EGAN Earnings Prediction
The chart below shows how EGAN performed 10 days before and after its earnings report, based on data from the past quarters. Typically, EGAN sees a +4.09% change in stock price 10 days leading up to the earnings, and a -7.78% change 10 days following the report. On the earnings day itself, the stock moves by +0.70%. This data can give you a slight idea of what to expect for the next quarter's release.
EGAN Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
23.82M
-6.97%
-1.49%
Gross Margin
70.65%
-4.03%
-1.49%
Operating Margin
10.18%
1126.51%
73.72%
Net Margin
9.17%
2336.59%
-14.62%
EPS
0.07
--
-12.50%
No Data Available
EGAN Earnings Analysis
eGain Corp Corporation (EGAN.O) Earnings Conference Call
Positive
Strong Customer Acquisition: Closed several new enterprise logos, including a major U.S. airline, leading interactive entertainment company, and a global money transfer company, indicating strong customer acquisition.
AI Segment Growth: AI Knowledge ARR increased by 17% year over year, demonstrating robust growth in the AI segment.
SaaS Revenue Dominance: SaaS revenue accounted for 93% of total revenue, reflecting a strong focus on subscription-based business model.
Strong Operational Efficiency: Generated $6,400,000 in cash flow from operations, resulting in a 29% operating cash flow margin, showcasing strong operational efficiency.
Share Repurchase Confidence: Repurchased approximately 421,000 shares at an average price of $5.73 per share, totaling $2,400,000, indicating confidence in the company's value.
Negative
Q2 Revenue Decline: Total revenue for Q2 was $22,400,000, down 6% year over year, primarily due to the impact of two large client losses from the previous year.
Revenue Target Adjustment: Professional services revenue targets for fiscal 2025 are being lowered by approximately $2,800,000 due to decreased attach rates and faster deployment times.
Gross Margin Decline: Total gross margin for the quarter decreased to 71%, down from 72% in the year-ago quarter, indicating a decline in overall profitability.
Earnings Decline Analysis: Non-GAAP net income fell to $1,300,000 or $0.05 per share, down from $3,400,000 or $0.11 per share in the year-ago quarter, reflecting a significant drop in earnings.
RPO Decline Analysis: Total remaining performance obligations (RPO) decreased by 5% year over year, with short-term RPO down 9%, primarily due to the two large customer losses previously mentioned.
EGAN FAQs
How does EGAN typically perform around its earnings report dates?
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EGAN Earning Call Sentiment
Earnings call transcript: eGain Q2 2024 misses EPS forecast, stock drops
EGAN.O
0.63%Positive
The earnings call reveals several negative indicators: lowered revenue and net income guidance, a decline in total revenue and gross margins, and increased operating costs. Despite some positive developments like new enterprise logos and share repurchases, these are overshadowed by competitive pressures, economic factors affecting client retention, and operational challenges. The Q&A highlights uncertainties in professional services, adding to concerns. Given the overall negative sentiment and the lack of market cap information, a 'Negative' stock price movement is anticipated over the next two weeks.
