Bandwidth Inc. (NASDAQ:BAND) Q3 2024 Earnings Conference Call October 31, 2024 8:00 AM ET

Company Participants

Sarah Walas - Vice President of Investor Relations
David Morken - CEO
Daryl Raiford - CFO
John Bell - Chief Product Officer

Conference Call Participants

Jim Fish - Piper Sandler
Will Power - Baird
Pat Walravens - JMP
Ryan Mac - Barclays
Meta Marshall - Morgan Stanley

David Morken

Thank you, Sarah. Welcome to Bandwidth's Q3 2024 earnings call. We're pleased to report solid momentum in Q3 carrying us into the end of the year with record revenue and profitability performance, strong conversion to free cash flow and continued operating discipline. Given the over performance in the quarter, we are raising our full year outlook on both the top and bottom lines. These results are driven by the trust our customers place in us to deliver their business critical services, and I'm deeply grateful to our customers and our bandmates who make this possible.

I also want to take a moment to thank God for the opportunities he has provided to us all. In September, we hosted Reverb24, our first ever user conference at our campus in Raleigh, North Carolina. The event was a huge success as we engaged with over 100 customers and prospects in person and 1,400 more streaming globally. This was truly a milestone moment in our 25 year history and a strong proof point that the world's large enterprises rely on Bandwidth to transform their customer and employee experiences. As one customer told us afterwards, I have a much better understanding of Bandwidth, your capabilities and your culture. Kudos to your team for a great event and an amazing showcase.

Let's take a quick look at the takeaways from Reverb.

[Audio-Video Presentation]

At Reverb, we're proud to have announced our plan to develop an industry first nomadic emergency services solution for markets outside the U.S. as well as progress on a new number reputation management solution for trusted calling and also a new centralized message registration center for faster and easier texting campaign registration. These innovations cross all three of our key customer categories, global communications plans, programmable services and direct enterprise. In addition to being true technical milestones achieved by our talented team, they are also business critical solutions that will drive continued revenue growth and margin expansion. So let's dig in.

Our new next generation Bandwidth universal platform is the foundation of everything we do. At Reverb, we unveiled a number of powerful new capabilities to turbocharge the Bandwidth experience, including faster onboarding, automated workflow management, tailored regulatory frameworks and deeper performance monitoring, all managed through convenient software APIs.