll tax, (ii) acquisition-related expense, (iii) amortization of acquired intangible assets, (iv) certain legal expense and (v) tax planning expense. We define non-GAAP operating margin as our non-GAAP operating income divided by our GAAP revenue. We define Adjusted EBITDA as our GAAP net income excluding (i) interest and other income, net, (ii) depreciation and amortization expense, (iii) provision for income taxes, (iv) stock-based compensation and related payroll tax, (v) acquisition-related expense, (vi) certain legal expense and (vii) tax planning expense. We define Adjusted EBITDA margin as our Adjusted EBITDA divided by our GAAP revenue. Non-GAAP financial measures are presented for supplemental informational purposes only for understanding the company's operating results.
Agenda Q3 and YTD 2026 Overview 2026 Outlook
Q3’26: Record Growth and Profitability Fueled by Durable Secular Catalysts Consistent Profitability Key TakeawaysRevenue Overview Q3 Revenue increased ~23% year-over-year to record levels, with YTD revenue growing ~17% year-over-year Double-digit growth excluding largest customer in the quarter Adjusted EBITDA margins of 32.2% Non-GAAP EPS of $0.31 (diluted) Record Non-GAAP income from operations of $25.5 million Increasing relevance supporting next-generation infrastructure and applications, including AI See Appendix for reconciliation to most comparable GAAP financial measures. Core portfolio supporting AI workloads for Fortune 500 enterprises, including telecoms, banks and utilities
A10 Enables Secure and Available AI Applications AI Delivery & Connectivity Reliable access to AI applications Distributes AI application traffic and connects employees to external AI services Thunder ADC · Thunder CGN Example: global cloud services provider supporting an enterprise AI assistant AI Infrastructure Protection Help keep AI services reachable Filters DDoS attack traffic to help keep AI services and shared applications available A10 DDoS protection · Thunder TPS Example: hyperscale cloud provider protecting cloud-hosted AI services Encrypted AI Traffic Visibility Extend security inspection to AI traffic Decrypts AI traffic so existing security tools can inspect it, then re-encrypts it A10 SSL Insight Example: banks inspecting encrypted AI and other application traffic AI Security & Governance Reduce AI risk and control spending Tests models, protects live AI use, and governs access and routing by capability and cost TrojAI platform · A10 AI Gateway Example: global financial services firm with 40,000 employees covered in 2025* *Reported employee protection or monitoring coverage in 2025; not an active-user count. Customer examples are anonymized, and many deployments support both AI and non-AI applications. Benefits describe the intended use of the solutions, not measured customer performance. AI Gateway is shown as a portfolio capability; no AI Gateway customer deployment is represented.
2026 Outlook Update Revenue Outlook EPS Outlook Upgrade outlook from previously guided 12-14% FY YoY growth to 16% FY YoY growth Upgrade outlook from previously guided 14-16% FY YoY growth to 20-22% FY YoY growth
Revenue and Adjusted EBITDA $74.7 $80.4 $75.0 $80.1 $91.5 Q3'25 Q4'25 Q1'26 Q2'26 Q3'26 Revenue, $ Millions $19.7 $21.9 $24.9 $22.5 $24.4 $29.5 Q2'25 Q3'25 Q4'25 Q1'26 Q2'26 Q3'26 Adjusted EBITDA, $ Millions $210.2 $246.7 YTD Q3 2025 YTD Q3 2026 Revenue, $ Millions $61.1 $76.4 YTD Q3 2025 YTD Q3 2026 Adjusted EBITDA is a Non-GAAP Financial Measure. See Appendix for reconciliation to most comparable GAAP financial measures. Adjusted EBITDA, $ Millions
Revenue by Customer Vertical $26.9 $34.1 $42.2 $48.0 $53.3 $47.8 $46.3 $32.8 $32.1 $38.2 Q3'25 Q4'25 Q1'26 Q2'26 Q3'26 Revenue, $ Millions Service Provider Enterprise
Revenue by Geography 65% 64% 67% 68% 64% 22% 22% 19% 21% 21% 12% 14% 14% 11% 15% Q3'25 Q4'25 Q1'26 Q2'26 Q3'26 % of Revenue Americas APJ EMEA 66% 20% 14% YTD Q3’26 $246.7 million
Unified Product Architecture What We Do AI Infrastructure Enablement Massive scale traffic management Carrier-grade traffic processing High-performance NAT Application-aware traffic steering East-west load balancing Flexible performance optimization for distributed workloads Multi-layer DDoS mitigation (L3-L7) Web and API protection for modern applications Intelligent & automated threat protection N o w Security Next-Generation Networking Legacy Networking AI Gateway AI Red Teaming and AI FirewallAI-powered Predictive Analytics N ex t Common Policy Engine Shared OS & Security Platform Unified Control Plane
Consistent Value Creation Business Model Revenue Growth Capital Allocation
Thank You
A10Networks.com
Appendix
Financial Performance Trends Numbers may not sum due to rounding. Please refer to the supplemental financials posted in the “Investor Relations” section of the A10 Networks website at investors.A10networks.com Gross Margin %, Operating Margin %, Adjusted EBITDA and EPS are Non-GAAP Financial Measures. See Appendix for reconciliation to most comparable GAAP financial measures. $ Millions (except Margins and EPS) Q1’24 Q2’24 Q3’24 Q4’24 FY 2024 Q1’25 Q2’25 Q3'25 Q4’25 FY 2025 Q1’26 Q2’26 Q3’26 YTD’26 Revenue $60.7 $60.1 $66.7 $74.2 $261.7 $66.1 $69.4 $74.7 $80.4 $290.6 $75.0 $80.1 $91.5 $246.7 Non-GAAP Gross Margin % 81.9% 80.9% 81.3% 80.7% 81.2% 80.9% 80.0% 80.7% 80.8% 80.6% 80.6% 80.3% 80.0% 80.3% Non-GAAP Operating Margin % 18.5% 21.1% 22.6% 32.7% 24.2% 24.4% 23.6% 24.7% 26.6% 24.9% 25.2% 25.5% 27.8% 26.3% Adjusted EBITDA (non-GAAP) $13.9 $15.5 $17.8 $27.3 $74.5 $19.5 $19.7 $21.9 $24.9 $86.0 $22.5 $24.4 $29.5 $76.4 Non-GAAP EPS $0.17 $0.18 $0.21 $0.31 $0.86 $0.20 $0.21 $0.23 $0.26 $0.90 $0.24 $0.25 $0.31 $0.80 Ending Cash & Marketable Securities $182.1 $177.1 $182.1 $195.6 $195.6 $355.8 $367.4 $370.9 $377.9 $377.9 $369.8 $357.3 $360.4 $360.4
GAAP to Non-GAAP – Gross Margin and EPS Numbers may not sum due to rounding. EPS data is presented on a basic and diluted basis. Please refer to the supplemental financials posted the “Investor Relations” section of the A10 Networks website at investors.A10networks.com. Year Ended Year Ended Year to Date % of Revenue except EPS Q1'24 Q2'24 Q3'24 Q4'24 Dec 31 2024 Q1'25 Q2'25 Q3'25 Q4'25 Dec 31 2025 Q1'26 Q2'26 Q3'26 Sep 30 2026 Gross Margin % - GAAP 81.1% 80.0% 80.5% 79.9% 80.4% 79.7% 78.9% 80.1% 78.7% 79.3% 79.6% 79.1% 78.7% 79.1% Stock-based compensation 0.8% 0.9% 0.8% 0.7% 0.8% 1.0% 0.7% 0.2% 0.5% 0.6% 0.5% 0.8% 0.6% 0.6% Amortization expense related to acquisition 0.0% 0.0% 0.0% 0.0% 0.0% 0.2% 0.4% 0.4% 0.3% 0.3% 0.4% 0.4% 0.7% 0.5% Asset impairment expense 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 1.2% 0.3% 0.0% 0.0% 0.0% 0.0% Gross Margin % - Non-GAAP 81.9% 80.9% 81.3% 80.6% 81.2% 80.9% 80.0% 80.7% 80.8% 80.6% 80.6% 80.3% 80.0% 80.3% EPS $ - GAAP 0.13$ 0.13$ 0.17$ 0.24$ 0.67$ 0.13$ 0.14$ 0.17$ 0.14$ 0.57$ 0.17$ 0.12$ 0.23$ 0.51$ Stock-based compensation 0.05 0.06 0.06 0.06 0.23 0.08 0.06 0.07 0.07 0.28 0.07 0.12 0.08 0.27 Tax planning expense - 0.01 0.00 - 0.01 - 0.00 - - 0.00 - - - - Certain legal expense - 0.00 - - 0.00 0.01 0.01 0.00 0.00 0.02 0.01 0.00 0.00 0.01 Asset impairment expense - - - - - - - - 0.01 0.01 - - - - Acquisition-related expense - - - - - 0.00 0.00 0.00 0.00 0.01 - 0.02 0.00 0.02 Amortization expense related to acquisition - - - - - 0.00 0.01 0.01 0.01 0.02 0.01 0.01 0.01 0.02 Amortization of debt issuance costs - - - - - - 0.00 0.00 0.01 0.01 0.00 0.01 0.00 0.01 Workforce reduction severance - - - 0.01 0.01 - - - - - - - - - Income tax effect of non-GAAP items (0.01) (0.01) (0.02) (0.02) (0.06) (0.02) (0.02) (0.02) 0.04 (0.03) (0.01) (0.03) (0.01) (0.05) EPS $ - Non-GAAP 0.17$ 0.17$ 0.21$ 0.31$ 0.86$ 0.20$ 0.21$ 0.23$ 0.26$ 0.90$ 0.24$ 0.25$ 0.31$ 0.80$
GAAP to Non-GAAP – Operating Income Numbers may not sum due to rounding. Please refer to the supplemental financials posted the “Investor Relations” section of the A10 Networks website at investors.A10networks.com. Q3’23 Year Ended Year Ended Year to Date $ Millions Q1'24 Q2'24 Q3'24 Q4'24 Dec 31 2024 Q1'25 Q2'25 Q3'25 Q4'25 Dec 31 2025 Q1'26 Q2'26 Q3'26 Sep 30 2026 Income from operations $ - GAAP 7.2$ 7.9$ 10.4$ 18.4$ 44.0$ 8.8$ 10.3$ 13.0$ 15.1$ 47.1$ 13.0$ 9.0$ 18.3$ 40.3$ Stock-based compensation and related payroll tax 4.0 4.3 4.5 4.8 17.6 6.3 4.6 5.0 4.9 20.7 5.1 9.3 6.2 20.5 Tax planning expense - 0.4 0.1 - 0.5 - 0.2 - - 0.2 - - - - Asset impairment expense - - - - - - - - 1.0 1.0 - - - - Certain legal expense - 0.1 - - 0.1 0.5 0.7 0.0 0.1 1.3 0.5 0.3 0.0 0.8 Acquisition-related expense - - - - - 0.3 0.2 0.1 0.0 0.7 - 1.3 0.2 1.5 Amortization of purchased intangible assets - - - - - 0.2 0.4 0.4 0.4 1.3 0.4 0.5 0.8 1.7 Workforce reduction severance - - - 1.1 1.1 - - - - - - - - - Income from operations $ - Non-GAAP 11.2$ 12.7$ 15.1$ 24.3$ 63.2$ 16.1$ 16.4$ 18.5$ 21.3$ 72.3$ 18.9$ 20.4$ 25.5$ 64.8$ % of Revenue Income from operations % - GAAP 11.9 % 13.2 % 15.7 % 24.8 % 16.8 % 13.3 % 14.9 % 17.4 % 18.7 % 16.2 % 17.3 % 11.3 % 20.0 % 16.3 % Stock-based compensation and related payroll tax 6.6 % 7.2 % 6.8 % 6.5 % 6.7 % 9.5 % 6.6 % 6.6 % 6.1 % 7.1 % 6.7 % 11.6 % 6.7 % 8.3 % Tax planning expense —% 0.7 % 0.1 % —% 0.2 % —% 0.2 % —% —% 0.1 % —% —% —% —% Asset impairment expense —% —% —% —% —% —% —% —% 1.2 % 0.3 % —% —% —% —% Certain legal expense —% 0.1 % —% —% 0.0 % 0.8 % 1.0 % 0.0 % 0.1 % 0.5 % 0.7 % 0.4 % 0.0 % 0.3 % Acquisition-related expense —% —% —% —% —% 0.5 % 0.3 % 0.1 % 0.0 % 0.2 % —% 1.7 % 0.2 % 0.6 % Amortization of purchased intangible assets —% —% —% —% —% 0.3 % 0.5 % 0.5 % 0.5 % 0.5 % 0.5 % 0.6 % 0.9 % 0.7 % Workforce reduction severance —% —% —% 1.4 % 0.4 % —% —% —% —% —% —% —% —% —% Income from operations % - Non-GAAP 18.5 % 21.1 % 22.6 % 32.7 % 24.2 % 24.4 % 23.6 % 24.7 % 26.6 % 24.9 % 25.2 % 25.5 % 27.8 % 26.3 %
GAAP to Non-GAAP – Adjusted EBITDA Numbers may not sum due to rounding. Please refer to the supplemental financials posted the “Investor Relations” section of the A10 Networks website at investors.A10networks.com. Year Ended Year Ended Year to Date $ Millions Q1'24 Q2'24 Q3'24 Q4'24 Dec 31 2024 Q1'25 Q2'25 Q3'25 Q4'25 Dec 31 2025 Q1'26 Q2'26 Q3'26 Sep 30 2026 GAAP net income 9.7$ 9.5$ 12.6$ 18.3$ 50.1$ 9.5$ 10.5$ 12.2$ 9.9$ 42.1$ 12.0$ 8.9$ 17.2$ 38.1$ Exclude: Interest income and other income, net (4.0) (3.1) (3.9) (3.1) (14.1) (1.7) (1.6) (1.0) (1.0) (5.3) (1.2) (0.9) (1.4) (3.6) Exclude: Depreciation & amortization 2.7 2.8 2.7 3.0 11.3 3.6 3.7 3.8 4.0 15.1 4.0 4.4 4.8 13.3 Exclude: Provision for income taxes 1.5 1.5 1.8 3.2 8.0 0.9 1.4 1.8 6.2 10.3 2.2 1.0 2.6 5.8 EBITDA 9.9 10.7 13.2 21.4 55.3 12.4 14.0 16.8 19.0 62.2 17.0 13.5 23.1 53.6 Exclude: Stock-based compensation and related payroll tax 4.0 4.3 4.5 4.8 17.6 6.3 4.6 5.0 4.9 20.7 5.1 9.3 6.2 20.5 Exclude: Asset impairment expense - - - - - - - - 1.0 1.0 - - - - Exclude: Tax planning expense - 0.4 0.1 - 0.5 - 0.2 - - 0.2 - - - - Exclude: Certain legal expense - 0.1 - - 0.1 0.5 0.7 0.0 0.1 1.3 0.5 0.3 0.0 0.8 Exclude: Acquisition-related expense - - - - - 0.3 0.2 0.1 0.0 0.7 - 1.3 0.2 1.5 Exclude: Workforce reduction severance - - - 1.1 1.1 - - - - - - - - - Adjusted EBITDA - Non-GAAP 13.9$ 15.5$ 17.8$ 27.3$ 74.5$ 19.5$ 19.7$ 21.9$ 24.9$ 86.0$ 22.5$ 24.4$ 29.5$ 76.4$