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CERAGON Q2 2026 Financial Review August 2026 Proprietary & Confidential I
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2 P r o p r i e t a r y & C o n f i d e n t i a l | Disclaimer This presentation has been prepared by Ceragon Networks Ltd. (“Ceragon” or the “Company”) for informational purposes only. This presentation and the information contained herein are proprietary to the Company and may not be reproduced (in whole or in part) nor summarized, used, distributed, disseminated and/or copied without the prior written consent by the Company. Ceragon Networks® and FibeAir® are registered trademarks of Ceragon in the United States and other countries. CERAGON® is a trademark of Ceragon Networks Ltd., registered in various countries. Other names mentioned are owned by their respective holders. Neither this presentation nor any of the information contained herein constitute an offer to sell or the solicitation of an offer to buy any securities. No offering of securities shall be made in the United States except pursuant to registration under the U.S. Securities Act of 1933, as amended, or an exemption therefrom. No offering of securities shall be made in Israel except pursuant to an effective prospectus under the Israeli Securities Law, 1968 or an exemption from the prospectus requirements under such law. This presentation does not constitute a proposal and/or an offer and/or invitation to acquire and/or to be issued shares or any other securities by the Company and/or to engage in any transaction. This presentation has been prepared to provide summary information to its recipients, but it does not, however, purport to present all material information regarding the Company and/or the subject matter thereof, and it is subject to, and must be read in conjunction with, all other publicly available information, including Ceragon’s public filings with the Securities and Exchange Commission (“SEC”). In particular, the Company makes no representation or warranty, express or implied, as to the accuracy or completeness of the information contained herein. Historical facts and past operating results are not intended to mean that future performances or results for any period will necessarily match or exceed those of any prior year. Forward Looking Statements. This presentation contains statements that statements that constitute “forward-looking statements” within the meaning of the Securities Act of 1933, as amended and the Securities Exchange Act of 1934, as amended, and the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on the current beliefs, expectations and assumptions of Ceragon’s management about Ceragon’s business, financial condition, results of operations, micro and macro market trends and other issues addressed or reflected therein. Examples of forward-looking statements include, but are not limited to, statements regarding: projections of demand, revenues, net income, gross margin, capital expenditures and liquidity, competitive pressures, order timing, supply chain and shipping, components availability; growth prospects, product development, financial resources, cost savings and other financial and market matters. You may identify these and other forward-looking statements by the use of words such as "may", "plans", "anticipates", "believes", "estimates", "targets", "expects", "intends", "potential" or the negative of such terms, or other comparable terminology, although not all forward-looking statements contain these identifying words. Although we believe that the projections reflected in such forward-looking statements are based upon reasonable assumptions, we can give no assurance that our expectations will be obtained or that any deviations there from will not be material. Such forward- looking statements involve known and unknown risks and uncertainties that may cause Ceragon’s future results or performance to differ materially from those anticipated, expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to: Company's forward-looking forecasts, with respect to which there is no assurance that such forecasts will materialize; Company's ability to future plan, business, marketing and product strategies on the forecasted evolution of the market developments, such as market and territory trends, future use cases, business concepts, technologies, future demand, and necessary inventory levels; the effects of fluctuations in currency exchange rates between the currencies in which we operate; risks relating to the conversion of the orders from customers into revenues; the effects of global economic trends, including recession, rising inflation, rising interest rates, commodity price increases and fluctuations, commodity shortages and exposure to economic slowdown; risks related to conditions in Israel and the continuation of hostilities in the Middle East; risks associated with delays in the transition to 5G technologies and in the 5G rollout; risks relating to the concentration of our business on a limited number of large mobile operators and the fact that the significant weight of their ordering, compared to the overall ordering by other customers, coupled with inconsistent ordering patterns, could negatively affect us; risks resulting from the volatility in our revenues, margins and working capital needs; disagreements with tax authorities regarding tax positions that we have taken could result in increased tax liabilities; the high volatility in the supply needs of our customers, which from time to time lead to delivery issues and may lead to us being unable to timely fulfil our customer commitments; and such other risks, uncertainties and other factors that could affect our results of operations, as further detailed in Ceragon’s most recent Annual Report on Form 20-F, as published on April 15, 2026, as well as other documents that may be subsequently filed by Ceragon from time to time with the Securities and Exchange Commission. We caution you not to place undue reliance on forward-looking statements, which speak only as of the date hereof. Ceragon does not assume any obligation to update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release unless required by law. While we believe that we have a reasonable basis for each forward-looking statement contained in this press release, we caution you that these statements are based on a combination of facts and factors currently known by us and our projections on the future, about which we cannot be certain. In addition, any forward-looking statements represent Ceragon’s views only as of the date of this press release and should not be relied upon as representing its views as of any subsequent date. Ceragon does not assume any obligation to update any forward-looking statements unless required by law. The results reported in this press- release are preliminary and unaudited results, and investors should be aware of possible discrepancies between these results and the audited results to be reported, due to various factors. Ceragon’s public filings are available on the Securities and Exchange Commission’s website at www.sec.gov and may also be obtained from Ceragon’s website at www.ceragon.com. .
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3 P r o p r i e t a r y & C o n f i d e n t i a l | Revenues- Geographic Split Q2/23 Q3/23 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Q1/26 Q2/26 India 31% 34% 34% 29% 37% 49% 52% 48% 30% 29% 30% 35% 48% North America 26% 26% 27% 33% 24% 24% 12% 20% 33% 41% 39% 37% 22% EMEA 17% 15% 19% 17% 20% 14% 15% 14% 17% 12% 15% 15% 13% APAC 11% 10% 7% 9% 9% 6% 11% 10% 10% 9% 6% 6% 9% Latin America 15% 15% 13% 12% 10% 7% 10% 8% 10% 9% 10% 7% 8% Total 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
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4 P r o p r i e t a r y & C o n f i d e n t i a l | NON-GAAP Profit & Loss Q2/23 Q3/23 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Q1/26 Q2/26 Revenues 86,151 87,260 90,359 88,498 96,088 102,672 106,932 88,652 82,262 85,484 82,330 85,003 93,914 Cost of Revenues 55,747 56,844 58,599 55,986 62,304 67,434 70,240 58,940 53,290 55,578 54,098 54,374 63,657 Gross profit 30,404 30,416 31,760 32,512 33,784 35,238 36,692 29,712 28,972 29,906 28,232 30,629 30,257 Gross margin 35.3% 34.9% 35.1% 36.7% 35.2% 34.3% 34.3% 33.5% 35.2% 35.0% 34.3% 36.0% 32.2% Research & Development 7,580 7,260 7,715 8,695 8,201 8,577 8,777 8,094 7,209 6,765 7,680 7,750 8,188 % R&D 8.8% 8.3% 8.5% 9.8% 8.5% 8.4% 8.2% 9.1% 8.8% 7.9% 9.3% 9.1% 8.7% Sales & Marketing 9,415 9,702 10,175 10,694 11,004 10,413 10,628 11,765 11,117 12,030 11,378 13,430 12,339 % S&M 10.9% 11.1% 11.3% 12.1% 11.5% 10.1% 9.9% 13.3% 13.5% 14.1% 13.8% 15.8% 13.1% General & Administration 6,051 5,451 6,098 5,538 1,434 404 5,098 5,359 5,925 5,779 5,751 5,290 5,743 % G&A 7.0% 6.2% 6.7% 6.3% 1.5% 0.4% 4.8% 6.0% 7.2% 6.8% 7.0% 6.2% 6.1% Total operating expenses 23,046 22,413 23,988 24,926 20,639 19,393 24,504 25,219 24,252 24,574 24,809 26,470 26,270 Operating profit (loss) 7,358 8,003 7,772 7,585 13,145 15,844 12,189 4,494 4,721 5,332 3,423 4,159 3,987 Operating margin 8.5% 9.2% 8.6% 8.6% 13.7% 15.4% 11.4% 5.1% 5.7% 6.2% 4.2% 4.9% 4.2% Non-GAAP EBITDA 9,940 10,369 10,238 10,063 15,667 18,382 15,002 7,091 7,476 7,935 6,310 6,803 6,666 Financial expenses and others, net 2,171 2,086 2,538 2,300 2,600 1,211 3,493 1,037 1,679 2,848 1,396 2,873 1,613 Income Tax 787 953 1,492 542 609 580 1,047 880 588 749 581 572 665 Non GAAP Net income (loss) 4,400 4,964 3,742 4,743 9,936 14,053 7,650 2,577 2,454 1,735 1,446 714 1,709 Non GAAP EPS 0.05 0.06 0.04 0.05 0.11 0.16 0.09 0.03 0.03 0.02 0.02 0.01 0.02 # of Shares for diluted EPS (‘000) 86,747 87,228 85,054 87,585 87,922 88,334 89,988 91,515 91,245 91,744 92,432 92,710 91,034 (U.S. dollars in thousands, except share and per share data)
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5 P r o p r i e t a r y & C o n f i d e n t i a l | Selected Cash Flow Data Q2/23 Q3/23 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Q1/26 Q2/26 Total cash & cash equivalents 24,529 33,966 28,237 28,783 26,303 34,014 35,311 27,688 29,216 42,987 38,368 39,164 34,771 Cash flow from operations 3,181 13,237 10,961 6,527 4,822 13,720 1,129 2,610 10,762 7,161 11,023 6,530 5,070 Capital expenditures (2,879) (2,381) (11,180) (3,706) (5,238) (3,148) (4,372) (10,577) (5,130) (4,114) (4,176) (3,745) (4,773) Options Exercise 30 - 9 258 284 265 5,071 508 143 4 35 9 267 Proceeds (repayment) of short-term bank credits and loans, net (2,300) (1,350) (5,600) (2,100) (2,050) (3,250) - - (4,700) 10,500 (12,000) (1,900) (5,100) Effect of exchange rate changes on cash and cash equivalents, and other 74 (64) 81 (433) (298) 124 (531) (164) 453 220 499 (98) 143 Net Change in Cash (1,894) 9,437 (5,729) 546 (2,480) 7,711 1,297 (7,623) 1,528 13,771 (4,619) 796 (4,393) (U.S. dollars in thousands)
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6 P r o p r i e t a r y & C o n f i d e n t i a l | Selected Balance Sheet Data Q2/23 Q3/23 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Q1/26 Q2/26 Cash and Cash Equivalents 24,529 33,966 28,237 28,783 26,303 34,014 35,311 27,688 29,216 42,987 38,368 39,164 34,771 Trade Receivables 107,592 104,593 104,321 97,386 112,895 121,550 149,619 145,740 124,051 111,954 99,673 94,421 101,283 DSOs 121 115 110 101 114 118 139 135 119 112 107 103 107 Inventory 67,836 70,050 68,811 61,029 59,490 59,800 59,693 62,343 59,944 58,420 61,587 56,456 59,459 Inventory Days 116 117 110 97 92 88 85 87 87 89 100 94 94 Working capital 83,536 88,405 84,987 84,235 88,966 101,862 109,590 103,163 108,340 105,692 104,977 101,335 101,288 Short-term loans 39,550 38,200 32,600 30,500 28,450 25,200 25,200 25,200 20,500 31,000 19,000 17,100 12,004 Shareholders' Equity 126,382 130,514 134,019 135,017 143,501 157,172 166,324 167,007 171,777 172,114 172,752 171,496 172,050 % - Shareholders' Equity/ Total assets 43% 43% 45% 47% 48% 50% 48% 48% 52% 53% 54% 56% 55% Total Balance Sheet 294,464 301,134 298,525 286,379 299,035 317,274 344,996 346,179 328,385 326,921 317,042 307,354 313,776 (U.S. dollars in thousands, except DSO & DIO data)
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7 P r o p r i e t a r y & C o n f i d e n t i a l | Reported results – Reconciliation to GAAP Q2/23 Q3/23 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Q1/26 Q2/26 Non GAAP Net income (loss) 4,400 4,964 3,742 4,743 9,936 14,053 7,650 2,577 2,454 1,735 1,446 714 1,709 Stock based compensation expenses 810 1,048 938 904 1,566 907 921 650 1,549 862 1,030 892 1,755 Changes in indirect tax positions - - - - - - - - - - - - - Amortization of acquired intangible assets - - 106 460 306 306 306 727 726 697 679 642 642 Loss from termination of joint development agreement - - 1,199 - - - - - - - - - - Restructuring and related charges 897 - - 1,416 - - - 3,732 - - - - 1,120 Acquisition -and integration-related costs - 283 835 462 915 - 283 475 229 20 (652) 540 233 Hostile attempt related costs - - - - - - - - - - - - - Settlement of Class Action Claimed in 2015 - - - - - - 1,160 - - - - - - Leases - financial expenses (income) (285) (364) 754 (112) (207) 501 (15) (95) 1,233 152 283 (26) 22 Non-cash revaluation associated with acquisition - - 110 673 (477) 122 1,385 (1,932) (16) (24) (23) 9 28 Non-cash tax adjustments 890 630 478 413 - - - - - - - - - GAAP Net Income (Loss) 2,088 3,367 (1,203) 403 7,833 12,217 3,610 (980) (1,267) 28 129 (1,343) (2,091) GAAP EPS 0.02 0.04 (0.01) 0.00 0.09 0.14 0.04 (0.01) (0.01) 0.00 0.00 (0.01) (0.02) # of Shares for basic EPS (‘000) 84,365 84,689 85,054 85,521 85,744 86,280 87,208 88,743 89,471 90,297 90,613 90,710 91,034 # of Shares for diluted EPS (‘000) 85,313 85,488 85,054 87,585 87,922 88,334 89,988 88,743 89,471 91,744 92,432 92,710 91,034 (U.S. dollars in thousands, except share and per share data)
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8 P r o p r i e t a r y & C o n f i d e n t i a l | Quarterly Revenues and Non-GAAP Net Income 86.2 87.3 90.4 88.5 96.1 102.7 106.9 88.7 82.3 85.5 82.3 85.0 93.9 0.0 20.0 40.0 60.0 80.0 100.0 120.0 Q2.23 Q3.23 Q4.23 Q1.24 Q2.24 Q3.24 Q4.24 Q1.25 Q2.25 Q3.25 Q4.25 Q1.26 Q2.26 Revenues 4.4 5.0 3.7 4.7 9.9 14.1 7.7 2.6 2.5 1.7 1.4 0.7 1.7 - 2.0 4.0 6.0 8.0 10.0 12.0 14.0 16.0 Q2.23 Q3.23 Q4.23 Q1.24 Q2.24 Q3.24 Q4.24 Q1.25 Q2.25 Q3.25 Q4.25 Q1.26 Q2.26 Non-GAAP Net Income
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9 D E L I V E R I N G C O N N E C T I V I T Y E V E R Y W H E R E THANK YOU