8×8’s earnings call for the second quarter of 2025 revealed that half a million Microsoft Teams users are now inside its ecosystem.
8×8 also pointed to various successes over the past quarter, including million-dollar deals, acceptance into the Microsoft Operator Connect programme and further related customer wins.
The UCaaS and CCaaS provider, 8×8, met the high end of guidance with a total revenue of $181 million, although this was below the $185 million achieved in the second quarter of FY 2024.
Samuel Wilson, CEO of 8×8, introduced its Teams user number news during the company’s earnings call:
8×8 now supports more than 500,000 Teams users, and our Teams base continues to grow quarter-over-quarter and year-over-year.”
“Another important aspect of our growing momentum has been our commitment to expanding our partner relationships, including both our reseller partner programs and our technology partner ecosystem.”
“Both programs are closely aligned with our commitment to go beyond technology to deliver outcomes to our customers.”
UC Updates for Q2 2025
Aside from the company hitting this major Teams milestone, the big news from a UC perspective included a revelation connected to Coronis Health, which 8×8 describes as a “leading provider of health care revenue cycle management solutions”.
Coronis Health uses Teams for its collaboration requirements and has now decided to upgrade its 8×8 platform following a proof-of-concept period.
According to 8×8, this is one of “several” customer deals amounting to over one million dollars in annual recurring revenue.
Another major customer success story, highlighted by Wilson, was Scandinavian Designs, a furniture retailer based in New York City with more than 40 showrooms over 16 states.
Scandinavia Designs selected the 8×8 Contact Center with Operator Connect for Microsoft Teams to switch to a single cloud platform.
Wilson explains that Teams Chat Federation and presence visibility in the agent workspace were critical factors in the decision. He also believes they liked its analytics and dashboards, which offer call transcriptions and evaluation capabilities.
With the exception of Microsoft itself, 8×8 says it is the “only” Gartner UC Magic Quadrant leader to be accepted into the Operator Connect programme, through which it can provide its integrated Teams solutions.
Positive Revenue Growth and Reduced Debt
Kevin Kraus, Chief Financial Officer at 8×8, described itself as having accomplished a “solid financial performance”.
You can certainly point to its revenue growth and the decision to pay off more than $173 million of its debt as evidence to support Kraus’ conclusion.
The company has also achieved positive cash flow from operations for 15 quarters in a row. Sales of new products are up 60 percent year over year, and AI-based solutions sales are increasing by more than 200 percent year over year.
Kraus estimates that total revenue will be between $177 million and $182 million by the end of 2024.
For FY 2025, ending March 31, 2025, he expects service revenue to be in the range of $690 million to $701 million and total revenue to be between $714 million to $727 million.
In the previous earnings call, Wilson took a swipe at competitors NICE and RingCentral, describing NICE’s recent entry into the UCaaS market with a disruptive (and controversial) $5-a-month offering as a “marketing splash”.
