Core Insights - EMEA enterprises are at a critical juncture in AI adoption, balancing innovation with regulatory compliance and security concerns [1] - The report emphasizes that 2026 will focus on intentional progress in simplifying enterprise communications rather than rapid transformation [1] Security, Trust, and Compliance - 64% of enterprises are concerned about their voice provider's ability to maintain uptime amid evolving regulations [1] - 63% cite security, fraud, and compliance risks as their primary communications technology challenge [1] AI and Machine Learning Priorities - 49% of organizations rank AI/ML implementation as a top communications priority for 2026 [1] - Security and fraud prevention are also significant concerns, with 46% of enterprises highlighting these areas [1] Role of Managed Service Providers (MSPs) - 99% of enterprises rely on MSPs, typically engaging with two to three providers to manage regulatory and operational complexities [1] - Security and compliance are the top buying criteria for 53% of enterprises when selecting MSPs [1] Hybrid-Cloud and Multi-Carrier Models - 75% of enterprises have partially transitioned their contact centers to the cloud, indicating a hybrid operational state [1] - 46% operate a hybrid carrier model, combining global and local providers for regulatory compliance [1] Trust in Communications - 66% of EMEA enterprises report legitimate outbound calls being labeled as "spam" or "scam," affecting customer engagement [1] - Trust in voice communications is declining across both EMEA and North America, impacting business operations [1] Adaptability as a Key Differentiator - Success in enterprise communications is increasingly defined by adaptability to regulatory changes and technological advancements [1]

Core 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]

Core Viewpoint - Bandwidth Inc. will report its financial results for Q4 and the full year ended December 31, 2025, on February 19, 2026, before market open [1]. Group 1: Financial Reporting - The financial results announcement will occur before market open on February 19, 2026 [1]. - A live webcast of the conference call will be available on the Investor Relations section of the company's website, with a replay accessible shortly after the event [2]. - The conference call is scheduled for 8:00 a.m. Eastern Time on February 19, 2026, with specific dial-in numbers provided for domestic and international participants [3]. Group 2: Company Overview - Bandwidth Inc. is a global cloud communications software company that provides voice calling, text messaging, and emergency services [4]. - The company's solutions cover over 65 countries and more than 90 percent of global GDP, serving major players in unified communications and cloud contact centers, including AWS, Cisco, Google, Microsoft, and others [4]. - Bandwidth is recognized as a pioneer in the cloud communications sector, being the first global Communications Platform-as-a-Service (CPaaS) to offer a unique combination of composable APIs, AI capabilities, and an owner-operated network [4].

Core Insights - Business messaging is experiencing a significant transformation driven by RCS, AI, and consumer demands for trust and transparency [1][2] Group 1: RCS and AI Impact - The "RCS Gap" presents a substantial opportunity, with 96% RCS device coverage but 59% of businesses planning to deploy RCS without having launched yet [4] - By 2030, 80% of enterprise applications are expected to be multimodal, integrating voice, text, and visual content, with RCS and AI-driven messaging becoming preferred methods [5] Group 2: SMS and Customer Engagement - SMS remains a crucial component for cost-efficient, high-volume reach, with brands using a mix of short codes, toll-free, 10DLC, and RCS, enhanced by AI for a personalized customer experience [6] - Trust is becoming a key differentiator, as enterprises move towards branded, verified messaging to enhance engagement and rebuild consumer confidence, utilizing RCS features like sender verification [7] Group 3: Deliverability and Provider Selection - Message deliverability is the primary factor in choosing a messaging provider, surpassing cost or features, with Bandwidth offering advanced tools for campaign registration and delivery insights to meet this priority [8]

Core Insights - Bandwidth Inc. reported strong financial results for Q3 2025, exceeding revenue and profitability guidance, driven by core voice usage and software growth [1][5] - The company is focusing on AI integration across its cloud platform, enhancing customer engagement and operational efficiency [2][5] Financial Highlights - Q3 2025 revenue was $191.9 million, slightly down from $193.9 million in Q3 2024, while year-to-date revenue for 2025 reached $546.1 million, up from $539 million in 2024 [4][22] - Gross margin remained stable at 38% for both Q3 2025 and Q3 2024, with a non-GAAP gross margin of 58% for both periods [4][22] - The net loss for Q3 2025 was $1.2 million compared to a net income of $0.4 million in Q3 2024, with an adjusted EBITDA of $24.3 million for Q3 2025, up from $24 million in Q3 2024 [4][22][29] Operational Highlights - The company raised its full-year Adjusted EBITDA outlook to approximately $91 million, reflecting strong momentum in Voice AI and software-driven revenue [5] - Bandwidth's customer base includes significant enterprises across various sectors, leveraging its cloud communications solutions for enhanced operational capabilities [9] Financial Outlook - For the full year 2025, Bandwidth projects revenue between $747 million and $760 million, representing a year-over-year growth of 9% to 11% [7][8] - The company anticipates continued growth in Voice and Voice AI offerings, alongside a strong political messaging season contributing to revenue [5][7]

Core Viewpoint - Bandwidth Inc. will report its financial results for Q3 2025 on October 30, 2025, before market open, and will provide a live webcast of the conference call [1]. Group 1: Financial Reporting - The financial results for the third quarter ended September 30, 2025, will be announced before market open on October 30, 2025 [1]. - A live webcast of the conference call will be available on the Investor Relations section of the company's website, with a replay accessible shortly after the event [1]. Group 2: Conference Call Details - The conference call is scheduled for October 30, 2025, at 8:00 a.m. Eastern Time [2]. - Domestic and international dial-in numbers are provided for participants [2]. - A replay of the call will be available until November 6, 2025, with specific dial-in numbers and a passcode for access [2]. Group 3: Company Overview - Bandwidth Inc. is a global cloud communications software company that provides voice calling, text messaging, and emergency services [3]. - The company operates in over 65 countries and covers more than 90% of global GDP, serving major clients like AWS, Cisco, Google, Microsoft, and others [3]. - Bandwidth is recognized as a pioneer in the cloud communications sector, offering a unique combination of APIs, AI capabilities, and a robust network [3].

Core Insights - Bandwidth Inc. has been awarded the 2025 "Ally Technology Disruptor" award by Ally Financial for its contributions to enhancing customer experience through modernized communication infrastructure and AI-driven engagement [1][2][4] Company Achievements - The award recognizes Bandwidth's role in Ally's customer experience transformation, which includes modernizing communications infrastructure and accelerating cloud migration [2][3] - Bandwidth's Communications Cloud has transitioned Ally's communications from traditional telecom to a software-driven model, resulting in cost savings, greater flexibility, and enhanced control [3][4] Leadership Statements - David Morken, Co-Founder and CEO of Bandwidth, expressed pride in being recognized as a disruptor alongside Ally, emphasizing shared values in creating better customer experiences [4] - Sathish Muthukrishnan, Chief Information, Data & Digital Officer at Ally Financial, highlighted the importance of superior execution and partnership in achieving innovation in digital banking [3] Industry Position - Bandwidth is positioned as a trusted partner for innovative financial institutions, showcasing its role in advancing technology strategies and business outcomes [5]

Core Insights - Bandwidth Inc. has announced support for OpenAI's Realtime API, integrating voice calling with session initiation protocol (SIP), allowing enterprises to deploy conversational AI voice agents powered by OpenAI's GPT language models [1][2][3] Company Strategy - The integration of the Realtime API is part of Bandwidth's open and flexible strategy, enabling enterprise IT teams to build AI applications into their communications stack through various pathways [3] - Bandwidth offers pre-built integrations with leading conversational AI platforms such as Google Dialogflow and Cognigy, as well as support for third-party applications and standards-based APIs [3][4] Competitive Advantage - Bandwidth's owned-and-operated cloud communications network provides global reach, allowing customers to run conversational AI applications with high fidelity, low latency, and intelligent routing essential for mission-critical voice calls [3][4] - The company positions itself as a leader in AI orchestration for global enterprises by providing multiple integration options for conversational AI [4] Market Presence - Bandwidth operates in over 65 countries and covers more than 90 percent of global GDP, serving major players in unified communications and cloud contact centers, including AWS, Cisco, Google, and Microsoft [6]

Core Insights - Bandwidth Inc. is hosting its annual product keynote and customer showcase, Reverb25, focusing on innovations in enterprise cloud communications [1][2] - The event will highlight advancements in building trust in communications and leveraging AI technology [3][6] Company Overview - Bandwidth Inc. is a global cloud communications software company that provides voice calling, text messaging, and emergency services across 65+ countries, covering over 90% of global GDP [4] - The company is recognized as a pioneer in the cloud communications sector, offering a unique combination of composable APIs, AI capabilities, and a robust owner-operated network [4] Event Highlights - Reverb25 will feature major advancements in Bandwidth's Trust Services portfolio and enhancements to its messaging platform [6] - The event will include real-world demonstrations and use cases from leading global enterprises and SaaS innovators [6]

Core Insights - Bandwidth Inc. is hosting its annual product keynote and customer showcase, Reverb25, on September 16, 2025, at 10:30 am EDT, with free registration now open [1][3] - The event will focus on the future of enterprise cloud communications, unveiling innovations aimed at building trust and leveraging AI in communications [4][5] - Bandwidth's CEO emphasized the company's commitment to enabling trusted and intelligent conversations through advanced solutions designed for the AI era [5] Company Overview - Bandwidth Inc. is a global cloud communications software company that provides voice calling, text messaging, and emergency services across 65+ countries, covering over 90% of global GDP [6] - The company serves major players in unified communications and cloud contact centers, including AWS, Cisco, Google, Microsoft, and others, as well as Global 2000 enterprises and SaaS builders [6] - Bandwidth is recognized as a pioneer in the cloud communications sector, being the first global Communications Platform-as-a-Service (CPaaS) to offer a unique combination of composable APIs, AI capabilities, and a robust owner-operated network [6] Event Highlights - Reverb25 will feature a bold vision for trusted, AI-powered communications at scale, advancements in the Trust Services portfolio, and enhancements to Bandwidth's messaging platform [7] - The event will include real-world demonstrations and use cases from leading global enterprises and SaaS innovators, catering to both business and technical leaders [7]