Bandwidth Q2 revenue rises 22%, outlook raised

Overview

• US cloud communications firm's Q2 revenue rose 22% yr/yr, beating analyst expectations

• Adjusted EBITDA for Q2 rose 27% to $28 mln, with record 18% margin

• Company raised full-year 2026 outlook on sustained demand and AI-driven customer wins

Outlook

• Bandwidth raises full-year 2026 outlook for revenue to $900-$910 mln and Adjusted EBITDA to $123-$125 mln

• Company sees Q3 2026 revenue of $231-$235 mln, Adjusted EBITDA of $32-$34 mln

• Bandwidth expects Q3 2026 non-GAAP EPS of $0.45-$0.49, full-year non-GAAP EPS of $1.71-$1.79

Result Drivers

• AI-ENABLED COMMUNICATIONS - Co said adoption of AI services and Maestro platform drove strategic enterprise customer wins

• STRATEGIC CUSTOMER EXPANSION - Co said recent $1m+ customer wins and expansions included Maestro or AI services, with examples across healthcare, financial, and technology sectors

• MARGIN EXPANSION - Co attributed margin growth to strong demand across Voice and Messaging and advantages of owned global network

Company press release: ID:nPn4wkqVa

Key Details

Reuters Recommended Reads

• July 28 - Ribbon Communications Q2 revenue beats estimates on record IP Optical bookings

• July 28 - Varonis Q2 revenue beats analyst estimates as cloud platform adoption increased

• July 28 - Manhattan Associates Q2 results beat on cloud demand

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)