Weave Communications Q1 revenue rises 17%, beats estimates

Overview

• US healthcare SaaS platform's Q1 revenue rose 17.4%, beating analyst expectations

• Adjusted EPS for Q1 beat analyst expectations

• Company attributes improved profitability to disciplined operations and higher AI tool adoption

Outlook

• Weave sees Q2 revenue between $67.2 mln and $68.2 mln

• Company expects full-year 2026 revenue of $275.0 mln to $278.0 mln

• Weave projects full-year non-GAAP income from operations of $10.5 mln to $13.5 mln

Result Drivers

• CUSTOMER GROWTH - Co said it added the most customer locations in a single qtr in its history, supporting revenue growth

• AI TOOL ADOPTION - Over 50% of customer locations now use embedded AI tools, which co said contributed to results

• DISCIPLINED OPERATIONS - CEO attributed improved profitability to disciplined business operations

Company press release: ID:nBw81L2Gfa

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the software peer group is "buy"

• Wall Street's median 12-month price target for Weave Communications Inc is $9.00, about 86% above its April 29 closing price of $4.84

• The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 65 three months ago

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