Financial Performance - Total revenue for the three months ended March 31, 2023, was $138 million, an increase of 5% compared to $131 million in the same period of 2022[146] - Net income for the three months ended March 31, 2023, was $4 million, a significant improvement from a net loss of $7 million in the same period of 2022[146] - Operating loss for Q1 2023 was $11.8 million, compared to an operating loss of $6.9 million in Q1 2022[164] - Gross profit for the same period was $55.7 million, a slight increase of less than $1 million from $55.4 million in 2022, resulting in a total gross margin of 40%, down from 42%[169] - Non-GAAP gross profit for Q1 2023 was $61,319 thousand, up from $60,921 thousand in Q1 2022, resulting in a Non-GAAP gross margin of 54%, compared to 53% in the previous year[195] - The company reported a net income of $3,611 thousand for Q1 2023, a significant improvement from a net loss of $6,814 thousand in Q1 2022[199] - Non-GAAP net income for Q1 2023 was $1,190 thousand, down from $2,544 thousand in Q1 2022[199] - Adjusted EBITDA for Q1 2023 was $5,059 thousand, a decrease from $8,368 thousand in Q1 2022[201] - Free cash flow for Q1 2023 was $(10,900) thousand, compared to $(12,620) thousand in Q1 2022, indicating improved cash management[204] Revenue Sources - 77% of revenue for the three months ended March 31, 2023, was derived from recurring sources, up from 76% in the same period of 2022[154] - Revenue growth was driven by an 8% increase in core messaging offerings and higher A2P messaging surcharges[167] - Approximately 16% of total revenue was generated outside North America for the quarterly period ended March 31, 2023[213] Expenses and Costs - Gross margin for Q1 2023 was 40%, down from 42% in Q1 2022, with cost of revenue increasing to 60% of total revenue[165] - Total operating expenses rose by $5.1 million, or 8%, to $67.4 million, with research and development expenses increasing by $3.2 million, or 14%[170] - Research and development expenses increased to $25.7 million in Q1 2023, compared to $22.4 million in Q1 2022[164] - Stock-based compensation for Q1 2023 was $7,378 thousand, compared to $5,346 thousand in Q1 2022, reflecting increased compensation expenses[201] Cash Flow and Liquidity - Net cash used in operating activities was $6.4 million for the three months ended March 31, 2023, compared to $6.7 million in the same period in 2022[185] - Net cash provided by investing activities was $29 million, driven by proceeds from the sales and maturities of marketable securities totaling $44 million[188] - Net cash used in financing activities was $52 million, primarily for the repurchase of $65 million aggregate principal amount of the 2026 Convertible Notes[189] - The company anticipates that cash and cash equivalents will be sufficient to meet anticipated cash needs for at least the next 12 months[182] - The company had cash and cash equivalents of $85 million and marketable securities of $38 million as of March 31, 2023, primarily for working capital purposes[210] Taxation - The effective tax rate for Q1 2023 was (647.6)%, significantly lower than (2.7)% in Q1 2022, primarily due to operating losses outside the U.S.[161] - The effective tax rate for the three months ended March 31, 2023, was (647.6)%, compared to (2.7)% in 2022, primarily due to operating losses outside the U.S.[174] - The Non-GAAP effective income tax rate for Q1 2023 was (143.4)%, significantly different from the federal statutory tax rate of 21% due to research and development tax credits[199] Debt and Financing - The company repurchased approximately $65 million of 2026 Convertible Notes for about $51 million, resulting in a gain of $13 million[148] - The company repurchased $65 million of its 2026 Convertible Notes in March 2023, following a $160 million repurchase in November 2022[212] - Future commitments include $425 million in Convertible Notes and a $496 million non-cancelable lease for a new headquarters[183] Internal Controls and Compliance - No changes in internal control over financial reporting were identified during the three months ended March 31, 2023[216] - The company intends to continue monitoring and upgrading internal controls as necessary[217] Legal Matters - The company has been named in multiple lawsuits related to the collection and remittance of 911 taxes and surcharges[220] - Litigation may have an adverse impact on the company due to defense and settlement costs, and diversion of management resources[222] Currency and Investment Activities - A hypothetical 10% adverse change in foreign currency exchange rates would have negatively impacted net income by approximately $0.9 million for the quarterly period ended March 31, 2023[213] - The company does not currently engage in hedging activities to reduce potential exposure to currency fluctuations[213] - The primary objective of investment activities is to preserve principal while maximizing income without significantly increasing risk[211] - The company aims to preserve principal while maximizing income through its investment activities, with no significant exposure to interest rate risks anticipated[211]

Bandwidth Inc. (NASDAQ:BAND) Q4 2022 Earnings Conference Call and Virtual Investor Day February 23, 2023 9:00 AM ET Company Participants Sarah Wallace – Vice President-Investor Relations David Morken – Co-Founder, Chairman and Chief Executive Officer Anthony Bartolo – Chief Operating Officer Daryl Raiford – Chief Financial Officer Conference Call Participants Ryan McWilliams – Barclays Tom Blakey – KeyBanc Meta Marshall – Morgan Stanley Matt Stotler – William Blair Will Power – Baird Ryan Koontz – Needham P ...

Bandwidth Investor Day 2023 FEBRUARY 23, 2023 LEGAL DISCLAIMER This presentation contains forward-looking statements. All statements contained in this presentation other than statements of historical facts, including, without limitation, future financial and business performance or goals, 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," "targe ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 __________________________________ FORM 10-K __________________________________ ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-38285 BANDWIDTH INC. (Exact name of registrant as specified in its charte ...

Bandwidth Inc. (NASDAQ:BAND) Q3 2022 Earnings Conference Call November 1, 2022 5:00 PM ET Company Participants Sarah Walas - VP, IR David Morken - Co-Founder, CEO, & Chairman Daryl Raiford - EVP, CFO & Principal Accounting Officer Conference Call Participants Matt Stotler - William Blair Ryan MacWilliams - Barclays Mike Walkley - Canaccord Genuity Meta Marshall - Morgan Stanley Will Power - Baird Pat Walravens - JMP Securities Harry Wilmerding - Needham James Fish - Piper Sandler Operator Welcome to the Ban ...

Bandwidth, Inc. (NASDAQ:BAND) Q2 2022 Earnings Conference Call August 3, 2022 5:00 PM ET Company Participants Sarah Walas - VP, IR David Morken - Co-Founder, CEO, & Chairman Daryl Raiford - EVP, CFO & Principal Accounting Officer Conference Call Participants Ryan Koontz - Needham & Company William Power - Robert W. Baird & Co. James Fish - Piper Sandler & Co. Patrick Walravens - JMP Securities Matthew Stotler - William Blair & Company Ryan MacWilliams - Barclays Bank Operator Greetings, and welcome to the B ...