Harmonic Inc. reported preliminary unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2013. Net revenue for the fourth quarter of 2013 was $120.2 million, compared with $122.9 million for the third quarter of 2013 and $118.0 million for the fourth quarter of 2012. The GAAP net loss for the fourth quarter of 2013 was $2.2 million, or $0.02 per diluted share, compared with GAAP net income for the third quarter of 2013 of $36.7 million, or $0.36 per diluted share, which included a discrete net tax benefit of $38.4 million related to the release of tax reserves for uncertain tax positions of prior years, and GAAP net income for the fourth quarter of 2012 of $0.9 million, or $0.01 per diluted share. Non-GAAP net income for the fourth quarter of 2013 was $8.3 million, or $0.08 per diluted share, compared with non-GAAP net income for the third quarter of 2013 of $7.1 million, or $0.07 per diluted share, and non-GAAP net income for the fourth quarter of 2012 of $8.3 million, or $0.07 per diluted share. Loss from operations was $0.998 million against $0.723 million a year ago. Loss from continuing operations was $2.179 million or $0.02 diluted per share against income of $0.890 million or $0.01 diluted per share a year ago.

For the full year 2013, net revenue was $461.9 million, compared with $476.9 million for 2012. For the full year 2013, GAAP net income was $21.6 million, or $0.20 per share, compared to a GAAP net loss of $16.2 million or $0.14 per diluted share for 2012. For the full year 2013, non-GAAP net income was $18.3 million, or $0.17 per diluted share, compared with $22.8 million, or $0.19 per diluted share, for 2012. Loss from operations was $23.024 million against $17.917 million a year ago. Income from continuing operations was $21.589 million or $0.20 diluted per share against loss of $16.189 million or $0.14 diluted per share a year ago. Net cash provided by operating activities was $53.759 million against $70.813 million a year ago. Purchases of property and equipment were $14.581 million against $12.609 million a year ago.

For the first quarter of 2014, Harmonic anticipates net revenue in the range of $105 million to $115 million; GAAP gross margins in the range of 49% to 50%; non-GAAP gross margins in the range of 51% to 52%.