Partnership with Current Connections, Sandler Partners Facilitates SelectionSUNNYVALE, Calif., Feb. 09, 2026 (GLOBE NEWSWIRE) -- eGain Corporation (NASDAQ: EGAN), the leading AI knowledge platform for customer experience, today announced that Cabinetworks Group, the nation’s largest privately held kitchen cabinet manufacturer, has selected the eGain AI Knowledge Hub™ and AI Agent for Contact Center to modernize its knowledge management system and enhance customer service operations. Current Connections, par ...

Financial Data and Key Metrics Changes - Total revenue for Q2 was $23 million, up 3% year-over-year, exceeding guidance and Street consensus [14] - SaaS revenue increased by 5% year-over-year, accounting for 95% of total revenue, up from 93% in Q2 last year [14] - Non-GAAP net income was $3 million or $0.11 per share, up from $1.3 million or $0.05 per share in the year-ago quarter [16] - Adjusted EBITDA margin for the quarter was 14%, up from 7% in the year-ago quarter [16] - Operating cash flow was $10.1 million, representing a 44% operating cash flow margin, compared to $6.4 million at 29% in the year-ago quarter [17] Business Line Data and Key Metrics Changes - ARR from AI Knowledge Hub customers increased 27% year-over-year, now representing 64% of total SaaS ARR [4][18] - SaaS ARR for all customers increased 7% year-over-year, and 11% when excluding non-core messaging products [18] - LTM dollar-based SaaS net retention for AI knowledge customers was 116%, up from 99% a year ago [18] Market Data and Key Metrics Changes - More than 50% year-over-year increase in top-of-the-funnel AI knowledge leads [4] - Partner-sourced leads in the first half of fiscal 2026 increased 80% year-over-year [10] Company Strategy and Development Direction - The company is focused on becoming a leader in AI-driven knowledge automation, with a strategy centered around customer experience (CX) and extending to enterprise use cases [12][39] - The introduction of the eGain Composer is aimed at driving product sales and attracting new ecosystem partners [11] - The company is investing in product innovation while reducing spending on legacy products [16] Management's Comments on Operating Environment and Future Outlook - Management noted strong business momentum and positive results from go-to-market strategies, with expectations for continued growth [12][22] - There is an acknowledgment of potential pricing pressure in the future, but the company aims to capture market leadership in AI initiatives [38][39] - The company plans to host events to showcase new products and capabilities, indicating a proactive approach to market engagement [49] Other Important Information - The company has a strong balance sheet with total cash and cash equivalents at $83.1 million, up from $62.9 million as of June 30, 2025 [17] - The company did not repurchase any shares during the quarter, with $19.7 million remaining under the buyback program [17] Q&A Session Summary Question: Can you provide more details about the large software deal? - The deal involved a long sales cycle of about a year and a half, replacing a lack of an enterprise-wide knowledge platform [26] Question: Can you clarify the impact of the non-core messaging products? - The company had a 50% reduction in non-core messaging in Q2, with the remainder to be phased out in Q1 2027 [29] Question: What is the focus of partner-driven lead generation? - The company is seeing momentum from small knowledge consulting shops and contact center knowledge deals [30] Question: What are the barriers to replicating the company's software platform? - The company highlighted that while basic programming is becoming easier, challenges remain in architecture and understanding use cases [36] Question: How is the company planning to utilize its cash reserves? - The focus will be on internal investments to drive top-line growth, with share buybacks and potential inorganic options being considered [40][41] Question: What are the hiring plans moving forward? - The company is reallocating resources towards high-end engineering and technology talent while increasing marketing investments [44]

Core Insights - eGain Corporation has launched eGain AI Agent for Cisco Webex Contact Center, providing real-time conversational guidance and interaction intelligence to enhance customer service operations [1][4]. Product Features - The solution integrates eGain's AI Knowledge Hub and AI Agent into the Webex Contact Center, offering contextual guidance to agents during live interactions by synthesizing insights from conversation histories [2][8]. - It enables agents to receive proactive guidance without leaving their workspace, thus streamlining the workflow and improving efficiency [2][8]. Benefits - The integration aims to improve first-contact resolution, reduce handle time, and enhance overall customer experience [1][4]. - eGain's CEO emphasized that the solution delivers trusted AI capabilities within the existing Cisco ecosystem, facilitating a scalable return on investment in customer service operations [4]. Event Participation - eGain will demonstrate the new solution at Customer Contact Week in Orlando from January 21-23, 2026, showcasing measurable improvements in agent efficiency and customer satisfaction [5]. Company Overview - eGain specializes in AI knowledge solutions for customer engagement, serving Global 2000 companies across various industries and government clients in over 60 countries [6].

Core Insights - Rogue Credit Union is expanding its use of eGain's AI Knowledge Hub and agent assistance platforms to enhance member service and sales enablement in preparation for its merger with Members 1st Credit Union [1][2] Group 1: eGain Platform Adoption - The expanded deployment includes eGain Knowledge + AI for both contact center and enterprise use, eGain AI Agent, eGain Sales Advisor, and integrations with Microsoft Teams and Talkdesk [2][4] - The platform provides real-time, AI-powered guidance to Member Service Representatives (MSRs), enabling them to respond to member inquiries with confidence and accuracy [3][4] Group 2: Member Service Empowerment - eGain's integration allows MSRs to access contextual knowledge directly within their workflows, reducing the time spent searching for answers [3][4] - Key use cases include real-time AI-powered guidance, in-context knowledge delivery, consistent member experiences, faster issue resolution, and streamlined onboarding for new employees [4] Group 3: Sales Enablement - Rogue is deploying eGain Sales Advisor to codify best practices from top-performing MSRs, ensuring consistent, member-centric selling conversations across the organization [5][6] - This approach makes institutional knowledge accessible to all employees, enhancing member engagement and service quality [5][6] Group 4: Company Background - Rogue Credit Union is a not-for-profit financial cooperative serving members in Oregon, Idaho, and Northern California, focused on delivering high-quality member experiences [7] - The merger with Members 1st Credit Union aims to create a larger enterprise with a shared commitment to member service excellence [7]

Core Insights - eGain Corporation has been selected by SELCO Community Credit Union to implement its AI Knowledge Hub and AI Agent software for modernizing enterprise knowledge management [1][3] Company Overview - SELCO Community Credit Union aims to enhance financial well-being and service excellence for its members in Oregon, serving approximately 500 employees [2][8] - eGain Corporation specializes in AI knowledge platforms for customer service, providing solutions that improve operational efficiency and reduce costs [1][7] Solution Details - The eGain AI Knowledge Hub will serve as a unified enterprise knowledge management platform, facilitating knowledge delivery across various teams including contact center, branch, lending, operations, and back-office [4][5] - The solution will integrate with the Genesys agent desktop, ensuring a seamless user experience without disrupting existing workflows [4] Operational Improvements - SELCO plans to migrate its SharePoint-based procedures into the eGain platform, which will enhance compliance visibility, eliminate version-control issues, and accelerate employee onboarding [5][6] - The implementation of eGain's AI Knowledge Hub is expected to establish a scalable foundation for future AI-driven automation and agent assistance [5][6] Leadership Perspectives - SELCO's Director of Talent Development emphasized the importance of empowering employees with accurate knowledge to improve service excellence [6] - eGain's CEO highlighted the need for a purpose-built platform to address operational and compliance challenges faced by organizations like SELCO [6]

Core Insights - eGain is set to participate in the 14th Annual Roth Technology Conference on November 19, 2025, where CFO Eric Smit and VP of Finance Gautam Garg will meet with institutional investors [1] - The company reported a strong start to the fiscal year with a 23% year-over-year growth in Annual Recurring Revenue (ARR) for its AI Knowledge Hub and a 21% EBITDA margin [2] - eGain recently launched three new AI products at the Solve25 event, which have garnered significant interest from customers and partners, indicating a positive market response [2] Company Overview - eGain provides an AI CX automation platform aimed at enhancing customer experience and reducing operational costs through its AI Knowledge Hub [3]

Core Insights - eGain has launched eGain Composer, a modular AI knowledge platform designed to enhance customer experience (CX) automation through Trusted Knowledge™ [1][5] - The platform addresses the fragmentation and inflexibility of current AI knowledge systems, providing a comprehensive solution for developers to create scalable AI CX applications [2] Benefits - eGain Composer offers robust APIs, Model Context Protocol (MCP) servers, and SDKs in Python and TypeScript, facilitating the integration of trusted enterprise knowledge in various formats [4] - The platform supports diverse environments through OpenAPI specifications, enabling flexible integrations and enhancing the overall development experience [4][7] - It provides granular API controls throughout the content management lifecycle, ensuring effective content lifecycle management from authoring to deprecation [7] Security and Compliance - eGain Composer adheres to high security and authentication standards, including OAuth 2.0, HTTPS, SOC 2, HIPAA, GDPR, and FedRAMP, ensuring advanced compliance for enterprises [7] Integration and Optimization - The platform is designed for seamless integration with AI agents, enabling enterprise search, answers, and reliable agentic actions across customer-facing platforms [7] - eGain Composer ensures ongoing improvement in search effectiveness and agentic reliability through closed-loop optimization cycles, maintaining content completeness, accuracy, and compliance [7]

Core Insights - eGain Corporation introduced its eGain AI Agent 2 for Omnichannel CX Automation, focusing on enhancing reliability and consistency in customer experience through a hybrid AI approach [1][2][3] Group 1: Product Features - eGain AI Agent 2 utilizes a hybrid AI model that combines probabilistic reasoning for natural conversations and deterministic reasoning for precise, multi-step workflows, particularly in compliance-sensitive areas [8] - The solution is built on the eGain AI Knowledge Hub, ensuring that interactions are based on accurate and up-to-date information [3] - The PrismEval Service continuously optimizes the alignment between the knowledge base and AI-generated responses, enhancing quality assurance and reducing inaccuracies [4] Group 2: Customer Experience - eGain AI Agent 2 delivers "Assured Actions," providing consistent and reliable experiences across various contexts, which is crucial for building customer trust and meeting regulatory standards [5] - The solution integrates with CCaaS systems, offering real-time trusted answers and guidance for contact center agents, thereby improving both customer and agent experiences [6] Group 3: Deployment and Availability - eGain AI Agent 2 supports omnichannel interactions across phone, email, chat, messaging, and social media, with rapid deployment capabilities [9] - Organizations can configure an AI agent quickly, with the process taking as little as five minutes [9] - The product is currently available for interested organizations to learn more and configure through eGain's website [7]

Financial Data and Key Metrics Changes - Total revenue for Q4 was $23.2 million, up 11% sequentially and up 3% year over year, marking the first year-over-year increase in revenue in eight quarters [17] - Non-GAAP gross margin for Q4 was 73%, up from 71% a year ago, while sales gross margin was 80%, up from 76% [17] - For the full year, total revenue was $88.4 million, down 5% year over year, primarily due to churn in the messaging business [19] - Non-GAAP net income for the full year was $5.7 million or $0.20 per share, compared to $4.3 million or $0.40 per share in the prior year [20] Business Line Data and Key Metrics Changes - AI knowledge ARR grew by 25% year over year, with expectations of 20% growth in fiscal 2026 [11] - Sales ARR for knowledge customers increased 25% year over year, while sales ARR for all customers increased 11% [22] - Non-GAAP operating costs for the full fiscal year were $56 million, flat compared to the prior year [19] Market Data and Key Metrics Changes - The company signed significant clients, including the largest nonprofit healthcare network in New Jersey and a major credit union, indicating strong market demand for AI knowledge solutions [5][6] - The partnership with JPMorgan Chase is expected to enhance customer experience and drive AI efficiencies across their business [9][10] Company Strategy and Development Direction - The company plans to focus on AI knowledge solutions, defocusing from less strategic products, such as messaging, which will be sunset in fiscal 2026 [12] - R&D spending is expected to increase by 6% year over year to extend product leadership in the AI knowledge infrastructure market [11][27] - The company aims to achieve gross margin expansion to between 74% and 75% for the year, up from 71% in fiscal 2025 [26] Management's Comments on Operating Environment and Future Outlook - Management noted that AI investments are not showing significant ROI due to a lack of trusted knowledge, which is critical for delivering value [10] - The company expressed optimism about the growing demand for trusted knowledge to support AI initiatives, which is reflected in their bookings for fiscal 2025 [11] - Guidance for fiscal 2026 indicates total revenue is expected to return to growth, with projections between $90.5 million and $92 million [25] Other Important Information - The company repurchased 2.6 million shares at an average price of $6.03 per share during fiscal 2025, with a total of $15.8 million spent [21] - An investor and analyst day event is scheduled for October 14th and 15th in Chicago, providing opportunities for engagement with customers and insights into the business [27] Q&A Session Summary Question: Timing on the sunsetting of the messaging products - Management indicated that the decision was driven by the need to focus on AI knowledge, which is expected to yield better ROI [29] Question: Expected impact of messaging product sunsetting on numbers - The impact is expected to begin in Q2, with a run rate reduction of roughly 50% by the end of fiscal 2026 [31] Question: Details on the partnership with JPMorgan Chase - The partnership is seen as a strategic opportunity to strengthen the relationship and gain insights into customer needs [33] Question: Trends in AI pilot to conversion rates - The conversion rate for AI solutions is currently stable at about two out of three [35] Question: Sustainability of cost reductions in OpEx and COGS - Management noted improvements in COGS due to migration to a new cloud platform and automation processes [37][38] Question: Breakdown of SaaS ARR components - Approximately 60% of total ARR is now from AI knowledge, with the remainder from eGain Analytics Hub and eGain Conversation Hub [44] Question: Competitive position on the Conversation Hub - Management expressed optimism about the Conversation Hub's growth potential as the AI Knowledge Hub expands [48] Question: Pipeline status for mega deals - Currently, there are no deals of JPMorgan Chase's size in the pipeline, but there are several attractive seven-figure opportunities [49] Question: Services gross margins outlook - The goal is to bring services margins closer to break even as efficiencies improve [50]

AI Knowledge Platform & Market Opportunity - eGain helps companies reduce customer service costs by 75% while improving experience by 20 NPS points using AI Knowledge[7] - The AI Knowledge market represents a $20B+ SaaS opportunity for service[12] - Potential cost savings of $400 billion annually through AI Knowledge solutions[11] Financial Performance & Growth - AI Knowledge ARR grew 25% year-over-year in Q425[37] - AI Knowledge ARR represents 59% of SaaS ARR, up from 52% a year ago[38] - AI Knowledge net retention of 115%, up from 98% a year ago[38] - Total revenue for Q425 was $23.2 million, up 3% year-over-year[42] - SaaS revenue for Q425 was $21.7 million, up 6% year-over-year[42] - The company bought back $3.8 million in stock in Q425[42] FY26 Outlook - Targeting 20+% growth in ARR Knowledge business, with ARR of $44.8M in FY25[48]