Revenue grew 43.9% year over year to $25.2M in 2026Q3, but operating margin of 4.3% and net margin of 4.4% remain thin and trail several telecom peers, suggesting limited earnings leverage from growth so far.
Crexendo, Inc. (CXDO) annual income statement — 27-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Jun'08 | Jun'07 | Jun'06 | Jun'05 | Jun'04 | Jun'03 | Jun'02 | Jun'01 | Jun'00 | Jun'99 |
|---|
| Revenue | 88.6M | 68.17M | 60.84M | 53.2M | 37.55M | 28.09M | 16.39M | 14.44M | 11.91M | 10.38M | 9.12M | 7.82M | 7.59M | 10.33M | 17.17M | 48.02M | 65.79M | 94.41M | 128.05M | 151.62M | 185.09M | 39.08M | 81.03M | 53.23M | 37.35M | 43M | 27.42M | 100K |
| Revenue Growth % | 33.54% | 12.05% | 14.36% | 41.66% | 33.68% | 71.43% | 13.51% | 21.23% | 14.75% | 13.8% | 16.57% | 3.02% | -26.47% | -39.84% | -64.25% | -27.01% | -30.31% | -26.27% | -15.55% | -18.08% | 373.68% | -51.78% | 52.24% | 42.5% | -13.14% | 56.79% | 27324.76% | - |
| Cost of Revenue | 44.66M | 25.26M | 23.09M | 21.56M | 13.68M | 10.66M | 4.95M | 4.35M | 3.82M | 3.46M | 3.63M | 3.58M | 3.58M | 4.09M | 5.09M | 17.73M | 21.77M | 29.14M | 38.16M | 47M | 30.97M | 29.28M | 18.75M | 10.9M | 6.53M | 8.43M | 8.67M | -400K |
| Gross Profit | 43.94M | 42.9M | 37.74M | 31.64M | 23.87M | 17.43M | 11.44M | 10.09M | 8.09M | 6.92M | 5.49M | 4.25M | 4.01M | 6.24M | 12.07M | 30.3M | 44.02M | 65.27M | 89.89M | 104.62M | 154.12M | 9.8M | 62.28M | 42.32M | 30.83M | 34.57M | 18.75M | 500K |
| Gross Margin % | 49.59% | 62.94% | 62.04% | 59.47% | 63.56% | 62.05% | 69.81% | 69.86% | 67.93% | 66.69% | 60.25% | 54.28% | 52.83% | 60.39% | 70.34% | 63.08% | 66.91% | 69.14% | 70.2% | 69% | 83.27% | 25.08% | 76.86% | 79.52% | 82.53% | 80.41% | 68.38% | 500% |
| Gross Profit Growth % | - | 13.67% | 19.31% | 32.53% | 36.93% | 52.38% | 13.44% | 24.68% | 16.89% | 25.96% | 29.39% | 5.83% | -35.67% | -48.35% | -60.14% | -31.18% | -32.56% | -27.39% | -14.08% | -32.12% | 1472.84% | -84.27% | 47.16% | 37.3% | -10.85% | 84.37% | 3650.56% | - |
| Operating Expenses | 39.39M | 38.21M | 35.92M | 33.32M | 61.26M | 20.24M | 10.45M | 8.95M | 8.29M | 7.75M | 8.26M | 9.09M | 10.61M | 11.72M | 18.19M | 36.19M | 50.59M | 73.15M | 93.15M | 85.19M | 54.86M | 42.42M | 54.32M | 38.07M | 27.11M | 34.61M | 57.09M | 11.7M |
| Other Operating Expenses | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| EBITDA | 10.33M | 7.99M | 5.16M | 1.88M | -34.65M | -1.18M | 1.25M | 1.23M | -114K | -719K | -2.62M | -4.57M | -5.94M | -4.6M | -4.74M | -4.54M | -5.2M | 5.36M | -2.06M | 20.05M | 99.57M | -32.38M | 8.1M | 4.6M | 6.8M | 2.38M | -31.86M | -10.5M |
| EBITDA Margin % | 11.66% | 11.71% | 8.47% | 3.54% | -92.25% | -4.21% | 7.62% | 8.51% | -0.96% | -6.93% | -28.7% | -58.4% | -78.17% | -44.54% | -27.62% | -9.46% | -7.9% | 5.68% | -1.61% | 13.22% | 53.8% | -82.87% | 9.99% | 8.64% | 18.2% | 5.54% | -116.18% | -10500% |
| EBITDA Growth % | 38.14% | 54.9% | 173.62% | 105.44% | -2826.1% | -194.8% | 1.63% | 1178.07% | 84.14% | 72.53% | 42.72% | 23.03% | -29.04% | 2.97% | -4.38% | 12.57% | -196.96% | 360.48% | -110.26% | -79.86% | 407.49% | -500.02% | 75.98% | -32.32% | 185.18% | 107.48% | -203.45% | - |
| Depreciation & Amortization | 5.78M | 3.29M | 3.33M | 3.57M | 2.75M | 1.63M | 258K | 94K | 92K | 106K | 146K | 270K | 663K | 1.15M | 1.37M | 1.35M | 1.38M | 0 | 1.2M | 620K | 307K | 241K | 137.28K | 350.8K | 3.08M | 2.42M | 6.48M | 700K |
| D&A / Revenue % | 6.52% | 4.83% | 5.48% | 6.72% | 7.31% | 5.79% | 1.57% | 0.65% | 0.77% | 1.02% | 1.6% | 3.45% | 8.73% | 11.09% | 8% | 2.81% | 2.1% | 0% | 0.93% | 0.41% | 0.17% | 0.62% | 0.17% | 0.66% | 8.24% | 5.62% | 23.62% | 700% |
| Operating Income (EBIT) | 4.55M | 4.69M | 1.82M | -1.69M | -37.39M | -2.81M | 991K | 1.14M | -206K | -825K | -2.76M | -4.84M | -6.6M | -5.75M | -6.12M | -5.89M | -6.57M | -7.88M | -3.25M | 19.43M | 99.27M | -32.62M | 7.96M | 4.25M | 3.72M | -35.22K | -38.34M | -11.2M |
| Operating Margin % | 5.13% | 6.88% | 3% | -3.17% | -99.57% | -10% | 6.05% | 7.86% | -1.73% | -7.95% | -30.3% | -61.86% | -86.9% | -55.63% | -35.62% | -12.27% | -9.99% | -8.35% | -2.54% | 12.82% | 53.63% | -83.49% | 9.82% | 7.98% | 9.95% | -0.08% | -139.8% | -11200% |
| Operating Income Growth % | - | 157.13% | 207.99% | 95.48% | -1230.68% | -383.55% | -12.69% | 650.97% | 75.03% | 70.14% | 42.9% | 26.67% | -14.87% | 6.05% | -3.8% | 10.39% | 16.56% | -142.21% | -116.74% | -80.43% | 404.28% | -509.94% | 87.28% | 14.31% | 10653.54% | 99.91% | -242.33% | - |
| Interest Expense | 144K | 19K | 42K | 115K | 78K | 84K | 76K | 12K | 12K | 209K | 138K | 28K | 3K | 0 | 0 | 2K | 4K | 14K | 3K | 3K | 26K | 91K | 43.36K | 43.36K | 1.95M | 3.29M | 3.29M | 0 |
| Interest Coverage | - | 283.68x | 45.98x | -1.30x | -462.78x | -33.64x | 25.99x | 96.42x | -16.33x | -3.41x | -19.14x | -161.61x | -2099.67x | - | - | -588.00x | -403.50x | 282.14x | -616.00x | 2061.33x | 747.31x | 1090.84x | -752.39x | -598.56x | -8.26x | 1.13x | -0.01x | - |
| Interest / Revenue % | 0.16% | 0.03% | 0.07% | 0.22% | 0.21% | 0.3% | 0.46% | 0.08% | 0.1% | 2.01% | 1.51% | 0.36% | 0.04% | 0% | 0% | 0% | 0.01% | 0.01% | 0% | 0% | 0.01% | 0.23% | 0.05% | 0.08% | 5.22% | 7.65% | 11.99% | 0% |
| Non-Operating Income | -338K | 681K | 65K | 1000K | 1000K | -100K | 908K | 10K | -2K | -188K | -17K | 286K | 300K | 525K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 790K | -1000K | 35.22K | 1000K |
| Pretax Income | 4.21M | 5.37M | 1.89M | -264K | -36.17M | -2.91M | 1.9M | 1.15M | -208K | -1.01M | -2.78M | -4.55M | -6.3M | -5.22M | -4.15M | -1.18M | -1.62M | -1.86M | 6.18M | 26.69M | 102.29M | -28.9M | 9.6M | 4.25M | 2.2M | -35.22K | -39.53M | -11.3M |
| Pretax Margin % | 4.75% | 7.88% | 3.1% | -0.5% | -96.33% | -10.36% | 11.59% | 7.93% | -1.75% | -9.76% | -30.49% | -58.2% | -82.95% | -50.54% | -24.19% | -2.45% | -2.46% | -1.97% | 4.83% | 17.6% | 55.27% | -73.97% | 11.85% | 7.98% | 5.89% | -0.08% | -144.15% | -11300% |
| Income Tax | 245K | 300K | 212K | 98K | -762K | -465K | -6.04M | 6K | 15K | 7K | 12K | -12K | 77K | -257K | -212K | 5.05M | 692K | -5.68M | 3.04M | 2.69M | -8.33M | 614K | -12.29M | 13.46M | -864.37K | 3.88M | 6.96M | -700K |
| Effective Tax Rate % | 5.82% | 5.59% | 11.22% | -37.12% | 2.11% | 15.98% | -318.11% | 0.52% | -7.21% | -0.69% | -0.43% | 0.26% | -1.22% | 4.92% | 5.1% | -428.86% | -42.77% | 305.27% | 49.17% | 10.06% | -8.14% | -2.12% | -128.05% | 316.73% | -39.31% | -11012.74% | -17.61% | 6.19% |
| Net Income | 3.96M | 5.07M | 1.68M | -362K | -35.41M | -2.44M | 7.94M | 1.14M | -223K | -1.02M | -2.79M | -4.54M | -6.38M | -4.96M | -3.94M | -6.23M | -2.31M | -7.54M | 3.14M | 24M | 110.62M | -29.52M | 21.89M | 5.03M | 2.2M | -6.21M | -44.11M | -10.4M |
| Net Margin % | 4.48% | 7.44% | 2.76% | -0.68% | -94.3% | -8.7% | 48.45% | 7.89% | -1.87% | -9.83% | -30.62% | -58.05% | -83.96% | -48.05% | -22.96% | -12.97% | -3.51% | -7.99% | 2.45% | 15.83% | 59.77% | -75.54% | 27.02% | 9.46% | 5.89% | -14.44% | -160.83% | -10400% |
| Net Income Growth % | -9.06% | 202.39% | 563.26% | 98.98% | -1348.38% | -130.79% | 597.1% | 610.76% | 78.14% | 63.47% | 38.52% | 28.78% | -28.47% | -25.93% | 36.74% | -169.7% | 69.37% | -340.04% | -86.91% | -78.3% | 474.77% | -234.82% | 334.9% | 128.95% | 135.4% | 85.92% | -324.12% | - |
| EPS (Diluted) | 0.12 | 0.16 | 0.06 | -0.01 | -1.54 | -0.12 | 0.46 | 0.07 | -0.02 | -0.07 | -0.21 | -0.35 | -0.57 | -0.46 | -0.37 | -0.59 | -0.20 | -0.66 | 0.26 | 1.87 | 8.76 | -2.49 | -2.25 | -1.42 | -2.61 | -2.79 | -23.83 | -8.30 |
| EPS Growth % | -14.01% | 186.23% | 499.29% | 99.09% | -1183.33% | -126.09% | 557.14% | 548.72% | 78.69% | 65.14% | 40% | 38.6% | -23.91% | -24.32% | 37.29% | -195% | 69.7% | -353.85% | -86.1% | -78.65% | 451.81% | -10.67% | -58.45% | 45.59% | 6.45% | 88.29% | -187.11% | - |
| EPS (Basic) | - | 0.17 | 0.06 | -0.01 | -1.54 | -0.12 | 0.50 | 0.08 | -0.02 | -0.07 | -0.21 | -0.35 | -0.57 | -0.46 | -0.37 | -0.59 | -0.20 | -0.66 | 0.27 | 1.94 | 9.09 | -2.49 | -2.25 | -1.42 | -2.61 | -2.79 | -23.83 | -8.30 |
| Diluted Shares Outstanding | 34.23M | 31.64M | 30.02M | 25.94M | 22.94M | 20.28M | 17.42M | 15.56M | 14.33M | 13.94M | 13.36M | 12.96M | 11.16M | 10.71M | 10.63M | 10.6M | 11.36M | 11.37M | 11.86M | 12.83M | 12.62M | 11.84M | 12.11M | 11.02M | 5.87M | 2.23M | 1.85M | 1.25M |
Quick answers to the most common questions about buying CXDO stock.
For fiscal year 2025, Crexendo, Inc. (CXDO) reported total revenue of $68.2M. This represents a 68067.0% increase compared to $0.1M in 1999.
Crexendo, Inc. (CXDO) is profitable, generating $5.1M in net income for the fiscal year ending 2025 with a net profit margin of 7.4%.
Crexendo, Inc. (CXDO) reported an operating income of $4.7M, resulting in an operating profit margin of 6.9%. This margin reflects the operational efficiency of the business before interest and taxes.
Crexendo, Inc. (CXDO) generated $42.9M in gross profit for the year, representing a gross profit margin of 62.9%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Thin margins and low earnings base
Metrics are mathematically derived from official filings.
Revenue Growth Not Yet Reaching Earnings
Based on reported quarterly figures, Crexendo's revenue rose 43.9% year over year to $25.2M in 2026Q3, yet net margin of 4.4% suggests top-line expansion is only partially converting into bottom-line gains.
Because Crexendo is a telecommunications services company rather than a rate-regulated utility, revenue is driven by subscriber and product growth rather than rate base expansion or rate case outcomes. The sharp acceleration from roughly 12% growth in 2025 to over 40% in 2026 warrants further investigation to determine whether it reflects organic demand, acquisitions, or timing effects. Investors should monitor whether operating costs keep pace with revenue, as the flat-to-declining EPS trend indicates margin dilution during the expansion.
EPS Declines Despite Revenue Surge
As reported in the income statement, Crexendo's diluted EPS fell 28.3% year over year in 2026Q3 to $0.03 even as revenue grew 43.9%, a divergence that warrants scrutiny of earnings durability.
The gap between revenue growth and EPS contraction suggests either rising interest, depreciation, or share-count effects are absorbing incremental sales. Quarterly net income of roughly $1.1M across recent periods indicates a small and volatile earnings base, so single-quarter swings carry outsized weight. This pattern may indicate that current earnings are not yet representative of a durable profit trajectory.
Operating Margin Compression Versus Peers
Based on Crexendo's reported figures, operating margin of 4.3% in 2026Q3 trails the 11.1% achieved by Magic Software and the 1.6% at Ooma, placing it in the middle of a thin-margin peer group.
Unlike regulated utilities, where fuel and purchased power costs are passed through to customers, Crexendo bears its operating cost base directly, so margin movements reflect genuine cost discipline or lack thereof. The peer set is heterogeneous, with several names posting negative margins, which limits the value of direct comparison. Margin stability near 4% across the last two quarters, despite rapid revenue growth, may indicate that scaling is not yet producing operating leverage.
Growth Story Rests on Thin Profit Base
Crexendo's net income of $1.1M on $25.2M revenue leaves little cushion, so even modest cost overruns could erase the earnings contribution implied by its headline growth rates.
The strongest challenge to a constructive reading is that the reported profitability is marginal, with net margins near 4% and EPS trending lower despite strong sales growth. Inconsistent quarterly EPS, including a 53.1% decline in 2026Q1, suggests earnings are sensitive to timing and one-off items that are not fully visible in the supplied data. Based on the available figures, the growth narrative cannot yet be verified as translating into sustainable profit.