Ooma Reports $67.6M Revenue and $7.7M Non-GAAP Net Income in Q3
- Strong Financial Performance: Ooma achieved $67.6 million in revenue for Q3 FY2026, reflecting a 4% year-over-year growth, while non-GAAP net income reached $7.7 million, indicating robust growth potential in the market.
- Earnings Per Share Growth: The non-GAAP diluted EPS increased by 64% year-over-year to $0.29, showcasing a significant improvement in profitability that enhances investor confidence.
- Record Adjusted EBITDA: Ooma's adjusted EBITDA hit a record $8.6 million, growing 50% year-over-year, which demonstrates substantial progress in operational efficiency and cost control, further solidifying its market position.
- Acquisition Strategy Advancement: Ooma recently completed the acquisition of FluentStream and expects to finalize the acquisition of Phone.com by late December, with both transactions poised to create new growth opportunities and enhance future cash flow and revenue growth.
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- Acquisition Completed: Ooma successfully closed its acquisition of Phone.com for approximately $23.2 million in cash, which is expected to generate $22-$23 million in annual revenue, thereby enhancing its competitive position in the SMB market.
- Financial Impact: Phone.com is projected to contribute $1.0-$1.5 million in adjusted EBITDA annually, with the acquisition expected to positively impact Ooma's adjusted EBITDA and non-GAAP earnings per share starting December 26, 2025.
- Customer Base Expansion: With Phone.com serving approximately 36,000 customers and 87,000 users, Ooma will further expand its market share in North America, enhancing the overall user experience.
- Strategic Integration: This acquisition not only strengthens Ooma's product portfolio but also enhances service flexibility and reliability by integrating Phone.com's cloud communication solutions, addressing the growing demands of small and medium-sized businesses.
- Acquisition Completed: Ooma has successfully closed its acquisition of Phone.com for approximately $23.2 million in cash, which is expected to enhance Ooma's competitiveness in the cloud communications market for small and medium-sized businesses, with Phone.com projected to generate $22-$23 million in annual revenue.
- Financial Impact: Phone.com is anticipated to contribute $1.0-$1.5 million in adjusted EBITDA to Ooma, becoming accretive to Ooma's adjusted EBITDA and non-GAAP earnings per share starting December 26, 2025, thereby improving financial performance.
- Customer Base Expansion: With Phone.com serving around 36,000 customers and 87,000 users, Ooma will significantly increase its market share in North America, enhancing the overall user experience and service offerings.
- Strategic Integration: This acquisition not only strengthens Ooma's product portfolio but also aims to drive long-term growth potential in the cloud communications sector by integrating Phone.com's resources and technology.
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Ooma Inc. Performance: Ooma Inc. exceeded expectations in its third-quarter results and raised its FY26 guidance, resulting in a 6.1% increase in shares to $12.45.
- Strong Financial Performance: Ooma achieved $67.6 million in revenue for Q3 FY2026, reflecting a 4% year-over-year growth, while non-GAAP net income reached $7.7 million, indicating robust growth potential in the market.
- Earnings Per Share Growth: The non-GAAP diluted EPS increased by 64% year-over-year to $0.29, showcasing a significant improvement in profitability that enhances investor confidence.
- Record Adjusted EBITDA: Ooma's adjusted EBITDA hit a record $8.6 million, growing 50% year-over-year, which demonstrates substantial progress in operational efficiency and cost control, further solidifying its market position.
- Acquisition Strategy Advancement: Ooma recently completed the acquisition of FluentStream and expects to finalize the acquisition of Phone.com by late December, with both transactions poised to create new growth opportunities and enhance future cash flow and revenue growth.
Financial Performance: Ooma, Inc. reported a total revenue of $67.6 million for Q3 fiscal 2026, a 4% increase year-over-year, with a GAAP net income of $1.4 million compared to a loss of $2.4 million in the same quarter last year.
Growth Drivers: The growth in subscription and services revenue, which accounted for 92% of total revenue, was primarily driven by the expansion of Ooma Business, alongside a record adjusted EBITDA of $8.6 million, reflecting a 50% year-over-year increase.
Acquisitions and Future Outlook: Ooma has completed the acquisition of FluentStream and is on track to acquire Phone.com, which are expected to enhance shareholder value and contribute to revenue growth, with projected Q4 revenue between $71.3 million and $71.9 million.
Non-GAAP Financial Measures: The company emphasized the importance of non-GAAP financial measures, reporting a non-GAAP net income of $7.7 million for Q3, which provides a clearer view of its core operating performance by excluding certain expenses and adjustments.

Financial Performance: Ooma, Inc. reported Q3 2026 revenue of $67.6 million, a 4% year-over-year increase, with non-GAAP net income rising to $7.7 million and adjusted EBITDA to $8.6 million, reflecting strong growth in business subscriptions and services.
Acquisitions and Growth Strategy: The company completed the acquisition of FluentStream and is set to acquire Phone.com, which together are expected to add over 165,000 users and $45 million in revenue annually, enhancing Ooma's market position and profitability.
AirDial Expansion: Ooma launched an updated version of AirDial, achieving its strongest quarter with nine new resale partners and a 50% year-over-year growth in bookings, while aiming for 300,000 lines and $100 million in annual recurring revenue.
Future Outlook: Ooma raised its fiscal '26 revenue guidance to between $270.3 million and $270.9 million, anticipating contributions from FluentStream, while emphasizing operational efficiency and the integration of AI in their product offerings.








