Bandwidth(US:BAND) Prnewswire·2026-02-19 12:00Core Insights - Bandwidth Inc. reported strong financial results for Q4 and full year 2025, highlighting record Adjusted EBITDA and free cash flow, with a positive outlook for 2026, projecting approximately 16% revenue growth and 29% Adjusted EBITDA growth [1][2][3] Financial Performance - Q4 2025 revenue was $208 million, slightly down from $210 million in Q4 2024, while full year revenue increased to $754 million from $748 million in 2024 [1][3] - Gross margin for Q4 2025 was 38%, up from 36% in Q4 2024, and for the full year, it was 39%, compared to 37% in 2024 [1][3] - Non-GAAP net income for Q4 2025 was $11 million, down from $12 million in Q4 2024, while full year non-GAAP net income rose to $46 million from $41 million [1][3] - Adjusted EBITDA for Q4 2025 was $25 million, up from $23 million in Q4 2024, and for the full year, it increased to $93 million from $82 million [1][3] Cash Flow and Share Repurchase - Net cash provided by operating activities for Q4 2025 was $39 million, compared to $37 million in Q4 2024, while free cash flow was $31 million, slightly up from $30 million [1][3] - The Board of Directors authorized an $80 million share repurchase program, reflecting confidence in the company's growth strategy and cash flow generation [1][2] Customer Highlights - Bandwidth secured significant contracts with various enterprises, including a top-five global automaker and a major U.S. bank, showcasing the demand for its AI-driven communication solutions [1][2] - The company emphasized the increasing reliance on its Maestro platform and Communications Cloud for AI integration in production environments [1][2] 2026 Financial Outlook - For Q1 2026, Bandwidth expects revenue between $200 million and $203 million, and for the full year, revenue guidance is set between $864 million and $884 million [1][3] - Adjusted EBITDA guidance for Q1 2026 is projected between $21 million and $24 million, with full year guidance between $117 million and $123 million [1][3]