NASDAQ$BAND

Bandwidth Inc. · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Financial results for the second quarter ended June 30, 2022, exceeding guidance.

Bandwidth's Q2 2022 financial results exceeded expectations, with strong performance in both revenue and profitability. The company reported total revenue of $136.489 million and a net loss of $6.248 million.

  • Bandwidth's Q2 results exceeded expectations on both the top and bottom line.
  • Customer wins demonstrate execution and focus on serving enterprise customers.
  • Bandwidth provides mission-critical cloud communications that reduce costs for large enterprises.
  • Bandwidth achieved global accreditation with its ISO 27001:2013 certification.

Headline financials

Total Revenue

$136M

Previous: $121M+13.1%
EPS (adj)

-$0.04

Previous: $0.32-112.5%
Capital Expenditures

-$23.6M

Previous: -$40.7M+42.1%
Free Cash Flow

-$29.8M

Previous: -$47.6M+37.4%
Net Income

-$6.25M

Previous: -$6.93M+9.8%
Operating Income

-$9.05M

Previous: $934K-1069.0%
Gross Profit

$55.4M

Previous: $54.6M+1.5%
Cash & Equivalents

$165M

Previous: $310M-46.6%
Total Assets

$1.02B

Previous: $1.09B-6.4%
Stock-Based Comp

$4.82M

Previous: $3.38M+42.8%

Revenue & EPS history

Bandwidth · Revenue · Quarterly

$136M

Q2 2022+13.1%vs Q2 2021
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Forward guidance

Bandwidth is providing guidance for its third quarter and full year 2022. Q3 2022 Guidance Total Revenue (millions)$140 - $142 Non-GAAP earnings per share (1)$0.02 - $0.04 Full Year 2022 Guidance Total Revenue (millions)$551 - $557 Non-GAAP earnings per share (1)$0.10 - $0.14

Tailwinds

  • Total Revenue (millions) Q3 2022 Guidance: $140 - $142
  • Non-GAAP earnings per share Q3 2022 Guidance: $0.02 - $0.04
  • Total Revenue (millions) Full Year 2022 Guidance: $551 - $557
  • Non-GAAP earnings per share Full Year 2022 Guidance: $0.10 - $0.14

Headwinds

  • Outlook assumes a continuation of current business conditions
  • Outlook assumes current foreign currency exchange rates
  • Includes the impact of recent divestitures
  • Includes an estimated impact of $16 million - $24 million in 2022 arising from the previously disclosed DDoS attacks in 2021

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

+2.6%

Avg return

Earnings day

+4.2%

Avg return

5 days after

+8.9%

Avg return

30 days after

51%

19 / 37 earnings

Positive

+69.1%

Q4 2023

Best reaction

-37.8%

Q4 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.9%+95.6%+168.5%
Q4 2025+11.7%+6.2%+19.0%
Q3 2025-3.9%-13.7%-15.1%
Q1 2025+12.1%+17.1%+21.7%
Q4 2024-4.4%-8.3%-17.4%
Q3 2024-0.7%+3.8%+11.6%
Q2 2024-33.3%-30.8%-24.8%
Q1 2024+3.1%+5.4%+2.3%
Q4 2023+69.1%+58.4%+50.3%
Q3 2023+20.9%+22.4%+12.0%
Q2 2023+5.6%+1.9%-3.6%
Q1 2023-3.8%-5.7%-1.1%
Q4 2022-35.6%-33.3%-39.7%
Q3 2022+46.8%+44.8%+91.4%
Q2 2022-0.7%-6.2%-20.5%
Q1 2022+16.2%-8.6%-9.2%
Q4 2021-37.8%-39.8%-40.2%
Q3 2021+1.0%-5.5%-12.0%
Q2 2021-5.8%-8.5%-16.2%
Q1 2021+0.6%-3.5%-5.4%
Q4 2020-7.1%-13.1%-32.6%
Q3 2020-4.3%-6.1%-10.4%
Q2 2020-1.6%+4.2%+4.4%
Q1 2020+13.5%+24.0%+41.0%
Q4 2019+0.9%-9.6%-15.7%
Q3 2019-13.7%-8.8%-2.5%
Q2 2019+1.3%+0.1%+11.7%
Q1 2019-7.6%-4.1%-3.6%
Q4 2018-0.3%+7.7%+42.3%
Q3 2018+9.2%+9.7%-8.6%
Q2 2018+12.3%+11.4%+28.8%
Q1 2018+9.2%+10.1%+22.7%
Q4 2015+2.4%+0.7%+19.7%
Q4 2017+12.9%+15.1%+33.5%
Q3 2016-0.3%+5.0%+6.8%
Q4 2016-0.3%+5.0%+6.8%
Q3 2017+9.2%+12.9%+13.6%
Q2 2017
Q1 2017
Q2 2016
Q1 2016

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