8x8 Q1 revenue beats estimates on AI solutions adoption

8x8

04/08/2026 21:29

Overview
Business communications platform's fiscal Q1 revenue grew 5% yr/yr, beating analyst expectations
Company posted GAAP net loss of $1.2 mln, narrowing from prior year
Growth driven by increased adoption of AI solutions and new platform capabilities

Outlook
8x8 sees Q2 service revenue between $180 mln and $185 mln
Company expects Q2 total revenue of $185 mln to $190 mln
8x8 forecasts FY27 total revenue of $745 mln to $765 mln

Result Drivers
AI SOLUTIONS ADOPTION - Co said increased customer adoption of AI solutions, including AI Studio, drove revenue growth
PLATFORM INNOVATION - New features such as AI Routing, Pulse, and enhanced workforce management tools contributed to business momentum
REVENUE MIX SHIFT - Management said increased adoption of usage-based communications and AI solutions is changing revenue mix and margin profile

Company press release: ID:nBw6QMYwFa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$190.17 mln
$182.29 mln (3 Analysts)
Q1 Net Loss
 
$1.20 mln
 
Q1 Adjusted Operating Income
Beat
$18.88 mln
$17 mln (2 Analysts)
Q1 Operating Income
 
$4.40 mln
 

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the integrated telecommunications services peer group is "buy."
Wall Street's median 12-month price target for 8x8 Inc is $3.00, about 45.6% above its August 3 closing price of $2.06
The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 5 three months ago

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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)