8Г—8 Announced Third Quarter Results
8×8, Inc., provider of Packet8 broadband VoIP services, today announced their financial results for the third quarter of fiscal 2007 ended December 31, 2006. Their revenues were $13.2 million, as compared to the same number for the second quarter, and $8.5 million for the same period in the prior year (which reflects an annual increase of 56%).
“The monthly cash growth is a first and a huge milestone for 8×8 as a service provider, and we believe we are the first publicly traded, pure play Voice over IP service provider to achieve this accomplishment,” said 8×8 Chairman and CEO Bryan Martin. “While our cash growth during the month of December was largely the result of limited inventory purchases, our cash flow on a steady state basis is now very close to break even, and within the range of our monthly discretionary spending on advertising and other marketing-related functions. We are very pleased that our diversified strategy of focusing on higher margin business service customers with our unique and patent-protected Packet8 Virtual Office technologies and video communication technologies are yielding these landmark results.”
“By focusing on Packet8 Virtual Office sales, which have significantly higher margins and lower churn rates than residential services, we are capitalizing on the unique solutions that our Virtual Office services afford small and medium sized businesses. Due to this transition, total sequential quarterly revenue growth slowed, though quarterly revenue from both Virtual Office and video services increased sequentially by 30% and 22%, respectively, on target with our business model. In response to the increased interest in our business services, we more than doubled our direct sales force focused on these channels during the month of December,” concluded Mr. Martin.
8×8 currently has over 6,000 US-based companies as their customers, and they have been in business since 1987. Complete details can be found in their press release.