NYSE$OOMA

Ooma Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Ooma reported a strong Q3 2024 with revenue up 6% year-over-year and GAAP net income of $2.3 million.

Ooma's Q3 2024 showcased strong performance with a 6% increase in total revenue year-over-year, reaching $59.9 million. Subscription and services revenue drove growth, accounting for 93% of total revenue. GAAP net income was $2.3 million, a significant improvement from the net loss in the same quarter last year.

  • Total revenue increased to $59.9 million, representing a 6% year-over-year growth.
  • Subscription and services revenue grew to $55.9 million, accounting for 93% of total revenue.
  • GAAP net income was $2.3 million, or $0.09 per basic and diluted share, compared to a net loss of $2.8 million in Q3 2023.
  • Adjusted EBITDA was $5.0 million, compared to $4.5 million in the third quarter of fiscal 2023.

Headline financials

Total Revenue

$59.9M

Previous: $56.7M+5.6%
EPS (adj)

$0.15

Previous: $0.14+7.1%
Adjusted EBITDA

$5M

Previous: $4.5M+11.0%
Capital Expenditures

-$4.88M

Previous: -$3.91M-25.0%
Free Cash Flow

-$2.6M

Previous: -$6.72M+61.3%
Net Income

$2.29M

Previous: -$2.81M+181.3%
Operating Income

-$1.02M

Previous: -$2.86M+64.3%
Gross Profit

$36.9M

Previous: $35.9M+2.8%
Cash & Equivalents

$18.9M

Previous: $20M-5.8%
Total Assets

$163M

Previous: $125M+30.8%
R&D Expense

$12.5M

No prior period
Stock-Based Comp

$3.71M

Previous: $3.54M+4.9%

Revenue & EPS history

Ooma · Revenue · Quarterly

$59.9M

Q3 2024+5.6%vs Q3 2023
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

Ooma · $59.9M total across 2 segments · Q3 2024

  • Subscription and services
    $55.9M+8.0%
  • Product and other
    $3.97M-19.5%

Forward guidance

Ooma expects total revenue in the range of $61.2 million to $61.8 million for the fourth quarter of fiscal year 2024. GAAP net loss is projected to be between $3.5 million and $3.8 million, with non-GAAP net income expected to be in the range of $3.1 million to $3.4 million.

Tailwinds

  • Total revenue is expected to be in the range of $61.2 million to $61.8 million.
  • Non-GAAP net income is projected to be between $3.1 million and $3.4 million.
  • Non-GAAP net income per share is expected to be in the range of $0.12 to $0.13.
  • Total revenue for the full fiscal year 2024 is expected to be in the range of $236.3 million to $236.9 million.
  • Non-GAAP net income for the full fiscal year 2024 is expected to be in the range of $14.9 million to $15.2 million.

Headwinds

  • GAAP net loss is expected to be in the range of $3.5 million to $3.8 million.
  • GAAP net loss per share is expected to be in the range of $0.13 to $0.14.
  • GAAP net loss for the full fiscal year 2024 is expected to be in the range of $1.2 million to $1.5 million.
  • GAAP net loss per share for the full fiscal year 2024 is expected to be in the range of $0.04 to $0.05.
  • Unspecified factors may impact actual results.

Historical earnings impact

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

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

+3.0%

Avg return

Earnings day

+2.4%

Avg return

5 days after

+0.6%

Avg return

30 days after

77%

33 / 43 earnings

Positive

+21.3%

Q2 2025

Best reaction

-29.2%

Q1 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2027
Q4 2026+11.6%+9.6%+13.2%
Q3 2026-15.3%-4.6%-7.5%
Q2 2026+7.6%+5.6%+2.0%
Q1 2026+1.3%+0.7%-6.1%
Q4 2025+2.3%+0.1%-11.8%
Q3 2025+7.5%+2.0%-4.7%
Q2 2025+21.3%+15.0%+25.8%
Q1 2025+12.4%+13.5%+25.1%
Q4 2024-12.4%-6.1%-17.6%
Q3 2024-9.5%-13.2%-11.7%
Q2 2024+3.2%+1.3%-2.7%
Q1 2024-5.4%-3.6%+7.0%
Q4 2023+0.8%-0.9%-4.3%
Q3 2023+0.2%-4.3%-11.3%
Q2 2023+4.3%+8.8%+1.7%
Q1 2023+0.6%+4.0%-12.2%
Q4 2022-11.7%-12.2%-6.8%
Q3 2022+0.1%+4.2%+8.7%
Q2 2022+18.4%+11.9%-0.4%
Q1 2022+15.7%+18.3%+28.0%
Q4 2021+2.8%+1.4%+0.3%
Q3 2021+10.2%+5.1%-1.4%
Q2 2021+1.6%-5.8%-15.2%
Q1 2021+14.4%+0.7%+21.1%
Q4 2020+11.4%+6.2%-19.3%
Q3 2020+8.5%+20.9%+24.8%
Q2 2020+7.7%+3.6%-13.5%
Q1 2020-16.9%-20.5%-23.3%
Q4 2019-1.4%-4.2%-19.2%
Q3 2019+13.8%+9.0%+1.4%
Q2 2019+3.8%+0.6%+1.9%
Q1 2019+0.0%-3.6%+0.4%
Q4 2018+7.1%+5.3%+3.6%
Q3 2018+16.5%+13.5%+20.5%
Q2 2018+12.7%+18.5%+24.2%
Q1 2018-29.2%-25.3%-28.8%
Q4 2017+3.2%-4.7%+12.1%
Q3 2017+2.2%-2.2%-3.3%
Q2 2017+2.0%+12.1%+2.9%
Q1 2017+8.7%+14.7%+20.3%
Q4 2016+4.4%
Q3 2016-9.0%
Q2 2016+1.4%
Q1 2016
Q4 2015
Q3 2014
Q2 2014
Q1 2014
Q4 2013

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