It has been about a month since the last earnings report for Adtran (ADTN). Shares have lost about 1.5% in that time frame, underperforming the S&P 500.Will the recent negative trend continue leading up to its next earnings release, or is Adtran due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers. ADTRAN Q1 Earnings and Revenues Beat, Increase Y/YADTRAN reported better-than-expected results in first-quarter 2019, wherein both the top line and the bottom line increased year over year.Net IncomeOn a GAAP basis, net income for the quarter was $0.8 million or 2 cents per share against a loss of $10.8 million or loss of 22 cents per share in the year-ago quarter. The improvement was primarily driven by top-line growth.Non-GAAP net income came in at $4.9 million or 10 cents per share against a loss of $15.8 million or loss of 33 cents per share in the prior-year quarter. The Zacks Consensus Estimate for loss was pegged at 5 cents.RevenuesQuarterly sales were $143.8 million compared with $120.8 million in the prior-year quarter, beating the Zacks Consensus Estimate of $141 million. The improvement reflected strong international revenue growth. While Products’ sales jumped 19.5% year over year to $125.8 million, Services’ sales increased 15.5% to $18 million.Other DetailsTotal cost of sales increased from $81.1 million to $83.2 million year over year. Gross profit came in at $60.6 million compared with $39.7 million in the prior-year quarter. Operating loss in the reported quarter was $6.2 million compared with loss of $26.6 million a year ago.Notably, ADTRAN’s revenues were diverse and well balanced with contributions across Latin America, Europe, the Middle East and Africa, North America, and Pacific Rim regions. The company’s broad portfolio of next-generation solutions continues to gain market traction with a growing number of customers in an expanding range of market segments.Cash Flow and LiquidityDuring the first quarter, ADTRAN generated $5.5 million of net cash from operating activities compared with $46.2 million in the year-ago period. As of Mar 31, 2019, the networking equipment maker had $109.1 million in cash and equivalents, with $42.7 million of non-current liabilities.The company announced that its board of directors has declared a quarterly cash dividend of 9 cents per share to shareholders of record as of May 2, payable on May 16.Going ForwardADTRAN is well positioned to optimize its customer, geographic and product diversity momentum. The company expects to gain from increased customer engagements across its comprehensive portfolio of software-defined access, 10G solutions and G.fast products. Its global strategy of diversification across geographies and markets is laudable.How Have Estimates Been Moving Since Then?Analysts were quiet during the last two month period as none of them issued any earnings estimate revisions.VGM ScoresAt this time, Adtran has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with a D. Charting a somewhat similar path, the stock was allocated a grade of C on the value side, putting it in the middle 20% for this investment strategy.Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.OutlookAdtran has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report ADTRAN, Inc. (ADTN): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research