Overview

* eGain Corp ( EGAN ) Q4 revenue rises 3% yr/yr, beating analyst expectations, per LSEG data

* GAAP net income surges to $30.9 mln, aided by $29 mln tax benefit

* Adjusted EBITDA margin improves to 19% from 11% in Q4 2024

* Co increases stock repurchase program by $20 mln

Outlook

* eGain expects Q1 2026 revenue between $23.0 mln and $23.5 mln

* Company anticipates FY 2026 revenue between $90.5 mln and $92.0 mln

* eGain forecasts Q1 2026 GAAP net income of $900,000 to $1.6 mln

* Company sees FY 2026 GAAP net income of $3.5 mln to $5.0 mln

Result Drivers

* LARGE DEAL SIGNED - eGain attributes strong Q4 results to one of its largest deals ever signed

* TAX BENEFIT - GAAP net income significantly boosted by a $29 mln tax benefit from the release of a valuation allowance

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q4 Beat $23.23 $23 mln

Revenue mln (2

Analysts

)

Q4 EPS $1.13

Q4 Net $30.86

Income mln

Q4 EBIT $3.25

mln

Q4 Gross $16.88

Profit mln

Q4 $13.63

Operatin mln

g

Expenses

Q4 $3.30

Pretax mln

Profit

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 $8.00, about 22% above its September 3 closing price of $6.24

* The stock recently traded at 30 times the next 12-month earnings vs. a P/E of 27 three months ago

Press Release:

(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.)