Overview

* eGain fiscal Q1 revenue grows 8% yr/yr, beating analyst expectations

* Adjusted EPS for fiscal Q1 beats analyst estimates, indicating strong operational performance

* Company repurchased 231,000 shares, totaling $1.5 mln

Outlook

* eGain expects Q2 2026 revenue between $22.3 mln and $22.8 mln

* eGain forecasts FY 2026 revenue between $90.5 mln and $92.0 mln

* Company anticipates FY 2026 adjusted EBITDA of $10.4 mln to $11.9 mln

Result Drivers

* AI KNOWLEDGE HUB GROWTH - eGain's AI Knowledge Hub saw a 23% yr/yr increase in ARR, contributing significantly to revenue growth

* NEW AI PRODUCTS - eGain launched three new AI products, generating significant interest from customers and partners

* HIGHER GROSS MARGIN - eGain reported a GAAP gross margin of 75%, up from 69% in Q1 2025, due to improved operational efficiencies

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q1 Beat $23.51 $23.20

Revenue mln mln (2

Analysts

)

Q1 Beat $0.17 $0.10 (2

Adjusted Analysts

EPS )

Q1 EPS $0.10

Q1 Slight $2.82 $2.81

Adjusted Beat* mln mln (2

Net Analysts

Income )

Q1 Net $2.82

Income mln

Q1 EBIT $2.83

mln

Q1 Gross $17.68

Profit mln

Q1 $14.84

Operatin mln

g

Expenses

Q1 $3.75

Pretax mln

Profit

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the software peer group is "buy"

* Wall Street's median 12-month price target for eGain Corp ( EGAN ) is $8.25, about 83% below its November 11 closing price of $15.10

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)