Ribbon Communications shares drop 16.55% after-hours following B. Riley downgrade due to Q4 revenue miss.

Ribbon Communications (RBBN) fell 16.55% in after-hours trading, driven by a downgrade to Neutral from Buy by B. Riley and disappointing financial results. The firm reported Q4 revenue of $227.32 million, missing estimates by 4.85% and declining 9.6% year-over-year, while also missing its revised annual sales target due to project delays. Despite exceeding EPS estimates by 436.36%, the revenue shortfall and reduced growth expectations prompted the downgrade, signaling investor concerns over sustainability. The stock’s sharp after-hours decline reflects heightened skepticism about Ribbon’s ability to offset competitive pressures and operational challenges in the communication network software sector.