EGHT
8x8, Inc.2.1400
+0.0800+3.88%
Dec 16, 4:00:01 PM EST
Earnings Call Transcripts
This Quarter (Q1 '26)
No earnings call transcript available yet
Last Quarter (Q4 '25)
FY Q3 '26
AI scales via use cases; seats grow
Q&A reinforced the prepared script's upbeat tone on usage-based revenue scaling to 21% of service revenue, but unpacked AI's shift from pilots to production through micro use cases like biometric routing, self-service payments, and 24/7 appointment booking. Contact center seats climbed quarter-over-quarter and year-over-year, countering agent-replacement fears. Channel pipeline surged, now outpacing direct sales as partners embrace AI. Sam clarified usage-based model's lower gross margins yield scalable operating leverage like Twilio's, targeting sustained double digits. Fuze churn headwinds quantified at $4M-$3M quarterly into FY27. Answers were crisp; investors will track AI use-case expansion and channel durability.
Key Stats
Market Cap
296.69MP/E (TTM)
-Basic EPS (TTM)
-0.05Dividend Yield
0%Recent Filings
10-Q
Q3 FY2026 results
8x8 posted Q3 FY2026 revenue of $185.1M, up 3.6% y/y from $178.9M, with service revenue rising 3.6% y/y to $179.7M on Asia-Pacific platform usage growth that offset Fuze subscription declines; gross margin slipped to 63.9% from 67.7% as service costs jumped 17.8% y/y to support capacity. Operating income climbed to $9.7M (5.2% margin), beating prior $9.0M, while diluted EPS held at $0.04 on 142.9M shares. Cash from operations hit $41.4M YTD, funding $30M term loan paydown to $122M principal (due 2027) atop $200M 2028 notes; free cash flow not disclosed in the 10-Q. Debt covenants met. Platform usage fuels gains, yet customer churn lingers.
8-K
Record revenue, AI surge
8x8 posted record service revenue of $179.7 million, up 3.6% year-over-year, with total revenue at $185.1 million and GAAP operating income rising to $9.7 million. Usage-based offerings, including AI solutions, surged nearly 60%, now 21% of service revenue; Fuze migration completed, boosting efficiency despite Q4 headwinds. Cash flow stayed positive at $20.7 million. Raised FY2026 guidance.
10-Q
Q1 FY2026 results
8x8 posted Q1 FY2026 revenue of $184.1M, up 1.7% y/y yet down from Q4 FY2025's $184.6M (derived), with service revenue rising 2.3% y/y to $179.1M on Asia-Pacific platform usage while subscriptions dipped from Fuze migration. Gross margin slipped to 64.8% from 68.1% y/y as service costs climbed 14.8%; operating income fell to $5.3M from $7.2M, but net swung to $0.8M profit ($0.01 diluted EPS) versus $14.5M loss, thanks to lower interest expense. Cash dipped to $75.9M after $20.7M operating cash flow and $25M term loan paydown, leaving $127M principal due 2027 at Term SOFR+3%. Debt here to stay. Customer churn stalks growth.
8-K
Revenue up, debt down
8x8 posted Q2 FY2026 total revenue of $184.1 million, up from $181.0 million last year, with service revenue at $179.1 million. GAAP operating income dipped to $5.3 million yet non-GAAP hit $17.3 million; cash flow stayed positive at $8.8 million. Debt slashed another $10 million, totaling 41% reduction since 2022. Innovation accelerates.
10-Q
Q1 FY2026 results
8x8 posted Q1 FY2026 revenue of $181.4M, up 1.8% y/y from $178.1M, with service revenue rising 2.0% y/y to $176.3M on $8.2M platform usage growth despite Fuze-related subscription declines; gross margin slipped to 66.4% from 67.9%. Operating income flipped to $0.6M from a $1.4M loss, while net loss narrowed to $4.3M or $(0.03) per share from $10.3M or $(0.08), driven by $6.0M lower interest expense after refinancing. Cash from operations fell to $11.9M; free cash flow not disclosed in the 10-Q. Debt stands at $137.0M term loan (due 2027) plus $201.9M convertible notes (due 2028), with $81.3M cash. Debt weighs on flexibility amid competitive market pressures.
BAND
Bandwidth Inc.
15.00+0.14
CRM
Salesforce, Inc.
254.91+0.33
CXAI
CXApp Inc.
0.40+0.04
EGAN
eGain Corporation
10.16+0.08
FRSH
Freshworks Inc.
12.47+0.00
PEGA
Pegasystems Inc.
58.38+0.00
RBBN
Ribbon Communications Inc.
2.89-0.01
RNG
Ringcentral, Inc.
29.70+0.53
TWLO
Twilio Inc.
137.50+3.54
ZM
Zoom Communications, Inc.
87.91+1.37