Five9 Q1 Revenue Rises 9% to $305M, GAAP Income $18.4M, $200M Buyback
Five9’s Q1 revenue rose 9% year-over-year to $305.3 million, with GAAP gross margin rising to 55.9% and adjusted margin to 63.6%. GAAP net income climbed to $18.4 million, or $0.21 per share, while non-GAAP net income reached $58.6 million and the board authorized $200 million in new share repurchases.
1. First Quarter Financial Results
In Q1 2026, Five9’s revenue rose 9% year-over-year to $305.3 million. GAAP gross margin improved to 55.9%, adjusted gross margin reached 63.6%, GAAP net income climbed to $18.4 million ($0.21 per share), and non-GAAP net income increased to $58.6 million ($0.76 per share). Adjusted EBITDA was $74.5 million, or 24.4% of revenue, and GAAP operating cash flow totaled $63.9 million.
2. Share Repurchase Programs
Five9 completed an accelerated share repurchase of $90 million to close out the prior $150 million plan and its board authorized a new $200 million common stock buyback. The expanded repurchase program is intended to enhance shareholder value and reflects confidence in the company’s cash flow generation.
3. Business Highlights and Outlook
LTM subscription and telecom dollar-based retention stood at 105%, with a 107% subscription-only retention rate as of March 31, 2026. The company appointed Jay Lee as Chief Marketing and Growth Officer and launched a joint AI customer experience solution with Google Cloud. Full-year 2026 revenue is guided to $1.254–$1.266 billion, with GAAP EPS of $0.73–$0.85 and non-GAAP EPS of $3.22–$3.30.