Crexendo (NASDAQ:CXDO) Issues Earnings Results, Beats Estimates By $0.02 EPS

Posted by Brenda Bartman on Aug 5th, 2026

Crexendo (NASDAQ:CXDO – Get Free Report) announced its quarterly earnings data on Tuesday. The company reported $0.12 EPS for the quarter, beating the consensus estimate of $0.10 by $0.02, FiscalAI reports. The firm had revenue of $24.65 million for the quarter, compared to analyst estimates of $24.65 million. Crexendo had a return on equity of 13.84% and a net margin of 6.15%.

Here are the key takeaways from Crexendo’s conference call:

Second-quarter revenue rose 49% year over year to $24.6 million, while GAAP net income reached $1.1 million and adjusted EBITDA increased 46% to $4.1 million. Operating cash flow for the first six months rose 89% to $4.8 million.
NetSapiens platform momentum accelerated, with 11 new platform logos added in the first half versus two a year earlier. Management attributed the gains to the sessions-not-seats pricing model, competitive product advantages, and demand from Metaswitch and BroadSoft migrations.
The ESI acquisition contributed $6.9 million of second-quarter revenue, exceeding management’s initial expectations, while integration is progressing and gross margins improved across service, software, and product revenue. Remaining performance obligation nearly doubled year over year to $139 million.
Organic revenue growth was 7% in the quarter, affected by a $700,000 decline in perpetual license revenue and smaller initial platform deals as customers favor lower-upfront-cost subscriptions. Management expects these customers to expand over time, but AI offerings such as CAIRO are still early-stage and are not yet meaningful revenue contributors.

Crexendo Stock Down 11.1%

Shares of NASDAQ CXDO traded down $0.83 on Wednesday, reaching $6.64. 749,145 shares of the company’s stock traded hands, compared to its average volume of 385,662. The company has a market cap of $215.27 million, a price-to-earnings ratio of 44.10 and a beta of 1.12. The business’s 50 day simple moving average is $7.71 and its two-hundred day simple moving average is $7.27. Crexendo has a 12 month low of $5.26 and a 12 month high of $11.23.

Insiders Place Their Bets

In related news, COO Douglas Walter Gaylor sold 5,000 shares of the company’s stock in a transaction dated Tuesday, June 2nd. The shares were sold at an average price of $10.35, for a total value of $51,750.00. Following the transaction, the chief operating officer owned 222,816 shares in the company, valued at $2,306,145.60. The trade was a 2.19% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO Ron Vincent sold 90,000 shares of the company’s stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $10.03, for a total value of $902,700.00. Following the completion of the transaction, the chief financial officer directly owned 117,490 shares in the company, valued at $1,178,424.70. This trade represents a 43.38% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 454,850 shares of company stock valued at $4,409,248. Company insiders own 47.20% of the company’s stock.

Institutional Investors Weigh In On Crexendo

Several hedge funds and other institutional investors have recently made changes to their positions in the business. BNP Paribas Financial Markets lifted its position in shares of Crexendo by 172.6% during the 3rd quarter. BNP Paribas Financial Markets now owns 4,394 shares of the company’s stock valued at $29,000 after buying an additional 2,782 shares in the last quarter. Strive Financial Group LLC purchased a new position in Crexendo during the fourth quarter valued at approximately $31,000. Bank of America Corp DE boosted its position in shares of Crexendo by 71.7% in the fourth quarter. Bank of America Corp DE now owns 6,174 shares of the company’s stock worth $32,000 after purchasing an additional 2,578 shares during the period. JPMorgan Chase & Co. purchased a new stake in shares of Crexendo in the second quarter worth $41,000. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. bought a new stake in shares of Crexendo during the 2nd quarter valued at $48,000. Hedge funds and other institutional investors own 9.53% of the company’s stock.

Analyst Upgrades and Downgrades

CXDO has been the subject of several recent research reports. B. Riley Financial lowered their price objective on Crexendo from $10.00 to $9.00 and set a “buy” rating for the company in a research report on Wednesday. Needham & Company LLC lifted their target price on shares of Crexendo from $9.00 to $12.00 and gave the stock a “buy” rating in a research note on Wednesday, May 6th. Lake Street Capital reiterated a “buy” rating and set a $11.00 price target on shares of Crexendo in a report on Wednesday, May 6th. Finally, Weiss Ratings reissued a “hold (c+)” rating on shares of Crexendo in a report on Monday. Four research analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $10.60.

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Crexendo Company Profile

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Crexendo, Inc (NASDAQ: CXDO) is a provider of cloud-based communications and collaboration solutions tailored to businesses of varying sizes. The company’s flagship offering, CXsuite, integrates enterprise-grade voice, video conferencing, instant messaging, presence, and contact center functionality into a single platform delivered over the internet. By leveraging hosted infrastructure and a subscription-based model, Crexendo aims to reduce on-premises hardware costs and simplify management for IT teams and resellers.

Crexendo’s product portfolio includes a multi-tenant cloud PBX, SIP trunking, session border controllers and an application programming interface (API) suite that allows partners and customers to embed real-time communications into custom workflows.