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Sangoma Technologies Corporation Announces Debt Reduction and Year-End Update

July 22, 2024
in Business
Sangoma Technologies Corporation Announces Debt Reduction and Year-End Update
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Business Wire

Published Jul 22, 2024  •  2 minute read

TORONTO — Sangoma Technologies Corporation (TSX: STC) (NASDAQ: SANG) (“Sangoma” or the “Company”), a leading business communications platform provider, today announced key updates on its Fiscal 2024 performance and strategic initiatives as it prepares for the year ahead.

In line with our capital allocation strategy disclosed in the third quarter of Fiscal 2024, Sangoma executed a debt repayment of $5.3 million in the fourth quarter, bringing total debt repayments for the quarter to $9.7 million. This marks the first of a series of planned payments aimed at reducing Sangoma’s debt to under $60.0 million by the end of Fiscal 2025. The company’s ability to advance this strategy is supported by its robust financial position, underpinned by prudent financial management and successful self-funding of transformational activities.

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Fiscal 2024 concluded on June 30, 2024, marking a significant milestone for Sangoma as the Company continues to make substantial progress on its enterprise architecture program (“ERP”). The ERP remains on track for substantial completion during Fiscal 2025, positioning Sangoma for enhanced operational efficiencies and improved cost management capabilities.

Under the leadership of Monica Walton, Chief Revenue Officer, Sangoma is successfully expanding its go-to-market strategy, resulting in notable advancements in the sales funnel. This strategic focus has bolstered the Company’s revenue growth prospects heading into Fiscal 2025.

Additionally, Sangoma has achieved commendable increases in its Support Team Customer Satisfaction (CSAT) and Net Promoter Score (NPS) following dedicated efforts led by the new Chief Customer Officer. These improvements underscore Sangoma’s commitment to delivering exceptional customer experiences while maintaining industry-leading churn rates.

As Sangoma prepares for Fiscal 2025, the Company remains focused on driving top-line revenue growth through its enhanced go-to-market strategies. The Company will continue to provide guidance and corporate updates to investors throughout Fiscal 2025, maintaining transparency and accountability.

“We are pleased with the progress made in Fiscal 2024 and excited about the opportunities ahead in Fiscal 2025,” said Charles Salameh, Chief Executive Officer. “Our continued self-funded investments in technology, customer experience, and debt reduction, reflect our commitment to sustainable growth and long-term value creation for our shareholders.”

About Sangoma Technologies Corporation

Sangoma (TSX: STC; Nasdaq: SANG) is a leading business communications platform provider with solutions that include its award-winning UCaaS, CCaaS, CPaaS, and Trunking technologies. The enterprise-grade communications suite is developed in-house; available for cloud, hybrid, or on-premises setups. Additionally, Sangoma provides managed services for connectivity, network, and security. A trusted communications partner with over 40 years on the market, Sangoma has over 2.7 million UC seats across a diversified base of over 100,000 customers. Sangoma has been recognized for nine years running in the Gartner UCaaS Magic Quadrant. As the primary developer and sponsor of the open source Asterisk and FreePBX projects, Sangoma is determined to drive innovation in communication technology continuously. For more information, visit www.sangoma.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240722619860/en/

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Sangoma Technologies Corporation
Larry Stock
Chief Financial Officer
[email protected]

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