#Israel #Hod Hasharon #SECaaS #Allot #Eyal Harari

Allot Ltd. Reports Impressive Third Quarter 2025 Financial Results

Allot Ltd. (NASDAQ: ALLT), a global leader in Security-as-a-Service (SECaaS) and network intelligence solutions, has announced its financial results for the third quarter of 2025, showcasing notable growth and profitability milestones.

Financial Highlights

For the quarter ending September 30, 2025, Allot reported total revenues of $26.4 million, reflecting a 14% increase compared to $23.2 million in Q3 2024. The report discloses that SECaaS contributed 28% to total revenues, with an impressive 60% year-over-year growth in SECaaS recurring revenue, amounting to $27.6 million.

In terms of profitability, Allot achieved a GAAP operating income of $2.2 million, a significant bounce back from a loss of $0.2 million in the same quarter last year. The non-GAAP operating income also showed strong improvement at $3.7 million, rising from $1.1 million in Q3 2024. Additionally, the company reported a robust operating cash flow of $4.0 million and a quarter-end cash balance of $81 million, displaying a healthy financial position without any debt.

Leadership Commentary

Eyal Harari, CEO of Allot, expressed satisfaction with the company’s performance, noting, "This quarter marks a return to double-digit year-over-year revenue growth, attributed to strong performance from both our cybersecurity and network intelligence solutions. Our focus on a cybersecurity-first strategy is resonating with clients, contributing significantly to our financial success."

Harari indicated optimism for the future, stating, "With an ongoing acceleration in our SECaaS growth and a robust visibility into our operations, we anticipate a continued year-over-year increase in SECaaS recurring revenue of over 60%. Hence, we are raising our full-year revenue guidance to a range of $100-103 million."

Detailed Financial Metrics

Revenue Breakdown

• - Products: $8.6 million (33%)
• - Professional Services: $1.1 million (4%)
• - SECaaS: $7.3 million (28%)
• - Support & Maintenance: $9.4 million (35%)

Profit Margins

• - Gross profit on a GAAP basis was $18.9 million, a gross margin of 71.4%, compared to $16.4 million (70.4% margin) in Q3 2024. On a non-GAAP basis, the gross profit was $19.1 million with a margin of 72.2%.
• - The net income stands at $2.8 million or $0.07 per diluted share, improving from a net loss of $0.2 million or $0.01 loss per basic share in Q3 2024.

Conclusion

Allot's third quarter results reflect not only significant growth in revenues and profitability but also underline the company's strategic focus on cybersecurity solutions, paving the way for sustained future growth. Investors and stakeholders remain optimistic as Allot continues to enhance its offerings in the growing market of network security.

For further details on the financial results, the company will host a conference call on November 20, 2025, at 9:00 AM ET, which will also be available via a live webcast. For ongoing updates, visit Allot’s investor relations page at Allot's Investor Relations.