Sangoma Technologies reported Q2 revenue of $51.5 million, up 1% sequentially and in line with management expectations. On a like-for-like basis—excluding $6.4 million from the divested VoIP Supply unit—revenue was down 2% year-over-year. Gross profit improved to $38.2 million, representing a 74% margin versus 72% in the prior quarter, driven by growth in recurring services. Operating expenses increased 4% sequentially to $40.0 million, reflecting higher commission expenses on large bookings. The company posted a net loss of $2.0 million, or $0.06 per share, flat with the prior year period. Adjusted EBITDA was $8.3 million, or 16% of revenue, aligning with historical seasonal trends, while monthly recurring revenue bookings rose 60% year-over-year.

Sangoma generated $10.1 million of net cash from operations in Q2, equivalent to 122% of Adjusted EBITDA, and reported free cash flow of $8.0 million, or $0.24 per share. The balance sheet strengthened with total debt reduced by 38% year-over-year to $37.6 million, while cash on hand stood at $17.1 million. The company repurchased over 700,000 shares under its Normal Course Issuer Bid since March 2025, including 195,949 shares during the quarter, at a total buyback cost of approximately $1.0 million.

Following sequential revenue growth in Q2, Sangoma narrowed its full-year revenue forecast to a range of $205 million to $208 million, up modestly from the prior target of $200 million to $210 million. The company also tightened its expected Adjusted EBITDA margin to 17%–18%, reflecting incremental go-to-market investments designed to accelerate organic growth while maintaining capital discipline.