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Dec 31, 2019

eGain Q2 2020 Earnings Report

eGain's Q2 2020 financial performance exceeded expectations, with SaaS revenue increasing by 19% year over year.

Key Takeaways

eGain reported solid financial results for Q2 2020, with both top and bottom line results surpassing guidance and Street consensus. SaaS revenue grew by 19% year-over-year, and the company announced a new OEM agreement with Avaya.

SaaS revenue was $14.0 million, up 19% year over year.

SaaS and professional services revenue was $15.9 million, up 16% year over year, comprising 87% of total revenue.

Total revenue was $18.2 million, up 3% year over year.

GAAP net income was $2.0 million, or $0.06 per share.

Total Revenue
$18.2M
Previous year: $17.7M
+2.5%
EPS
$0.08
Previous year: $0.08
+0.0%
Operating cash flow
$5.3M
Previous year: $863K
+514.1%
SaaS revenue decline
19%
0
Total revenue decline
16%
0
Gross Profit
$12.9M
Previous year: $12.2M
+6.2%
Cash and Equivalents
$40.3M
Previous year: $11.2M
+259.2%
Free Cash Flow
$5.26M
Previous year: $803K
+554.9%
Total Assets
$78.8M
Previous year: $48.2M
+63.4%

eGain

eGain

eGain Revenue by Segment

Forward Guidance

For the third quarter of fiscal 2020, eGain expects SaaS revenue of $13.8 million to $14.1 million, SaaS and professional services revenue of $15.5 million to $15.8 million, total revenue of $17.5 million to $17.8 million, and to generate non-GAAP net income of breakeven to $0.5 million, or $0.00 to $0.01 per diluted share.

Positive Outlook

  • SaaS revenue of $13.8 million to $14.1 million
  • SaaS and professional services revenue of $15.5 million to $15.8 million
  • Total revenue of $17.5 million to $17.8 million
  • Non-GAAP net income of breakeven to $0.5 million
  • Non-GAAP EPS of $0.00 to $0.01 per diluted share

Revenue & Expenses

Visualization of income flow from segment revenue to net income