Ooma beats Q4 expectations, shares edge higher

Published 04/03/2025, 22:32
Ooma beats Q4 expectations, shares edge higher

SUNNYVALE, Calif. - Ooma, Inc. (NYSE:OOMA), a provider of advanced communications services, reported fourth-quarter earnings that surpassed analyst expectations, driving shares up 1.6% in after-hours trading.

The company posted adjusted earnings per share of $0.21, beating the analyst estimate of $0.14 by $0.07. Revenue for the quarter came in at $65.1 million, exceeding the consensus estimate of $63.98 million and representing a 6% increase YoY.

Ooma’s subscription and services revenue, which accounted for 93% of total revenue, grew to $60.6 million from $58.0 million in the same quarter last year, primarily driven by the growth of Ooma Business.

Eric Stang, CEO of Ooma, commented, "Ooma performed well in Q4, delivering $65.1 million in revenue and $5.8 million of non-GAAP net income. For our full fiscal year 2025, year over year we grew revenue by 8%, non-GAAP net income by 17%, and cash flow from operations by 117%."

Looking ahead, Ooma provided guidance for the first quarter of fiscal 2026, projecting revenue between $64.7 million and $65.1 million, and adjusted EPS in the range of $0.18 to $0.19. The midpoint of this EPS guidance surpasses the analyst consensus of $0.16.

For the full fiscal year 2026, the company expects revenue between $267 million and $270 million, with adjusted EPS ranging from $0.77 to $0.82. The midpoint of this full-year EPS guidance also exceeds the analyst consensus of $0.69.

The company’s shares edged up 1.6% following the earnings release, reflecting a modest positive response from investors to the better-than-expected results and optimistic outlook.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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