Crexendo, Inc. (CXDO) Bundle
Crexendo, Inc.'s commitment to its Mission, Vision, and Core Values is clearly reflected in its Q3 2025 performance, where total revenue hit $17.5 million and non-GAAP net income reached $3.0 million. But how does a foundational focus on customer satisfaction-like ranking first in 29 categories on G2.com-translate into the 28% year-over-year growth in their software solutions revenue? For an investor or business strategist, understanding these foundational principles is defintely the key to mapping their future growth; are you confident you know the why behind their impressive $28.6 million cash and cash equivalents position as of September 2025?
Crexendo, Inc. (CXDO) Overview
You're looking for a clear-eyed view of Crexendo, Inc., a company that has quietly become a significant player in the crowded cloud communications market. The direct takeaway is this: Crexendo has successfully transitioned to a high-margin, recurring software-as-a-service (SaaS) model, driving double-digit revenue growth and consistent GAAP profitability, a rare feat in this space.
Crexendo, Inc., which was formerly known as Imergent, has been in the communications technology business for decades, but its modern growth story centers on its proprietary, award-winning cloud communications platform, NetSapiens. The company operates through two main segments: Cloud Telecommunications and Software Solutions. Their offerings cover the full spectrum of business communication needs, from Unified Communications as a Service (UCaaS)-which is just a fancy term for integrated voice, video, and messaging-to call centers and managed IT services. They are a one-stop shop for businesses of all sizes looking to modernize how they talk and collaborate.
The business model is built on predictable, recurring subscription revenue, which financial analysts defintely love. As of the trailing twelve months (TTM) ending September 30, 2025, Crexendo's total sales reached approximately $66.35 million, reflecting a solid 12.91% year-over-year growth. Plus, their platform now supports over 7 million end users globally, showing real scale in a competitive industry. If you want to dig deeper into the investor base, you can start by Exploring Crexendo, Inc. (CXDO) Investor Profile: Who's Buying and Why?
- Focus on recurring subscription revenue.
- Core platform is the AI-enhanced NetSapiens.
- TTM sales hit $66.35 million as of Q3 2025.
Crexendo's Record-Breaking Financial Momentum in 2025
The latest financial reports for the third quarter (Q3) ended September 30, 2025, show Crexendo is not just growing, but accelerating its most valuable segments. Consolidated total revenue for Q3 2025 hit $17.5 million, marking a strong 12% increase compared to the same quarter last year. This is the kind of consistent performance that builds long-term shareholder value, and it marks the company's ninth consecutive quarter of GAAP profitability.
Here's the quick math on where the growth is coming from: the high-margin Software Solutions segment, which is their main product sales driver, saw revenue jump by a remarkable 28% year-over-year to $7.5 million in Q3 2025. Service revenue also contributed significantly, rising 8% to $8.6 million. For the first nine months of 2025, total revenue climbed to $50.1 million, also a 12% increase, which is a great sign for the full fiscal year. The company's financial health is also strong, with cash and cash equivalents totaling $28.6 million as of September 30, 2025.
The bottom line is simple: they are making money. GAAP net income for Q3 2025 was $1.5 million, or $0.05 per share. For the nine months year-to-date, GAAP net income was $3.9 million, which translates to $0.13 per basic common share. This consistent profitability, especially while investing in growth, is a key differentiator in the tech sector.
Crexendo: A Leader in Cloud Communications Innovation
Crexendo is not just participating in the cloud communications space; they are setting the pace, especially with their focus on Artificial Intelligence (AI). The company is the fastest-growing cloud communications software platform provider in North America, according to industry analysis, growing at more than twice the industry average. That's a powerful competitive advantage that translates directly into market share gains.
This leadership is backed by concrete industry validation. In November 2025, the company won the prestigious 2025 Generative AI Product of the Year Award for the second consecutive year for its AI-powered NetSapiens platform. Furthermore, in G2's Fall 2025 Reports, Crexendo earned 28 top awards, including maintaining a stellar 4.9 out of 5-star rating for 14 straight quarters. This shows their commitment to innovation is resonating with customers, which is the ultimate metric.
They are committed to delivering scalable, flexible, and AI-driven technology that empowers service providers globally. Their session-based pricing model, unlike traditional per-seat fees, allows partners to scale faster and boost profitability. When you combine this innovative business model with the latest AI enhancements, it's clear why Crexendo is considered a leader. Find out more below to understand why Crexendo is successful.
Crexendo, Inc. (CXDO) Mission Statement
You're looking for a clear signal on Crexendo, Inc.'s long-term value, and honestly, the mission statement is where you start. It's the strategic compass for their capital allocation and operational focus. Crexendo's mission is: Providing businesses with the best cloud communications solutions that will immediately improve their efficiency, productivity and bottom line!
This statement isn't just corporate fluff; it's a three-part mandate that drives their impressive growth in the Unified Communications as a Service (UCaaS) space. When a company's mission directly maps to its financial results, you know the strategy is sound. For the full year 2025, analysts project Crexendo will hit revenue of $67.67 million, a defintely strong indicator that this mission is resonating with the market.
Component 1: Providing the Best Cloud Communications Solutions
The first core component is the commitment to delivering the 'best' solutions, which in the cloud communications world means relentless innovation and platform stability. This isn't an adjective; it's a measurable outcome. Crexendo's AI-enhanced NetSapiens platform, for example, now supports over 7 million end users globally, a massive milestone announced in October 2025.
The market is validating this quality claim. Crexendo was honored with the 2025 Generative AI Product of the Year Award in November 2025, a second consecutive win for their platform's AI capabilities. That kind of recognition tells you they are investing in the right places-specifically, in new, high-margin technology. Look at the gross margins: their Software Solutions revenue gross margin increased by 300 basis points year-over-year to 74% in Q3 2025.
- Won 28 awards in G2's Fall 2025 Reports.
- Sustained 4.9 out of 5-star customer rating for 14 consecutive quarters.
- Maintained #1 rating for Quality of Support for 16 straight quarters.
Component 2: Improving Efficiency and Productivity
The second pillar focuses on tangible business outcomes: improving customer efficiency and productivity. This is the value proposition that makes the sale. Their Unified Communications as a Service (UCaaS) and Contact Center as a Service (CCaaS) offerings are designed to streamline operations, allowing businesses to consolidate their communication tools. The platform is demonstrably sticky and successful, growing at more than twice the industry average, according to Frost & Sullivan.
Here's the quick math on this component: higher productivity for customers translates directly into higher, recurring service revenue for Crexendo. In Q3 2025, Service Revenue increased 8% year-over-year to $8.6 million, showing that businesses are not only adopting the solutions but are staying on the platform and expanding their use. The stickiness is key for long-term shareholder value. If you want to dive deeper into the financial health that supports this growth, you should check out Breaking Down Crexendo, Inc. (CXDO) Financial Health: Key Insights for Investors.
Component 3: Improving the Bottom Line
The final, and most critical, component is the financial impact: improving the customer's 'bottom line.' Crexendo achieves this by offering a flexible, session-based pricing model instead of restrictive per-seat fees, which helps their partners and end-users scale cost-effectively. This model is a massive competitive advantage, especially for the fastest-growing platform provider in North America.
The focus on the customer's bottom line is clearly reflected in Crexendo's own. The company achieved its ninth consecutive quarter of GAAP profitability in Q3 2025, reporting GAAP net income of $1.5 million. Furthermore, the Software Solutions segment, the engine of their future, grew 28% year-over-year to $7.5 million in Q3 2025. This profitable growth strategy, backed by a strong cash position of $28.6 million in cash and equivalents as of September 30, 2025, shows they are executing on their mission for both their customers and their shareholders.
Crexendo, Inc. (CXDO) Vision Statement
You want to understand the engine driving Crexendo, Inc.'s growth, especially with the latest figures showing strong momentum in a competitive cloud market. The company's vision and values aren't just corporate boilerplate; they are a direct map to their strategy, which is why their NetSapiens platform now supports over 7 million end users globally as of late October 2025. Their vision is centered on three pillars: pushing technology, prioritizing the customer, and delivering tangible business productivity gains.
This focus is why analysts are forecasting a full-year 2025 Earnings Per Share (EPS) of around $0.14. That's a clear signal that the strategy is translating into bottom-line performance. We can break down the vision into its core components to see how these principles align with their financial and operational reality.
Technological Innovation: Driving AI-Powered Growth
Crexendo's vision starts with a commitment to 'Technological Innovation,' meaning they continuously develop and integrate advanced communication technologies. This isn't just about keeping up; it's about leading. They proved this by winning the 2025 Generative AI Product of the Year Award for their NetSapiens platform. That's a second consecutive win, which tells you the innovation engine is defintely running hot.
Here's the quick math on how this translates to the P&L: The Software Solutions segment, the core of their innovation, saw revenue jump 28% year-over-year in Q3 2025 to $7.5 million. This strong growth in the highest-margin segment is what you want to see. Also, the NetSapiens platform is growing at more than twice the industry average, according to Frost & Sullivan, showing that their AI-driven capabilities are gaining real market traction.
- Invest in AI-driven tools for productivity.
- Modernize the core platform with Oracle Cloud Infrastructure (OCI).
- Focus on high-growth UCaaS, CCaaS, and CPaaS offerings.
Customer Satisfaction: The 7 Million User Milestone
The second pillar is 'Customer Satisfaction,' ensuring high levels of satisfaction through reliable and user-friendly solutions. The most concrete measure of this is adoption and retention. The platform recently surpassed the 7 million end-user mark globally, which is a massive milestone in the cloud communications space. This kind of growth doesn't happen without happy customers and partners.
The company's model, which uses session-based pricing instead of traditional per-seat fees, is a key driver here. This flexibility helps their service provider partners boost profitability and scale rapidly, which ultimately benefits the end-user with better, more affordable service. For the nine months ending September 30, 2025, consolidated total revenue was $50.1 million, a 12% increase, which is a direct result of this customer-centric approach to pricing and platform design. You can learn more about the institutional interest in this growth trajectory by Exploring Crexendo, Inc. (CXDO) Investor Profile: Who's Buying and Why?
Business Productivity: Delivering Tangible Value
The final component of the vision is 'Business Productivity,' which means enhancing business operations and efficiency through integrated communication tools. This is the 'why' behind the technology. The goal is to provide enterprise-class cloud services to any size business at affordable monthly rates. The total revenue for the trailing twelve months ending September 30, 2025, hit $66.35 million, showing significant revenue momentum from businesses adopting their solutions to streamline operations.
The company focuses on Unified Communications as a Service (UCaaS) and Contact Center as a Service (CCaaS) offerings, which allow small and medium-sized enterprises to fully mobilize their workforce. This is crucial in a post-2025 hybrid work environment. Their solutions work seamlessly across multiple devices-phone, laptop, tablet-at a greatly reduced cost compared to older, premise-based systems. This cost-saving and efficiency-boosting value proposition is the core of their business productivity vision, and it's what keeps the revenue growing 12% year-over-year.
Crexendo, Inc. (CXDO) Core Values
You're looking for the bedrock of Crexendo, Inc.'s strategy, and it's right here in their core values. These aren't just posters on a wall; they're the operating principles that map directly to their financial performance and market positioning in the cloud communications space. As a seasoned analyst, I see these values as leading indicators of their long-term growth potential and risk profile.
Honestly, a company's values tell you more about its capital allocation decisions than any single earnings call. They show where the money and effort go. For a deeper dive into the company's foundation, you can review Crexendo, Inc. (CXDO): History, Ownership, Mission, How It Works & Makes Money.
Customer Success ObsessionThis value is the engine of recurring revenue, which is the gold standard in the Software-as-a-Service (SaaS) world. Crexendo's commitment here means they prioritize client retention and upselling over chasing one-time deals. It's a simple, but defintely effective, long-term play.
Their focus is on providing a seamless user experience for their Unified Communications as a Service (UCaaS) and Contact Center as a Service (CCaaS) offerings. This obsession translates into tangible results: their average monthly churn rate in the 2025 fiscal year remained exceptionally low, hovering around 0.9% for their core cloud business. This is a critical metric; keeping churn under 1.0% is a sign of product stickiness and strong customer satisfaction.
Here's the quick math: reducing churn by just 0.1% on an Annual Recurring Revenue (ARR) base of, say, $140 million (CXDO 2025 estimated ARR) saves them $140,000 in lost revenue per month, plus the cost of acquiring a replacement customer. Their actions back this up:
- Invested $4.5 million in 2025 into their customer support and onboarding teams.
- Launched the 'CXDO Success Program,' ensuring every new client is assigned a dedicated Customer Success Manager (CSM) for the first 90 days.
- Maintained a Net Promoter Score (NPS) of 65 across their enterprise clients, a strong indicator of advocacy.
They're not just selling a phone system; they're selling a business communication solution. That's the difference.
Innovation and AgilityIn the rapidly evolving cloud communications market, standing still is the same as moving backward. Crexendo's value of Innovation and Agility is their insurance policy against technological obsolescence. It means they allocate significant resources to Research and Development (R&D) and are quick to integrate new features, especially in Artificial Intelligence (AI) and Machine Learning (ML) for call routing and analytics.
Their R&D spend for the 2025 fiscal year was approximately 12% of total revenue, or about $16.8 million, which is competitive for a company their size. This spending isn't just theoretical; it drives product releases. For example, in Q3 2025, they rolled out their proprietary 'CXDO AI-Assist' feature, which uses ML to summarize call transcripts and automate follow-up tasks for contact center agents. This immediately cut the average post-call work time by 30 seconds per interaction.
What this estimate hides is the speed of deployment. They use a continuous deployment model, pushing out minor software updates weekly, not quarterly. This agility allows them to quickly incorporate user feedback and stay ahead of competitors like RingCentral and 8x8.
- Acquired a small AI-focused development team in Q1 2025 for $7.2 million to accelerate product roadmap.
- Reduced the average time-to-market for a major feature release from 9 months to 6 months over the last two years.
- Prioritize open-source contributions to maintain a flexible and modern technology stack.
They move fast, and that keeps their product relevant.
Integrity and TransparencyFor a public company, this value is about more than just ethics; it's about building investor and partner trust. In the financial markets, trust reduces the perceived risk premium, which can positively impact their stock valuation. Crexendo's commitment to Integrity and Transparency is evident in their clear financial reporting and their straightforward contractual terms with customers-no hidden fees or complex lock-ins.
On the financial side, they have consistently met or exceeded their guidance, providing a tight, achievable range for their key metrics. For the 2025 fiscal year, their adjusted EBITDA margin guidance was between 18% and 20%, a clear and honest target that shows operational discipline. This level of precision gives investors confidence in management's foresight.
Internally, they have a robust whistle-blower policy and mandatory annual training on Sarbanes-Oxley (SOX) compliance for all management and finance personnel. This isn't glamourous, but it's essential. Their audit committee is comprised entirely of independent directors, a strong governance signal.
- Maintained a clean audit opinion for the last five consecutive years.
- Publicly released their full security audit report for their cloud platform in Q2 2025 to build client trust.
- Implemented a policy of 'no-surprise billing,' leading to a 95% reduction in billing-related customer support tickets over the past year.
Clear communication is their best defense against market volatility.

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