Call center software provider Five9 (NASDAQ: FIVN) will be announcing earnings results this Thursday after the bell. Here’s what investors should know.
Five9 beat analysts’ revenue expectations by 2.6% last quarter, reporting revenues of $279.7 million, up 13.2% year on year. It was a very strong quarter for the company, with EPS guidance for next quarter exceeding analysts’ expectations and an impressive beat of analysts’ EBITDA estimates.
Is Five9 a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Five9’s revenue to grow 9.2% year on year to $275.2 million, slowing from the 13.1% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.65 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Five9 has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 2.4% on average.
Looking at Five9’s peers in the productivity software segment, some have already reported their Q2 results, giving us a hint as to what we can expect. ServiceNow delivered year-on-year revenue growth of 22.4%, beating analysts’ expectations by 2.9%, and Pegasystems reported revenues up 9.5%, topping estimates by 5.9%. ServiceNow traded up 4.3% following the results while Pegasystems was also up 13.9%.
Read our full analysis of ServiceNow’s results here and Pegasystems’s results here.
There has been positive sentiment among investors in the productivity software segment, with share prices up 2.4% on average over the last month. Five9 is up 7.2% during the same time and is heading into earnings with an average analyst price target of $37.32 (compared to the current share price of $28.39).
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