UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended July 31, 2023 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: 001-37493 Ooma, Inc. (Exact Name of Registrant as Specified in its Charter) (State or other jurisdiction of incorporation or organizat ...

Financial Data and Key Metrics Changes - Total revenue for Q2 was $58.4 million, exceeding guidance of $57.4 million to $57.9 million [5] - Non-GAAP net income for Q2 was $3.8 million, a 26% increase from $3 million in the prior year quarter [6] - Total cash and investments at the end of the quarter were $29.5 million, up from $28.4 million at the end of Q1 [13] - Adjusted EBITDA for Q2 was $4.9 million, representing a 22% increase over $4 million in the prior year quarter [102] Business Line Data and Key Metrics Changes - Business subscription and services revenue grew 27% year-over-year in Q2, driven by user growth and the addition of OnSIP [115] - Subscription and services revenue accounted for 94% of total revenue in Q2, compared to 91% in the prior year quarter [97] - The blended average monthly subscription and services revenue per core user (ARPU) increased 5% year-over-year to $14.51 [8] Market Data and Key Metrics Changes - The company ended Q2 with 1.237 million core users, an increase from 1.225 million at the end of Q1 [116] - Business users accounted for 38% of total core users, with an increase of 18,000 from Q1 [116] - The net dollar subscription retention rate for the quarter was 99%, consistent with the first quarter [117] Company Strategy and Development Direction - The company plans to significantly grow sales and go-to-market resources for AirDial, establish more resale partnerships, and enhance solution differentiation [4] - Ooma Office strategy is focused on serving larger customers while maintaining accessibility for small and medium-sized businesses [78] - The company is investing in international expansion, particularly with its largest customer, and plans to roll out services in new regions [107] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth potential of AirDial, citing significant market opportunities both domestically and internationally [92][107] - The company anticipates total revenue for fiscal 2024 to be in the range of $235.5 million to $237 million, with adjusted EBITDA expected to be $19.5 million to $20.5 million [14][15] - Management acknowledged the challenges of customer awareness and the need for increased marketing efforts to promote AirDial [174] Other Important Information - The company ended the quarter with 1,108 employees and contractors [37] - Operating expenses for Q2 were $33.2 million, up 7% year-over-year, driven by higher marketing and channel development activity [100][120] - Product and other gross margin for Q2 was negative 73%, impacted by higher component costs and non-recurring facility costs [118] Q&A Session Summary Question: What are the next steps for the Prologis partnership? - Management indicated that they are working on launching the partnership fully and are excited about the potential it brings [17] Question: Can you provide an update on the progress with NexHealth? - Management noted that progress was slower than anticipated in Q2 but is turning around with increased sales efforts in Q3 [22] Question: How active have T-Mobile and UScellular been as partners for AirDial? - Management expressed optimism about the partnerships, highlighting the potential for larger line opportunities through these relationships [142] Question: What is the current status of AirDial installations and backlog? - Management acknowledged that rollout takes time but emphasized improvements in their processes and a growing sales funnel for AirDial [135][138] Question: How is the OnSIP integration progressing? - Management reported that OnSIP is now viewed as part of the Ooma portfolio, with positive contributions to the bottom line [158] Question: What is the company's strategy for international expansion? - Management indicated plans to begin selling Ooma Office solutions in Western European countries within the next 12 to 24 months [170]

Financial Performance - Ooma's annual revenue increased from $192.3 million in FY 2022 to $216.2 million in FY 2023[8] - Core Subscription and Services Revenue grew from $171.1 million in FY 2022 to $193.6 million in FY 2023[8] - Business Subscription and Services revenue accounted for 57% of overall subscription and services revenue in 2QF24[8] - Ooma has 12 million core users[40] - Ooma's target long-term Adjusted EBITDA is 20%-25% of revenue[82] Business Growth - Overall Business Subscription and Services Revenue Growth was 27% YoY in 2QF24, including the OnSIP acquisition, with organic growth at 15%[12] - The company's recurring annual revenue retention rate is over 90%[40] - Ooma's average revenue per user (ARPU) for business is approximately $23 per month, and for residential, it's approximately $9 per month[56] Market Opportunity - The North American Business VoIP market is undergoing a massive transformation[13] - Traditional phone lines account for 38% of the market, while Over the Top VoIP accounts for 25%[14] - All other VoIP accounts for 37% of the market[14] Customer Satisfaction - Ooma has a Net Promoter Score of 73%[16] - Ooma is ranked 1 in VoIP systems for overall satisfaction[42] Growth Strategy - Ooma is focused on integrated growth strategies including targeting large businesses with custom requirements, telecom resellers, new adjacent services, and geographic expansion[4]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended April 30, 2023 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: 001-37493 Ooma, Inc. (Exact Name of Registrant as Specified in its Charter) Delaware 06-1713274 (State or other jurisdiction of incor ...

Safe Harbor Statement Ooma We transform sophisticated technology into elegant, simple communications solutions accessible to everyone. Ooma Today 4 Our Solutions Serve Customers Better Superior Value Innovative Features Created for SMB Simple to Install / Use Business communications " built exclusively for you • Advanced codec • Modern flexible design Ooma Investor Presentation The forward-looking statements contained in this presentation are also subject to other risks and uncertainties, including those mo ...

Ooma, Inc. (NYSE:OOMA) Q1 2024 Earnings Conference Call May 23, 2023 5:00 PM ET Company Participants Matthew Robison - Director of IR and Corporate Development Eric Stang - Chief Executive Officer Shig Hamamatsu - Chief Financial Officer Conference Call Participants Michael Latimore - Northland Capital Markets Brian Kinstlinger - Alliance Global Partners Matthew Harrigan - The Benchmark Company Operator Good afternoon. My name is Emma, and I will be your conference operator today. At this time, I would like ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended January 31, 2023 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: 001-37493 Ooma, Inc. (Exact name of registrant as specified in charter) (State or other jurisdiction of incorporation or organization) (I ...

Investor Presentation M a r c h 2 , 2 0 2 3 The forward-looking statements contained in this presentation are also subject to other risks and uncertainties, including those more fully described in our filings which we make with the Securities and Exchange Commission, from time to time, including the risk factors contained in our Quarterly Report on form 10-Q for the quarter ended October 31, 2022, filed with the SEC on December 9, 2022. The forward-looking statements in this presentation are based on inform ...

Ooma, Inc. (NYSE:OOMA) Q4 2023 Earnings Conference Call March 2, 2023 5:00 PM ET Company Participants Matthew Robison - Director of IR and Corporate Development Eric Stang - Chief Executive Officer Shig Hamamatsu - Chief Financial Officer Conference Call Participants Matthew Stotler - William Blair Mike Latimore - Northland Capital Brian Kinstlinger - Alliance Global Partners Matthew Harrigan - Benchmark Josh Nichols - B. Riley Joe Goodwin - JMP Securities Operator Good day, everyone. My name is Kylian, I’l ...

[PART I. FINANCIAL INFORMATION](index=3&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) The unaudited financial statements show revenue growth to $56.7 million and a net loss of $2.8 million for the quarter, reflecting the OnSIP acquisition [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets grew to $124.5 million, driven by the OnSIP acquisition which increased goodwill and intangible assets Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | October 31, 2022 | January 31, 2022 | | :--- | :--- | :--- | | **Total Current Assets** | $68,228 | $66,029 | | Inventories | $22,021 | $13,841 | | Intangible assets, net | $11,256 | $4,208 | | Goodwill | $8,946 | $4,264 | | **Total Assets** | **$124,514** | **$109,253** | | **Total Current Liabilities** | $54,108 | $46,930 | | **Total Liabilities** | **$64,686** | **$58,197** | | **Total Stockholders' Equity** | **$59,828** | **$51,056** | [Condensed Consolidated Statements of Operations](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Quarterly revenue increased to $56.7 million, while the net loss widened to $2.8 million due to higher operating expenses Statements of Operations Highlights (in thousands, except per share data) | Metric | Three Months Ended Oct 31, 2022 | Three Months Ended Oct 31, 2021 | | :--- | :--- | :--- | | **Total Revenue** | **$56,679** | **$49,172** | | Subscription and services | $51,749 | $44,659 | | Gross Profit | $35,920 | $30,246 | | Total Operating Expenses | $38,775 | $30,625 | | Loss from Operations | ($2,855) | ($379) | | **Net Loss** | **($2,810)** | **($326)** | | Net Loss Per Share | ($0.11) | ($0.01) | [Condensed Consolidated Statements of Cash Flows](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations was $5.5 million, while the OnSIP acquisition drove a $6.6 million use of cash in investing activities Cash Flow Summary (Nine Months Ended, in thousands) | Cash Flow Activity | October 31, 2022 | October 31, 2021 | | :--- | :--- | :--- | | Net cash provided by operating activities | $5,471 | $4,872 | | Net cash used in investing activities | ($6,647) | ($3,686) | | Net cash provided by financing activities | $1,546 | $956 | | **Net increase in cash and cash equivalents** | **$370** | **$2,142** | | **Cash and cash equivalents at end of period** | **$20,037** | **$19,440** | - The primary use of cash in investing activities was **$9.8 million for a business acquisition**, compared to none in the prior year period[14](index=14&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=7&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Disclosures detail the $9.8 million OnSIP acquisition, revenue disaggregation, commitments, and financing arrangements - On July 22, 2022, the company acquired Junction Networks, Inc (OnSIP) for an aggregate fair value consideration of **$9.8 million in cash**[18](index=18&type=chunk)[73](index=73&type=chunk) - For the three months ended October 31, 2022, **Ooma Business accounted for approximately 55% of total revenue**, up from 50% in the prior year, while Ooma Residential accounted for 43%, down from 48%[28](index=28&type=chunk) - As of October 31, 2022, the company had non-cancelable inventory purchase commitments of **$12.4 million** and a service agreement with a telecommunications provider with minimum commitments of **$1.5 million** through July 2023[58](index=58&type=chunk) - The company has a secured revolving credit facility of up to **$25.0 million**, with **zero outstanding borrowings** as of October 31, 2022[68](index=68&type=chunk)[71](index=71&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=20&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Revenue grew 15% YoY to $56.7 million, driven by the OnSIP acquisition, while net loss widened due to investment and one-time charges [Executive Overview](index=21&type=section&id=Executive%20Overview) The company acquired OnSIP for $9.8 million in cash to accelerate the growth of its Ooma Business communications platform Third Quarter Fiscal 2023 Financial Highlights | Metric | Q3 FY2023 | Change (YoY) | | :--- | :--- | :--- | | Total Revenue | $56.7 million | +15% | | Ooma Business Subscription Revenue | - | +30% | | Total Gross Margin | 63% | from 62% | | Net Loss | $2.8 million | vs. $0.3 million | | Adjusted EBITDA | $4.5 million | vs. $4.0 million | - The company completed the acquisition of OnSIP on July 22, 2022, for approximately **$9.8 million in cash** to accelerate the growth of Ooma Business[81](index=81&type=chunk) [Key Business Metrics](index=22&type=section&id=Key%20Business%20Metrics) Core users grew to 1.2 million and Annualized Exit Recurring Revenue reached $207.4 million, though retention slightly declined Key Business Metrics Comparison | Metric | As of Oct 31, 2022 | As of Oct 31, 2021 | | :--- | :--- | :--- | | Core users (thousands) | 1,202 | 1,098 | | Annualized exit recurring revenue (AERR) | $207,418 | $174,309 | | Net dollar subscription retention rate | 96% | 98% | | Adjusted EBITDA (thousands) | $4,504 | $4,033 | - Ooma Business users comprised approximately **35% of total core users** as of October 31, 2022, up from 28% a year prior, with the current user count including about **50,000 acquired OnSIP users**[85](index=85&type=chunk) [Consolidated Results of Operations](index=25&type=section&id=Consolidated%20Results%20of%20Operations) Revenue grew 15% YoY to $56.7 million, but a 27% surge in operating expenses widened the operating loss - Subscription and services revenue for Q3 FY2023 increased by **$7.1 million (16% YoY)**, primarily due to growth in Ooma Business (up 30% YoY) and a higher mix of premium tier services[108](index=108&type=chunk) - Sales and marketing expenses increased by **$2.9 million (20% YoY)** due to higher advertising costs, personnel costs, and amortization of commissions and intangible assets[120](index=120&type=chunk) - Research and development expenses rose by **$3.0 million (32% YoY)**, driven by a $2.7 million increase in personnel-related costs to support new feature development[121](index=121&type=chunk) - General and administrative expenses increased by **$2.2 million (36% YoY)**, largely due to a **$1.4 million facilities consolidation charge** related to vacating office space from the OnSIP acquisition[122](index=122&type=chunk) [Liquidity and Capital Resources](index=29&type=section&id=Liquidity%20and%20Capital%20Resources) The company holds $24.5 million in cash and investments and generated $5.5 million in operating cash flow year-to-date - The company had **$24.5 million in total cash, cash equivalents, and investments** as of October 31, 2022[130](index=130&type=chunk) Selected Cash Flow Data (Nine Months Ended, in thousands) | Category | October 31, 2022 | October 31, 2021 | | :--- | :--- | :--- | | Net cash provided by operating activities | $5,471 | $4,872 | | Net cash used in investing activities | ($6,647) | ($3,686) | | Net cash provided by financing activities | $1,546 | $956 | - An increase of **$8.1 million in inventories** was a significant use of operating cash, intended to mitigate global supply chain disruption risks[133](index=133&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=30&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) No material changes to the company's market risk were reported during the first nine months of fiscal 2023 - There have been **no material changes** to the Company's market risk during the first nine months of fiscal 2023[140](index=140&type=chunk) [Controls and Procedures](index=30&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective, with no material changes to internal controls - The CEO and CFO concluded that as of October 31, 2022, the company's disclosure controls and procedures were **effective at a reasonable assurance level**[141](index=141&type=chunk) - **No changes occurred** during the quarter that materially affected, or are reasonably likely to materially affect, the company's internal control over financial reporting[142](index=142&type=chunk) [PART II. OTHER INFORMATION](index=31&type=section&id=PART%20II.%20OTHER%20INFORMATION) [Legal Proceedings](index=31&type=section&id=Item%201.%20Legal%20Proceedings) The company faces ongoing litigation, including an unfavorable tax ruling and a class action lawsuit with inestimable potential loss - The company's petition to the U.S. Supreme Court regarding the Oregon Emergency Communications Tax assessments was **denied on June 21, 2022**[62](index=62&type=chunk) - A class action complaint is ongoing in Canada alleging violations of the Trademarks Act and Competition Act, for which the amount of any reasonably possible loss is **not estimable**[63](index=63&type=chunk) [Risk Factors](index=31&type=section&id=Item%201A.%20Risk%20Factors) Key business risks include supply chain dependency, reliance on third-party developers, security vulnerabilities, and regulatory changes - The company depends on a **small number of vendors and sole suppliers** for certain components, creating risk from delays or price increases amid global supply chain disruptions[149](index=149&type=chunk)[158](index=158&type=chunk) - Ooma relies on third parties, **including some located in Russia**, for software development, and international sanctions could disrupt these operations[149](index=149&type=chunk)[163](index=163&type=chunk) - A **ransomware attack or other security breach** is a significant risk that could interrupt service, compromise data, and result in significant liability[149](index=149&type=chunk)[165](index=165&type=chunk) - The business is subject to extensive regulation, and changes to rules regarding **911 services, call completion, and Universal Service Fund (USF) contributions** could increase costs[152](index=152&type=chunk)[253](index=253&type=chunk)[256](index=256&type=chunk)