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Mar 31

eGain Q3 2025 Earnings Report

eGain reported flat earnings in Q3 2025 with revenue declining 6% year-over-year while maintaining profitability and positive operating cash flow.

Key Takeaways

eGain delivered a modest GAAP net income of $66,000 on $21 million in revenue for Q3 2025, with SaaS revenue declining 4% and professional services down 29% year-over-year. Despite revenue softness, the company achieved $2.2 million in operating cash flow and $765,000 in non-GAAP net income, maintaining a strong cash position.

Total revenue was $21.0 million, down 6% YoY.

GAAP net income was $66,000, or $0.00 per share.

Non-GAAP net income was $765,000, or $0.03 per share.

Cash provided by operations totaled $2.2 million for the quarter.

Total Revenue
$21M
Previous year: $22.4M
-6.0%
EPS
$0.03
Previous year: $0.08
-62.5%
Operating cash flow
$2.2M
SaaS revenue decline
-4%
Total revenue decline
-6%
Gross Profit
$14.3M
Previous year: $15.2M
-5.8%
Cash and Equivalents
$68.7M
Previous year: $83M
-17.2%
Total Assets
$106M
Previous year: $120M
-11.7%

eGain

eGain

eGain Revenue by Segment

Forward Guidance

eGain guided Q4 2025 revenue between $22.8M to $23.3M and raised full-year net income and non-GAAP income outlook despite trimming revenue expectations.

Positive Outlook

  • Q4 revenue expected to increase to $22.8M–$23.3M
  • GAAP net income for Q4 guided between $1.1M–$1.6M
  • Full-year GAAP net income raised to $2.5M–$3.0M
  • Full-year non-GAAP net income raised to $5.1M–$5.6M
  • Maintained strong liquidity with $68.7M in cash

Challenges Ahead

  • Full-year revenue guidance lowered to $88.0M–$88.5M
  • Professional services revenue fell 29% YoY in Q3
  • Gross profit decreased from prior year
  • Non-GAAP income fell compared to Q3 2024
  • Decline in cash balance compared to Q3 2024

Revenue & Expenses

Visualization of income flow from segment revenue to net income