Latest news with #Ooma
Yahoo
2 days ago
- Business
- Yahoo
Ooma Inc (OOMA) Q1 2026 Earnings Call Highlights: Strong Revenue Growth and Strategic ...
Release Date: May 28, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Ooma Inc (NYSE:OOMA) reported solid Q1 financial results with $65 million in revenue, exceeding the high end of their guidance range. The company achieved a 4% year-over-year revenue growth, driven by strong performance in their cloud communications and business subscription services. Ooma Inc (NYSE:OOMA) successfully launched AirDial with Comcast, expanding their reach to large companies and government entities. The company saw a significant increase in new reseller partners for AirDial, now exceeding 30 partners, indicating strong market acceptance. Ooma Inc (NYSE:OOMA) reported a 56% growth in non-GAAP net income over the prior year quarter, showcasing improved profitability. The overall results were slightly dampened by expected right-sizing at their largest customer, Regis, which has now been fully realized. Residential subscription and services revenue declined by 2% year-over-year, indicating challenges in that segment. The sequential decline in total core users was primarily due to seat reductions with IWG, impacting user growth metrics. Product and other gross margin for the first quarter was 41%, down from 67% in the same period last year, due to higher cost components. Despite strong growth in certain areas, the company did not change its fiscal 2026 outlook, indicating cautious optimism about future growth. Warning! GuruFocus has detected 2 Warning Signs with OOMA. Q: What contributed to the 1% increase in Net Revenue Retention (NRR) this quarter, and can we expect NRR to stay at around 99% or above going forward with IWG fully realized with their seat term? A: The retention rate improvement was largely due to the improvement in non-Regis subscription revenue, particularly in traditional UCaaS solutions and residential solutions. This offset the anticipated decline from Regis. We expect to maintain a 99% retention rate, which was our rate prior to the Regis churn experienced in the last couple of quarters. (CFO) Q: What are you seeing in the demand environment in Q1 and recent months? A: The demand environment has been steady without significant improvement or deterioration. However, for Ooma AirDial, demand is accelerating as more companies realize the need to act due to rising prices. (CEO) Q: With demand for AirDial accelerating, is there any change to visibility on when adoption will ramp in terms of revenue dollars and larger scale implementations? A: We have opportunities greater in size than we've won in the past, and our relationship with Comcast is still in early days. It will take time to move through the sales cycle with larger accounts, but we are optimistic about the early opportunities we're seeing. (CEO) Q: Have tariffs impacted your subscriber base or sales cycle for new logos in your UCaaS business? A: We haven't observed any effect on our customer base or sales opportunities driven by tariffs. Sequentially versus Q4, we saw an uptick in the number of accounts and users won in Q1, indicating no tariff-related issues. (CEO) Q: Can you provide insights into the productivity of your AirDial partners, especially those from a year ago? A: We are pleased with our largest relationships, such as T-Mobile, US Cellular, and Comcast. All partners, regardless of size, are contributing. We have a medium-sized CLEC with potential for 100,000 users that has started rolling out AirDial. We remain conservative in forecasts until developments are confirmed. (CEO) Q: How is the hospitality segment performing, and what opportunities do you see there? A: We target winning 50 to 100 hotels a quarter, and with the Marriott relationship solidified, we aim to leverage our certification with Marriott Properties. The hospitality segment offers extensive opportunities, and we expect to continue capitalizing on it. (CEO) Q: What are your plans for integrating Ooma apps into 2,600 Hz, and when will it be completed? A: We aim to complete integration by the end of this year. The process involves enabling capabilities across shared hosted, private cloud, and global infrastructure. We've already launched our mobile and desktop apps for some customers. (CEO) Q: Can you quantify the number of lines that churned at Regis over the last two quarters? A: Approximately 12,000 to 13,000 lines churned over the last two quarters, with a total of about 19,000 to 20,000 lines churned over the last fiscal year. This aligns with our expectations from a year ago. (CFO) For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
2 days ago
- Business
- Yahoo
Ooma (OOMA) Beats Q1 Earnings and Revenue Estimates
Ooma (OOMA) came out with quarterly earnings of $0.20 per share, beating the Zacks Consensus Estimate of $0.18 per share. This compares to earnings of $0.14 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 11.11%. A quarter ago, it was expected that this internet phone service provider would post earnings of $0.16 per share when it actually produced earnings of $0.21, delivering a surprise of 31.25%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Ooma , which belongs to the Zacks Communication - Components industry, posted revenues of $65.03 million for the quarter ended April 2025, surpassing the Zacks Consensus Estimate by 0.32%. This compares to year-ago revenues of $62.5 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Ooma shares have lost about 4.1% since the beginning of the year versus the S&P 500's gain of 0.7%. While Ooma has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Ooma: mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $0.18 on $66.09 million in revenues for the coming quarter and $0.78 on $267.67 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Communication - Components is currently in the bottom 35% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Ciena (CIEN), is yet to report results for the quarter ended April 2025. The results are expected to be released on June 5. This developer of high-speed networking technology is expected to post quarterly earnings of $0.50 per share in its upcoming report, which represents a year-over-year change of +85.2%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Ciena's revenues are expected to be $1.09 billion, up 20% from the year-ago quarter. 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 Ooma, Inc. (OOMA) : Free Stock Analysis Report Ciena Corporation (CIEN) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Washington Post
2 days ago
- Business
- Washington Post
Ooma: Fiscal Q1 Earnings Snapshot
SUNNYVALE, Calif. — SUNNYVALE, Calif. — Ooma Inc. (OOMA) on Wednesday reported a loss of $141,000 in its fiscal first quarter. On a per-share basis, the Sunnyvale, California-based company said it had a loss of 1 cent. Earnings, adjusted for stock option expense and amortization costs, were 20 cents per share.
Yahoo
5 days ago
- Business
- Yahoo
Exploring Analyst Estimates for Ooma (OOMA) Q1 Earnings, Beyond Revenue and EPS
The upcoming report from Ooma (OOMA) is expected to reveal quarterly earnings of $0.18 per share, indicating an increase of 28.6% compared to the year-ago period. Analysts forecast revenues of $64.82 million, representing an increase of 3.7% year over year. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe. Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock. While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective. With that in mind, let's delve into the average projections of some Ooma metrics that are commonly tracked and projected by analysts on Wall Street. The combined assessment of analysts suggests that 'Revenue- Product and other' will likely reach $4.56 million. The estimate points to a change of +11.1% from the year-ago quarter. Analysts' assessment points toward 'Revenue- Subscription and services' reaching $60.92 million. The estimate indicates a year-over-year change of +4.3%. The consensus among analysts is that 'Gross Margin- Subscription and services' will reach 70.7%. The estimate is in contrast to the year-ago figure of 70%.View all Key Company Metrics for Ooma here>>>Ooma shares have witnessed a change of +8.7% in the past month, in contrast to the Zacks S&P 500 composite's +8.2% move. With a Zacks Rank #3 (Hold), OOMA is expected closely follow the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> 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 Ooma, Inc. (OOMA) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Business Wire
14-05-2025
- Business
- Business Wire
Ooma to Attend the 45th Annual William Blair Growth Stock Conference
SUNNYVALE, Calif.--(BUSINESS WIRE)--Ooma, Inc. (NYSE: OOMA), a provider of advanced communications services for businesses and consumers, today announced the following conference participation: What: The 45th Annual William Blair Growth Stock Conference, presentation and investor meetings When: Presentation 4:40 p.m. until 5:10 p.m. Central time on June 4, 2025 with meetings throughout the day Who: Ooma CEO Eric Stang and Ooma CFO Shig Hamamatsu Where: Chicago, Illinois The presentation will be webcast as live audio and available for replay for 90 days from the Events & Presentation page of the Investor Relations section of Ooma's website, Interested parties should contact their William Blair & Company sales representative for further details and meeting opportunities. About Ooma, Inc. Ooma (NYSE: OOMA) delivers phone, messaging, video and advanced communications services that are easy to implement and provide great value. Founded in 2003, the company offers Ooma Office for small to medium-sized businesses seeking enterprise-grade features designed for their needs; Ooma AirDial for any business looking to replace aging and increasingly expensive copper phone lines; Ooma 2600Hz for businesses that provide their own communications solutions built on an outsourced underlying platform; and Ooma Telo for residential consumers who value a landline experience at a more affordable price point. Ooma's award-winning solutions power more than 1.2 million users today. Learn more at in the United States or in Canada.
