# Bandwidth Returns to Quarterly Profit as Revenue Grows 22%

The cloud-communications company reported stronger cash flow and $234 million in revenue, while its reported gross margin declined.

By Will Langan | 24X7 News
Published: 2026-10-29T13:05:05.323Z
Updated: 2026-10-29T13:05:05.323Z
Section: Technology
Format: News
Canonical: https://24x7news.us/articles/bandwidth-third-quarter-results-october-29-2026

Bandwidth reported October 29 that third-quarter revenue rose 22% to approximately $234 million, up from $192 million a year earlier.

The cloud-communications company recorded $5.2 million in net income, compared with a $1.2 million loss. Diluted earnings were 13 cents per share, versus a loss of 4 cents.

Adjusted net income was $19.9 million, or 50 cents per diluted share on the company’s adjusted basis. That measure excludes specified costs and other items included in reported earnings.

Reported gross margin declined to 36% from 38%. Bandwidth also reported a 61% adjusted gross margin, calculated against its cloud-communications revenue rather than total revenue, so the two percentages use different bases.

Operating cash flow increased to $37.7 million from $22.2 million. Free cash flow, after capital investment, rose to $33 million from $13.1 million.

Management forecasts annual revenue of $905 million–$910 million, adjusted EBITDA of $124 million–$125 million and adjusted earnings of $1.73–$1.79 per share.

Those full-year figures are projections. The quarterly results describe the company’s financial performance, rather than independent evidence for its product-performance claims.

Sources:
Bandwidth — October 29 Results: https://www.prnewswire.com/news-releases/bandwidth-announces-third-quarter-2026-financial-results-302922787.html

## Sources
- Bandwidth — Third-Quarter Financial Results: https://www.prnewswire.com/news-releases/bandwidth-announces-third-quarter-2026-financial-results-302922787.html