Sangoma Technologies (STC) Investor presentation summary

Business overview and strategy

• Provides integrated voice, video, data, security, and connectivity solutions for small and mid-market businesses, emphasizing a single-vendor approach.

• Serves over 100,000 customers with 2.6 million UC seats and maintains less than 1% customer churn.

• Underwent a three-phase transformation: acquisition-driven growth, management-led integration and organic growth, and a current focus on sustainable, scalable expansion.

• Offers a broad portfolio including cloud-based SaaS, equipment, services, and proprietary technology, with flexible bundles and a focus on innovation.

• Targets the SMB market, which accounts for 44% of all IT spending, with tailored solutions and a focus on delivering enterprise-level experience at lower cost.

Market opportunity and customer base

• North American total addressable market (TAM) for unified communications and related services exceeds $57B, with strong growth in UCaaS and managed services.

• High demand for integrated, hybrid solutions, especially in regulated industries, and a shift from legacy systems to modern platforms.

• Diverse customer base spans private and public sectors, including education, healthcare, retail, and government.

• Channel partners are critical, with the top 400 partners accounting for over 80% of monthly recurring revenue.

Operational transformation and scalability

• Completed consolidation of systems and platforms, including integrated CRM, ERP, and billing, enabling scalable growth and operational efficiency.

• Focused on industry-specific solutions for healthcare, education, government, and distributed enterprises.

• Maintains high-margin, recurring revenue streams, with ~90% of revenue recurring and gross margins reaching 72%.