8x8, Inc. (NASDAQ:EGHT) Q1 2024 Earnings Conference Call August 8, 2023 5:00 PM ET Company Participants Kate Patterson - Vice President of Investor Relations Samuel Wilson - Chief Executive Officer Kevin Kraus - Chief Financial Officer Conference Call Participants Catharine Trebnick - Rosenblatt Securities Inc. Jamie Reynolds - Morgan Stanley Abhinav Kumar - Mizuho Securities Austin Williams - Wells Fargo Securities James Rush - Craig-Hallum Capital Group Operator Good day, and thank you for standing by. We ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM10-Q Commission file number: 001-38312 _________________ 8x8, INC. (Exact name of Registrant as Specified in its Charter) _________________ (State or Other Jurisdiction of Incorporation or Organization) (I.R.S. Employer Identification Number) Delaware 77-0142404 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SEC ...

[Part I](index=4&type=section&id=Part%20I) [Business](index=5&type=section&id=Item%201.%20Business) 8x8, Inc. provides the XCaaS platform, integrating UCaaS, CCaaS, and CPaaS solutions for over 60,000 global customers - 8x8 is a leading provider of the **XCaaS platform**, integrating UCaaS, CCaaS, and CPaaS solutions on a single global cloud-native communications platform[15](index=15&type=chunk)[16](index=16&type=chunk)[181](index=181&type=chunk) - The company serves over **60,000 customers** and **2.5 million paid business licenses** globally, with no single customer accounting for 10% or more of fiscal 2023 revenue[15](index=15&type=chunk)[31](index=31&type=chunk) - Key solutions like **8x8 Work (UCaaS)**, **8x8 Contact Center (CCaaS)**, and **8x8 CPaaS** are bundled into tiered "X Series" plans[24](index=24&type=chunk)[25](index=25&type=chunk)[27](index=27&type=chunk) - The company faces significant competition from cloud communication providers, internet service vendors, and legacy equipment providers[38](index=38&type=chunk)[39](index=39&type=chunk)[40](index=40&type=chunk) - As of March 31, 2023, 8x8 had **1,921 full-time employees**, with **65%** located outside the United States[52](index=52&type=chunk) [Risk Factors](index=11&type=section&id=Item%201A.%20Risk%20Factors) The company faces substantial risks including operating losses, intense competition, cybersecurity, debt, and regulatory compliance - The company has a history of losses, with an operating loss of approximately **$66.3 million** in fiscal 2023 and an accumulated deficit of **$792.9 million**[75](index=75&type=chunk) - The business is susceptible to cybersecurity breaches, including a Q2 fiscal 2023 incident where approximately **one terabyte of confidential information** was exfiltrated[127](index=127&type=chunk) - The company has substantial indebtedness, including a **$250.0 million** senior secured term loan and approximately **$265.2 million** in convertible senior notes[146](index=146&type=chunk)[147](index=147&type=chunk)[248](index=248&type=chunk) - International operations, especially in **Romania**, are exposed to risks from the ongoing conflict between Russia and Ukraine[114](index=114&type=chunk)[116](index=116&type=chunk) - The company's ability to use its **$1,199.1 million federal net operating loss** and tax credit carryforwards is subject to limitations due to ownership changes[107](index=107&type=chunk)[427](index=427&type=chunk) [Unresolved Staff Comments](index=28&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports no unresolved staff comments - None[162](index=162&type=chunk) [Properties](index=28&type=section&id=Item%202.%20Properties) The company's principal operations are in Campbell, California, with leased offices and data centers globally - The company's main operations are in **Campbell, California**, with significant international leased offices[163](index=163&type=chunk) - 8x8 leases space from third-party data center hosting facilities across the US, South America, Europe, and Asia Pacific[164](index=164&type=chunk) [Legal Proceedings](index=28&type=section&id=Item%203.%20Legal%20Proceedings) The company is involved in various legal proceedings, with provisions recorded, though outcomes could materially affect financial results - The company is involved in various legal proceedings, with recorded provisions, but ultimate outcomes are uncertain and could materially affect financial results[360](index=360&type=chunk)[361](index=361&type=chunk) [Mine Safety Disclosures](index=28&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[166](index=166&type=chunk) [Part II](index=29&type=section&id=Part%20II) [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=29&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%20and%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company's common stock trades on Nasdaq under 'EGHT', has never paid dividends, and repurchased shares in fiscal 2022 - The company's common stock trades under the symbol "**EGHT**" on the Nasdaq Global Select Market[169](index=169&type=chunk) - No cash dividends have ever been paid, and none are planned for the foreseeable future[170](index=170&type=chunk) - In August 2022, the company repurchased **10,695,000 shares** for approximately **$60.0 million** in privately negotiated transactions[176](index=176&type=chunk) - In August 2022, the company issued **1,015,024 shares** of common stock, valued at approximately **$5.1 million**, to settle financial advisory fees[178](index=178&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=31&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Fiscal 2023 total revenue grew **16.6%** to **$743.9 million**, driven by the Fuze acquisition and strategic focus on enterprise customers [Results of Operations](index=34&type=section&id=Results%20of%20Operations) Fiscal 2023 total revenue increased **16.6%** to **$743.9 million**, with service revenue up **17.9%**, and operating loss narrowed to **$66.3 million** Fiscal 2023 vs. Fiscal 2022 Revenue | Revenue Type | FY 2023 (in thousands) | FY 2022 (in thousands) | Change (in thousands) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Service Revenue | $710,044 | $602,357 | $107,687 | 17.9% | | Other Revenue | $33,894 | $35,773 | $(1,879) | -5.3% | | **Total Revenue** | **$743,938** | **$638,130** | **$105,808** | **16.6%** | Fiscal 2023 vs. Fiscal 2022 Operating Expenses | Expense Category | FY 2023 (in thousands) | FY 2022 (in thousands) | Change (in thousands) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Cost of Service Revenue | $198,871 | $195,909 | $2,962 | 1.5% | | Research & Development | $146,220 | $112,387 | $33,833 | 30.1% | | Sales & Marketing | $311,883 | $314,223 | $(2,340) | -0.7% | | General & Administrative | $110,652 | $118,103 | $(7,451) | -6.3% | - The increase in service revenue was substantially driven by the **Fuze acquisition**, contributing approximately an **$86.5 million** increase[212](index=212&type=chunk) - Other expense, net decreased by **$17.6 million**, primarily due to an **$18.5 million gain** from debt extinguishment, partially offset by a **$20.7 million increase** in interest expenses[226](index=226&type=chunk) [Liquidity and Capital Resources](index=36&type=section&id=Liquidity%20and%20Capital%20Resources) As of March 31, 2023, the company had **$137.6 million** in cash and investments, with net cash from operations at **$48.8 million** Cash and Liquidity | Metric | As of March 31, 2023 (in thousands) | | :--- | :--- | | Cash and cash equivalents | $111,400 | | Short-term investments | $26,228 | | **Total Cash, equivalents, and short-term investments** | **$137,628** | Cash Flow Summary (Fiscal Year 2023 vs 2022) | Cash Flow Activity | FY 2023 (in thousands) | FY 2022 (in thousands) | | :--- | :--- | :--- | | Net cash provided by operating activities | $48,786 | $34,680 | | Net cash provided by (used in) investing activities | $6,050 | $(159,978) | | Net cash (used in) provided by financing activities | $(37,784) | $105,425 | - In May 2023, the company voluntarily prepaid **$25.0 million** of principal on its senior secured term loan, reducing the outstanding principal to **$225 million**[195](index=195&type=chunk)[436](index=436&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=39&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to market risks from interest rate and foreign currency fluctuations, with no material impact expected from a 10% adverse change - The company has interest rate risk from its **$250.0 million variable-rate Term Loan** and fixed-rate convertible notes, whose fair value is sensitive to stock price[248](index=248&type=chunk) - Foreign currency risk exists from revenues and expenses in British Pound and Euro, but a hypothetical **10% adverse change** would not result in a material loss[249](index=249&type=chunk)[250](index=250&type=chunk) - The company does not currently use financial instruments for trading, speculative purposes, or to hedge foreign currency exchange risk[247](index=247&type=chunk)[251](index=251&type=chunk) [Financial Statements and Supplementary Data](index=40&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents the company's audited consolidated financial statements for fiscal 2023, with an unqualified opinion from Moss Adams LLP [Consolidated Balance Sheets](index=43&type=section&id=Consolidated%20Balance%20Sheets) As of March 31, 2023, total assets were **$841.8 million**, total liabilities **$741.9 million**, and stockholders' equity **$99.9 million** Consolidated Balance Sheet Summary (in thousands) | | March 31, 2023 | March 31, 2022 | | :--- | :--- | :--- | | **Total Assets** | **$841,810** | **$910,268** | | Total Current Assets | $273,124 | $275,622 | | Goodwill | $266,863 | $266,867 | | **Total Liabilities** | **$741,904** | **$727,902** | | Total Current Liabilities | $229,887 | $191,527 | | Convertible senior notes, non-current | $196,821 | $447,452 | | Term loan | $231,993 | $— | | **Total Stockholders' Equity** | **$99,906** | **$182,366** | [Consolidated Statements of Operations](index=45&type=section&id=Consolidated%20Statements%20of%20Operations) For fiscal 2023, total revenue was **$743.9 million**, operating loss narrowed to **$66.3 million**, and net loss improved to **$73.1 million** or **($0.63) per share** Statement of Operations Summary (in thousands, except per share data) | | FY 2023 | FY 2022 | FY 2021 | | :--- | :--- | :--- | :--- | | Total Revenue | $743,938 | $638,130 | $532,344 | | Loss from Operations | $(66,292) | $(154,141) | $(146,149) | | Net Loss | $(73,143) | $(175,383) | $(165,585) | | Net Loss Per Share | $(0.63) | $(1.55) | $(1.57) | - Other expense, net, for fiscal 2023 included a **gain on debt extinguishment of $18.5 million**, significantly reducing the net loss[270](index=270&type=chunk) [Consolidated Statements of Cash Flows](index=48&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) For fiscal 2023, net cash from operations was **$48.8 million**, investing activities provided **$6.1 million**, and financing activities used **$37.8 million** Cash Flow Summary (in thousands) | | FY 2023 | FY 2022 | | :--- | :--- | :--- | | Net cash provided by operating activities | $48,786 | $34,680 | | Net cash provided by (used in) investing activities | $6,050 | $(159,978) | | Net cash (used in) provided by financing activities | $(37,784) | $105,425 | | **Net increase (decrease) in cash** | **$12,015** | **$(20,458)** | [Notes to Consolidated Financial Statements](index=50&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) The notes detail accounting policies, the Fuze acquisition, debt instruments including the **$250 million Term Loan**, and the company's **$1.2 billion federal NOLs** - As of March 31, 2023, remaining performance obligations were approximately **$775.0 million**, with **85%** expected to be recognized over 24 months[343](index=343&type=chunk) - In August 2022, the company borrowed **$250.0 million** via a senior secured term loan and issued warrants to purchase **3.1 million shares**[376](index=376&type=chunk)[381](index=381&type=chunk) - The company exchanged **$403.8 million** of its 2024 Notes for cash and **$201.9 million** of new 2028 Convertible Senior Notes, resulting in a **$16.1 million debt extinguishment gain**[385](index=385&type=chunk)[386](index=386&type=chunk) - As of March 31, 2023, the company had federal net operating loss carryforwards of approximately **$1,199.1 million** and maintains a full valuation allowance against U.S. deferred tax assets[422](index=422&type=chunk)[423](index=423&type=chunk) [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=73&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) The company reports no changes in or disagreements with its accountants on accounting and financial disclosure - None[438](index=438&type=chunk) [Controls and Procedures](index=73&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management concluded that disclosure controls and internal control over financial reporting were effective as of March 31, 2023 - Management concluded that the company's disclosure controls and procedures were effective as of **March 31, 2023**[440](index=440&type=chunk) - Management's assessment concluded that internal control over financial reporting was effective as of **March 31, 2023**, based on the COSO framework[441](index=441&type=chunk)[442](index=442&type=chunk) - The independent registered public accounting firm, Moss Adams LLP, audited and reported on the effectiveness of internal control over financial reporting[443](index=443&type=chunk) [Other Information](index=73&type=section&id=Item%209B.%20Other%20Information) The company reports no other information for this item - None[444](index=444&type=chunk) [Disclosure Regarding Foreign Jurisdictions that Prevent Inspections](index=73&type=section&id=Item%209C.%20Disclosure%20Regarding%20Foreign%20Jurisdictions%20that%20Prevent%20Inspections) This item is not applicable to the company - None[445](index=445&type=chunk) [Part III](index=74&type=section&id=Part%20III) [Directors, Executive Officers and Corporate Governance](index=74&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Information on directors, executive officers, and corporate governance is incorporated by reference from the 2023 Proxy Statement - Information for this item is incorporated by reference from the forthcoming **2023 Proxy Statement**[449](index=449&type=chunk) [Executive Compensation](index=74&type=section&id=Item%2011.%20Executive%20Compensation) Information regarding executive compensation is incorporated by reference from the 2023 Proxy Statement - Information for this item is incorporated by reference from the forthcoming **2023 Proxy Statement**[451](index=451&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=74&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Information regarding security ownership and related matters is incorporated by reference from the 2023 Proxy Statement - Information for this item is incorporated by reference from the forthcoming **2023 Proxy Statement**[452](index=452&type=chunk) [Certain Relationships and Related Transactions and Director Independence](index=74&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%20and%20Director%20Independence) Information regarding certain relationships, related transactions, and director independence is incorporated by reference from the 2023 Proxy Statement - Information for this item is incorporated by reference from the forthcoming **2023 Proxy Statement**[453](index=453&type=chunk) [Principal Accountant Fees and Services](index=74&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Information regarding principal accountant fees and services is incorporated by reference from the 2023 Proxy Statement - Information for this item is incorporated by reference from the forthcoming **2023 Proxy Statement**[454](index=454&type=chunk) [Part IV](index=75&type=section&id=Part%20IV) [Exhibits and Financial Statement Schedules](index=75&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedules) This section lists financial statements, Schedule II - Valuation and Qualifying Accounts, and a comprehensive list of exhibits filed with the 10-K Schedule II: Valuation and Qualifying Accounts (Allowance for Credit Losses) | Fiscal Year Ended | Beginning Balance (in thousands) | Additions Charged to Expenses (in thousands) | Deductions (in thousands) | Ending Balance (in thousands) | | :--- | :--- | :--- | :--- | :--- | | March 31, 2021 | $3,106 | $7,374 | $(2,302) | $8,178 | | March 31, 2022 | $8,178 | $1,997 | $(3,658) | $6,517 | | March 31, 2023 | $6,517 | $3,204 | $(4,942) | $4,779 | [Form 10-K Summary](index=77&type=section&id=Item%2016.%20Form%2010-K%20Summary) The company provides no summary for this item - None[467](index=467&type=chunk)

Financial Highlights - 8x8's total ARR reached $703 million, demonstrating a 2% year-over-year growth[6, 90] - Enterprise ARR accounted for $405 million, reflecting a 3% year-over-year increase[90] - The company's cash and investments amounted to $137.6 million[90] - Non-GAAP operating margin was 13.5% for the quarter ended March 31, 2023[69, 86] - Service revenue for fiscal year 2023 reached $710 million, an 18% year-over-year growth[73] Product and Customer Metrics - 8x8 Voice for MS Teams achieved 60% total ARR[6] - The company has over 2500000 paid business licenses[23, 45] - 8x8 supports full PSTN replacement in 58 countries/territories[6] Debt and Financial Management - The company reduced the principal amount of debt by over 10% since August 2022[107] - 8x8 repurchased an additional $5 million in aggregate principal amount of the 2024 Notes[84] - The company issued approximately $201.9 million aggregate principal amount of 4% convertible senior notes due 2028[154]

Financial Data and Key Metrics Changes - Full year non-GAAP operating profit was $62.3 million, up nearly 500% year-over-year [1][13] - Cash from operations for fiscal 2023 was approximately $49 million, an increase of 41% from fiscal 2022 [2][14] - Total revenue for Q4 was $184.5 million, with service revenue at $176.6 million, both increasing 2% year-over-year [46] Business Line Data and Key Metrics Changes - Service revenue growth was 2% in Q4, with enterprise and XCaaS ARR both up year-over-year, XCaaS increasing in the mid-teens percentage [42] - Fuze accounted for $26.7 million of service revenue in Q4, with its performance exceeding initial expectations [48] - Remaining performance obligation (RPO) was approximately $775 million, up from $750 million in Q3 [50] Market Data and Key Metrics Changes - The CPaaS business saw a year-over-year decline but modestly increased sequentially from Q3 [46] - Customer retention rates were the highest in four years, reflecting strong performance across the customer base [50] Company Strategy and Development Direction - The company is committed to building a sustainable and profitable growth business, with a focus on product innovation and channel go-to-market model [6] - Plans to invest over $100 million annually in R&D for future development, targeting innovations in AI and customer experience [10][43] - The strategy includes leveraging partnerships and focusing on high-quality pipeline opportunities [106][124] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in repaying remaining convertible notes and generating positive cash flow [4][15] - The company anticipates solid profitability to continue throughout fiscal 2024, with gross margin expected to remain consistent [8][62] - Management acknowledged economic headwinds but noted high retention rates and strong collections as positive indicators [68][74] Other Important Information - The company achieved a non-GAAP operating margin of 13.5% in Q4, exceeding the 10% guidance [56] - Total cash, cash equivalents, and restricted cash ended Q4 at approximately $139 million, despite higher cash interest expenses [3] Q&A Session Summary Question: What levels of churn are being seen and how much is attributable to macro factors? - Management noted high retention rates and expects enterprise growth to continue, with new products anticipated to drive revenue acceleration in the back half of the year [85][86] Question: Can you provide insight into customer renewals and any changes due to macro conditions? - Retention rates were at record highs, with no significant changes in renewals attributed to macro conditions [92][93] Question: What initiatives are being taken for sustainable margin expansion? - Continuous improvements in automation and efficiency in sales and marketing are being implemented to maintain or increase operating margins [78] Question: How is the pipeline looking and are there any changes? - Pipeline numbers are positive, suggesting potential revenue reacceleration, although timing remains a factor [105] Question: What is the strategy regarding internal versus external R&D? - The company plans to focus on internal development for core competencies while partnering with specialists for other areas [126][128]

FORM10-Q Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period 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 001-38312 8x8, INC. (Exact name of Registrant as Specified in its Charter) Delaware 77-0142404 (State or ...

8x8, Inc. (NASDAQ:EGHT) Q3 2023 Results Conference Call February 1, 2023 4:30 PM ET Company Participants Kate Patterson - VP of IR Samuel Wilson - Interim CEO Kevin Kraus - Interim CFO Conference Call Participants Matt VanVliet - BTIG Meta Marshall - Morgan Stanley Siti Panigrahi - Mizuho Catharine Trebnick - Roth Capital Partners George Sutton - Craig-Hallum Will Power - Baird Peter Levine - Evercore ISI Ryan Koontz - Needham Ryan MacWilliams - Barclays Austin Williams - Wells Fargo Michael Funk - Bank of ...

Table of Contents Title of each class Trading Symbol Name of each exchange on which registered COMMON STOCK, PAR VALUE $.001 PER SHARE EGHT New York Stock Exchange UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __ ...

Financial Data and Key Metrics Changes - Total revenue for Q2 2023 was $187.4 million, a 24% increase year-over-year, within the guidance range of $185 million to $188 million [28] - Service revenue was $178.6 million, up 25% year-over-year, also in line with guidance [28] - Non-GAAP gross margin was 70.1%, up nearly 600 basis points year-over-year [33] - Non-GAAP operating profit was $9.1 million, reflecting a year-over-year increase but a slight sequential decline [36] Business Line Data and Key Metrics Changes - Enterprise ARR grew more than 40% year-over-year, accounting for 58% of total ARR [10] - XCaaS ARR continued to grow at approximately 40% year-over-year, representing over 35% of total ARR [10] - CPaaS business faced challenges with a sequential decline for the third consecutive quarter, impacted by currency fluctuations and macroeconomic headwinds [11][27] Market Data and Key Metrics Changes - The strengthening dollar negatively impacted total revenue by about $1 million for the quarter [29] - Small business ARR showed modest sequential growth, reflecting good retention and upsell in the U.S. and U.K. [12] Company Strategy and Development Direction - The company is focusing on profitability and cash flow generation, increasing operating margin guidance to above 5% for the year [13] - Continued investment in innovation and customer experience is emphasized, particularly in the contact center and unified communications sectors [9][50] - The company aims to leverage its unified XCaaS platform as a competitive advantage, especially in a cautious spending environment [14] Management's Comments on Operating Environment and Future Outlook - Management noted that while revenue may fluctuate due to foreign exchange, operating income and cash flow remain less impacted [43] - The company is optimistic about achieving double-digit operating margins in fiscal year 2024 through improved efficiency and cost containment [13][45] Other Important Information - The Fuze acquisition has exceeded expectations and contributed positively to operating margins [9] - The company has made significant progress in refinancing its debt, enhancing financial flexibility [39][40] - Cash from operations was approximately $13 million for the quarter, indicating solid cash flow management [41] Q&A Session Summary Question: Can you discuss the slight change in revenue guidance related to FX and CPaaS? - Management confirmed that the change in guidance is primarily due to foreign exchange effects, with CPaaS stabilizing [52][54] Question: How is the channel business shaping up, particularly with XCaaS? - The channel is a significant driver of new business, with over half of new business coming from partners selling XCaaS [59] Question: Are you seeing reductions in headcount within your existing customer base? - Management indicated that while there are occasional reductions during renewals, most enterprise customers have well-structured contracts [66] Question: What trends are seen in the enterprise segment and visibility for the second half of the fiscal year? - The enterprise segment is performing well, with FX being a significant headwind; visibility remains consistent with past performance [72][73] Question: How is the integration of Fuze progressing? - The integration is on track, with plans to launch seamless upgrades to the XCaaS platform early next year [81]

Table of Contents Title of each class Trading Symbol Name of each exchange on which registered COMMON STOCK, PAR VALUE $.001 PER SHARE EGHT New York Stock Exchange UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______ ...