Weave Communications (WEAV) Q1 2026 earnings summary

Executive summary

• Achieved Q1 2026 revenue of $65.5 million, up 17.4% year-over-year, surpassing guidance and marking the 17th consecutive quarter of meeting or exceeding revenue targets.

• Non-GAAP gross profit reached $47.9 million, up 19.1% year-over-year, with a 73.2% non-GAAP gross margin, a 110 basis point improvement.

• Non-GAAP operating income was $2.5 million, up from breakeven, and non-GAAP net income reached $2.8 million.

• Over 50% of customer locations now use at least one embedded AI solution.

• Added a record number of new customer locations, with strong performance in medical and dental verticals.

Financial highlights

• Q1 2026 revenue was $65.5 million, up 17.4% year-over-year.

• Non-GAAP gross profit was $47.9 million, up 19.1% year-over-year; non-GAAP gross margin improved to 73.2%, up 110 basis points.

• Non-GAAP operating income was $2.5 million, a $2.5 million improvement year-over-year; non-GAAP net income was $2.8 million.

• Free cash flow was negative $7.1 million, reflecting seasonal disbursements and increased investment.

• Adjusted EBITDA was $3.7 million, up from $1.0 million year-over-year.

Outlook and guidance

• Q2 2026 revenue expected between $67.2 million and $68.2 million; non-GAAP operating income guidance of $2.1 million to $3.1 million.

• Full-year 2026 revenue outlook raised to $275 million–$278 million; non-GAAP operating income expected at $10.5 million–$13.5 million.

• Anticipates positive free cash flow for the first half of 2026.