ADTRAN Holdings, Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>ADTRAN Holdings, Inc. has filed its 2023 10-K report detailing its financial performance and business operations.</b>

AI Summary

ADTRAN Holdings, Inc. (ADTN) filed a Annual Report (10-K) with the SEC on March 15, 2024. ADTRAN Holdings, Inc. filed its annual report on Form 10-K for the fiscal year ended December 31, 2023. The filing covers the period ending December 31, 2023, and was filed on March 15, 2024. The company's principal business address is 901 Explorer Blvd, Huntsville, AL 35806. ADTRAN Holdings, Inc. was formerly known as ADTRAN INC, with a name change effective July 5, 1994. The filing references various financial instruments and agreements, including credit agreements and licensing agreements.

Why It Matters

For investors and stakeholders tracking ADTRAN Holdings, Inc., this filing contains several important signals. This 10-K filing provides a comprehensive overview of ADTRAN's financial health, operational performance, and strategic positioning for the fiscal year 2023, crucial for investors to assess the company's stability and future prospects. The detailed financial data and risk factors disclosed in the 10-K are essential for stakeholders to understand potential challenges and opportunities facing ADTRAN in the telecommunications apparatus industry.

Risk Assessment

Risk Level: — ADTRAN Holdings, Inc. shows moderate risk based on this filing. The company's 10-K filing indicates potential risks related to credit concentration and operating losses, suggesting a medium level of risk.

Analyst Insight

Investors should review the detailed financial statements and risk factors in the 10-K to understand ADTRAN's financial health and market position.

Key Numbers

• 2023-12-31 — Fiscal Year End (Reporting period)
• 2024-03-15 — Filing Date (Date of submission)

Key Players & Entities

• ADTRAN Holdings, Inc. (company) — Filer name
• ADTRAN INC (company) — Former company name
• 901 Explorer Blvd, Huntsville, AL 35806 (company) — Business and mailing address
• March 15, 2024 (date) — Filing date
• December 31, 2023 (date) — Fiscal year end
• July 5, 1994 (date) — Date of name change

FAQ

Risk Factors

• Credit Concentration Risk [medium — financial]: The company faces credit concentration risk, particularly with a significant customer named CustomerOne.
• Operating Losses Expiration [medium — financial]: Operating losses have expiration dates between 2023 and 2041.

Industry Context

ADTRAN Holdings, Inc. operates in the telecommunications apparatus industry, providing networking and communication solutions.

Regulatory Implications

The company is subject to SEC regulations for its public filings, including the annual 10-K report.

What Investors Should Do

1. Review ADTRAN's detailed financial statements for the fiscal year ended December 31, 2023.
2. Analyze the identified risk factors, including credit concentration and operating loss expirations.
3. Compare ADTRAN's performance and disclosures against industry peers and previous filings.

Key Dates

• 2023-12-31: Fiscal Year End — End of the reporting period for the 10-K filing.
• 2024-03-15: Filing Date — Date the 10-K was officially submitted to the SEC.

Glossary

10-K

An annual report required by the U.S. Securities and Exchange Commission (SEC), which gives a comprehensive summary of a company's financial performance. (This filing provides the official annual financial and business overview for ADTRAN Holdings, Inc.)

Year-Over-Year Comparison

This filing represents the annual report for fiscal year 2023, providing updated financial and operational data compared to previous filings.

Key Financial Figures

• $0.01 — ch registered Common Stock, Par Value $0.01 ADTN The Nasdaq Global Select Marke
• $10.53 — ,648 based on a closing market price of $10.53 as reported on the NASDAQ Global Selec

Filing Documents

• adtn-20231231.htm (10-K) — 5417KB
• adtn-ex10_5.htm (EX-10.5) — 122KB
• adtn-ex21.htm (EX-21) — 44KB
• adtn-ex23.htm (EX-23) — 4KB
• adtn-ex24.htm (EX-24) — 15KB
• adtn-ex31.htm (EX-31) — 26KB
• adtn-ex32.htm (EX-32) — 13KB
• img228529070_0.jpg (GRAPHIC) — 204KB
• img228529070_1.jpg (GRAPHIC) — 253KB
• 0000950170-24-032089.txt (&nbsp;) — 27156KB
• adtn-20231231.xsd (EX-101.SCH) — 3420KB
• adtn-20231231_htm.xml (XML) — 5713KB

Business

Business 9 Item 1A.

Risk Factors

Risk Factors 23 Item 1B. Unresolved Staff Comments 45 Item 1C. Cybersecurity 45 Item 2.

Properties

Properties 46 Item 3.

Legal Proceedings

Legal Proceedings 46 Item 4. Mine Safety Disclosures 46 PART II Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 47 Item 6. (Reserved) 49 Item 7.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 49 Item 7A.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 75 Item 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 77 Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 134 Item 9A.

Controls and Procedures

Controls and Procedures 134 Item 9B Other Information 135 Item 9C Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 135 PART III Item 10. Directors, Executive Officers and Corporate Governance 137 Item 11.

Executive Compensation

Executive Compensation 137 Item 12.

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 137 Item 13. Certain Relationships and Related Transactions and Director Independence 137 Item 14. Principal Accountant Fees and Services 137 PART IV Item 15. Exhibits and Financial Statement Schedules 138 Item 16. Form 10-K Summary 143

SIGNATURES

SIGNATURES 1 GENERAL Unless the context otherwise indicates or requires, references in this Annual Report on Form 10-K to "ADTRAN," the "Company," "we," "us" and "our" refer to ADTRAN, Inc. and its consolidated subsidiaries prior to the merger of Acorn MergeCo, Inc., a subsidiary of ADTRAN Holdings, Inc., with and into ADTRAN, Inc., on July 8, 2022, after which ADTRAN, Inc. became a wholly-owned direct subsidiary of ADTRAN Holdings, Inc. (the "Merger"), and to ADTRAN Holdings, Inc. and its consolidated subsidiaries following the Merger. Furthermore, unless the context otherwise indicates or requires, references in this Annual Report on Form 10-K to Adtran Networks refer to Adtran Networks SE (formerly ADVA Optical Networking SE). *** We own or have rights to trademarks, service marks or trade names that we use in connection with the operation of our business. In addition, our names, logos and website names and addresses are owned by us or licensed by us. We also own or have the rights to copyrights that protect the content of our solutions. Solely for convenience, the trademarks, service marks, trade names and copyrights referred to in this report are listed without the , and symbols, but we will assert, to the fullest extent under applicable law, our rights or the rights of the applicable licensors to these trademarks, service marks, trade names and copyrights. This report may include trademarks, service marks or trade names of other companies. Our use or display of other parties' trademarks, service marks, trade names or products is not intended to, and does not imply a relationship with, or endorsement or sponsorship of us by, the trademark, service mark or trade name owners. *** Unless otherwise indicated, information contained in this report concerning our industry and the markets in which we operate is based on information from independent industry and research organizations, other third-party sources (including industry publications, surveys a

BUSINESS

ITEM 1. BUSINESS Company Overview We are a leading global provider of networking and communications platforms, software, systems and services focused on the broadband access and optical networking market. We are serving a diverse domestic and international customer base in multiple countries that includes large, medium and small Service Providers; alternative Service Providers, such as utilities, municipalities and fiber overbuilders; cable/MSOs; SMBs; distributed enterprises, including Fortune 500 companies with sophisticated business continuity applications; and federal, state and local government agencies. Our innovative solutions and services enable voice, data, video and internet-communications across a variety of network infrastructures and are currently in use by millions worldwide. We support our customers through our direct global sales organization and our distribution networks. Our success depends upon our ability to increase unit volume and market share through the introduction of new products and succeeding generations of products having optimal selling prices and increased functionality as compared to both the prior generation of a product and to the products of competitors in order to gain market share. To service our customers and grow revenue, we are continually conducting research, developing new products addressing customer needs and testing those products for the specific requirements of particular customers. We offer a broad portfolio of flexible software and hardware network solutions and services that enable network operators to meet today's service demands while also enabling them to transition to the fully converged, scalable, highly automated, cloud-controlled voice, data, internet and video network of the future. In addition to our global headquarters in Huntsville, Alabama, and our European headquarters in Munich, Germany, we have sales, administrative, services and support and research and development facilities in strategic global l

View Full Filing

View this 10-K filing on SEC EDGAR