AudioCodes announced its financial results for the third quarter ended September 30, 2024, reporting revenues of $60.2 million, a decrease from $61.6 million in the third quarter of 2023. GAAP net income was $2.7 million, or $0.09 per diluted share, compared to $4.3 million, or $0.14 per diluted share, in the prior year's quarter. Non-GAAP net income for the quarter was $4.9 million, or $0.16 per diluted share, down from $8.3 million, or $0.25 per diluted share, in Q3 2023.
Despite the decline in overall revenue and net income, the company highlighted strong performance in its strategic growth areas. Services revenue grew 6.4% year-over-year, constituting 53.9% of total revenues, a record high. The Live Teams business, a key component of Live managed services, increased 21% year-over-year and represented 44% of the total Microsoft business.
AudioCodes' Annual Recurring Revenue (ARR) reached $60 million by the end of Q3 2024, marking a 40% increase from $48 million at the end of 2023. The dollar value of conversational AI contracts signed in the third quarter also increased by approximately 50% compared to the same period last year. The company generated $7.9 million in net cash from operating activities during the quarter and acquired 332,709 ordinary shares for $3.6 million under its share repurchase program.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.