AudioCodes (AUDC) came out with quarterly earnings of $0.28 per share, beating the Zacks Consensus Estimate of $0.24 per share. This compares to earnings of $0.36 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 16.67%. A quarter ago, it was expected that this communication components company would post earnings of $0.18 per share when it actually produced earnings of $0.25, delivering a surprise of 38.89%.Over the last four qu ...

Financial Performance - Quarterly revenues increased by 3.2% sequentially to $63.6 million, while full year 2023 revenues decreased by 11.2% to $244.4 million [1][2] - Quarterly service revenues of $30.9 million accounted for 48.6% of total revenues, with full year 2023 service revenues increasing by 8.7% to $120.4 million [1][2] - GAAP net income for the fourth quarter was $3.7 million, or $0.12 per diluted share, compared to $4.3 million, or $0.14 per diluted share in the prior quarter [1][2] - Full year 2023 GAAP net income was $8.8 million, or $0.28 per diluted share, down from $28.5 million, or $0.88 per diluted share in 2022 [2][3] Non-GAAP Results - Non-GAAP net income for the fourth quarter was $8.9 million, or $0.28 per diluted share, compared to $8.3 million, or $0.25 per diluted share in the prior quarter [3] - Full year 2023 Non-GAAP net income was $25.0 million, or $0.77 per diluted share, down from $45 million, or $1.35 per diluted share in 2022 [3] Cash Flow and Shareholder Returns - Net cash provided by operating activities was $9.3 million for the fourth quarter and $14.9 million for the full year [4][5] - The company repurchased 595,583 ordinary shares during the quarter at a total cost of $6.3 million [1][9] - A cash dividend of 18 cents per share was declared, amounting to approximately $5.5 million, payable on March 6, 2024 [10][11] Business Segments and Growth Areas - The enterprise segment accounted for roughly 90% of business in the fourth quarter, with Microsoft-related business growing 5% year-over-year [6] - Teams-related business grew 10% year-over-year, while AudioCodes Live managed services saw an ARR growth of 50% year-over-year, ending the quarter at $48 million [6] - Customer experience (CX) operations grew over 40% year-over-year in the fourth quarter, with conversational AI bookings growing over 50% [7] Operational Efficiency - Non-GAAP gross margin improved to 67.6%, while non-GAAP operating margin reached 16.9% in the quarter [8] - The company is focusing on transitioning to a subscription and recurring sales model, aiming for revenue growth and improved profitability in 2024 [8]

AudioCodes Ltd. (NASDAQ:AUDC) Q3 2023 Earnings Conference Call November 2, 2023 8:30 AM ET Company Participants Roger Chuchen - Vice President, Investor Relations Shabtai Adlersberg - President and Chief Executive Officer Niran Baruch - Vice President of Finance and Chief Financial Officer Conference Call Participants Ryan MacWilliams - Barclays Gregory Burns - Sidoti & Company Ryan Koontz - Needham & Company Samad Samana - Jefferies Operator Greetings. Welcome to AudioCodes Third Quarter 2023 Earnings Con ...

Exhibit 1 ocodes AudioCodes Press Release Company Contacts Niran Baruch, Chief Financial Officer AudioCodes Tel: +972-3-976-4000 niran.baruch@audiocodes.com Roger L. Chuchen VP, Investor Relations AudioCodes Tel: 732-764-2552 roger.chuchen@audiocodes.com AudioCodes Reports Third Quarter 2023 Results Lod, Israel – November 2, 2023 - AudioCodes (NASDAQ: AUDC) Press Release Third Quarter Highlights · Quarterly revenues increased by 2.6% sequentially to $61.6 million. · Quarterly Service revenues of $30.6 milli ...

AudioCodes Ltd. (NASDAQ:AUDC) Q2 2023 Earnings Conference Call August 1, 2023 8:30 AM ET Company Participants Roger Chuchen - Vice President, Investor Relations Shabtai Adlersberg - President and Chief Executive Officer Niran Baruch - Vice President of Finance and Chief Financial Officer Conference Call Participants Mason Marion - Jefferies Gregory Burns - Sidoti & Company Ryan Koontz - Needham & Company Tal Liani - Bank of America Operator Greetings. Welcome to the AudioCodes Second Quarter 2023 Earnings C ...

[Performance Overview](index=1&type=section&id=Performance%20Overview) [Second Quarter 2023 Highlights](index=1&type=section&id=Second%20Quarter%202023%20Highlights) AudioCodes achieved sequential revenue growth to **$60.0 million** in Q2 2023, alongside substantial improvements in profitability and cash generation Q2 2023 vs Q1 2023 Performance | Metric | Q2 2023 | Q1 2023 | Change | | :--- | :--- | :--- | :--- | | Revenues ($) | $60.0M | $59.2M | +1.4% | | Service Revenues ($) | $28.5M | - | 47.4% of Total | | GAAP Gross Margin (%) | 64.1% | 61.7% | +2.4 p.p. | | GAAP Operating Margin (%) | 3.8% | -1.4% | +5.2 p.p. | | GAAP Net Income ($) | $1.1M | -$0.2M | Positive Swing | | GAAP Diluted EPS ($) | $0.03 | -$0.01 | Positive Swing | | Non-GAAP Gross Margin (%) | 64.5% | 62.1% | +2.4 p.p. | | Non-GAAP Operating Margin (%) | 9.5% | 4.9% | +4.6 p.p. | | Non-GAAP Net Income ($) | $5.1M | $2.7M | +88.9% | | Non-GAAP Diluted EPS ($) | $0.16 | $0.08 | +100% | - Net cash provided by operating activities was **$2.2 million** for the quarter[1](index=1&type=chunk) - The company repurchased **318,891 ordinary shares** during the quarter for an aggregate cost of **$2.9 million**[2](index=2&type=chunk) [Management Commentary](index=3&type=section&id=Management%20Commentary) Management emphasized strong enterprise business growth, driven by Microsoft-related services and AudioCodes Live, with significant interest in conversational AI solutions - The enterprise business now accounts for **88%** of the company's revenue[6](index=6&type=chunk) Business Segment Growth Highlights (YoY) | Business Segment | Growth Rate (YoY) (%) | | :--- | :--- | | Microsoft-related business | 12% | | Microsoft Teams business | 18% | | AudioCodes Live managed services (ARR) | >60% | | Zoom related business | >20% | | Customer Experience (CX) & Conversational AI | 7% | - AudioCodes Live managed services ARR reached **$40 million**, on track to meet the 2023 target of **$46-$50 million**[6](index=6&type=chunk) - Voca CIC is now officially **certified by Microsoft** as a **Microsoft Teams Contact Center solution**, which is expected to drive adoption by enterprises looking to consolidate Unified Communications and Contact Center environments[7](index=7&type=chunk) - The Meeting Insights for Teams solution has integrated with **GPT-4 generative AI** to offer advanced summarization and recap features[8](index=8&type=chunk) [Shareholder Returns](index=3&type=section&id=Shareholder%20Returns) [Share Buyback Program](index=3&type=section&id=Share%20Buyback%20Program) AudioCodes repurchased **$2.9 million** in shares during Q2 2023 and secured approval for an additional **$25 million** buyback program - In Q2 2023, the company repurchased **318,891 ordinary shares** for a total of **$2.9 million**[9](index=9&type=chunk) - In June 2023, the company received court approval to purchase up to an additional **$25 million** of its ordinary shares, valid through December 27, 2023[10](index=10&type=chunk) - As of June 30, 2023, **$24.7 million** was available for future share repurchases and/or cash dividends under the current court approval[10](index=10&type=chunk) [Cash Dividend](index=4&type=section&id=Cash%20Dividend) The Board declared a semi-annual cash dividend of **$0.18 per share**, totaling approximately **$5.7 million**, payable on August 31, 2023 Dividend Details | Detail | Value | | :--- | :--- | | Dividend per Share ($) | $0.18 | | Aggregate Amount ($) | ~$5.7 million | | Record Date | August 17, 2023 | | Payment Date | August 31, 2023 | - The dividend is subject to Israeli withholding tax, generally at a rate of **25%**, or **30%** for shareholders holding 10% or more of the company's share capital[11](index=11&type=chunk) [Financial Statements](index=7&type=section&id=Financial%20Statements) [Condensed Consolidated Balance Sheets](index=7&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2023, AudioCodes reported total assets of **$317.7 million**, with total liabilities at **$130.5 million** and shareholders' equity at **$187.2 million** Condensed Consolidated Balance Sheets (U.S. dollars in thousands) | | June 30, 2023 (Unaudited) | Dec 31, 2022 (Audited) | | :--- | :--- | :--- | | **ASSETS** | | | | Total current assets | $145,657 | $149,930 | | Total long-term assets | $126,941 | $130,810 | | Property and equipment, net | $6,298 | $3,965 | | Goodwill, intangible assets and other, net | $38,847 | $39,126 | | **Total assets** | **$317,743** | **$323,831** | | **LIABILITIES AND SHAREHOLDERS' EQUITY** | | | | Total current liabilities | $90,554 | $94,457 | | Total long-term liabilities | $39,975 | $39,614 | | **Total shareholders' equity** | **$187,214** | **$189,760** | | **Total liabilities and shareholders' equity** | **$317,743** | **$323,831** | [Condensed Consolidated Statements of Operations](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q2 2023 total revenues were **$60.0 million**, with GAAP net income at **$1.1 million** or **$0.03 per diluted share**, a decrease from Q2 2022 Condensed Consolidated Statements of Operations (U.S. dollars in thousands, except per share data) | | Three months ended June 30, 2023 (Unaudited) | Three months ended June 30, 2022 | | :--- | :--- | :--- | | Total Revenues | $60,020 | $68,360 | | Gross profit | $38,477 | $44,510 | | Operating income | $2,255 | $7,922 | | Net income | $1,055 | $6,936 | | Diluted net earnings per share | $0.03 | $0.21 | [Reconciliation of GAAP to Non-GAAP Net Income](index=9&type=section&id=Reconciliation%20of%20GAAP%20to%20Non-GAAP%20Net%20Income) Non-GAAP net income for Q2 2023 was **$5.1 million**, or **$0.16 per diluted share**, after adjustments for share-based compensation and amortization expenses Reconciliation of GAAP to Non-GAAP Net Income (U.S. dollars in thousands, except per share data) | | Three months ended June 30, 2023 (Unaudited) | Three months ended June 30, 2022 | | :--- | :--- | :--- | | **GAAP net income** | **$1,055** | **$6,936** | | Share-based compensation | $3,063 | $3,919 | | Amortization expenses | $133 | $201 | | Deferred payments expenses | $250 | $250 | | Other Income | $0 | ($405) | | Exchange rate differences | $71 | ($495) | | Deferred tax | $562 | $940 | | **Non-GAAP net income** | **$5,134** | **$11,346** | | **Non-GAAP diluted net earnings per share** | **$0.16** | **$0.34** | [Condensed Consolidated Statement of Cash Flows](index=10&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) AudioCodes generated **$2.2 million** in operating cash flow in Q2 2023, with a net cash increase of **$6.6 million** driven by investing activities Condensed Consolidated Statement of Cash Flows (U.S. dollars in thousands) | | Three months ended June 30, 2023 (Unaudited) | Three months ended June 30, 2022 | | :--- | :--- | :--- | | Net cash provided by operating activities | $2,206 | $4,818 | | Net cash provided by (used in) investing activities | $7,349 | $574 | | Net cash used in financing activities | ($2,908) | ($8,124) | | **Net increase (decrease) in cash** | **$6,647** | **($2,732)** | | Cash, cash equivalents and restricted cash at end of period | $36,225 | $35,246 |

Earnings Call Supplementary Slides Thispresentationcontainsforward-lookingstatements.Allstatementscontainedinthispresentationotherthanstatementsofhistorical facts, including, without limitation, future financial and business performance for the first quarter 2023, attractiveness of our product offerings and platform and the value proposition of our products, are forward-looking statements. The words “anticipate,” “believe,” “continue,”“estimate,”“expect,”“intend,”“guide,”“may,”“will”andsimilarexpressionsand ...

AudioCodes Ltd. (NASDAQ:AUDC) Q1 2023 Earnings Conference Call May 9, 2023 8:30 AM ET Company Participants Roger Chuchen - Vice President of Investor Relations Shabtai Adlersberg - President and Chief Executive Officer Niran Baruch - Vice President of Finance and Chief Financial Officer Conference Call Participants Gregory Burns - Sidoti & Company, LLC Mason Marion - Jefferies LLC Tal Liani - Bank of America Merrill Lynch Pete Newton - Barclays Operator Greetings. Welcome to the AudioCodes First Quarter 202 ...

Exhibit 1 AudioCodes Press Release P R E S S R E L E A S E Company Contacts Niran Baruch, Chief Financial Officer AudioCodes Tel: +972-3-976-4000 niran.baruch@audiocodes.com Roger L. Chuchen VP, Investor Relations AudioCodes Tel: 732-764-2552 Mobile: 347-752-0780 roger.chuchen@audiocodes.com AudioCodes Reports First Quarter 2023 Results Lod, Israel – May 9, 2023 - AudioCodes (NASDAQ: AUDC) Press Release First Quarter Highlights · Quarterly revenues decreased by 10.8% year-over-year to $59.2 million; · Quart ...

Audit and Tax Fees - Audit fees for 2022 totaled $524,000, an increase of 19% from $440,000 in 2021[287] - Tax fees for 2022 amounted to $194,000, up 81% from $107,000 in 2021[287] - Total fees for 2022 reached $718,000, representing a 31% increase compared to $547,000 in 2021[287] Share Repurchase and Dividends - A total of 1,513,207 ordinary shares were purchased in 2022 at an average price of $25.15 per share[293] - The approximate dollar value of shares that may yet be purchased under the program as of December 31, 2022, is $20,349,414[293] - The company purchased treasury stock amounting to $38,099,000 in 2022[330] - The Company declared cash dividends totaling $11,552 thousand in 2022, an increase from $10,865 thousand in 2021[334] Financial Performance - The company reported a net loss for the year ended December 31, 2022, compared to a profit in the previous year, highlighting a significant shift in financial performance[307] - Total revenues for 2022 reached $275,093 thousand, an increase of 10.5% from $248,920 thousand in 2021[326] - Net income for 2022 was $28,466 thousand, a decrease of 15.4% from $33,751 thousand in 2021[327] - The company reported a total comprehensive income of $17,736 thousand for 2022, down from $31,756 thousand in 2021[327] Assets and Liabilities - Total assets decreased from $349,364,000 in 2021 to $323,831,000 in 2022, a decline of approximately 7.3%[322] - Total liabilities decreased to $134,071 thousand in 2022, down from $143,866 thousand in 2021, a reduction of 6.0%[324] - Total shareholders' equity decreased to $189,760 thousand in 2022, down from $205,498 thousand in 2021, a decline of 7.7%[324] Cash Flow and Investments - Cash flows from operating activities provided $8,281,000 in 2022, significantly lower than $47,344,000 in 2021[332] - The net cash used in investing activities was $(19,673,000) in 2022, compared to $42,622,000 in 2021[332] - Cash, cash equivalents, and restricted cash at the end of 2022 amounted to $24,535 thousand, a significant decrease from $84,523 thousand at the end of 2021[345] Inventory and Receivables - Trade receivables increased from $48,956,000 in 2021 to $56,424,000 in 2022, marking an increase of approximately 15.5%[322] - Inventories rose from $23,988,000 in 2021 to $36,377,000 in 2022, reflecting an increase of about 51.6%[322] - The company reported a decrease in trade receivables of $20,567,000 in 2022, compared to a decrease of $14,438,000 in 2021[332] Research and Development - Research and development expenses increased to $59,842 thousand, up from $53,396 thousand in 2021, reflecting a growth of 12.9%[326] - Research and development grants recognized were $624, $570, and $388 for the years ended December 31, 2022, 2021, and 2020, respectively[362] Taxation - The company recorded a taxable income of $34,183,000 for the year ended December 31, 2022, compared to $39,647,000 in 2021, reflecting a decrease of approximately 11.7%[443] - The current tax expense for domestic operations was $3,707,000 in 2022, significantly higher than $819,000 in 2021, indicating a substantial increase in tax obligations[446] - The effective corporate tax rate for Israeli companies remains at 23% for the years ended December 31, 2022, 2021, and 2020[441] Marketable Securities and Investments - The company’s marketable securities as of December 31, 2022, had a fair value of $78,066,000, down from $89,976,000 in 2021, reflecting unrealized losses of $8,211,000[395] - The company classified all marketable securities as available-for-sale as of December 31, 2022, impacting its financial reporting[342] Internal Controls and Compliance - The company evaluated its disclosure controls and procedures as effective as of December 31, 2022, ensuring timely decisions regarding required disclosures[285] - Internal control over financial reporting is designed to provide reasonable assurance regarding the reliability of financial reporting[285] - The company maintained effective internal control over financial reporting as of December 31, 2022, based on COSO criteria[317] Geopolitical and Economic Factors - The ongoing conflict in Ukraine may have lasting impacts on the company's financial condition and operations due to geopolitical instability[337] - The company generated a significant portion of its revenues in U.S. dollars, reflecting its primary economic environment[339] Employee Compensation and Benefits - Share-based compensation related to options and RSUs granted to employees and non-employees increased to $15,122,000 in 2022 from $14,164,000 in 2021[332] - The total share-based compensation expenses for the year ended December 31, 2022, amounted to $15,122, compared to $14,164 in 2021 and $8,771 in 2020[375] Acquisitions - The acquisition of Callverso Ltd. was completed on November 10, 2021, for a total purchase price of $3,000,000, which included $2,900,000 in cash and an earn-out potential of up to $6,000,000 over three years based on sales performance[387][388]. - The fair value of identifiable assets acquired from Callverso was estimated at $2,311,000, with net identifiable assets acquired totaling $1,662,000 and goodwill of $1,338,000 attributed to expected synergies[391].