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Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 4:30 p.m. ET Investor Relations - Moriah Shilton Chief Executive Officer - Brett White Chief Financial Officer - Jason Christiansen Operator: Hello, everyone. Thank you for joining us, and welcome to the Weave second quarter 2026 earnings conference call. After today's prepared remarks, we will host a question and answer session. If you would like to ask a question, please press star one to raise your hand. To withdraw your question, press star one again. I will now hand the conference over to Moriah Shilton, investor relations. Moriah, please go ahead. Moriah Shilton: Thank you, Al. Good afternoon, everyone, and welcome to Weave's second quarter 2026 earnings call. With me on today's call are Brett White, CEO, and Jason Christiansen, CFO. During the course of this conference call, we will make forward-looking statements regarding the anticipated performance of our business. These forward-looking statements are based on management's current views and expectations, entail certain assumptions made as of today's date, and are subject to various risks and uncertainties described in our SEC filings. Weave disclaimed any obligation to update or revise any forward-looking statements. On today's call, we will also discuss certain non-GAAP metrics that we believe aid in the understanding of our financial results. Unless otherwise noted, all numbers we talk about today will be on a non-GAAP basis, which excludes acquisition-related costs related to certain shareholder matters, amortization of acquired intangible assets, and stock-based compensation. A reconciliation to comparable GAAP metrics can be found in today's earnings release, which is available on our investor relations website and as an exhibit to the Form 8-K furnished with the SEC before this call, as well as the earnings presentation on our investor relations website. With that, I will now turn the call over to Brett. Brett White: Thank you, Moriah, and thank you all for joining us today. Weave delivered strong results in the second quarter. Total revenue was $67.5 million, 15.5% growth over last year, and payments grew at roughly double that rate. Revenue retention, measured on a quarterly basis, also improved sequentially. We added the most new locations ever in a single quarter, both on a gross and net basis. Dental, our largest vertical, had a strong quarter, adding more locations on a gross and net basis than it has in the last eight quarters. On the medical front, we released a significantly deeper integration with the athenaOne platform and joined athenahealth's Marketplace, making our innovative solutions available to more than 160,000 specialty medical providers. As part of our commitment to deliver increasingly profitable growth, we made significant progress optimizing our go-to-market motion. Sales and marketing expense as a percentage of revenue was down sequentially. Overall, we expanded our operating margin to almost 5%, up sharply from roughly break even in the same quarter last year. Over the last 12 months, we have increased our revenue by $37 million and seen over 19% of that incremental improvement convert to adjusted EBITDA, demonstrating that our business gets substantially more profitable at scale. With that financial context in mind, I'd like to dive deeper into the fundamentals of our business and why we're so confident in our long-term position. Weave is the unified AI-powered patient engagement and payments platform, purpose-built for healthcare practices. We bring together AI agents and practice staff interactions across voice and text into unified workflows. Acting as an always-on teammate, Weave is the orchestration layer that helps practices continuously improve patient relationships, proactively assign tasks for staff follow-up, and deliver insights so practice owners can measure, analyze, and optimize their businesses. Whether I'm talking to owners of independent practices or operators running hundreds of locations, they all share the same need: increasing production. They also share the same three challenges impacting their businesses: scheduling and keeping treatment chairs full, staffing shortages and rising costs, and revenue leakage. Our primary focus at Weave is ensuring that our value to customers in addressing these challenges is a large and increasing multiple of their spending on our solutions. Starting with the most complicated and critical challenge to address, scheduling. Practice owners face increasing margin pressure, making efficient scheduling table stakes and full schedules a top priority. A recent survey found that appointment scheduling and confirmation top the list of tasks front desk staff wish were automated, with 49% citing it as their primary concern. Weave keeps schedules full by closing the gaps that drain production. Our platform has significant advantage because we own the patient practice communication layer through which almost every workflow originates or gets completed. This allows us to execute workflows through the trusted primary business phone number rather than from a random unknown phone number or a five-digit short code, leading to higher patient engagement with important messages. Weave ensures no call or text goes unanswered and converts inquiries into appointments. The impact is real. One doctor put it, "Weave's automated texts in response to missed calls drove a 70% decrease in missed opportunities." Automated recall and reactivation campaigns bring lapsed patients back before they slip away for good. When a cancellation opens up a slot on the schedule, Weave's waitlist workflows can be activated to convert the empty chair to revenue without manual back and forth between the staff and patients. Once someone on the waitlist books, staff are notified instantly, so no one is double-booked or contacted about an appointment that's already gone. Automated smart reminder workflows help keep appointments from being forgotten. Our AI Receptionist lets patients book, confirm, cancel, and reschedule appointments by voice or text around the clock. For one Weave customer, staff members spent hours of each day manually calling patients to confirm their upcoming visits, and the practice still suffered from a consistent pattern of no-shows. Rather than hoping staff would find time during their busy workday to call and nudge patients, the practice implemented a customized automated reminder sequence with Weave. Their no-show rate plummeted from multiple missed appointments every day to just one no-show every two weeks. A single automated text sequence captured substantial, otherwise lost revenue, and the doctor noted that the investment in Weave paid for itself almost instantly. Moving to challenge number two, staffing shortages and rising labor costs. Over 60% of practices surveyed have experienced a staffing shortage in the last 12 months. These vacant roles often impact scheduling and office production, resulting in reduced patient volume, lower treatment plan acceptance, and longer collection cycles. Additionally, employment costs for these positions have increased significantly due to a shortage of qualified office staff. Weave helps practices streamline their workload by automating the high-volume manual tasks that eat up staff hours, so leaner teams can focus on deeper-level work. The goal is simple: give people hours back so they can focus on patients, not paperwork. With Weave's 24/7 coverage, a front office team manages a single unified inbox instead of a backlog of missed calls and voicemails. Workflow automation runs across the entire patient journey, from the first intake form to the final balance collection. Pre-appointment Insurance Verification and eligibility checks reduce the amount of time sitting on hold with the insurance payers. The depth and breadth of the work Weave completes alters the way practices think about staffing and expenses. One doctor told us, quote, "I conservatively save over $50,000 a year in salary and overhead expenses by automating tasks and running a leaner team with Weave." End quote. Following the departure of their front desk manager, a Virginia-based practice used Weave to automate their front office workflows, which eliminated the need to backfill the role. In another example, a customer was buried in Insurance Verification tasks and noted that their practice administrator could spend over an hour on hold with the insurance payer for a single patient. After they implemented Weave's Insurance Verification, calls to the payers were significantly reduced, and time spent on verification per patient dropped to just a few minutes. Finally, our customers face the challenge of revenue leakage throughout the patient journey, from booking to final collection. Revenue leakage often goes unnoticed. According to multiple industry reports, the average dental practice writes off 9% or more of their gross billings annually. Weave plugs those leaks by embedding payments and revenue cycle management solutions directly into patient interaction workflows. It starts before the visit. Insurance eligibility is confirmed, and co-pays are collected up front with a card on file or Text to Pay. Text to Pay sends an automatic payment link from the practice number that patients already trust, helping practices collect money they may otherwise never receive. A practice administrator at a Florida-based dental office was responsible for verifying insurance for 60-100 patients a day. After adopting Weave's Insurance Verification, she went from struggling to finish a single day's work to comfortably completing the work in half the time. In addition to the time saved, those verifications represented timely payments instead of denials landing weeks later. What used to be a source of lost revenue and a real strain on the team became something that they could stay ahead of. In-house or third-party payment plans are also available through Weave, allowing providers to offer flexible financing options to help patients say yes to critical treatment. After the appointment, Weave automates follow-up for the small unpaid balances that typically fall to the bottom of the priority list. No front desk team wants to spend the valuable time chasing dozens of $30 co-pays, but those balances add up. After a payment request is created in Weave, reminders are sent automatically so balances don't linger. One doctor told us that Weave reduced their billing process to just five seconds per invoice via our Text to Pay solution. A practice administrator in Massachusetts said with Weave Text to Pay, payments came in just five to 10 minutes after patients were notified. As a result, they've collected more than $2 million through Weave Payments. Revenue that once aged in receivables or slipped away entirely is now collected almost immediately. We continue to address these challenges by adding new AI-powered products and features. In just one year, we added 70% more AI-powered features to the Weave platform. In the second quarter, custom AI interactions on our platform totaled 70 million and increased by 165% compared to last year. Call Intelligence, our longest-tenured standalone AI product, had 143% increase in interactions. Customers using Call Intelligence analyzed more than 14.5 million calls in Q2, servicing 810,000 unscheduled opportunities for staff follow-up. Only a portion of these opportunities were acted upon by staff. While millions of dollars in production value were captured, millions more were missed, a gap our AI Receptionist is uniquely positioned to close. Our AI Receptionist helps solve the core problem of 24/7 scheduling automation, keeping schedules full without requiring additional staff, providing clear benefits for single-location practices and scalable impact for multi-location organizations. Our AI Receptionist takes action after work hours or when the front office desk staff are busy. Today, our AI Receptionist answers inbound calls and text messages, responds to common patient questions, and books and manages appointments. As communicated on our last call, in May, we provided early access to voice capabilities on our AI Receptionist, representing the first step in moving beyond text to omni-channel patient engagement. The practice now has a complete view of all patient interactions and an agent that acts. Customer feedback has been incredibly positive. A customer in Georgia told us that using this product doubled the effectiveness of the receptionist function in just 30 days. A dentist office shared with us that their AI Receptionist gave their front desk staff much-needed breaks while ensuring 100% of missed calls received an immediate response. Another customer described the relief of having patient scheduling captured over the weekend. They told us that the best part of Monday morning is now seeing all the appointments the AI Receptionist booked while the team was away. As AI agents take on more of the routine administrative work, practice owners are able to run their business with technology working alongside their team. We see this freeing up staff to focus on things machines can't do. Front office teams become the reason patients feel known and cared for. They take on managing and directing the practice's AI workforce, and they become the engine behind new patient acquisition. In short, AI Receptionist isn't just automating tasks, it's elevating the role of the front office. Before I turn the call over to Jason, I want to spend a couple of minutes updating you on our go-to-market strategy. In previous calls, we shared our goal to improve the productivity of our go-to-market functions. We have implemented some key changes in our go-to-market organization, with sharper focus on ensuring that function is structured to support stronger growth with expanding profitability as we continue to scale. In the first half of the year, we verticalized our inbound sales function, putting specialized sellers in front of our key end markets. As new locations from specialty medical accelerate, we see increasing value in having experts showcase our value proposition and speak to vertical-specific pain points. We have now reached the scale that makes verticalization a cost-effective investment. Additionally, we gradually implemented an SDR model in our outbound sales function so that account executives can focus on demoing and closing. This moves prospecting from our account executives to our specialized SDR team, which now feeds a growing flow of qualified opportunities into the funnel. This change gives us a team of more senior account executives with our top closers running full calendars with higher quality meetings. Early indications from these changes are very positive. As stated earlier, we added a record number of new locations in the quarter, both gross and net, with particularly strong performance in dental. Importantly, we did that while reducing sales and marketing expenses as a percentage of revenue by 240 basis points sequentially. That is exactly the combination that we are building toward. More growth per dollar of sales and marketing. As with any change of this nature, the transition came with an adjustment period. Over the May to July period, as lead generation gradually moved to our SDR team and our account executives shift onto demoing and closing, it took time to calibrate the lead distribution with the appropriate execution, resulting in bookings slightly below our expectation, despite very strong demand. This impact is reflected in our revenue outlook, which Jason will walk through in a moment. This is a normal cost of moving to a more focused sales model. We have already sharpened lead routing and tightened incentive alignment. Given how positive the early indications have been, we recently made the decision to accelerate and complete this transition in August to compress the remainder of the adjustment period and build on our momentum. These adjustments to our go-to-market function set us up for stronger, higher-performing business going forward. Our current pipeline is stronger than ever, our sales organization is now operating as designed, and our conviction in this model is high. We believe we are well-positioned for long-term success with a more efficient operating infrastructure, a growing customer base, and an expanding market opportunity. With that, I'll turn the call over to Jason to walk through the financials in more detail. Jason Christiansen: Thanks, Brett, and good afternoon, everyone. The second quarter of 2026 was a solid quarter for Weave with continued revenue growth and much-improved operating income as we continue to execute across the business. In the second quarter, we produced $67.5 million in total revenue, which represents 15.5% year-over-year growth. Driven by payments, which grew at roughly twice the rate of total revenue, and acceleration in new location additions in the last 12 months. Q2 was another record quarter in gross and net location adds. The largest increase was in specialty medical, with accelerating growth in all three of our more established verticals: dental, optometry, and veterinary. A slight headwind to Q2 revenue was a quarter-over-quarter and year-over-year decrease in onboarding revenue due to lower setup fees. Moving forward, we are renewing our focus on consistently collecting these one-time setup fees. Gross profit grew 16% year-over-year to $49 million. Gross margin for the quarter was 72.6%, representing a year-over-year improvement of 30 basis points. Customer support continues to be a source of leverage as expenses have decreased as a percentage of revenue through technology and AI adoption, product improvements, self-serve capabilities, and other operational improvements focused on elevating the customer experience. These improvements were offset in part by increased usage fees for messaging and trued up invoices on certain vendor agreements. Q2 also has our largest cohort of customers who pay annually in advance, which results in an increase in credit card fees tied to the payment of customer invoices. These last two points comprise the gross margin decrease of 60 basis points sequentially. Subscription and payment processing gross margin was 77.9%. Turning to our reported dollar-based revenue retention rates, GRR was 89% and NRR was 92%, holding steady, with continued improvement in the monthly net revenue retention rate through Q2. As a reminder, our reported dollar-based revenue retention rates are a weighted average of the previous 12 months' monthly retention rates. As such, it can take multiple quarters for improvements to show through in reported metrics. Total operating expenses for Q2 were 68% of revenue. General and administrative expenses were $10 million and decreased over 200 basis points year-over-year to 15% of revenue from 17% in Q2 2025, as we held these expenses flat year-over-year. Research and development expenses were also $10 million, or 15% of revenue, and decreased by 40 basis points compared to the prior year. We saw significant improvement in sales and marketing expenses as a percent of revenue, which totaled $25.8 million or 38% of revenue. This represents a 160 basis point improvement from last year, and more importantly, a sequential improvement of 240 basis points. We expect improvements in our sales and marketing efficiency to continue as the go-to-market changes Brett discussed get reflected in our results. Operating income for the quarter was $3.2 million compared to breakeven in Q2 2025 and exceeded the top end of our guidance. Operating margin was 4.7%, a 460 basis point improvement over the prior year and an 80 basis point improvement sequentially. The improvement in sales and marketing directly contributed to these profitability improvements. Additionally, we converted 34% of the Q2 revenue growth year-over-year into incremental operating income, which we are really pleased with. That is a significant improvement over the 13% incremental margin in Q2 2025 and the 26% incremental margin in the prior quarter. Turning to the balance sheet and cash flow, we ended the quarter with $78.5 million in cash and short-term investments, an increase of $5.8 million sequentially. Cash from operating activities in Q2 was $10.2 million, and free cash flow was $8.7 million. We were free cash flow positive for the first half of 2026. Looking ahead, for the full year 2026, we now expect total revenue to grow to be in the range of $273 million-$275 million, which reflects the impact of the go-to-market transition adjustment period Brett discussed. As a result of the same initiatives, we are raising our non-GAAP operating income guidance to reflect the improvements in operating efficiency and now expect it to be in the range of $12 million-$14 million. We expect our enhanced go-to-market model to support sustained revenue growth, supported by a more focused and efficient sales and marketing organization. This should enable continued operating leverage as we scale and create a clear path to greater profitability over time. For the third quarter of 2026, we expect total revenue to be in the range of $68.6 million-$69.6 million. We expect third quarter operating income to be in the range of $3 million-$4 million. We expect our weighted average share count for Q3 to be approximately 80.2 million shares and approximately 79.8 million shares for the full year. With that, I'll turn the call over to the operator for Q&A. Operator: We will now begin the question and answer session. If you would like to ask a question, please press star then one to raise your hand. To withdraw your question, press star one again. We ask that you pick up your handset when asking a question to allow for optimum sound quality. If you are muted locally, please remember to unmute your device. Please stand by while we compile the Q&A roster. Your first question comes from Alex Sklar from Raymond James. Your line is now open. Alex Sklar: Great. Thank you. Brett, and maybe for you too, Jason, just a couple of questions on the revenue outlook to start here. Can you just help reconcile the comments about the record gross and net locations in the quarter? I think I heard payments continues to be 2x the growth rate of core subscription with your comments on the go-to-market disruption that you saw inter-quarter and how that all plays together with the lower growth outlook. Thanks. Jason Christiansen: Yeah. Thank you. As Brett highlighted in his prepared remarks, I guess let me back up. We had really strong growth in Q1 and Q2 from a location ads perspective. We've seen good strength there. Most of that is continued flow-through from new deals sold up to that point. As we got to the sales transition, that period between May and July that he referenced is where we'll begin to see some of the impacts of just some of the challenges on new sales as they came through. The demand remained very strong through that period, and there were some challenges with the lead distribution side as we talked about. That's something that's really just going to flow through in the back half of the year from a revenue guidance perspective. That's what you're seeing within the revenue guide is the impact of that. Brett White: Yeah. Booking shortfalls in May, June, and July, only a bit of it would actually show up in Q2, it's going to show up in Q3, the waterfall of that into Q4. Alex Sklar: Okay. I appreciate that color. Maybe just a quick follow-up on that. In terms of linearity since you've made these go-to-market changes, any color on that May to July period? Did you already start to see improvements? It looks like Q4 maybe embeds a little bit of an improvement versus third quarter. Is that because you're already starting to see improvements? Is that AI Receptionists coming in? Related, any update on the relative size of the overall team now on the sales and marketing front? It sounds like more weighting to the SDR. Are quota heads down? Is it the same size team, we're just splitting them up a little bit differently in terms of verticals? Just a little bit more color on go-to-market. Thanks. Brett White: Sure. As far as timing and progress, we have actually two things that we did there. We verticalized the inbound team, we've seen positive results on that. We verticalized them in Q1, that's part of what we saw the improvement in dental, also strong location ads there. That would be we're already seeing positive indicators there. On the outbound side, that's the part that got disrupted May to July. We originally planned to do a phased hybrid transition that was going to go, I think, through October, we actually pulled that transition completion date forward to the first week in August. We've just completed the transition first week in August, now we'll see through August and September how the impact flows through. The early indicators are that the team likes the changes because we're giving our top sellers the best leads, and they don't have to do prospecting anymore. That just makes a more efficient model. The optimism is high on the team, and we just need to execute on the new model. As far as the team size, the team size is smaller. We did reduce the size of the outbound team. Some of the former sellers were actually offered SDR positions and accepted. The good news is a number of the new SDR positions that were created were actually those jobs were filled by existing team members, so the ramp time is much quicker, but the team is smaller for sure. Alex Sklar: Okay. Great color on that. Maybe just squeeze in one more for me, just on specialty medical specifically. Brett, you talked about the deeper integration with athenahealth. It appears to include some better payment workflow there. Can you just talk to us about the opportunity within specialty medical specifically versus those other verticals in terms of where the average revenue per customer size is today and how some of these deeper integrations offer you from an upsell unlock perspective? Brett White: You bet. One of the things that the data shows is, we've talked about this a lot, you enter a vertical, you get the deep integrations, over time, your ASP goes up, your retention rate goes up, and your CAC goes down. That is driven by vertical, but it's also most importantly driven by integrations. The deeper the integrations, the better the unit economics are. This data just proves out time and time again. Because we are relatively new in specialty medical versus dental, opto, vet, we had fewer integrations. We were newer to the market, so ASP was lower, retention rates were lower, and CAC was higher. Getting a deeper integration into athenahealth is huge. First of all, it's a big platform. It serves a lot of subverticals, but specifically in the subverticals where we are, they've got 160,000 locations, I think. Our integrations go from level one to level five. With this integration, we went from one to four, which is fantastic. That'll definitely improve our revenue opportunity, our retention rates, and over time, retention rates, ASP. The integrations are the key, and going deeper in such a broad and significant platform is a big deal. We expect to continue to play this playbook through the medical vertical, which will improve those unit economics over time, which will obviously increase the average unit economics for the business. Alex Sklar: Awesome. I appreciate that color and exciting opportunity there. Jason Christiansen: Can I add just a couple of things? Just as a reminder, level one integration is part of what makes Athena very exciting. Brett talked about the level one integration. That's basically just a contact sync where we're reading patient names, basic information, phone numbers. Level four is where you start getting read and write capabilities across multiple tables within the EHR, which that's a significant step to go from a level one to a level four. Just to address your question about ASPs within the space, as you think about integrated versus non-integrated. In those areas within primary care and plastic surgery where we've got these integrations, we already see that we're able to start getting the improved ASPs that we talk about, but you have to follow more of the integration strategy, and that's already starting to show. Alex Sklar: Perfect. Thank you both. Operator: The next question comes from Hannah Rudoff with Piper Sandler. Your line is now open. Hannah Rudoff: Hi, guys. Thanks for taking my questions today. Just wanted to double-click on the go-to-market changes. It totally makes sense that there would be disruption from these changes. Jason, as you were resetting the guide, I guess, how did you think about how long the disruption could persist? Said kind of another way, how confident do you feel in the guide, and would you view it as de-risked here, and what assumptions are you embedding in the guide around bookings, net adds, and AI adoption? Jason Christiansen: Yeah. The guidance reflects our best thinking and projections right now based on these changes. We accelerated the timeline here to August for when we took action to fully cut over to some of the changes that Brett talked about with full closer versus full SDR motion, sourcing motions. With that, we anticipate that within the next couple of months, we should be back to executing more in line with what we had originally anticipated. Hannah Rudoff: Got it. Just want to make sure there's nothing you're seeing beyond the internally executed changes, and sounds like you're saying no changes in the demand environment, but have you seen any changes to things like sales cycles or budget scrutiny and things like that? Brett White: I recently was at Dykema, which is a very large DSO event in Denver. It's actually the largest DSO event in the U.S. several weeks ago, and met with our largest customers and also really large prospects. One message that just came in over and over and over as we talked to these CEOs is their need to standardize workflows across all of their practices. A DSO may own hundreds of practices, and they don't all have the same infrastructure. They may have different practice management platforms. There's just this new sense of urgency around standardizing the workflows. When we sit and talk to them about what we can deliver as far as standardizing across hundreds of locations, just standardizing the front office locations, what we can deliver, and what's on the roadmap. When we talk to them about what AI Receptionist can do for them, their eyes light up. I felt left there and subsequent conversations really optimistic around the industry's need for solutions that we offer. I felt really good coming out of there. We own, I think, what could be classified as the most defensible position in SMB healthcare, and that's the patient practice communication layer, which essentially all workflow originates or gets completed. We're in a great position, and I haven't seen a slackening of the demand environment. Certainly, these hiccups we had in this sales transition was not demand related at all. In fact, actually one of the reasons we had this hiccup is the SDR motion was doing so well. They were beating their targets as far as setting up appointments, that the AEs calendars actually just got too full with lower value opportunities, as opposed to still having free time on their own to prospect some of the higher value opportunities. I'm not seeing anything on the demand side. I'm super optimistic about our future. In fact, we announced a partnership with the American Dental Association, I think, back in March, and it's doing really well. It's moved ahead to our second most productive affiliate program in just a few short months. The industry needs to standardize, the industry needs to solve the three problems that I talked about, and those are not going away. Those are getting more intense. I'm just super optimistic about our future. Hannah Rudoff: Super helpful color. Thanks, guys. Operator: The next question comes from the line of Parker Lane with Stifel. Your line is now open. Please go ahead. Parker Lane: Hey, guys. Good afternoon, thanks for taking the questions. Brett, if I heard you guys right, I think it was the most locations for dental in about eight quarters. I was wondering if you could dig into that a little bit more, if there was anything in particular this quarter, either from a demand perspective or some of the changes you've made that contributed to that. How do you view the sustainability of the trends you're seeing on the net add spaces in the dental vertical in particular? Brett White: Yeah. Hey, Parker. I attribute it to focus. Verticalizing the inbound sales force really got focus and got us putting the top sellers with industry expertise in front of our highest value leads. Instead of having a seller split their time between a dental lead and a medical lead, we now have enough volume that we can split those up and really get focused conversations and the ability to address industry vertical specific pain points. That would be one. We've made a number of changes on the marketing side as well, on how we drive leads, and that's shown, I think, real progress. Anything you would add? Jason Christiansen: No. I think it really comes down to the focus, the verticalization across sales and marketing, as Brett highlighted. I think things like the American Dental Association, leaning into relationships like that, all indications from my vantage point are that this is not a fleeting opportunity, that I think we're as encouraged as we've ever been on the opportunity long term. The position that we hold as we look forward, and the need for these practices as they modernize and standardize and digitalize their practices and their workflows, I think it's a real opportunity for us. Long term outlook, the opportunity's still there for us. We haven't lowered our long term prospects in view of our growth trajectory. We view this as more just a, I'll say, a ripple in the path that we're working through. Parker Lane: Got it. Thanks for the feedback, guys. Operator: The next question comes from the line of Mark Schappel with Loop Capital Markets. Your line is now open. Please go ahead. Mark Schappel: Thank you for taking my question. Brett, AI engagement continues to grow, as reflected in the growth of AI interactions across the platform that you spelled out. I was wondering if you could just talk a little bit about how that's translating into financial results, though. Specifically, are you expecting or seeing AI driving, say, higher ARPU, just better retention or just other revenue opportunities? Could you just address that? Brett White: Sure. First of all, most of these products are modules that are priced additionally, and/or they are part of an upsell to a higher bundle. We monetize the key AI products that I mentioned, Call Intelligence, AI Receptionist, et cetera. That would be number one. It's been proven time and time again that the more functionality you offer on your platform, the stickier the platform is. Especially, and this, I think, one, is underappreciated. Since we own the trusted practice phone number, and all interactions happen on the trusted practice phone number, the more functionality that we offer across that trusted phone number, the stickier the overall solution is. For sure, adding more functionality that takes place across our communication rails makes us stickier. Another thing is it makes the product easier to sell because we're moving away from being a software tool that practices use to an actual 24/7 teammate side by side that actually is a system of action that performs tasks that previously staff either couldn't get to or are just incredibly time-consuming, often fall through the cracks. It's getting easier and easier to prove ROI, especially with some of these AI tools where you say, "Okay, just give it a try. Just turn it on during lunchtime. Just turn it on at night. Just turn it on the weekends. See what happens." The proof points are really apparent. Additional monetization, additional stickiness, easier to sell, I think all of those things result in higher ARPU, higher LTV, lower CAC, kind of all the good things that you want. Jason Christiansen: I'll add something to that, which if you think about our framework for how do we price and monetize AI and AI adoption, we really look at the capabilities that we're delivering and whether it's incremental to the existing solutions customers are already using that would just make those products stickier. Those ones we don't necessarily monetize explicitly. For instance, that's like our Reviews Assistant, which helps you draft very context-aware responses to online reviews that you would get. That's not one that we monetize, but helps make the reviews product stickier. There are the other ones like Brett talked about that are just that new incremental capabilities like AI Receptionist. Brett White: I think one other thing to think about here is not only do we monetize the subscription piece, but it also gives us greater opportunity on the payment side. The more of these workflows that result in collecting balances, either before the appointment or after the appointment, we're able to monetize all the payments workflows. Our first half, this is a statistic you can't see, but I'll share it with you, our first half growth in payments volume is greater than the growth in payments volume in the first half of last year. We've got accelerating payments volume growth, and I think we're just scratching the surface on how some of these AI technologies can drive greater payments volume. Mark Schappel: That's helpful. Thanks. Operator: There are no further questions at this time. I will now turn the call back to Brett White for closing remarks. Brett White: Okay. Well, thank you. A huge thank you to the Weave team, our customers, and our shareholders for your continued support, and we look forward to talking to you again next quarter. Thank you. Operator: This concludes today's call. Thank you for attending. You may now disconnect. Before you buy stock in Weave Communications, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Weave Communications wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $400,209!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,375,393!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 13, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Weave (WEAV) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in Weave Communications, Inc.? Here are five stocks we like better. Weave reported solid Q2 financial results: Revenue increased 15.5% year over year to $67.5 million, while non-GAAP operating income improved to $3.2 million from breakeven. The company also generated $8.7 million in free cash flow and ended the quarter with $78.5 million in cash and short-term investments. Sales-organization changes created a temporary bookings shortfall: A transition to verticalized inbound sales and an SDR-based outbound model affected bookings from May through July, with the impact expected to weigh on second-half revenue. Weave lowered its full-year revenue outlook to $273 million-$275 million but raised its operating-income forecast to $12 million-$14 million. AI, payments and healthcare integrations remain growth priorities: AI interactions surged, including a 165% increase in custom AI usage, while a deeper athenahealth integration expanded Weave’s reach to more than 160,000 specialty medical providers. Management said demand remains strong, with potential benefits to retention, pricing and payment-processing growth. 3 Overlooked Stocks Where Rewards Outweigh the Risks Weave Communications (NYSE:WEAV) reported second-quarter revenue growth and improved profitability, while management said a transition in its sales organization created a temporary bookings shortfall that prompted a revision to its full-year revenue outlook. Total revenue rose 15.5% year over year to $67.5 million in the second quarter, CEO Brett White said. Payments revenue grew at roughly twice the pace of total revenue, while the company added a record number of new locations on both a gross and net basis. Dental, Weave's largest vertical, added more locations on a gross and net basis than in any of the preceding eight quarters. → No Hangover: Revisiting Microsoft One Week After Earnings Weave's non-GAAP operating income reached $3.2 million, compared with breakeven in the prior-year quarter, and operating margin improved to 4.7%. CFO Jason Christiansen said the company converted 34% of its year-over-year revenue growth into incremental operating income during the period. Gross profit increased 16% year over year to $49 million, producing a gross margin of 72.6%, up 30 basis points from a year earlier. Subscription and payment-processing gross margin was 77.9%. → MarketBeat Week in Review – 08/03 - 08/07 Christiansen said customer-support costs declined as a percentage of revenue, aided by technology and AI adoption, product enhancements and self-service capabilities. Those improvements were partially offset by higher messaging usage fees, adjustments to certain vendor invoices and elevated credit-card fees associated with a larger group of customers paying annually in advance. Sales and marketing expense totaled $25.8 million, or 38% of revenue, improving by 160 basis points from the prior year and 240 basis points sequentially. General and administrative expense was $10 million, or 15% of revenue, while research and development expense also totaled $10 million, or 15% of revenue. → Why the Landlord of the AI Boom Could Outlast the Chipmakers The company ended the quarter with $78.5 million in cash and short-term investments, up $5.8 million sequentially. Cash provided by operating activities was $10.2 million, and free cash flow was $8.7 million. Weave said it generated positive free cash flow during the first half of 2026. Management said it has been reorganizing its go-to-market organization to improve sales productivity and profitability. The company verticalized its inbound sales force during the first half of the year, assigning specialized sellers to key markets including dental and specialty medical. It also shifted outbound prospecting responsibilities toward a sales development representative, or SDR, model, allowing account executives to focus on demonstrations and closing sales. White said the changes produced positive early results, including record location additions and improved sales-and-marketing efficiency. However, the move created an adjustment period from May through July as lead generation shifted to SDRs and account executives changed their responsibilities. “It took time to calibrate the lead distribution with the appropriate execution, resulting in bookings slightly below our expectation, despite very strong demand,” White said. Christiansen said the effects of those bookings shortfalls will be more visible in revenue during the second half of the year. Weave accelerated the transition and completed the move to the revised outbound-sales structure in the first week of August. White said the outbound team is smaller following the changes, though some former sellers moved into SDR roles. For the full year, Weave now expects revenue of $273 million to $275 million. At the same time, it raised its non-GAAP operating-income outlook to $12 million to $14 million, reflecting expected operating-efficiency gains. For the third quarter, the company forecast revenue of $68.6 million to $69.6 million and operating income of $3 million to $4 million. White described Weave as an AI-powered patient engagement and payments platform for healthcare practices. The company said its tools are designed to help practices manage appointment scheduling, reduce administrative work and limit revenue leakage through payment and revenue-cycle workflows. Weave added 70% more AI-powered features to its platform over the past year, according to White. Custom AI interactions totaled 70 million during the second quarter, up 165% from a year earlier. Call Intelligence interactions increased 143%, with customers analyzing more than 14.5 million calls and identifying 810,000 unscheduled opportunities for staff follow-up. The company's AI Receptionist can answer inbound calls and text messages, respond to common patient questions, and book, confirm, cancel and reschedule appointments. Weave introduced early access to voice capabilities for the product in May. White said certain AI features are sold as additional modules or as part of higher-priced product bundles. He also said increased functionality can improve customer retention and create additional payment-processing opportunities as more workflows lead to collecting patient balances. Payments volume growth accelerated in the first half of 2026 compared with the first half of the prior year, White said, though he did not provide a dollar figure for the volume. Weave also expanded its relationship with athenahealth during the quarter, releasing a deeper integration with the athenaOne platform and joining athenahealth's Marketplace. Management said the marketplace makes Weave's offerings available to more than 160,000 specialty medical providers. White said Weave's athenahealth integration advanced from what the company classifies as level one to level four. Christiansen said level one largely involves syncing basic patient-contact information, while level four provides read-and-write capabilities across multiple electronic health record tables. Management said deeper integrations can support higher average selling prices, better retention and lower customer-acquisition costs over time. Weave said it is earlier in specialty medical than in dental, optometry and veterinary markets, and has historically had fewer integrations in the medical market. Despite the sales-transition disruption, White said management has not seen weakening demand. He pointed to interest from dental support organizations seeking to standardize workflows across multiple practices, as well as momentum from the company's partnership with the American Dental Association, which he said had become Weave's second-most productive affiliate program within several months. Weave Communications is a technology company that provides integrated communications and customer management solutions tailored for small- to medium-sized local businesses. Headquartered in Lehi, Utah, the company developed a cloud-based platform that unifies voice calling, business texting, appointment reminders and payment processing within a single interface. The platform's core offerings include a unified business phone system, two-way texting, automated appointment and recall reminders, secure payment acceptance and a basic customer relationship management module. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Weave Communications Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

This article first appeared on GuruFocus. Total Revenue: $67.5 million, representing 15.5% year-over-year growth. Payments Revenue: Grew at roughly twice the rate of total revenue. Gross Profit: $49 million, up 16% year-over-year. Gross Margin: 72.6%, a 30 basis point improvement year-over-year. Subscription and Payment Processing Gross Margin: 77.9%. Operating Income: $3.2 million, compared to breakeven in Q2 2025. Operating Margin: 4.7%, a 460 basis point improvement year-over-year. Sales and Marketing Expense: $25.8 million, or 38% of revenue, a 160 basis point improvement year-over-year and a 240 basis point improvement sequentially. General and Administrative Expenses: $10 million, or 15% of revenue, down from 17% in Q2 2025. Research and Development Expenses: $10 million, or 15% of revenue, a 40 basis point decrease year-over-year. Cash and Short-Term Investments: $78.5 million, an increase of $5.8 million sequentially. Cash from Operating Activities: $10.2 million in Q2. Free Cash Flow: $8.7 million in Q2. Dollar-Based Revenue Retention (GRR): 89%. Dollar-Based Revenue Retention (NRR): 92%. New Locations: Record gross and net location additions in Q2, with the largest increase in specialty medical. AI Interactions: Custom AI interactions totaled $70 million, up 165% year-over-year; Call Intelligence interactions increased 143%. Warning! GuruFocus has detected 2 Warning Signs with WEAV. Is WEAV fairly valued? Test your thesis with our free DCF calculator. Release Date: August 06, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Weave Communications Inc (NYSE:WEAV) delivered strong Q2 2026 results with total revenue of $67.5 million, representing 15.5% year-over-year growth, and payments revenue growing at roughly double that rate. The company achieved record gross and net new location additions in Q2, with its largest vertical, dental, adding more locations than in any quarter over the past eight quarters. Weave Communications Inc (NYSE:WEAV) significantly improved profitability, expanding operating margin to 4.7%, a 460 basis point improvement year-over-year, and converting 34% of revenue growth into incremental operating income. The company made strategic progress in its go-to-market model, including verticalizing its inbound sales function and implementing an SDR model, which contributed to a 240 basis point sequential improvement in sales and marketing efficiency. Weave Communications Inc (NYSE:WEAV) deepened its integration with the AthenaOne platform and joined Athena Health's marketplace, expanding its potential market to over 160,000 specialty medical providers. AI adoption is accelerating, with custom AI interactions totaling $70 million in Q2, up 165% year-over-year, and the AI receptionist product receiving positive customer feedback, including one customer reporting a doubling of receptionist effectiveness in 30 days. Weave Communications Inc (NYSE:WEAV) experienced a go-to-market transition disruption from May to July, leading to bookings slightly below expectations and a downward adjustment to its full-year revenue guidance. The company's full-year 2026 revenue guidance was revised down to a range of $273 million to $275 million, reflecting the impact of the sales model transition period. Weave Communications Inc (NYSE:WEAV) faced a slight headwind to Q2 revenue due to a quarter-over-quarter and year-over-year decrease in onboarding revenue from lower setup fees. Gross margin decreased by 60 basis points sequentially, impacted by increased usage fees for messaging, trued-up vendor invoices, and higher credit card fees associated with annual customer payments. The company's reported dollar-based net revenue retention (NRR) remained steady at 92%, indicating limited near-term expansion in existing customer revenue, despite improvements in monthly retention rates. The go-to-market transition involved a reduction in the outbound sales team size, which, while intended for efficiency, contributed to the temporary disruption and required a period of recalibration. Q: Can you reconcile the record growth in net locations with the lower revenue outlook, and how does the go-to-market disruption factor into this?A: Jason Christiansen (CFO) explained that while location adds were strong in Q1 and Q2, the sales transition period between May and July caused challenges in new sales due to lead distribution issues. This impact will flow through the back half of the year, which is reflected in the revised revenue guidance. Brett White (CEO) added that the bookings shortfall in May, June, and July will primarily show up in Q3 and Q4 revenue. Q: How did you think about the duration of the go-to-market disruption when resetting guidance, and how confident are you in the new guide?A: Jason Christiansen (CFO) stated that the guidance reflects the company's best projections, and they anticipate being back to normal execution within the next couple of months. Brett White (CEO) emphasized that the demand environment remains strong, citing positive feedback from a major DSO event and the success of the new SDR model, which was actually generating too many leads for AEs to handle, causing the calibration issue. Q: Can you provide more detail on the go-to-market changes, including the timeline for improvements and the size of the sales team?A: Brett White (CEO) explained that the inbound sales team was verticalized in Q1, which drove strong dental performance. The outbound transition to an SDR model caused the disruption, and the company accelerated the completion of this transition to August. The team is smaller, but many former AEs moved into SDR roles, which shortens the ramp time. The new model gives top sellers better leads and removes prospecting duties, which the team is positive about. Q: What is the opportunity within Specialty Medical, and how does the deeper AthenaHealth integration unlock value?A: Brett White (CEO) explained that deeper integrations lead to higher ASPs, better retention, and lower CAC. The AthenaHealth integration moved from a level one to a level four integration, which is a significant step that enables read/write capabilities across multiple EHR tables. This will improve unit economics in the medical vertical. Jason Christiansen (CFO) added that in areas with existing integrations, like primary care and plastic surgery, improved ASPs are already showing. Q: What drove the record location adds in the dental vertical, and is this trend sustainable?A: Brett White (CEO) attributed the strong dental performance to the verticalization of the inbound sales force, which puts specialized sellers in front of high-value leads. Jason Christiansen (CFO) added that the focus across sales and marketing, along with partnerships like the American Dental Association, indicates this is not a fleeting opportunity. The company views this as a real, long-term opportunity and has not lowered its long-term growth prospects. Q: How is AI engagement translating into financial results, and is it driving higher ARPU or better retention?A: Brett White (CEO) explained that AI products like Call Intelligence and AI Receptionist are monetized as additional modules or upsells. The more functionality offered on the platform, the stickier the solution becomes, especially since Weave owns the trusted practice phone number. This leads to higher ARPU, higher LTV, and lower CAC. Jason Christiansen (CFO) added that some AI features, like the reviews assistant, are not explicitly monetized but make existing products stickier. Brett White (CEO) also noted that AI workflows drive greater payments volume, which is accelerating. Q: Can you provide more color on the linearity of the May to July period and whether improvements were already visible?A: Brett White (CEO) stated that the verticalized inbound team showed positive results in Q1, driving dental improvements. The outbound transition was the disrupted part, and the company pulled the completion date forward to August. Early indicators are positive, and the team is optimistic about the new model. The company is now focused on executing the new model through August and September. Q: Are there any changes in the demand environment, sales cycles, or budget scrutiny beyond the internal go-to-market changes?A: Brett White (CEO) reported no slackening in demand. He cited a recent DSO event where customers expressed urgency around standardizing workflows across hundreds of locations. The company's position as the owner of the patient-practice communication layer is seen as highly defensible. The hiccup in sales was not demand-related; in fact, the SDR motion was so successful that AEs' calendars became too full with lower-value opportunities. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Second quarter total revenue of $67.5 million, up 15.5% year over year Second quarter GAAP gross margin of 72.0%, up 30 basis points year over year Second quarter Non-GAAP gross margin of 72.6%, up 30 basis points year over year Second quarter GAAP loss from operations of $4.4 million, down $5.8 million year over year Second quarter Non-GAAP income from operations of $3.2 million, up $3.1 million year over year Second quarter cash flow from operating activities of $10.2 million, up $4.8 million year over year Second quarter free cash flow of $8.7 million, up $4.2 million year over year LEHI, Utah, August 06, 2026--(BUSINESS WIRE)--Weave Communications, Inc. ("Weave") (NYSE: WEAV), a leading vertical SaaS platform that delivers AI-powered patient engagement and payment solutions for healthcare practices, today announced its financial results for the second quarter ended June 30, 2026. "Weave produced strong results for the second quarter, characterized by consistent growth and improvement in our operating leverage. Total revenue rose 15.5% year-over-year, our payments business accelerated at twice that pace, and we added the most new locations ever in a quarter, while also expanding our operating margin to 4.7%," said Brett White, CEO of Weave. "These results are a direct outcome of our unwavering focus on helping healthcare practices grow and teams thrive. We continue to define the intelligent front office in healthcare, building a durable, scalable business that delivers lasting value for all stakeholders." Second Quarter 2026 Financial Highlights Total revenue was $67.5 million, representing a 15.5% year-over-year increase compared to $58.5 million in the second quarter of 2025. GAAP gross margin was 72.0%, compared to 71.7% in 2025. Non-GAAP gross margin was 72.6%, compared to 72.3% in 2025. GAAP loss from operations was $4.4 million, compared to $10.2 million in the second quarter of 2025. Non-GAAP income from operations was $3.2 million, compared to $0.1 million in the second quarter of 2025. GAAP net loss was $4.3 million, or $0.05 per share, compared to $8.7 million, or $0.11 per share, in the second quarter of 2025. Non-GAAP net income was $3.3 million, or $0.04 per share, compared to $1.5 million non-GAAP net loss, or $0.02 per share, in the second quarter of 2025. Cash flow from operating activities was $10.2 million, compared to $5.4 million in the second quarter of 2025. Free cash flow was $8.7 million, compared to $4.5 million in the second quarter of 2025. Recent Business Highlights Launched an omnichannel AI Receptionist built on Google Cloud's Gemini Enterprise Agent Platform, enabling practices to execute front office workflows like appointment scheduling, preserve conversation context across voice and text, configure intelligent call routing, answer frequently asked questions, 24x7. Deepened the integration between Weave and athenaOne and joined athenahealth's Marketplace program, to help the network's 160,000+ providers maximize revenue capture, streamline administrative tasks and optimize payment collection. Announced an authorized integration with Elation Health, connecting patient communications directly to primary care practices' EHR systems and reducing time-consuming manual data entry. Expanded the company’s enterprise platform capabilities with single sign-on desktop authentication, enhanced AI Receptionist controls, and automated digital insurance eligibility and collection. Ranked #1 in G2's Summer 2026 Grid Report for Patient Relationship Management, earning the highest satisfaction score and largest market presence in the category, alongside Leader status across seven adjacent G2 categories. Financial Third Quarter and Full Year 2026 Outlook The company expects to achieve the following financial results for the three months ending September 30, 2026, and the full year ending December 31, 2026: The guidance provided above constitutes forward-looking statements and actual results may differ materially. Refer to the "Forward-Looking Statements" safe harbor section below for information on the factors that could cause our actual results to differ materially from these forward-looking statements. Non-GAAP income from operations excludes estimates for, among other things, stock-based compensation expense, acquisition transaction costs, amortization of acquisition-related intangible assets, and costs related to shareholder matters. A reconciliation of this non-GAAP financial guidance measure to a corresponding GAAP financial guidance measure is not available on a forward-looking basis because we do not provide guidance on GAAP income from operations and are not able to present the various reconciling cash and non-cash items between GAAP loss from operations and non-GAAP income from operations without unreasonable effort. In particular, stock-based compensation expense is impacted by our future hiring and retention needs, as well as the future fair market value of our common stock, all of which are difficult to predict and are subject to change. The actual amount of these expenses during 2026 will have a significant impact on our future GAAP financial results. Webcast The company will host a conference call and webcast for analysts and investors on Thursday, August 6, 2026, beginning at 4:30 p.m. EDT. The live audio webcast and a webcast replay of the conference call can be accessed from the investor relations page of Weave’s website at investors.getweave.com. About Weave Weave is a leading vertical SaaS company delivering an AI-powered patient communications and engagement platform purpose-built for modern healthcare practices. More than software, Weave is an always-on teammate—handling patient interactions across voice and text and operating at the center of the patient journey. Through agentic AI workflows and authorized integrations with practice management systems, Weave ensures critical tasks like scheduling, insurance verification, and payments happen seamlessly, so nothing falls between the cracks. By embedding AI directly into daily operations, Weave reduces administrative workload, frees up staff to focus on human-centered care, and delivers real-time insights that help practices run smarter and grow with confidence. Serving nearly 40,000 customer locations, Weave was named a 2026 Best Software Awards winner for healthcare software products by G2. To learn more, visit getweave.com/newsroom. Non-GAAP Financial Measures In this press release, Weave has provided financial information that has not been prepared in accordance with generally accepted accounting principles in the United States ("GAAP"). We disclose the following historical non-GAAP financial measures in this press release: non-GAAP net income, non-GAAP net income margin, non-GAAP net income per share, non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP income from operations, non-GAAP income from operations margin, Adjusted EBITDA and free cash flow. We use these non-GAAP financial measures internally to analyze our financial results and evaluate our ongoing operational performance. We believe that these non-GAAP financial measures provide an additional tool for investors to use in understanding and evaluating ongoing operating results and trends in the same manner as our management and board of directors. Our use of these non-GAAP financial measures has limitations as an analytical tool, and you should not consider them in isolation or as a substitute for analysis of our financial results as reported under GAAP. Because of these and other limitations, you should consider these non-GAAP financial measures along with other GAAP-based financial performance measures, including various cash flow metrics, operating loss, net loss, and our GAAP financial results. We have provided a reconciliation of these non-GAAP financial measures to their most directly comparable GAAP measures in the tables included in this press release, and investors are encouraged to review the reconciliation. Non-GAAP net income, non-GAAP net income margin and non-GAAP net income per share We define non-GAAP net income as GAAP net loss adjusted to exclude stock-based compensation expense, acquisition transaction costs, amortization of acquisition-related intangible assets and costs related to shareholder matters, and non-GAAP net income margin as non-GAAP net income as a percentage of revenue. Acquisition transaction costs include legal and any accounting professional services costs incurred as a result of our acquisition during the applicable period. Although we exclude the amortization of acquisition-related intangible assets from the non-GAAP measure, management believes it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and contribute to revenue generation. Non-GAAP net income per share is calculated as non-GAAP net income divided by the diluted weighted average shares outstanding. Non-GAAP gross profit and non-GAAP gross margin We define non-GAAP gross profit as GAAP gross profit adjusted to exclude stock-based compensation expense and amortization of acquisition-related intangible assets. Although we exclude the amortization of acquisition-related intangible assets from the non-GAAP measure, management believes it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and contribute to revenue generation. Non-GAAP gross margin is defined as non-GAAP gross profit as a percentage of revenue. Non-GAAP operating expenses We define non-GAAP operating expenses, in the aggregate or its individual components (i.e., sales and marketing, research and development or general and administrative), as the applicable GAAP operating expenses adjusted to exclude the applicable stock-based compensation expense, acquisition transaction costs, amortization of acquisition-related intangible assets and costs related to shareholder matters. Although we exclude the amortization of acquisition-related intangible assets from the non-GAAP measure, management believes it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and contribute to revenue generation. Non-GAAP income from operations and non-GAAP income from operations margin We define non-GAAP income from operations as GAAP loss from operations less stock-based compensation expense, acquisition transaction costs, amortization of acquisition-related intangible assets and costs related to shareholder matters. Although we exclude the amortization of acquisition-related intangible assets from the non-GAAP measure, management believes it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and contribute to revenue generation. Non-GAAP income from operations margin is defined as non-GAAP income from operations as a percentage of revenue. Adjusted EBITDA We define EBITDA as earnings before interest expense, interest income, other income/expense, income tax expense, depreciation, and amortization. Our depreciation adjustment includes depreciation on operating fixed assets and we do not adjust for amortization of finance lease right-of-use assets on phone hardware provided to our customers. Our amortization adjustment includes the amortization of capitalized costs from both internal-use software development and cloud computing arrangements. We further adjust EBITDA to exclude stock-based compensation expense, a non-cash item, acquisition transaction costs, which we believe are not reflective of ongoing results of operations in the period incurred and not directly related to the operation of our business, amortization of acquisition-related intangible assets, and costs related to shareholder matters, including third-party legal, consulting, and advisory fees related to a cooperation agreement, which we believe are outside of the ordinary course of business and not reflective of operational performance. Although we exclude the amortization of acquisition-related intangible assets from the non-GAAP measure, management believes it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and contribute to revenue generation. We believe that Adjusted EBITDA provides management and investors consistency and comparability with our past financial performance and facilitates period-to-period comparisons of operations. Additionally, management uses Adjusted EBITDA to measure our financial and operational performance and prepare our budgets. Free cash flow We define free cash flow as net cash provided by operating activities, less purchases of property and equipment and capitalized internal-use software costs. We believe that free cash flow is a useful indicator of liquidity that provides useful information to management and investors, even if negative, as it provides information about the amount of cash consumed by our combined operating and investing activities. For example, as free cash flow has in the past been negative, we have needed to access cash reserves or other sources of capital for these investments. Limitations and Reconciliation of Non-GAAP Financial Measures The foregoing non-GAAP financial measures have limitations as analytical tools and should not be considered in isolation or as substitutes for financial information presented under U.S. GAAP. There are a number of limitations related to the use of non-GAAP financial measures versus comparable financial measures determined under U.S. GAAP. For example, the non-GAAP financial information presented above may be determined or calculated differently by other companies and may not be directly comparable to that of other companies. In addition, free cash flow does not reflect our future contractual commitments and the total increase or decrease of our cash balance for a given period. Further, Adjusted EBITDA excludes some costs, namely, non-cash stock-based compensation expense, acquisition transaction costs, amortization of acquisition-related intangible assets and costs related to shareholder matters. Therefore, Adjusted EBITDA does not reflect the non-cash impact of stock-based compensation expense or working capital needs that will continue for the foreseeable future. All of these limitations could reduce the usefulness of these non-GAAP financial measures as analytical tools. Investors are encouraged to review the related U.S. GAAP financial measures and the reconciliations of these non-GAAP financial measures to their most directly comparable U.S. GAAP financial measures and to no rely on any single financial measure to evaluate our business. Forward-Looking Statements This press release and the accompanying conference call contain forward-looking statements including, among others, current estimates of third quarter and full year 2026 revenue and non-GAAP income from operations, and the quotations of our Chief Executive Officer. These forward-looking statements involve risks and uncertainties. If any of these risks or uncertainties materialize, or if any of our assumptions prove incorrect, our actual results could differ materially from the results expressed or implied by these forward-looking statements. These risks and uncertainties include risks associated with: our ability to attract new customers, retain existing customers and increase our customers’ use of our platform; our ability to manage our growth; the impact of unfavorable economic conditions and macroeconomic uncertainties on our company; our ability to maintain and enhance our brand and increase market awareness of our company, platform and products; customer adoption of our platform and products and enhancements thereto; customer acquisition costs and sales and marketing strategies; our ability to achieve profitability in any future period; competition; our ability to enhance our platform and products, including timely introducing our voice-enabled AI Receptionist across all vertical markets; interruptions in service; the ability of Weave to successfully integrate our acquisition of TrueLark and to achieve expected benefits from the acquisition; and the risks described in the filings we make from time to time with the Securities and Exchange Commission ("SEC"), including the risks described under the heading "Risk Factors" in our Quarterly Report on Form 10-Q for the three months ended March 31, 2026, filed with the SEC on May 5, 2026, which should be read in conjunction with our financial results and forward-looking statements and is available on the SEC Filings section of the Investor Relations page of our website at investors.getweave.com. All forward-looking statements in this press release are based on information available to us as of the date hereof, and we do not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they were made. Channels for Disclosure of Information Weave uses the investor relations page on our website (investors.getweave.com), blog posts on our website, press releases, public conference calls, webcasts, our X (Twitter) feed (@getweave), our Facebook page, and our LinkedIn page as the means of complying with our disclosure obligations under Regulation FD. We encourage investors, the media, and others to follow the channels listed above, in addition to following Weave’s press releases, SEC filings, and public conference calls and webcasts, and to review the information disclosed through such channels. View source version on businesswire.com: https://www.businesswire.com/news/home/20260805369954/en/ Contacts Investor Relations Contact [email protected] Media Contact Chelsea Kilpack Internal Communications & PR [email protected]

Weave Communications, Inc. (WEAV) came out with quarterly earnings of $0.04 per share, beating the Zacks Consensus Estimate of $0.03 per share. This compares to earnings of $0.02 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +33.33%. A quarter ago, it was expected that this company would post earnings of $0.02 per share when it actually produced earnings of $0.03, delivering a surprise of +50%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Weave Communications, which belongs to the Zacks Internet - Software industry, posted revenues of $67.54 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 0.43%. This compares to year-ago revenues of $58.47 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Weave Communications shares have lost about 10.4% since the beginning of the year versus the S&P 500's gain of 12.8%. While Weave Communications has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Weave Communications was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.04 on $70.25 million in revenues for the coming quarter and $0.16 on $276.75 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Software is currently in the top 44% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, eGain (EGAN), has yet to report results for the quarter ended June 2026. This maker of customer engagement software is expected to post quarterly earnings of $0.04 per share in its upcoming report, which represents a year-over-year change of -55.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. eGain's revenues are expected to be $21.65 million, down 6.8% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Weave Communications, Inc. (WEAV) : Free Stock Analysis Report eGain Corporation (EGAN) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Weave topped Q1 guidance with total revenue of $65.5 million (up 17.4% YoY), saw gross profit rise to $47.9 million and gross margin improve to 73.2%, and delivered operating income of $2.5 million, driven by faster payments growth and record location additions. Product and AI momentum is a key driver: more than 50% of locations now use embedded AI, AI interactions grew roughly 300% YoY, and an Omnichannel AI Receptionist (voice + text) is rolling out this quarter, while payments features and integrations continue to accelerate adoption. Management raised full-year 2026 guidance to $275–278 million in revenue and $10.5–13.5 million in non-GAAP operating income, provided Q2 revenue guidance of $67.2–68.2 million, and said free cash flow should turn positive in H1 2026 after Q1’s negative $7.1 million. Interested in Weave Communications, Inc.? Here are five stocks we like better. 3 Overlooked Stocks Where Rewards Outweigh the Risks Weave Communications (NYSE:WEAV) reported first-quarter 2026 results that exceeded the high end of its guidance ranges, led by accelerating revenue growth, expanding gross margin, and improved operating profitability. Chief Executive Officer Brett White said the quarter marked the company’s “17th consecutive quarter of meeting or exceeding the high end of our revenue guidance.” Chief Financial Officer Jason Christiansen said Weave generated $65.5 million in total revenue, an increase of 17.4% year over year. Christiansen attributed the acceleration to faster-growing payments revenue and record location additions, noting that payments “again grew more than twice the rate of total revenue.” → The Real SpaceX Play: 5 Chip Stocks Powering the IPO Before It Launches White said Weave added “the most locations ever in a quarter,” while Christiansen added the company posted more gross and net location additions than in any previous quarter, with specialty medical the largest contributor. In response to a question from Raymond James analyst Alex Sklar, White said performance was broad-based across verticals and sales motions, adding that dental was “quite strong” and that mid-market bookings were also solid. On profitability, Christiansen said gross profit rose more than 19% to $47.9 million, and gross margin improved to 73.2%, up 110 basis points year over year. Operating income was $2.5 million, compared with breakeven in the prior-year period, and operating margin was 3.9%, an improvement of 380 basis points year over year. → Roblox Stock Slides to New Low as Safety Changes Weigh on Outlook Christiansen said gross margin improvement was driven by scale in customer support, efficiencies in cloud infrastructure and hardware device costs, and “the growing contribution of higher-margin payments revenue.” He also said customer support scaled in part because Weave is using AI “to deflect calls and effectively manage the caseload tied to a growing customer base.” Subscription and payment processing gross margin was 78.4%, which Christiansen said reflected growth in the number of locations using payments, higher processing volume per location, and a higher net take on transactions. He said the company’s progress and mix shift “highlights a path” toward its long-term gross margin target of 75% to 80%. → These 3 AI Stocks Just Crushed Earnings: Still Time To Buy? White described Weave as purpose-built for healthcare, stating the company serves over 40,000 customer locations and that “billions of patient interactions” flow through its platform. He outlined how Weave’s tools span the patient journey, including scheduling and reminders, digital forms and insurance eligibility, payment processing and financing support, review management, and accounts receivable follow-up. White said more than 50% of customer locations use at least one embedded AI solution, such as intelligent review responses and an “always-on messaging assistant.” He added that AI-powered add-on products include Call Intelligence, Insurance Eligibility, and AI Receptionist. White said Weave handled over 300% more AI interactions than a year ago, driven by expanded AI features and increased customer adoption. He highlighted examples of Call Intelligence use cases and said one primary care practice saw its “unhappy call rate dropped by over 40% in just two months” after using the product for coaching, while a multi-location med spa reported a 100% retention rate among clients it followed up with based on flagged calls. For AI Receptionist, White said the current text-based version can schedule appointments and answer common questions such as office hours and accepted insurance providers. He said Weave plans to release an Omnichannel AI Receptionist supporting voice and text “next week” for select integrations, with broader availability anticipated “late this quarter.” White said Weave plans to add more workflows over time, describing a roadmap of “hundreds of additional workflows.” White also discussed early customer results from the AI Receptionist pilot, including one dental office where patients received cancellation-fee warnings from the AI agent and chose to keep appointments, and a Florida dental practice where missed calls dropped “roughly 80%,” with a similar decrease in weekend voicemails. In the Q&A, Christiansen said payments strength was driven by multiple product capabilities, including bulk collection, payment reminders and invoice follow-up, and surcharging. He said surcharging saw particularly strong adoption in Q1, calling it “a very strong quarter for us.” Christiansen also pointed to payment integrations with practice management systems as an ongoing “unlock,” saying Weave is “still pretty early stages” with more integrations to come. He said the company expects these integrations to help streamline workflows and reduce days sales outstanding and accounts receivable balances. He added that AI Receptionist is expected to become part of that effort over time, including more proactive collection and front-end intake workflows. Christiansen said Weave’s dollar-based net revenue retention rate was 92% in Q1, while dollar-based gross revenue retention was 89%. He said the company believes its retention metrics “found the floor in Q1” as monthly retention rates “positively inflected” and were higher than the second half of 2025, while noting reported retention is a weighted average of the prior 12 months and can take multiple quarters to reflect improvements. Operating expenses were 69% of revenue, which Christiansen said is seasonally higher in Q1 due to payroll tax limit resets and benefit renewals. He said general and administrative expense was $10.2 million, or 15.6% of revenue, and research and development expense was $8.6 million, or 13.1% of revenue. Sales and marketing expense totaled $26.6 million, or 40.6% of revenue, up year over year due to advertising and sales costs, with Q1 being seasonally higher because of events and post-holiday prospect re-engagement. On cash flow, Christiansen said Weave ended the quarter with $72.7 million in cash and short-term investments, down $9 million sequentially. Cash used in operating activities was $5.7 million, and free cash flow was negative $7.1 million, which he attributed to seasonal disbursements such as annual bonus payouts and prepaid software renewals, plus $1.6 million of cash used for net settlement of vesting equity awards. He said the company expects free cash flow to be positive in the first half of 2026. Looking ahead, Christiansen provided the following guidance: Q2 2026 revenue: $67.2 million to $68.2 million Q2 2026 operating income: $2.1 million to $3.1 million Full-year 2026 revenue (raised): $275 million to $278 million Full-year 2026 non-GAAP operating income (raised): $10.5 million to $13.5 million Christiansen also said the weighted average share count is expected to be approximately 79.6 million shares in Q2 and approximately 79.8 million for the full year. In closing remarks, White said the company is “well-positioned for success in the new AI frontier” and emphasized Weave’s focus on continued execution, product launches, and improving financial results while increasing value for customers. Weave Communications is a technology company that provides integrated communications and customer management solutions tailored for small- to medium-sized local businesses. Headquartered in Lehi, Utah, the company developed a cloud-based platform that unifies voice calling, business texting, appointment reminders and payment processing within a single interface. The platform's core offerings include a unified business phone system, two-way texting, automated appointment and recall reminders, secure payment acceptance and a basic customer relationship management module. The article "Weave Communications Q1 Earnings Call Highlights" was originally published by MarketBeat.

Weave Communications, Inc. (WEAV) came out with quarterly earnings of $0.03 per share, beating the Zacks Consensus Estimate of $0.02 per share. This compares to earnings of $0.01 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +28.76%. A quarter ago, it was expected that this company would post earnings of $0.03 per share when it actually produced earnings of $0.03, delivering no surprise. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Weave Communications, which belongs to the Zacks Internet - Software industry, posted revenues of $65.5 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 1.40%. This compares to year-ago revenues of $55.81 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Weave Communications shares have lost about 36.2% since the beginning of the year versus the S&P 500's gain of 4.2%. While Weave Communications has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Weave Communications was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.03 on $66.79 million in revenues for the coming quarter and $0.14 on $274.52 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Software is currently in the top 30% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Docebo Inc. (DCBO), another stock in the same industry, has yet to report results for the quarter ended March 2026. The results are expected to be released on May 8. This company is expected to post quarterly earnings of $0.33 per share in its upcoming report, which represents a year-over-year change of +22.2%. The consensus EPS estimate for the quarter has been revised 8.9% higher over the last 30 days to the current level. Docebo Inc.'s revenues are expected to be $65.02 million, up 13.5% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Weave Communications, Inc. (WEAV) : Free Stock Analysis Report Docebo Inc. (DCBO) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

First quarter total revenue of $65.5 million, up 17.4% year over year First quarter GAAP gross margin of 72.6%, up 100 basis points year over year First quarter Non-GAAP gross margin of 73.2%, up 110 basis points year over year LEHI, Utah, April 30, 2026--(BUSINESS WIRE)--Weave Communications, Inc. ("Weave") (NYSE: WEAV), a leading vertical SaaS platform that delivers AI-powered patient engagement and payment solutions for small and medium-sized healthcare practices, today announced its financial results for the first quarter ended March 31, 2026. "Weave delivered another excellent quarter, with revenue growth accelerating to 17.4% year-over-year and the most customer location additions in a single quarter in our history. We also drove significant year-over-year improvements in profitability. This success is a clear result of our disciplined business operations," said Brett White, CEO of Weave. "Over 50% of customer locations are currently using the AI tools embedded in our platform. The upcoming release of our omnichannel AI receptionist, supporting both voice- and text-based conversations, fundamentally strengthens our future role as a proactive, agentic, always-on teammate that manages the complete patient journey." First Quarter 2026 Financial Highlights Total revenue was $65.5 million, representing a 17.4% year-over-year increase compared to $55.8 million in the first quarter of 2025. GAAP gross margin was 72.6%, compared to 71.6% in 2025. Non-GAAP gross margin was 73.2%, compared to 72.1% in 2025. GAAP loss from operations was $6.0 million, compared to $9.3 million in the first quarter of 2025. Non-GAAP income from operations was $2.5 million, compared to $0.0 million in the first quarter of 2025. GAAP net loss was $5.8 million, or $0.07 per share, compared to $8.8 million, or $0.12 per share, in the first quarter of 2025. Non-GAAP net income was $2.8 million, or $0.04 per share, compared to $0.5 million non-GAAP net loss, or $0.01 per share, in the first quarter of 2025. Recent Business Highlights Named to G2’s 2026 Best Software Awards, placing #2 on the Best Healthcare Software Products list. As the world’s largest and most trusted software marketplace, G2 reaches over 100 million buyers annually. Its annual Best Software Awards rank the world’s best software companies and products based on authentic, timely reviews from real users. Weave’s selection as the exclusive ADA-endorsed patient engagement platform—and the associated member benefits—has been announced to its 152,000 members. Launched Private Communications, which routes patient communications to segregated practitioner inboxes. Healthcare practices with multiple practitioners can now create private inboxes for each practitioner within the platform to handle sensitive patient communications. Enhanced Weave Payments platform integrations with the release of bulk collections for Dentrix Enterprise, Fuse, and Eaglesoft and additional payment writebacks for Athena, NexTech Health, and NT Practice+. Financial Second Quarter and Full Year 2026 Outlook The company expects to achieve the following financial results for the three months ending June 30, 2026, and the full year ending December 31, 2026: The guidance provided above constitutes forward-looking statements and actual results may differ materially. Refer to the "Forward-Looking Statements" safe harbor section below for information on the factors that could cause our actual results to differ materially from these forward-looking statements. Non-GAAP income from operations excludes estimates for, among other things, stock-based compensation expense, acquisition transaction costs (as described further below), amortization of acquisition-related intangible assets, and costs related to shareholder matters. A reconciliation of this non-GAAP financial guidance measure to a corresponding GAAP financial guidance measure is not available on a forward-looking basis because we do not provide guidance on GAAP income from operations and are not able to present the various reconciling cash and non-cash items between GAAP loss from operations and non-GAAP income from operations without unreasonable effort. In particular, stock-based compensation expense is impacted by our future hiring and retention needs, as well as the future fair market value of our common stock, all of which are difficult to predict and are subject to change. The actual amount of these expenses during 2026 will have a significant impact on our future GAAP financial results. Webcast The company will host a conference call and webcast for analysts and investors on Thursday, April 30, 2026, beginning at 4:30 p.m. EDT. The live audio webcast and a webcast replay of the conference call can be accessed from the investor relations page of Weave’s website at investors.getweave.com. About Weave Weave is a leading vertical SaaS company delivering an AI-powered patient communications and engagement platform purpose-built for modern healthcare practices. More than software, Weave is an always-on teammate—handling patient interactions across voice and text and operating at the center of the patient journey. Through agentic AI workflows and authorized integrations with practice management systems, Weave ensures critical tasks like scheduling, insurance verification, and payments happen seamlessly, so nothing falls between the cracks. By embedding AI directly into daily operations, Weave reduces administrative workload, frees up staff to focus on human-centered care, and delivers real-time insights that help practices run smarter and grow with confidence. Serving nearly 40,000 customer locations, Weave was named a 2026 Best Software Awards winner for healthcare software products by G2. To learn more, visit getweave.com/newsroom. Non-GAAP Financial Measures In this press release, Weave has provided financial information that has not been prepared in accordance with generally accepted accounting principles in the United States ("GAAP"). We disclose the following historical non-GAAP financial measures in this press release: non-GAAP net income, non-GAAP net income margin, non-GAAP net income per share, non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP income from operations, non-GAAP income from operations margin, Adjusted EBITDA and free cash flow. We use these non-GAAP financial measures internally to analyze our financial results and evaluate our ongoing operational performance. We believe that these non-GAAP financial measures provide an additional tool for investors to use in understanding and evaluating ongoing operating results and trends in the same manner as our management and board of directors. Our use of these non-GAAP financial measures has limitations as an analytical tool, and you should not consider them in isolation or as a substitute for analysis of our financial results as reported under GAAP. Because of these and other limitations, you should consider these non-GAAP financial measures along with other GAAP-based financial performance measures, including various cash flow metrics, operating loss, net loss, and our GAAP financial results. We have provided a reconciliation of these non-GAAP financial measures to their most directly comparable GAAP measures in the tables included in this press release, and investors are encouraged to review the reconciliation. Non-GAAP net income, non-GAAP net income margin and non-GAAP net income per share We define non-GAAP net income as GAAP net loss adjusted to exclude stock-based compensation expense, acquisition transaction costs, amortization of acquisition-related intangible assets and costs related to shareholder matters, and non-GAAP net income margin as non-GAAP net income as a percentage of revenue. Acquisition transaction costs include legal and any accounting professional services costs incurred as a result of our acquisition during the applicable period. Although we exclude the amortization of acquisition-related intangible assets from the non-GAAP measure, management believes it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and contribute to revenue generation. Non-GAAP net income per share is calculated as non-GAAP net income divided by the diluted weighted average shares outstanding. Non-GAAP gross profit and non-GAAP gross margin We define non-GAAP gross profit as GAAP gross profit adjusted to exclude stock-based compensation expense and amortization of acquisition-related intangible assets. Although we exclude the amortization of acquisition-related intangible assets from the non-GAAP measure, management believes it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and contribute to revenue generation. Non-GAAP gross margin is defined as non-GAAP gross profit as a percentage of revenue. Non-GAAP operating expenses We define non-GAAP operating expenses, in the aggregate or its individual components (i.e., sales and marketing, research and development or general and administrative), as the applicable GAAP operating expenses adjusted to exclude the applicable stock-based compensation expense, acquisition transaction costs, amortization of acquisition-related intangible assets and costs related to shareholder matters. Although we exclude the amortization of acquisition-related intangible assets from the non-GAAP measure, management believes it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and contribute to revenue generation. Non-GAAP income from operations and non-GAAP income from operations margin We define non-GAAP income from operations as GAAP loss from operations less stock-based compensation expense, acquisition transaction costs, amortization of acquisition-related intangible assets and costs related to shareholder matters. Although we exclude the amortization of acquisition-related intangible assets from the non-GAAP measure, management believes it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and contribute to revenue generation. Non-GAAP income from operations margin is defined as non-GAAP income from operations as a percentage of revenue. Adjusted EBITDA We define EBITDA as earnings before interest expense, interest income, other income/expense, income tax expense, depreciation, and amortization. Our depreciation adjustment includes depreciation on operating fixed assets and we do not adjust for amortization of finance lease right-of-use assets on phone hardware provided to our customers. Our amortization adjustment includes the amortization of capitalized costs from both internal-use software development and cloud computing arrangements. We further adjust EBITDA to exclude stock-based compensation expense, a non-cash item, acquisition transaction costs, which we believe are not reflective of ongoing results of operations in the period incurred and not directly related to the operation of our business, amortization of acquisition-related intangible assets, and costs related to shareholder matters, including third-party legal, consulting, and advisory fees related to a cooperation agreement, which we believe are outside of the ordinary course of business and not reflective of operational performance. Although we exclude the amortization of acquisition-related intangible assets from the non-GAAP measure, management believes it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and contribute to revenue generation. We believe that Adjusted EBITDA provides management and investors consistency and comparability with our past financial performance and facilitates period-to-period comparisons of operations. Additionally, management uses Adjusted EBITDA to measure our financial and operational performance and prepare our budgets. Free cash flow We define free cash flow as net cash provided by operating activities, less purchases of property and equipment and capitalized internal-use software costs. We believe that free cash flow is a useful indicator of liquidity that provides useful information to management and investors, even if negative, as it provides information about the amount of cash consumed by our combined operating and investing activities. For example, as free cash flow has in the past been negative, we have needed to access cash reserves or other sources of capital for these investments. Limitations and Reconciliation of Non-GAAP Financial Measures The foregoing non-GAAP financial measures have limitations as analytical tools and should not be considered in isolation or as substitutes for financial information presented under U.S. GAAP. There are a number of limitations related to the use of non-GAAP financial measures versus comparable financial measures determined under U.S. GAAP. For example, the non-GAAP financial information presented above may be determined or calculated differently by other companies and may not be directly comparable to that of other companies. In addition, free cash flow does not reflect our future contractual commitments and the total increase or decrease of our cash balance for a given period. Further, Adjusted EBITDA excludes some costs, namely, non-cash stock-based compensation expense, acquisition transaction costs, amortization of acquisition-related intangible assets and costs related to shareholder matters. Therefore, Adjusted EBITDA does not reflect the non-cash impact of stock-based compensation expense or working capital needs that will continue for the foreseeable future. All of these limitations could reduce the usefulness of these non-GAAP financial measures as analytical tools. Investors are encouraged to review the related U.S. GAAP financial measures and the reconciliations of these non-GAAP financial measures to their most directly comparable U.S. GAAP financial measures and to no rely on any single financial measure to evaluate our business. Supplemental Financial Information Dollar-Based Net Revenue Retention ("NRR") For retention rate calculations, we use adjusted monthly revenue ("AMR"), which is calculated for each location as the sum of (i) the subscription component of revenue for each month and (ii) the average of the trailing three-month recurring payments revenue. To calculate our NRR, we first identify the cohort of locations (the "Base Locations") that were active in a particular month (the "Base Month"). We then divide AMR for the Base Locations in the same month of the subsequent year by AMR in the Base Month to derive a monthly NRR. We derive our annual NRR as of any date by taking a weighted average of the monthly net retention rates over the trailing twelve months before such date. Dollar-Based Gross Revenue Retention ("GRR") To calculate our GRR, we first identify the Base Locations that were under subscription in the Base Month. We then calculate the effect of reductions in revenue from customer location terminations by measuring the amount of AMR in the Base Month for Base Locations still under subscription twelve months subsequent to the Base Month (the "Remaining AMR"). We then divide the Remaining AMR for the Base Locations by AMR in the Base Month for the Base Locations to derive a monthly gross retention rate. We calculate GRR as of any date by taking a weighted average of the monthly gross retention rates over the trailing twelve months prior to such date. GRR reflects the effect of customer locations that terminate their subscriptions, but does not reflect changes in revenue due to revenue expansion, revenue contraction, or the addition of new customer locations. Dollar-based net retention rate and dollar-based gross retention rate exclude the impact of the acquisition of TrueLark as the relevant inputs to the calculation require trailing twelve months of data to calculate. Forward-Looking Statements This press release and the accompanying conference call contain forward-looking statements including, among others, current estimates of full year 2026 revenue and non-GAAP income from operations, and the quotations of our Chief Executive Officer. These forward-looking statements involve risks and uncertainties. If any of these risks or uncertainties materialize, or if any of our assumptions prove incorrect, our actual results could differ materially from the results expressed or implied by these forward-looking statements. These risks and uncertainties include risks associated with: the ability of Weave to successfully integrate our acquisition of TrueLark and to achieve expected benefits from the acquisition; our ability to attract new customers, retain existing customers and increase our customers’ use of our platform; our ability to manage our growth; the impact of unfavorable economic conditions and macroeconomic uncertainties on our company; our ability to maintain and enhance our brand and increase market awareness of our company, platform and products; customer adoption of our platform and products and enhancements thereto; customer acquisition costs and sales and marketing strategies; our ability to achieve profitability in any future period; competition; our ability to enhance our platform and products, including timely introducing our voice-enabled AI Receptionist across all vertical markets; interruptions in service; and the risks described in the filings we make from time to time with the Securities and Exchange Commission ("SEC"), including the risks described under the heading "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2025, filed with the SEC on March 5, 2026, which should be read in conjunction with our financial results and forward-looking statements and is available on the SEC Filings section of the Investor Relations page of our website at investors.getweave.com. All forward-looking statements in this press release are based on information available to us as of the date hereof, and we do not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they were made. Channels for Disclosure of Information Weave uses the investor relations page on our website (investors.getweave.com), blog posts on our website, press releases, public conference calls, webcasts, our X (Twitter) feed (@getweave), our Facebook page, and our LinkedIn page as the means of complying with our disclosure obligations under Regulation FD. We encourage investors, the media, and others to follow the channels listed above, in addition to following Weave’s press releases, SEC filings, and public conference calls and webcasts, and to review the information disclosed through such channels. View source version on businesswire.com: https://www.businesswire.com/news/home/20260429416314/en/ Contacts Weave Communications, Inc. Investor Relations Contact [email protected] Media Contact Chelsea Kilpack Internal Communications & PR Manager [email protected]

Revenue growth accelerated to 17.4% year-over-year, marking the 17th consecutive quarter of meeting or exceeding the high end of revenue guidance. The company achieved record gross and net location additions in Q1, with the specialty medical vertical serving as the largest contributor to this growth. Management attributed margin expansion to a more efficient customer support model, cloud infrastructure optimizations, and a growing mix of high-margin payments revenue. Payments revenue continues to grow at more than twice the rate of total revenue, supported by increased processing volume per location and higher net take rates. Strategic positioning is shifting toward an 'agentic' future, where AI-powered tools move beyond simple communication to autonomous task execution across the patient lifecycle. The company's ownership of the full communication stack and its library of authorized practice management integrations are cited as key competitive moats for AI deployment. Full-year 2026 revenue guidance was raised to a range of $275 million to $278 million, reflecting confidence in the current growth trajectory. The omnichannel AI receptionist is expected to be broadly available late in Q2, supporting both voice and text modalities to manage dozens of practice workflows. Management plans to monetize the AI receptionist through a hybrid subscription model tied to consumption, specifically the number of phone interactions handled. Operating expenses are expected to increase sequentially in Q2 due to annual merit increases, though the company remains committed to improving full-year margins. The long-term gross margin target remains 75% to 80%, supported by the continued scaling of payments and AI-driven operational efficiencies. Dollar-based net revenue retention was 92% in Q1, which management believes represents a 'floor' as monthly retention rates began to positively inflect during the quarter. Research and development expenses saw a slight year-over-year decrease due to the increased capitalization of software development costs related to new AI products. Q1 cash flow was impacted by seasonal disbursements, including annual bonuses and prepaid software renewals, which are not expected to recur until Q1 of next year. Management highlighted that while they do not 'sell futures' to SMBs, the product roadmap is proving critical for winning larger DSO and multi-location accounts. Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Growth was broad-based across all verticals, with dental showing particular strength despite being the company's largest and most mature segment. Average revenue per location (ARPL) remains consistent on the 'land' side, but upsell motions for new products are successfully driving ARPL higher for existing customers. The hybrid model includes a monthly fee covering a set number of interactions, with higher tiers available for practices seeking 24/7 coverage. Management is exploring outcome-based pricing for the future, particularly for workflows involving payment collection and appointment booking. Adoption of 'surcharging' capabilities was a significant driver of payments performance in Q1. New integrations with practice management vendors are viewed as a major 'unlock' to reduce days sales outstanding (DSO) for healthcare practices. Small practices use the tool primarily for after-hours and lunch coverage to prevent revenue leakage from missed calls. Large multi-location practices and DSOs view the tool as a sophisticated economic lever to manage high call volumes and staffing shortages. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here.