-=Vonage (VG) reported earnings on Wed 6 Nov 19 (b/o)

Vonage misses by $0.08, reports revs in-line; guides Q4 revs below consensus

Reports Q3 (Sep) loss of $0.02 per share, excluding non-recurring items, $0.08 worse than the S&P Capital IQ Consensus of $0.06; revenues rose 15.7% year/year to $302.5 mln vs the $302.88 mln S&P Capital IQ Consensus. Vonage Business Revenues were $207 million, representing 34% GAAP growth. Business Service Revenues were $184 million, a 37% GAAP increase. Adjusted to include acquisitions for all periods and other one-time items, Vonage Business Service Revenues increased 21% year-over-year or 23% in constant currency. Consumer Revenues were $96 million, down 11% year-over-year. Adjusted Operating Income Before Depreciation and Amortization of $45 million, in-line with ests.

Co issues downside guidance for Q4, sees Q4 revs of $304-307 mln vs. $308.64 mln S&P Capital IQ Consensus. Vonage Business Revenues in the range of $214 million to $216 million. Consumer Revenues in the area of $90 million to $91 million. Consolidated Adjusted OIBDA in the range of $43 million to $46 million. Accordingly, 2019 Adjusted OIBDA is now expected to be in the $157 million to $160 million range. This change primarily reflects the increased lag in revenue recognition due to higher Deferred Revenues driven by larger new contact center customer bookings.