CXDO - Earnings call transcript Q4 2017

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good day, and welcome to the Crexendo Fourth Quarter 2017 Earnings Call. Today's conference is being recorded. At this time, I'd like to turn the conference over to Chief Executive Officer, Steve Mihaylo. Please go ahead, sir.

Steve Mihaylo

Thank you, Rennin. everyone. afternoon, Good Mihaylo, Steve CEO Crexendo. of I Chairman am and of the conference Crexendo I want quarter to all welcome XXXX to fourth you and call. year-end COO; and today our Counsel. me Doug Ron and Vincent, With our Korn, Jeff are CFO; our General President Gaylor, ask going read to to statement. our I Harbor Jeff am Safe After comments to give the quarter general will that, brief and I some relative year-end. the questions. update, to provide a Ron will and we will Doug then then for the provide numbers, call will open some and sales up granularity business Jeff, provide please would statement? you Harbor Safe the

Jeff Korn

Steve. for I listeners of of Act and you, call, such within contain want this Thank XXXX statements. made opportunity Private in than to statements. Exchange meaning to that are forward-looking statements other take remind the the forward-looking Litigation will XXXX. of Securities of this Securities The XXXX Act Harbor this Securities All call conference of Act the forward-looking Reform historical statements statements fact, provides Safe a

turn XXXX. result back events including in now statements, update detail XX, in not believe, obligation to to XX-K results otherwise. that as any factors information, whether could Forward-looking statements of identifying from Steve? does are risks are aware to Investors be Form include, are the like, Commission, of the should call revise Risk statements to new discussed future other Securities actual filings These for materially year or with forward-looking Steve. Exchange that the but estimate, limited and today. forward-looking to subject December statements. like expectation Crexendo I'd company's forward-looking cause are words, and undertake and any similar fiscal uncertainties to will on expect, the ended a or differ and the assumptions based not those publically statements anticipate, any here explained

Steve Mihaylo

and on improved increase both XX% for I future The revenue to I and discussed the business, the we is we results you, and poised to was very shows fourth value. delivered the and we are quarter expected. what right the quarter proud is have positive quarter fourth and in growth of team me particularly and believe of track the results. the shareholder very my sales impressive fourth strong on positive consolidated Thank Jeff. continue This been the and we to am XXXX. consolidated have what year testament in The that XXXX growth improve revenue over work the our doing improve for

business. We expect to our continue in the improvements growth and

for segment increase revenue most has in December increase UCaaS watch the I year December ended every in XXXX. clearly keep the the right of impressive costs to costs only substantial Cloud service to Even believe, expenditures team, I very the small of on Our with ended are expense. QX important did This XX, the highly a track. also manage this we compared job shows to of XX we convinced line. in Telecommunications XX% manage who the revenue, XXXX a with our am is in work year XXXX still compared we remarkable QX to hard due costs of ability XXXX. containing increase to

on and type and a per and and of that step to very GAAP and QX the commitment to of in the will business, GAAP team GAAP a even diluted share our we being team our investments best well in on our business XXXX, improvements Doug profitable basis drive investment one QX dramatic highly commitment and in the increase in a with every non-GAAP to in and and this to results $X.XX a reason XXXX. a for value of to compared The impress XXXX, to is compared run share drive basis we we $X.XX of were per necessary is achieved an the $X.XX the of effort continued must have make to performance to step diluted more profit Again XXXX. important have the to reach have I breakeven we This our for results shareholder bodes loss our common we in only get it of effective profitability work common expense increase was always being incur. While loss will and business, day value. efficient in QX XXXX. every

breakeven UCaaS essentially profitability a is remarkable the on that we it's Cloud as promising, reached GAAP milestone non-GAAP as achieving and we Our quickly. Telecommunications startup a very that achievement timeline, were this expecting

that I we we has need of the on telephones. our our pick people, customer they increase am will products we to very developed to industry. and our believe any a winning and Ride sales in and build need who When profitability. of and of proud have Crexendo of the to we competitors service the our The that compares Now business solution. can solution between best award the customer Cloud believe the continue win XX We XX,XXX

sales We continue and to our make procedures. improvement process to our

the work improving our partner partners quarter. diligently on channel new significant to and added our being in to some continue team that We resulted during

Cellular. will we convinced enter for to drive This partnership, believe help positive also which with in I build company into future also continue continue to add organically. is continue that the should continue to I to our be growth. will to impact to strongly company. partnership have new I with partnership hopes believe very we reason our business the I'm positively. we were results our believe able dedication expect to our will I strategic U.S. a high We the partners significant

reviewing the Ron? are right call a accelerate over I'll regularly be to that, accretive opportunities turn and if to With potential Ron. believe along will growth. our opportunities they come We further way the

Ron Vincent

Thanks, Steve.

Telecommunication for Approximately fourth $X.X of consolidated As XXXX fourth our prior the increased the by quarter for fourth million compared to the prior which $X.X year. revenue Cloud for compared XX% quarter segment, revenue our million year. an for Steve million of $X.X contributed mentioned, was quarter, the of the quarter increase contributed in of XX% of quarter the to to million XX% $X contributed the

revenue service the for fourth XXXX reported XX% quarter increased compared the fourth Our $X loss common Product quarter quarter or increased a diluted prior revenue the quarter GAAP million a loss loss $XXX,XXX Consolidated common quarter of compared for $X.X $X.XX fourth $XXX,XXX fourth to to $XX,XXX million breakeven only increased prior prior XX% million, the of by a $XXX,XXX the XXXX, year. of year. or $X.XX operating the to basis, year. of prior the compared of the of a for share, for for of quarter slightly $X,XXX compared of to to per the expenses XXXX million of fourth for share for company year. fourth of reported quarter the net On the to $X.XX diluted fourth to net a the

for $XXX,XXX prior same quarter $X,XXX, for the EBITDA quarter year. Our non-GAAP net per common $XXX,XXX prior $XXX,XXX same the compared income the $XXX,XXX year. for for prior or was was period loss period the to common a share same for the $X.XX the was negative $X.XX net the non-GAAP period of of or fourth diluted to loss of compared EBITDA for to of negative the quarter year. compared Adjusted share, per $XXX,XXX, diluted the

with consolidated million look for reported of year we're at that's full $X.X while let's prior year. million for compared Now the revenue of the the pleased an that's And increase to $XX.X year, XX%.

of or contributed the $X.X XX% compared our million XX% see growth Telecommunications Telecom We segment. million year, in in continue consolidated the year. segment Cloud tremendous the an prior to $X.X increase revenue contributed to for that's of

Our prior million, to compared service million revenue $X for to increased the XX% year. $X.X

million, to until service year. to Product to product is $X.X million decreased to can X% are installations next, revenue and product revenue significantly is prior for from complete compared revenue the deferred one $X.X Our commenced. slightly fluctuate the period the

Our December anticipated which is year. to get recognized few months $XX.X will to million and extra over believe to to segment next within customer backlog at prior of to reported sales Telecommunications the customers XX% of initially XXXX compared seem locations backlog. installed. increased take our be multi-location million large XX, months end be XX to the average the $XX.X growth is weeks XX all as through a seen cycle, enterprise completing the installed We

expenses loss entire operating you year management to $XX.X reduced $XX.X the Our is per year. XX% million $X.X a same $XXX,XXX and of prior basis, company team the million same revenue consider common year a period for for that's loss X% or impressive share we period. per $X loss for the laser when focused On our the scrutinizing reported after to the every ever increase year. net prior on or loss reported of compared $X.X million $X.XX a GAAP more of and expense; to net or common These share, results in diluted for a compared the by diluted million the

Our million share $X.X the loss the common year of loss or $XXX,XXX diluted $X.XX or to loss of $X.XX that's loss for period for diluted non-GAAP share, per was non-GAAP net a the prior net per common compared same year.

as of million provided $XXX,XXX compared business to investments for cash Operating it XXXX of from equivalents restricted Gaylor, prior provided the COO certificate EBITDA increase $XXX,XXX cash cash negative XX, activities in for Doug at turn XX, excluding At activities compared and equivalents, will prior $XXX,XXX year $XXX,XXX $XXX,XXX to year December the deposit, that, additional EBITDA year. over the $XXX,XXX, December negative cash Adjusted in President million and activities I $X.X increase equivalents, in information our year. and $X.X a our to cash With year-end sales and financing primarily $X.X the and XXXX million and and provided for compared on for was our and equivalents. the increase Our update. cash negative sale cash was was for negative cash at report. cash

Doug Gaylor

report had finish strong that Thanks, very am a fourth the Ron. for and pleased XXXX we I the year. quarter to

had introducing these well registering U.S. solid bookings income sales Ron fourth from significantly, third on-boarding On be the bookings our U.S. the in our Since top that carrier resulted announce quarter, year. increase U.S. positive and consecutive United Crexendo Our the of opportunities Cellular customer we second highlighted building accomplishments teamed Communications to have the the a to extensive UCaaS our quarter excitement for we and a great that business zero. in sold provide and U.S. in tremendous increases as to in prospects. the have revenue amount Cellular relationship. with non-GAAP portfolio they their as government us Cellular thrilled we is service generated strongest doubling we already nearly February teams have of and and sales Crexendo the our sales States we a strong and of being year-over-year to Hosted in to have with reduction were based quarter year the Cellular quarter were XX% quarter pipeline an flow that wireless customers started will full fifth from up to post Solutions of our sales down solutions. have loss The booking offering the the GAAP and also and seen up the helped cash and largest as sales they are the opportunities of from we already seeing team, for quarter their

focused on team was managing our their this and been true expenses to testament sales, diligently quarter improving entire has a and efforts. bottom-line Our increasing

we U.S. Cellular that sales get quarter, of gates we the year of also of our able are and fact to partners strong stronger the a the which contribute offering. to Crexendo and strong our partners process testament where out adding are partners the to is had the quicker adding during to channel new help to our recruiting quarter them the on-boarding focused these results most on partner Many program. new with addition in successful to recruiting the In

more our to along bookings concentrated focus partner larger channel partners training in our strongest partners having to-date. Our their our with on resulted effort technical quarter for initiatives

our figures during Our location multiple contract partners organization. six the quarter total including in able largest which regional large to retail year, the was contributed sale value for of the the were sales sale the XXX

is multi-site opportunities, direct multi-location direct strong efforts have successful contributed were The direct quarter to and team the accounts opportunities focused larger strongest Our sales on for significant the to that year. major sales also by performance continues results. five for sales the highlighted

increase the backlog sales strong for Our our we quarter a X% channels both a experience for bookings contracted helped nicely increase XX% and year-over-year. increase as

excited conference impress, with XXXX X% same side compared expenses On the our on U.S. new management held offering. to and XXXX by the the And enhance our and sales, the in-house the our is focus we for week organizations that at new in department in as Both able including the others our investor our operations I'm Conference are held cost both begin consolidated continue that with Crexendo well I'm the that functionality, reduce to us that growth our being building conference two period. will consolidated engineering operating capabilities, Company strong the capabilities presenting features turn management, to are extremely will over new our collaboration and on and and engineering to back deliver. ACD now Investor than in be to plan to and XXXX. our enhanced We're will upcoming chat now www.crexendo.com/invesor XXth. week confident to the execute And will about during execute low-end we in California to on building be a Orange us revenue plans any momentum partner we strong of conferences that XXth XX% second allow link in later conferences. desktop along New presenting Cellular and award with text investor enhanced we Crexendo's a quarter, during being will in Finishing house at that partnerships I us has progress on growth on year, presentation this the year delivering update link position a growth cost Crexendo continues business comments. to the is and now success to helped Steve revenue County, winning will to and presentations excited March highlight first at for the Investor and on quarter website with profitability. opportunity it Sidoti like provide post in the continue channel XXth. growing March, ahead ever Conference additional York for conferences better positioned we with next the and Roth community. We be on March more

Steve Mihaylo

Doug we'll questions and now now audience. Said to Rennin, that I it you. Thank all it the appreciate Ron. open you from and up

Operator

Thank Instructions] you [Operator with first B. Mike question comes Riley Crawford our from And Financials.

Steve Mihaylo

Good afternoon, Mike.

Mike Crawford

that have in monthly project in the or and expect Hi, XX,XXX to now a XX,XXX you do something would Steven. accelerate revenue we and U.S. Would growth Ron to return out month other Cellular is there that you you? that partners working for

Steve Mihaylo

you are talking sales about growth Well, earnings? or

Mike Crawford

Service revenue.

Steve Mihaylo

revenue? Recurring

Mike Crawford

Yes.

Steve Mihaylo

think I achievable. total that's

Mike Crawford

have you way the that's Because growing.

Ron Vincent

it's early the Cellular of part February. We Yes, up deal. U.S. kicked just that second the too in in

their just of didn't project so we we're relationship, to - that will started too be in it's now in. putting So, what volume that early deals

Steve Mihaylo

revenue, Yes, is but was about I Mike total think correct? that asking

Mike Crawford

revenue? No, monthly recurring

Steve Mihaylo

I but the monthly recurring no, Well, mean in revenue month-over-month. increase

Mike Crawford

Right.

So…

Steve Mihaylo

of U.S. Cellular that. would part be

Mike Crawford

And then or…

Steve Mihaylo

For you Cellular… all U.S.

Ron Vincent

continue He is rate to rate… to are higher this still grow a at going or we asking at

Steve Mihaylo

Ron of that second as getting and accelerate. speed, to we're or but start you're mid third we'll but them up that it eventually correct Cellular, quarter is pointed U.S. to Well, start probably beginning accelerate, new to quarter will brand

Mike Crawford

Okay. yes Thank that you, question. was my

you question there other the kind growth channels. were then of that of is in both your So said

So, could are from bit on through existing both well and internal as a percent customers sales the you clarify what of new maybe sales for further channel? any as you organization new generating

Steve Mihaylo

those to since folks one that him. handle Doug let to going am I report directly

Doug Gaylor

our sales. sales direct smaller is Yes, in the partner obviously percentage

our Our partner of turning sales far sales revenue. and majority is to sales are the the our majority of by

free work much smaller hands larger their channel sales accounts. and national really major we to as they obviously can they our is direct is our then type direct group on concentrate get and anything our and on. at So, partner And sales, look and a multi-location

to at with channel, So of the our if our growing the bookings anticipate their the continue quarter, is grow and we share look addition partner and and in quarter Cellular. for XXXX, especially partner best in our sales QX that had U.S. channel lion I tremendously of they

Mike Crawford

you. Thank great. Okay,

Steve Mihaylo

bet, Mike. You

Operator

Thank you.

comes Wainwright with and Our Dede Company. next question Kevin from

Kevin Dede

Good afternoon, guys.

Steve Mihaylo

Kevin. afternoon, Good

Kevin Dede

Yes, nice job. nice It's positive to really see Steve, Ron, Doug, great job, EBITDA.

Steve Mihaylo

hard these bunch a and your that accomplish Well comment, folks is we very results there other Kevin. work to of whole appreciate

Kevin Dede

Yes, pass it those well that all contribute. into please

is think one couple grow wondering M&A thinking, the I the may whether on of that's pipeline quick postponed questions, light what to in sort Cellular or changed through side you're the not Just and a tactical acquisition. of am interesting on and or I probably of I trying most mean, you that think U.S. have execution your

Steve Mihaylo

disciplined do in a very intent eight have we of Kevin anything the stay past. had than the we and queue We eight we have faster if few we to job way. a sophistication in main are We people can the companies the focus. situation. we especially on a of on lot our very at have other of have degree small, deals a with think size, seven we you have the quite growth or unsophisticated the is are at currently even very you And understand prospects, relative at, to our at much suspects the click and the focus - I a it's and are that U.S. and But think we that's we companies of a our a growing and promising good size than of do to that particular Well, are our lot some want acquisitions size a gotten that have cylinders, relative of seller. are very, we'll and because few whatever acquisitions. we them. company of But Cellular our looking recently we more we're and And or that relative Obviously call but but multi-faceted is target. look organically, organic very look a though I deals But doing few we're grow that a we're higher least few particular. starting

Kevin Dede

something think be of function Okay. just this renegotiation? Is to you happens your it a that that or going is year,

Steve Mihaylo

Well, exchange is just were expenses. we on sure but a I price, I this makers, hope well of how year, market analyst parts, stock grow how manage mean, there it there are, fast all those lot things of happens moving we organically, coverage,

our notice quarter couple fourth third to reversed and get a thing that in quarter. expenses, one the going extraordinary we first the of You're and which go away had

sequential to previous quarter. third going a to So look that's the and but our margins little XX% surpass we'll margins gross of the compared down results, probably improve

XX.X% see is first should Legal in Officer my maybe soft even I or we the So finger And has now. know XX% nail by quarter. Chief witnessed probably

Kevin Dede

that it, To expect define days mentioned offered that. kind should I point missed quick on in it Ron, XX criteria expanding XX, to missed you but and pretty XX to to XX or some you backlog also you said went realize you how you you of and it, I

Ron Vincent

month Majority contracts. of are over our XX to contracts XX

And makes the backlog sales. jobs that's - recent uninstalled our so well what from up as as

Steve Mihaylo

in Ron smaller what can two or is the get bigger take a time three deals The also they to month deals take And I closed. in said up installed. And are the multi-location of and deals the sometimes within go think… months to

Kevin Dede

Yes, - to just I of that's backlog nicely. point, was part up it. definitely Ron's

congratulations on So that.

opportunity. the other the room Cellular of think U.S. elephant sort I the in is

offer the targeting. What think their you If they you they're that how advantages guys would exclusive do of characterize they'll enterprise market them, you customers? you? the on speed to sort segment How you way are to up have customer that an with

as color think. can that you offer on much I would be As helpful

Doug Gaylor

Yes, absolutely.

So, U.S. Cellular. exciting partnership with

total their to went process Cellular through evaluation forward U.S. solutions. sole telecom potential RFP their as So vendor UCaaS a for process and solicit hosted partners us and with to picked their move to detailed very out

put the a of they December us of with announced that after they the out want and awarded in time their didn't to until off busiest if We that press is sales so the year kick year. in release their December. December. So to teams first

representatives And sales in one sales more and doing offs teams did we're So sales early February. teams their this for East our we actually week. here their kick Coast with

this having process that So teams their getting about their sales portfolio. and excited into is educating

So their primarily handle representatives accounts sales business only.

marketing along them. potential the there focus sales and within team have and right now is team customer their base future looking for to we customers their direct sales with prospects for business the that so out for And be complete opportunities

but they're We have extremely not businesses well, time. basis, these a maybe the these daily received again in they're businesses all because been daily in extremely, a basis, on

stream them what another selling so And revenue opportunity it's just they're to have a that by complementary selling. to for is service a already

gotten short in We've our the high. time of off extremely a We've since just is training. sales been of pipeline. that done the excitement made leads generated leads we've the already have in amount tremendous So already

So product is extremely the excitement and to level are marketing on the customer base. both soliciting They ends their high.

their to off And be so that team. now going up, product kicked they're ramping that we've the with

more about be just the is couldn't direct their And right exists. we that going now. channel potential through So excited this opportunities

here we're and we to mortar that So have that their can and brick further agent roll this channels if excited potentially. success we stores great out even

Steve Mihaylo

one of And time, with if you thing month intent this takes to orders remember sort as is, Ron take account would treatment. But rush today those a got club we a orders. out to it even have it of white pointed install to support the we Kevin

see in and ramp the may into thing will of the the don't quarter awful is in quarter. whole third impact and see start I impact expect and We second and first on. and So then an some to fourth XXXX it the lot growing to in so

Kevin Dede

comparable you U.S. a have opportunities… go group we Would would the today's of call, gentlemen. I say you sort to base How they going Okay. after your size think characterize, mentioned deal that I with the just I of is services larger, Well going one on for versus customers. thanks but know Cellular with say - your, target large appreciate guess, say you customer to you it. they're the core of got your color, size are

Doug Gaylor

demographics XX and have and we think our I Yes, is today demographics average customer very nice their stations. a about our overlay size with

definitely is they four, core at opportunities. very enterprise in three, so smaller from customers end call that Their the core major with as customers, the is there. large any growing markets five fit all competency in business up the concentration obviously their are way that not stations scenario. So look much to we nicely But

of to are So our going lot have in that they customers spot. are sweet right

So their very and demographic comparable customer we demographic. anticipate very, because is being similar them our very very for to us complimentary customer

Kevin Dede

And, expecting I a not down companies curious to more I going kind you guess, impact, I do an or am some your to of do you - think Steve know pretty that think that is arrangements is think chase but with profile to mentioned best he how are forward? partnering expecting you Doug immediate similar way type efforts of about high

Doug Gaylor

but the as size at today, U.S. that's to size type we on look wise, nice U.S. is Cellular, other Cellular nearly obviously organizations after channel nice nice plan be not with made is of But there. as now inroads have very size the that size go partners other in course joined as have our approach potential regional large six organizations. some Yes, partner partner Cellular we U.S. largest but months over to stopping our the last the not game

So and some we good have targets going we currently some lot have and on that we got identified a have evaluations currently. conversations of

of have we similar arrangements. very type a some that excited not point type hopefully I similar So year if will of multi announcement am this announcement at

Kevin Dede

your you network and in on Cellular U.S. expect guess would up already And last question would to customer - implementation earning? was that bring I work you or support that Doug have type software for the of me, equipment in a would since yet,

Doug Gaylor

hosted Obviously equipment their with current solutions our our providing going solution, are we solutions, internet on so in platform. completely our there are and

services we internet customers over one going of So connectivity. for current provide our are their their to

have seller We the and solution testing done have over their to our put as also well. capability network

their we available not and well. for company, cable area customers can where working of company, as the they for So the an readily areas in have got get or and solution service product local LTE some from that on our XG be remote may exchange

going be it's being But recovery so for because that a be anticipate their cases services never be would cellular the but as beat. case case. I we So complementary, network solution skip some that disaster their if network, internet that their recovery can where great something a very disaster the to connectivity also our they a might in goes wouldn't that's norm the down putting over main offer telephone service network, cellular it's would

So their complementary work internet network, riding us on within and good would and the existing again be the the of customer's opportunity majority connectivity. opportunities for very of to but majority the sales

Steve Mihaylo

But maybe the alluding what's Kevin? I desktop, on were think also you to

Kevin Dede

Correct, thanks. yes

Steve Mihaylo

we JLINK I , added support Cisco, also or and [ph] We will. Polycom think just recently streamer grand we

Doug Gaylor

Crexendo We that parts opportunities provide desktop. for a and complete of mobile one application about of first customer one a the working, doesn't to will, are that we need a the lot the but currently physical that the actually we nice just desk saw of that it's opportunities has have no phones software and

going application with so their a be running are offering. our complete seller we devices typical tandem cellular on installing to mobile they'll that So have in our apps solution their

Kevin Dede

Congrats Okay, that, to that much for improved on too. I it. on the entire results you appreciated the the congrats thanks much for very color my team. and you thank really fielding Doug. so question, well, appreciate And

Steve Mihaylo

You bet, Kevin. Thank you.

Operator

Thank from Instructions] our you. comes [Operator And Cayman. Ken Private Investor question next

Steve Mihaylo

sorry, who am with. I is

Doug Gaylor

Cayman. Ken

Unidentified Analyst

Ken Cayman.

Steve Mihaylo

afternoon Ken. good How you? Yes, are

Unidentified Analyst

great. am I doing

you're long as miles car and time car call ride. trying beat started. Philadelphia [ph] profitable, fabulous snow and threatening a be and traffic everyone I to I a moved it's I ride, reported to to the breakeven have call only am three is since the shareholder started. since I say it's the pleasant in So am But you leaving sitting because a

does an the forward? of any lot My anymore where adjunct to as we question your it couple, put a about do that, of company from - to prior had But asked investment now deal. the you congratulations questions So have my and see part into ton you going happen. making detail require the Cellular caller that U.S. I that are on needing a cash a guys infusion

Doug Gaylor

arrangement with them. partnership a No, it's purely

it's not So capital a arrangement. intensive

the are they opportunities, we working finding are the So opportunities.

have for their a meet their a it investment out traveling some get nice the won't intensive program cash a to will kick-off we message capital endeavor and to regions. marketing help marketing customer as base But greets us be well. have different and got efforts and meetings for to by So done at all they their

be going So tandem in are we working them. to with

don't large all successful. I have to anticipated drain partnership at capital be for So no, being us the a

Steve Mihaylo

X% improving aware improving is of things as our and we be But norm. making base of About as in continually outside the we anything our one it and we not engineers that's software of going said, XX% that hardware XX% have investments the X% of, be it it that Doug we are it's But that is are incremental to speak. as along. you go platform, some to to are based

Unidentified Analyst

is able needing be company word question infusions whether needed up for do the you the months? to Yes, to of my internally more you see that ramp cash XX next business. to Do anything over additional

Steve Mihaylo

the for, they are could things some burner on use infusion right now. are that back but There cash we

but $X to the to As generate next the months $X.X in would answer cash next is about need I a we XX we bit bigger, to get we're yes. XX going flow little in more a cash, million little bit year, expect will million. maybe

Unidentified Analyst

While trying to... you are

Steve Mihaylo

budgeted in on we a what he we're significant so over next generating Well non-GAAP cash fact seriously for and EBITDA basis, no but or is have year. an going not above probably thinking,

Unidentified Analyst

That's just one one… great. last And then

Steve Mihaylo

Go ahead.

Unidentified Analyst

forward? in every there help just fourth the expecting saying that profitable the you was quarter be quarter kind particular first to anything about that going of are order or now is profitability won't be I

Steve Mihaylo

fourth continue probably would GAAP current our and have other to the Well quarter and the rates first things, that we assumptions. telling in whole this we you a that name the non-GAAP based income the been quarter, But have on no control interest quarter it. we and of people economy bunch expect over income achieve we weather,

Unidentified Analyst

very fortune. build family much to Well, Thank great, you for you're thank help everything you much. my me very doing

Steve Mihaylo

Ken. you, Thank

Unidentified Analyst

you. Thank

Operator

Thank you.

Private comes Your next question from [ph]. Kevin Wills Investor,

Unidentified Analyst

you're Steve, Hey, doing? how

Steve Mihaylo

Kevin, how are you?

Unidentified Analyst

May the the lucent. then company to going guess conference extended a to May loan good XXXX you call. follow-up was reading to if up those of have earnings I am question or listening QX And am it's very rolled just caller, report if our commitment wondering to I from I particularly I'm last to good, I Steve, a In be? after got, tie have our XXXX. and the of to that's

Steve Mihaylo

No, actually XXXX it in expires.

language adequate have progress taken all pleased They precautionary the auditors our progress progress. of they're significant Our XX-K. and with and our out quite that company of made has feel

no, is, answer it's the necessary. So not

Unidentified Analyst

who all enjoy us. bulletin And to Thanks, is keeping year sold do us here float the the aren't hope again. for naysayers our care great. turnaround. and all thanks and That Steve. I again ago to and from a And you for Take thanks

Steve Mihaylo

nothing see committed. this is of And on bet, in part have have options. invested management dynamic financially going going have our in highly I stock stock we comment forward. highly options. Kevin. most And motivated the a for that. employees The result Everyone and has change a You room company. that, I'm group to And to that our And as that's senior

Unidentified Analyst

And hear to Take other running it. companies. wish you Glad few of were care, a my bye-bye. I

Steve Mihaylo

you. Thank

Operator

we have turn further I'll Mr. Mihaylo, to at no this time, you. you. questions. the conference Thank And back

Steve Mihaylo

everyone. I Well, thank to want

We appreciate expect have continue numbers a little than bigger and that supporting last our as a to bit as we we get here. little And improve would everyone quarter. And more participation us. we

will longer with again, part Because and be out we to a here. the or whip your all April of probably I Thank you about out, us at days of the and tell will this be May. be half, my bit of first you next you you the quarter two know And you a ends. today. thank I to good the report end to audit little that should And for takes here the we and head, to yes. friends. it quarter And to year-end expect XX you driver crack basically forward shaking but it. we get month after look reported you I'm talking able slight months. Are was in day. As a joining get

Operator

for you. your presentation. thank participation. We conclude Thank This does you today's

Crexendo (CXDO) 6 Mar 182017 Q4 Earnings call transcript