For the quarter ended September 2025, RingCentral (RNG) reported revenue of $638.66 million, up 4.9% over the same period last year. EPS came in at $1.13, compared to $0.95 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $636.82 million, representing a surprise of +0.29%. The company delivered an EPS surprise of +4.63%, with the consensus EPS estimate being $1.08.
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 - Subscriptions: 80.8% versus the five-analyst average estimate of 80.6%.
- Gross Margin - Other: -10.9% compared to the -14% average estimate based on five analysts.
- Annualized Exit Monthly Recurring Subscriptions (ARR): $2.6 billion compared to the $2.62 billion average estimate based on two analysts.
- Revenues- Subscriptions: $615.82 million compared to the $615.55 million average estimate based on five analysts. The reported number represents a change of +5.6% year over year.
- Revenues- Other: $22.83 million versus the five-analyst average estimate of $20.8 million. The reported number represents a year-over-year change of -11.5%.
View all Key Company Metrics for RingCentral here>>>
Shares of RingCentral have returned +7.5% over the past month versus the Zacks S&P 500 composite's +2.4% 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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