Overview
US cloud communications provider's Q1 revenue rose 29% yr/yr, beating analyst expectations
Adjusted net income and adjusted EBITDA for Q1 beat analyst expectations
Company says ESI acquisition contributed to revenue and operational momentum in Q1
Outlook
Crexendo says it is on a trajectory toward $100 mln in annual revenue
Company expects further synergies from the Estech Systems acquisition
Crexendo plans additional AI enhancements following positive market response
Result Drivers
ESI ACQUISITION - Company said the Estech Systems (ESI) acquisition contributed meaningfully to revenue and operational momentum in Q1
PLATFORM ENHANCEMENTS - Co said ongoing platform improvements and the launch of its AI Receptionist/Orchestrator (CAIRO) supported competitiveness and market traction
HIGHER OPERATING EXPENSES - Increased operating expenses, including acquisition-related and amortization costs, affected GAAP profitability
Company press release: ID:nACSBC9pGa
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$20.70 mln
$19.63 mln (6 Analysts)
Q1 Adjusted Net Income
Beat
$3.30 mln
$2.54 mln (5 Analysts)
Q1 Net Income
$578,000
Q1 Adjusted EBITDA
Beat
$3.20 mln
$2.51 mln (6 Analysts)
Q1 EBITDA
$1.60 mln
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the it services & consulting peer group is "buy"
Wall Street's median 12-month price target for Crexendo Inc is $9.00, about 10.2% above its May 4 closing price of $8.17
The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 20 three months ago
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.)