RingCentral (RNG) reported $644.03 million in revenue for the quarter ended December 2025, representing a year-over-year increase of 4.8%. EPS of $1.18 for the same period compares to $0.98 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $642.29 million, representing a surprise of +0.27%. The company delivered an EPS surprise of +3.69%, with the consensus EPS estimate being $1.14.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
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 - Non-GAAP Other: -10.6% versus the four-analyst average estimate of -9.5%.
- Gross Margin - Non-GAAP Subscriptions: 80.4% versus the four-analyst average estimate of 80.6%.
- Revenues- Subscriptions: $622.22 million versus the four-analyst average estimate of $621.84 million. The reported number represents a year-over-year change of +5.5%.
- Revenues- Other: $21.82 million compared to the $20.44 million average estimate based on four analysts. The reported number represents a change of -12.2% year over year.
View all Key Company Metrics for RingCentral here>>>
Shares of RingCentral have returned +14.1% over the past month versus the Zacks S&P 500 composite's -0.8% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Ringcentral, Inc. (RNG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research