8x8, Inc. (NASDAQ:EGHT) Q2 2023 Earnings Conference Call October 27, 2022 4:30 PM ET

Company Participants

Kate Patterson - IR

David Sipes - CEO & Director

Samuel Wilson - EVP, CFO & Principal Accounting Officer

Conference Call Participants

Matthew VanVliet - BTIG

Ryan Koontz - Needham & Company

Sitikantha Panigrahi - Mizuho Securities

George Sutton - Craig-Hallum

Charles Erlikh - Robert W. Baird & Co.

Michael Nichols - B. Riley Securities

Michael Turrin - Wells Fargo Securities

Peter Levine - Evercore ISI

Ryan MacWilliams - Barclays Bank

Michael Latimore - Northland Capital Markets

Michael Funk - Bank of America Merrill Lynch

James Breen - William Blair & Company

Erik Lapinski - Morgan Stanley

Catharine Trebnick - MKM Partners

Operator

Hello, and welcome to today's 8x8, Inc. Fiscal Second Quarter 2023 Earnings Call. My name is Bailey, and I'll be your moderator for today's call. [Operator Instructions].

I would now like to pass the conference over to Kate Patterson. Please go ahead when you're ready.

Kate Patterson

Thank you, operator. Good afternoon, everyone. Today's agenda will include a review of our second quarter results with Dave Sipes, Chief Executive Officer; and Sam Wilson, our Chief Financial Officer.

Following our prepared remarks, there will be a question-and-answer session. Before we get started, let me remind you that our discussion today includes forward-looking statements about our future financial performance, including our increased focus on profitability and cash flow as well as our business, products and growth strategies. We caution you not to put undue reliance on these forward-looking statements as they involve risks and uncertainties that may cause actual results to vary materially from forward-looking statements as described in our risk factors in our report filed with the SEC.

Any forward-looking statements made on this call and in the presentation slides reflect our analysis as of today, and we have no plans or obligation to update them. Certain financial measures that will be discussed on this call, together with year-over-year comparisons, in some cases, were not prepared in accordance with U.S. generally accepted accounting principles or GAAP.

A reconciliation of those non-GAAP measures to the closest comparable GAAP measures is provided in the earnings press release and earnings presentation slides, which are available on 8x8 Investor Relations website at investors.8x8.com.

With that, I'll turn the call over to our CEO, Dave Sipes.

David Sipes

Thank you, Kate. Good afternoon, everyone, and thank you for joining us today. On the call today, I will review our second quarter results and provide an update on our plan for fiscal year 2023 as we place greater emphasis on profitability and cash flow generation. We believe that this is the right strategy to deliver value to our stakeholders, customers, employees and shareholders, and it is reflected in our increased operating margin guidance range for the year. We delivered another solid quarter, delivering revenue in line with our guidance and non-GAAP profits and operating cash flow above expectations. Our continued emphasis on operational efficiency as well as a favorable mix of higher margin ex cap revenue resulted in higher gross profit.