8×8, Inc, a prominent provider of integrated cloud contact center and unified communications solutions, unveiled its financial results for the second quarter (Q2) of fiscal year 2024, concluding on September 30, 2023. The announcement was followed by a notable surge in 8×8’s stock value.
At the time of this publication, 8×8 Inc stock (EGHT) has witnessed a surge.
8×8 Inc
Current Price: $2.99
Change : +0.70
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8×8 Inc Q2 2024 Results – Financial Highlights:
– Total revenue for the period amounted to $185.0 million, demonstrating a slight decrease from the $187.4 million reported in the second quarter of fiscal 2023.
– Service revenue totaled $177.8 million, marginally lower than the $178.6 million recorded in the same quarter of the preceding fiscal year.
– The company reported a noteworthy improvement in GAAP operating loss, which stood at $2.6 million. This marks an impressive 89.7% enhancement compared to the GAAP operating loss of $25.0 million reported in the second quarter of fiscal 2023.
– Non-GAAP operating profit witnessed a substantial surge, reaching $23.8 million. This represents a remarkable 162% increase in comparison to the non-GAAP operating profit of $9.1 million reported in the corresponding quarter of the prior fiscal year.
– GAAP net loss for Q2 fiscal 2024 was $7.5 million, a favorable outcome when compared to the GAAP net loss of $11.6 million reported in the same period of fiscal 2023.
– Non-GAAP net income experienced a significant boost, reaching $17.1 million. This indicates an outstanding 181.8% surge compared to the non-GAAP net income of $6.1 million reported in the second quarter of fiscal 2023.
– Adjusted EBITDA stood at $30.5 million, constituting 16% of revenue. This represents a substantial 75% increase from the Adjusted EBITDA of $17.4 million, or 9% of revenue, reported in the second quarter of fiscal 2023.
8×8 Inc Q2 2024 Results – Key Financial Metrics:
– Annual Recurring Subscriptions and Usage Revenue (ARR) demonstrated positive growth, totaling $707 million. This indicates a 2% increase from the corresponding period last year.
– Enterprise ARR contributed significantly, amounting to $407 million, accounting for 58% of the total ARR.
– The company reported a GAAP gross margin of 69%, a slight uptick from the 67% reported in the same period of the previous year. Non-GAAP gross margin also showed improvement, reaching 72%, compared to 70% in the same period last year.
– GAAP service revenue gross margin was 72%, slightly higher than the 71% reported in the same period last year. Non-GAAP service revenue gross margin reached 75%, a modest increase from the 74% reported in the same period of the preceding fiscal year.
– In terms of cash flow, the company reported $17.5 million provided by operating activities for the second quarter of fiscal 2024, an improvement from the $13.8 million reported in the same period last year.
– As of September 30, 2023, the company’s cash, cash equivalents, restricted cash, and investments totaled $149.8 million, a noteworthy increase from the $139.0 million reported on March 31, 2023.
