Quarterly UCaaS Round-up May 2024

Looking at the latest quarterly results of the publicly traded cloud communications providers.

OOMA:

Total revenue was $61.7 million, up 9% year-over-year. Subscription and services revenue increased to $58.0 million from $52.6 million in the fourth quarter of fiscal 2023, and was 94% of total revenue, primarily driven by the growth of Ooma Business and the acquisition of 2600hz, Inc. (“2600Hz”).  [source]

  • GAAP net loss was $3.1 million
  • Total revenue was $236.7 million, up 10% YoY – only $125.9M is B2B!
  • 1.2M core users – only 484K are Biz and 759K are Resi!
  • ARPU $14.72 with a 72% margin – Biz ARPU is ~$23; Resi ARPU is $9

Ooma started in Consumer voice (Telo), acquired Broadsmart (a Broadsoft provider), then OnSIP, then 2600Hz. They also push POTS Replacement.

WEAVE:

Weave is unique because they are verticalized and do not talk about UCaaS, CCaaS or CPaaS – just on results for dentists, vets and medical offices. And they are winning with Integrations:

“Integrations with practice management systems strengthens our product market fit and increases the value our platform provides to customers. We launched new and deepened integrations with Athenahealth, DrChrono, and Patterson Veterinary-owned practice information management systems NaVetor and IntraVet. Scoping and development have started on our integrations with IDEXX-owned practice information management systems ezyVet and Neo and we have a product integration and commercial partnership agreement with Prompt EMR.”  [source]

  • First quarter total revenue of $47.2 million, up 19.2% year over year.
  • Estimated full year revenue is $197M to $200M
  • GAAP gross margin was 69.9%
  • GAAP loss from operations was $8.2 million

RINGCENTRAL

  • Total revenue increased 9% year-over-year to $584 million.
  • Subscriptions revenue increased 10% year-over-year to $557 million.
  • Annualized Exit Monthly Recurring Subscriptions (ARR) increased 10% year over year to $2.37 billion.
  • Mid-market and Enterprise ARR increased 11% year over year to $1.48 billion.
  • Enterprise ARR increased 13% year over year to $1.02 billion.
  • GAAP operating loss was ($11) million.
  •  Spend net free cash $250M on stock buy-back to prop it up for execs.
  • 15K partners and they can only grow globally 9%?!

8×8

  • Fourth Quarter revenue of $179 million;
  • Fiscal Year 2024 revenue of $729 million;
  • Total ARR was $697M, a decrease of 1% from same period last year.
  • 2024 Cash flow from operations increased 62% YoY to $79 million;
  • Year-end cash, cash equivalents, restricted cash and investments of $118 million;
  • Total revenue decreased 2% to $728.7 million.
  • Service revenue decreased 1% to $700.6 million:
  • GAAP operating loss was $27.6 million;
  • GAAP gross margin was 68%, compared to 70% in the same period last year.
  • 3M+ paid Biz licenses.
  • 400K+ Voice for Teams licenses

ZOOM doesn’t release results until May 20, 2024. Today is 5/9/2024.

  • Zoom’s last results in February was 4Q2024 total revenue of $1,146.5 million, up 2.6% year over year.
  • Total cash, cash equivalents, and marketable securities, excluding restricted cash, as of January 31, 2024 was $7.0 billion.
  • Total revenue for the fiscal year was $4,527.2 million, up 3.1% year over year.
  • As of February 2024, Zoom Phone had over 5.5 million paid user seats
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