Israel's AudioCodes Q4 revenue rises 1.7%

Reuters
Feb 03
Israel's AudioCodes Q4 revenue rises 1.7%

Overview

  • Israel enterprise voice solutions firm's Q4 revenue rose 1.7% yr/yr

  • Company repurchased 667,193 shares at $6.1 mln cost in Q4

  • Company declared semi-annual dividend of 20 cents per share

Outlook

  • AudioCodes expects sustained healthy top-line growth in 2026 and beyond due to increased investments in Live services and CAI

  • Company experiencing robust demand across conversational AI portfolio

Result Drivers

  • GROWTH ENGINES - Strong performance in managed services for UCaaS and CX, and conversational AI business drove results, with ARR up 22% yr/yr

  • CONVERSATIONAL AI - Revenues in Conversational AI grew over 50% in Q4, contributing significantly to overall growth

  • CONNECTIVITY RECOVERY - Recovery in Connectivity business in NA driven by renewed focus on PSTN shutdown trend

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q4 Revenue

Slight Beat*

$62.61 mln

$62.20 mln (1 Analyst)

Q4 EPS

$0.07

Q4 Net Income

$1.90 mln

Q4 Pretax Profit

Miss

$2.69 mln

$6.30 mln (1 Analyst)

Q4 Operating Expenses

$37.36 mln

Q4 Operating Income

$3.73 mln

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

  • The one available analyst rating on the shares is "buy"

  • The average consensus recommendation for the communications & networking peer group is "buy"

  • Wall Street's median 12-month price target for AudioCodes Ltd is $12.50, about 46.7% above its February 2 closing price of $8.52

  • The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 23 three months ago

Press Release: ID:nPn6RDnKBa

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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.)

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