Sangoma Technologies (TSE:STC)
TSX:STC
Want to see TSE:STC full AI Analyst Report?
Earnings Data
Report Date
Sep 30, 2026TBA (Confirmed)
Period Ending
2026 (Q4)Consensus EPS Forecast
-0.09Last Year’s EPS
0.01Same Quarter Last Year
Moderate Buy
Based on 3 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Neutral
The call presented a balanced mix of positive operational and financial fundamentals and notable near-term challenges. Positives include mid-to-high‑teens infrastructure growth, strong cash generation and conversion (80% quarterly / 87% YTD), deleveraging and active capital returns. Negatives include a downward revenue guidance revision, continued commoditization and pricing pressure in the application/UCaaS portfolio, international supply-chain and geopolitical disruptions that reduced non-U.S. revenue and led to gross margin compression, and timing/lumpiness in recognizing revenue from large integrated deals. Management is reallocating investments toward higher-growth infrastructure and AI capabilities and has initiated a Board-led strategic review to unlock value, but short-term visibility remains constrained by deployment timing and macro uncertainties.Company Guidance
Infrastructure-led Growth (Data & Voice)
Data networking revenue grew ~9% year-over-year and voice networking/infrastructure grew in the high-teens (management cited ~17% and ~19% YoY in different remarks). Management emphasized infrastructure as the primary growth engine as AI-driven agent and machine traffic increases demand for trusted communications layers.
Strong Recurring Revenue & Customer Expansion
Examples of expansion: a large retail full-stack customer grew from $150k MRR to $200k MRR after additional bookings; a national clinic account expanded to 675 locations and $144k total MRR with 112 more locations expected; another healthcare customer grew to $22k MRR via staged rollouts. MSP business grew ~9% YoY.
Solid Profitability and Adjusted EBITDA
Q3 adjusted EBITDA was $7.5 million, representing 15% of revenue. Management reiterated an updated fiscal-year adjusted EBITDA margin target of 15%–16%.
Very Strong Cash Generation and Conversion
Q3 net cash from operating activities was $6.0 million, representing an ~80% conversion of adjusted EBITDA in the quarter and 87% year-to-date conversion. Free cash flow for Q3 was $3.6 million (or $0.11 per diluted share).
Deleveraging and Capital Allocation
Company repaid approximately $15.5 million of term debt during the first three quarters of fiscal '26. Total debt at March 31 was $32.5 million and quarter-end cash was $15.2 million. The NCIB was active: ~196,000 shares repurchased in Q3 and ~271,000 shares repurchased year-to-date; NCIB renewed.
Evolving Go-to-Market to Higher-Quality, Longer-term Deals
Company is moving upmarket to multi-product, 3–5 year integrated deployments (network, voice, security, applications). Management highlighted improved deal quality (longer terms, higher LTV, staged deployments) and that these bundles tend to expand over time, improving retention and stickiness.
Operational Improvements in Retention and Customer Satisfaction
Churn improved to ~0.79% in the quarter (better than historical ~1%), attributed to improvements in customer service, CSAT and NPS and early AI-driven service enhancements.
TSE:STC Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
TSE:STC Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
May 13, 2026 | C$5.62 | C$5.01 | -10.85% |
Feb 04, 2026 | C$6.57 | C$6.38 | -2.82% |
Nov 10, 2025 | C$7.08 | C$7.32 | +3.39% |
Sep 17, 2025 | C$8.49 | C$7.31 | -13.90% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Sangoma Technologies (TSE:STC) report earnings?
Sangoma Technologies (TSE:STC) is schdueled to report earning on Sep 30, 2026, TBA (Confirmed).
What is Sangoma Technologies (TSE:STC) earnings time?
Sangoma Technologies (TSE:STC) earnings time is at Sep 30, 2026, TBA (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is TSE:STC EPS forecast?
TSE:STC EPS forecast for the fiscal quarter 2026 (Q4) is -0.09.