RingCentral (RNG) reported $620.4 million in revenue for the quarter ended June 2025, representing a year-over-year increase of 4.6%. EPS of $1.06 for the same period compares to $0.91 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $617.72 million, representing a surprise of +0.43%. The company delivered an EPS surprise of +3.92%, with the consensus EPS estimate being $1.02.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how RingCentral performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Gross Margin - Other: -23.1% versus the six-analyst average estimate of -7.6%.
- Gross Margin - Subscriptions: 80.6% versus 80.5% estimated by six analysts on average.
- Revenues- Subscriptions: $598.73 million compared to the $597.67 million average estimate based on six analysts. The reported number represents a change of +5.6% year over year.
- Revenues- Other: $21.67 million versus $19.98 million estimated by six analysts on average. Compared to the year-ago quarter, this number represents a -16.2% change.
View all Key Company Metrics for RingCentral here>>>
Shares of RingCentral have returned -19.6% over the past month versus the Zacks S&P 500 composite's +1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
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Ringcentral, Inc. (RNG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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