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Applied Optoelectronics

AAOI Q4 2025 Earnings

Reported Feb 26, 2026 at 11:06 AM ET · SEC Source

Q4 25 EPS

$-0.01

BEAT +90.77%

Est. $-0.11

Q4 25 Revenue

$134.3M

vs S&P Since Q4 25

+238.0%

BEATING MARKET

AAOI +243.1% vs S&P +5.1%

Full Year 2025 Results

FY 25 EPS

$-0.26

FY 25 Revenue

$455.7M

Market Reaction

Did AAOI Beat Earnings? Q4 2025 Results

Applied Optoelectronics capped its strongest year in company history with a decisive Q4 2025 beat, posting a loss of just $0.01 per share against a consensus estimate of negative $0.11, a 90.77% positive surprise, while revenue climbed 33.9% year-ove… Read more Applied Optoelectronics capped its strongest year in company history with a decisive Q4 2025 beat, posting a loss of just $0.01 per share against a consensus estimate of negative $0.11, a 90.77% positive surprise, while revenue climbed 33.9% year-over-year to a record $134.27 million. Investors had been watching closely heading into the print, and the results delivered: broad-based demand across both the datacenter and CATV segments drove the top-line surge, with datacenter revenue alone reaching $74.88 million in the quarter, up from $44.24 million a year ago. GAAP gross margin expanded to 31.2% from 28.7%, as the company's ongoing manufacturing capacity expansion in Texas supported higher-volume production of next-generation optical products. The strong quarter sent shares sharply higher, with analysts raising price targets on growing demand for 400G and 800G transceivers. Looking ahead, AOI guided Q1 2026 revenue of $150 million to $165 million, with management projecting full-year 2026 revenue could exceed $1 billion.

Key Takeaways

  • • Broad-based demand in both CATV and datacenter businesses
  • • Record fourth quarter revenue of $134.3 million
  • • Gross margin expansion to 31.2% GAAP and 31.4% non-GAAP
  • • Datacenter revenue grew to $74.9 million from $44.2 million year-over-year in Q4

AAOI Forward Guidance & Outlook

For Q1 2026, AOI expects revenue in the range of $150 million to $165 million, non-GAAP gross margin in the range of 29% to 31%, and non-GAAP net income in the range of a loss of $7.0 million to a loss of $0.3 million, with non-GAAP income per share in the range of a loss of $0.09 to breakeven using approximately 76.4 million shares.

24/7 Wall St

AAOI YoY Financials

Q4 2025 vs Q4 2024, source: SEC Filings

24/7 Wall St

AAOI Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q4 25

“We are pleased to deliver record fourth quarter results that were in line with or better than our expectations, and which capped off the strongest year in our company's history. Our results were driven by broad-based demand in both our CATV and datacenter businesses. We have considerable momentum entering 2026, and we believe we are well positioned to accelerate our growth this year.”

— Thompson Lin, Q4 2025 Earnings Press Release

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