Refile: Spok Q1 revenue falls as software sales decline

Spok Holdings

29/04/2026 21:34

Corrects typographical error in headline

Overview

U.S. healthcare communications firm's Q1 revenue fell 8.5% yr/yr

Software managed services revenue rose nearly 57%, but overall software revenue declined 12%

Company reiterated 2026 financial guidance and announced cost-saving realignment with 10% workforce reduction

Outlook

Spok expects 2026 full-year revenue between $136.0 mln and $143.0 mln

Company sees 2026 adjusted EBITDA in the range of $27.5 mln to $32.5 mln

Spok expects annual cost savings of over $6.0 mln from strategic realignment

Result Drivers

MANAGED SERVICES GROWTH - Nearly 57% yr/yr increase in software managed services revenue helped offset declines in other software categories

RECURRING REVENUE BASE - Co said over 80% of revenues come from recurring streams, helping mitigate timing and seasonality impacts

COST REDUCTION INITIATIVE - Strategic realignment, including 10% workforce reduction, expected to deliver over $6 mln in annual cost savings

Company press release: ID:nBw2vcKkqa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Net Income
$1.99 mln
Q1 Adjusted EBITDA
$5.26 mln
Q1 Adjusted Operating Expenses
$29.47 mln
Q1 Operating Expenses
$30.78 mln
Q1 Software Revenue
$15.74 mln


Analyst Coverage

The one available analyst rating on the shares is "hold"

The average consensus recommendation for the wireless telecommunications services peer group is "buy"

Wall Street's median 12-month price target for Spok Holdings Inc is $14.00, about 22.1% above its April 28 closing price of $11.47

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.)