Weave Communications, Inc. Q4 FY2025 earnings call

• Brett noted Q4 had 17% YOY revenue growth, gross margin at 73.3% (company record), operating income $2.3 million. Full year had 17% revenue growth and 24% free cash flow growth. - Weave is an AI-powered patient communications and engagement platform for SMB health care practices, integrates with practice management systems, reduces administrative burden. - Acquired TrueLark to add AI Receptionist capabilities, launched unified inbox in Q4, plans for omnichannel AI Receptionists in 2026. - Specialty medical vertical grew, Weave payments had strong growth, partnership with CareCredit announced.

In Q4, total revenue was $63.4 million with 17% year-over-year growth. Gross margin was 73.3%, up 70 basis points year-over-year. For full year 2025, total revenue grew 17% to $239 million, gross margin expanded to 72.7%, operating income was $4.1 million. Specialty medical vertical was a strong growth opportunity, Weave payments grew more than twice total revenue rate in 2025.

• First quarter 2026 revenue expected $64.2M - $64.8M, operating income $1M - $2M. - Full year 2026 revenue expected $273M - $276M, non-GAAP operating income $8M - $12M. - Benefits from 2025 investments to flow increased incremental revenue into operating income in 2026.

Q: Talk about CareCredit integration, focus on incremental payments attach rate etc.

A: CareCredit partnership opens avenue to capture volumes, work ongoing on integration.

Q: Growth rates across subverticals in 2026.

A: Anticipate strong growth across vectors, specialty medical likely strongest.

Q: Pricing for AI capabilities.

A: Will monetize, work out if as additional module or bundle, license by location and consumption.

Q: NRR stabilization in specialty medical.

A: Saw churn decrease in Q4, integrations expanding, churn trends back.

Q: Investment and hiring priorities.

A: Product and engineering for AI Receptionist, GTM moving to SDR AE model.

Q: Differentiation of AI automation.

A: Own telephony stack, deep integrations, workflows, subject matter expertise, scale and compliance.

Q: Payments growth by end market.

A: Align go-to-market with industry economics, e.g. specialty medical vs others.

Q: NRR improvement from new products.

A: Opportunity strong, but dynamics play out, significant upsell opportunity.