 Continued Strong Top-Line Performance with Significant Increase in Wireless Backlog Generated 15.5 Million in Free Cash Flow and Achieved Operating Income of 1.3 MillionANDOVER, Mass., July 30, 2020 GLOBE NEWSWIRE -- Casa Systems, Inc. Nasdaq: CASA, a leading provider of physical and cloud-native infrastructure technology solutions for mobile, cable and fixed networks, today announced its financial results for its second quarter ended June 30, 2020.Second Quarter 2020 Financial Operational Highlights Revenue of 83.4 million. Gross margin of 51.7 driven by strong demand for hardware. GAAP net loss of 3.0 million or 0.04 per fully diluted share. Non-GAAP net income of 0.7 million or 0.01 per fully diluted share. Adjusted EBITDA of 9.4 million.The strong momentum in our performance continued during the second quarter of 2020 as we progress along our strategic and operational objectives, said Jerry Guo, Casa Systems President and Chief Executive Officer. Our revenues exceeded our expectations and our wireless backlog grew by 224 to 84.8 million during the second quarter. These results are indicative of continued robust demand for products in our key growth areas. We remain committed to providing our customers with the critical infrastructure they need to meet the growing demand for connectivity in this unprecedented environment. We are improving results from our ongoing efforts to grow revenue and expand our footprint with our diverse product mix. We are confident that we are setting the stage for long-term, profitable growth through our expanding customer base and product diversity.Scott Bruckner, Casa Systems Interim Chief Financial Officer, added, In our first full quarter under the global pandemic, we saw strong results for Casa as we drove profitability and generated meaningful free cash flow, while continuing to diversify our revenues. We also grew our backlog as the result of strong wireless and fixed telco product demand. We have the financial flexibility needed to meet the demand for our products, and we continue to work with our supply chain partners and contract manufacturers in an effort to meet delivery schedules for expanded order volume. As we add new customers, further diversify our product mix, and sustain our reduced cost structure, we will continue to deliver profitable growth.To supplement our financial results presented in accordance with Generally Accepted Accounting Principles GAAP, we are presenting non-GAAP financial measures in this press release. A reconciliation of GAAP to non-GAAP measures has been provided in the financial statement tables included in this press release. An explanation of these measures is also included below under the heading Non-GAAP Financial Measures.Financial OutlookFor the fiscal year 2020 we continue to expect: Revenue between 340 million and 360 million Gross Margin in a range of 50 and 60 GAAP net loss between 4 million and 14 million Adjusted EBITDA between 33 million and 43 million GAAP diluted net loss per share between 0.04 and 0.16 and Non-GAAP diluted net income per share between 0.00 and 0.12Guidance for non-GAAP financial measures excludes acquisition costs and other non-recurring expenses, which are one-time non-recurring charges; stock-based compensation, which is a non-cash charge; adjustments to the tax provision for the CARES Act; and the resulting tax effect of these excluded items. We have not reconciled the non-GAAP metrics as to which we provide guidance to their most directly comparable GAAP metrics because certain items that impact these excluded measures are uncertain, out of our control andor cannot be reasonably calculated or predicted at this time. Accordingly, a reconciliation of the non-GAAP financial metrics included in our guidance to the corresponding GAAP measures is not available without unreasonable effort.Conference Call InformationCasa Systems is hosting a conference call for analysts and investors to discuss the financial results for its first quarter ended June 30, 2020, and its business outlook at 5:00 p.m. Eastern Standard Time today, July 30, 2020. The conference call can be heard via webcast in the investor relations section of our website at or by dialing 877-407-4019 in the United States or 201-689-8337 from international locations. Callers should ask to be joined to the Casa Systems call. Shortly after the conclusion of the conference call, a replay of the audio webcast will be available in the investor relations section of our website for 90 days after the event.Safe Harbor StatementThis press release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact contained in this press release, including statements regarding the projected results of operations and financial position of Casa Systems, Inc. Casa or the Company, including financial targets, business strategy, and plans and objectives for future operations, are forward-looking statements. The words anticipate, believe, continue, could, estimate, expect, intend, may, plan, potential, predict, project, target, should, would, and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. We have based these forward-looking statements on our estimates and assumptions of our financial results and our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy, short-term and long-term business operations and objectives and financial needs as of the date of this press release. A number of important risk factors could cause actual results to differ materially from the results described, implied or projected in these forward-looking statements. These factors include, without limitation: 1 any failure by us to successfully anticipate technological shifts, market needs and opportunities, and develop new products and product enhancements that meet those technological shifts, needs and opportunities; 2 the concentration of a substantial portion of our revenue in our CCAP solutions and in certain customers; 3 fluctuations in our revenue due to timing of large orders and seasonality; 4 the length and lack of predictability of our sales cycle; 5 any difficulties we may face in expanding our platform into the wireless market; 6 any failure to fully realize anticipated synergies from our acquisition of NetComm; and 7 other factors discussed in the Risk Factors section of our public reports filed with the SEC, including our most recent Quarterly Report on Form 10-Q, which is on file with the SEC and available in the investor relations section of our website at and on the SECs website at In addition, we operate in a very competitive and rapidly changing environment. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements that we may make. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances discussed in this press release are inherently uncertain and may not occur, and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements. Accordingly, you should not rely upon forward-looking statements as predictions of future events. We disclaim any obligation to update publicly or revise any forward-looking statements for any reason after the date of this press release. Any reference to our website address in this press release is intended to be an inactive textual reference only and not an active hyperlink.COVID-19The emergence of the coronavirus disease in 2019, or COVID-19, around the world, and particularly in the United States and China, and the accompanying responses of governments and businesses to the pandemic present various risks to us, not all of which we are able to fully evaluate or even to foresee at the current time. While the COVID-19 pandemic did not materially adversely affect our financial results, business operations or liquidity in the quarter ended June 30, 2020, economic and health conditions in the United States and across most of the globe changed rapidly during, and are continuing to change after the end of the quarter. Globally to date, all aspects of our business remain fully operational, our work from home contingency plans have been implemented and are operating successfully. The pandemic has resulted in increased demand for certain of our products and resulting order volumes have created additional pressure on our supply chain. To date, while the increased demand has not resulted in any material delays to our production cycle, we continue to work with our supply chain and contract manufacturers in an effort to ensure continued availability of all anticipated inventory requirements. However, we cannot at this time predict whether, or to what extent, our efforts will be successful. Additionally, we saw decreases in certain operating expenses, such as travel and trade show expense, during the three months ended June 30, 2020 due to the COVID-19 pandemic that we cannot ensure will be maintained. We intend to continue to monitor our business very closely for any effects of COVID-19 for as long as necessary on an ongoing basis. 