Five9 Reports $83.8 Million in Revenue
The CCaaS provider's reporting third-quarter growth of 28 percent
Cloud contact center provider Five9 has just reported impressive third-quarter earnings, a whopping $83.8 million in revenue. When compared to its 2018 third quarter counterpart, this year, the company is up an extra $18.5 million in sales. This marks the fifteenth consecutive quarter of positive operating cash flow for the cloud giant.
They’re also reporting, they now support more than three billion customer interactions each year. In a company statement to UC Today, Five9 leadership says they attribute their growth to the “increased trust enterprises have developed for cloud technology.” Adding, to meet this demand, we’ve made “significant investments in leadership, talent, and increased throughput as well as innovation.”
In that same statement, a Five9 spokesperson wrote: “We will continue strengthening Five9’s channel as it looks to make inroads in the international space.”
Diving Deeper into FIve9’s Third Quarter
Further analysis of its Q3 report shows the CCaaS provider experienced a 36 percent rise in enterprise subscriptions. Its GAAP gross margin was 58.8 percent in Q3 2019, compared to 64.3 percent this time last year. Although some of its numbers were lower than this year last time, Five9 is still on track to have a record-breaking year, especially in its enterprise division.
An increase in enterprise subscriptions for Five9 means more enterprises now sit in the cloud. This should extend much-needed flexibility, agility, and the ability to upscale communications, all the makings for enterprise innovation, the likes of which we’ve yet to see. Five9 CEO, Rowan Trollope, shared with UC Today, he feels the shift has led to Five9 further innovating its solutions: “As larger enterprises begin demanding cloud contact centers, we have responded by hiring more engineers and scaling our team. This has resulted in a large increase in throughput and innovation.”
“In the third quarter, we maintained our strong momentum in strengthening the channel and made excellent inroads toward expansion”
“Our balanced approach to growth is succeeding, and the investments we have made in leadership/talent position Five9 for sustained long-term growth,” he added.
With exponential growth in mind, Five9 has big plans for the future and should fare well with its goals. They also have an opportunity to play a principal role in Digital Transformation, thanks to the number of enterprise leaders who have moved their comms to the cloud because of Five9.
Changes in Leadership
The cloud contact center provider recently announced former CEO and Executive Chairman, Mike Burkland, is no longer Executive Chairman. He’s settled into a new role as Chairman of the Board of Directors. Burkland served as CEO at Five9 for 10 years before transitioning to Executive Chairman in December of 2017. He did so because he learned he had stage four cancer, according to a company statement.
Under Burkland’s 10 years as CEO, Five9 grew. They went from being an early-stage private company to a market-leading public company.
With shifts in leadership, higher profits, and a positive outlook toward the future, Five9 is sure to continue doing well in the cloud contact center space. What’s next for the CCaaS provider? They’re predicting solid end-of-year figures already, and if they’re right, Five9’s on track to have a rewarding year.