Revenue growth has moderated to 17.4% in 2026Q1 while the company maintains a stable gross margin profile of approximately 72% across the last ten quarters.
| Sales/Revenue | 248.72M | 239.02M | 204.31M | 170.47M | 142.12M | 115.87M | 79.9M | 45.75M |
| Revenue Growth % | 16.79% | 16.99% | 19.85% | 19.95% | 22.65% | 45.03% | 74.65% | - |
| Cost of Goods Sold | 68.81M | 66.72M | 58.43M | 54.38M | 53.28M | 49.37M | 34.45M | 18.52M |
| COGS % of Revenue | - | 27.91% | 28.6% | 31.9% | 37.49% | 42.61% | 43.12% | 40.48% |
| Gross Profit | 179.9M | 172.31M | 145.88M | 116.09M | 88.84M | 66.5M | 45.45M | 27.23M |
| Gross Margin % | 72.33% | 72.09% | 71.4% | 68.1% | 62.51% | 57.39% | 56.88% | 59.52% |
| Gross Profit Growth % | - | 18.11% | 25.66% | 30.67% | 33.6% | 46.32% | 66.92% | - |
| Operating Expenses | 207.22M | 200.89M | 177.29M | 150.46M | 138.54M | 116.89M | 85.02M | 59.15M |
| OpEx % of Revenue | - | 84.05% | 86.78% | 88.26% | 97.49% | 100.88% | 106.41% | 129.3% |
| Selling, General & Admin | 163.09M | 158.46M | 137.06M | 116.42M | 107.83M | 89.88M | 65.05M | 44.74M |
| SG&A % of Revenue | - | 66.29% | 67.08% | 68.29% | 75.87% | 77.57% | 81.42% | 97.81% |
| Research & Development | 44.12M | 44.46M | 40.23M | 34.04M | 30.71M | 27.01M | 19.97M | 14.41M |
| R&D % of Revenue | - | 18.6% | 19.69% | 19.97% | 21.61% | 23.31% | 24.99% | 31.49% |
| Other Operating Expenses | 0 | -2.03M | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -27.31M | -28.91M | -31.41M | -34.37M | -49.7M | -50.39M | -39.57M | -31.92M |
| Operating Margin % | -10.98% | -12.1% | -15.37% | -20.16% | -34.97% | -43.49% | -49.53% | -69.78% |
| Operating Income Growth % | - | 7.96% | 8.59% | 30.86% | 1.36% | -27.34% | -23.96% | - |
| EBITDA | -15.12M | -12.42M | -15.95M | -18.53M | -33.06M | -38.25M | -30.15M | -26.19M |
| EBITDA Margin % | -6.08% | -5.19% | -7.8% | -10.87% | -23.26% | -33.01% | -37.73% | -57.25% |
| EBITDA Growth % | -8.64% | 22.13% | 13.97% | 43.94% | 13.57% | -26.89% | -15.1% | - |
| D&A (Non-Cash Add-back) | 12.19M | 16.5M | 15.47M | 15.83M | 16.64M | 12.14M | 9.43M | 5.73M |
| EBIT | -18.92M | -27.28M | -26.63M | -28.85M | -48.19M | -50.45M | -39.32M | -31.25M |
| Net Interest Income | 45K | 111K | 328K | 273K | -286K | -1.18M | -1.1M | -811K |
| Interest Income | 1.72M | 1.81M | 1.85M | 2.2M | 1.16M | 0 | 0 | 0 |
| Interest Expense | 934K | 1.7M | 1.52M | 1.92M | 1.44M | 1.18M | 1.1M | 811K |
| Other Income/Expense | 1.42M | -62K | 3.26M | 3.6M | 70K | -1.24M | -850K | -137K |
| Pretax Income | -25.89M | -28.98M | -28.16M | -30.77M | -49.63M | -51.63M | -40.42M | -32.06M |
| Pretax Margin % | -10.41% | -12.12% | -13.78% | -18.05% | -34.92% | -44.56% | -50.59% | -70.08% |
| Income Tax | -1.1M | -924K | 189K | 260K | 104K | 60K | 0 | 0 |
| Effective Tax Rate % | 4.24% | 3.19% | -0.67% | -0.84% | -0.21% | -0.12% | 0% | 0% |
| Net Income | -25M | -28.05M | -28.35M | -31.03M | -49.74M | -51.69M | -40.42M | -32.06M |
| Net Margin % | -10.05% | -11.74% | -13.87% | -18.2% | -35% | -44.61% | -50.59% | -70.08% |
| Net Income Growth % | 16.59% | 1.04% | 8.65% | 37.61% | 3.78% | -27.88% | -26.08% | - |
| Net Income (Continuing) | -25M | -28.05M | -28.35M | -31.03M | -49.74M | -51.69M | -40.42M | -32.06M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.32 | -0.37 | -0.40 | -0.46 | -0.76 | -2.60 | -0.75 | -3.03 |
| EPS Growth % | 25.07% | 7.5% | 13.04% | 39.47% | 70.77% | -246.67% | 75.25% | - |
| EPS (Basic) | - | -0.37 | -0.40 | -0.46 | -0.76 | -2.60 | -0.75 | -3.03 |
| Diluted Shares Outstanding | 78.58M | 76.31M | 71.66M | 67.69M | 65.74M | 64.32M | 64.24M | 11.06M |
| Basic Shares Outstanding | 78.58M | 76.31M | 71.66M | 67.69M | 65.74M | 64.32M | 64.24M | 11.06M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Customer acquisition cost efficiency
According to recent financial filings, Weave Communications' year-over-year revenue growth has decelerated from 21.2% in 2023Q4 to 17.4% in 2026Q1, suggesting that the company is encountering natural market saturation or increased competitive friction within its core dental and veterinary practice management software segments.
The consistent decline in top-line growth rates indicates that the initial rapid adoption phase may be transitioning into a more mature, albeit slower, expansion cycle. Investors should monitor whether the shift toward transactional payments revenue can offset the cooling demand for new core subscription seats.
As reported in quarterly income statements, Weave has maintained a relatively stable gross margin profile, hovering near 72% over the last ten quarters, which reflects the inherent costs of telecommunications transit and hardware fulfillment embedded within their specialized healthcare software delivery model.
The lack of significant margin expansion suggests that the company has not yet achieved the necessary scale to leverage its fixed infrastructure costs effectively. Future margin improvement appears contingent upon a successful product mix shift toward higher-margin software modules that bypass the hardware-heavy onboarding process.
Based on the most recent income statement data, Weave's operating margin improved to -3.4% in 2025Q4 from -17.5% in 2023Q4, indicating that management is beginning to exert greater discipline over operating expenses relative to the company's expanding revenue base.
This narrowing of operating losses suggests a pivot toward operational efficiency, though the sustainability of this trend remains unproven. The reduction in R&D and SG&A intensity relative to revenue growth warrants further investigation to ensure that cost-cutting measures are not undermining long-term product competitiveness.
Analysis of the provided financial data reveals that stock-based compensation remains a significant non-cash expense, reaching $7.1 million in 2026Q1, which continues to obscure the underlying cash-burn rate and complicates the assessment of the company's true path toward GAAP profitability.
The persistent reliance on equity-based incentives suggests that the reported net income figures may overstate the company's economic performance. Investors should carefully adjust for these non-cash charges to determine the actual cash-flow generation capabilities of the core business operations.
While Weave has successfully captured the independent practice market, the ongoing consolidation of clinics into larger Dental Service Organizations, as noted in industry context, poses a material risk to the company's ability to maintain its current pricing power and customer retention rates.
Short-sellers may focus on the potential for these larger entities to displace Weave with proprietary or enterprise-grade alternatives, which could lead to a structural contraction in the addressable market. This trend warrants close monitoring as it could fundamentally alter the company's long-term growth trajectory.
Quick answers to the most common questions about buying WEAV stock.
For fiscal year 2025, Weave Communications, Inc. (WEAV) reported total revenue of $239.0M. This represents a 422.5% increase compared to $45.7M in 2019.
Weave Communications, Inc. (WEAV) reported a net loss of $28.1M for the fiscal year ending 2025.
Weave Communications, Inc. (WEAV) reported an operating income of $-28.9M, resulting in an operating profit margin of -12.1%. This margin reflects the operational efficiency of the business before interest and taxes.
Weave Communications, Inc. (WEAV) generated $172.3M in gross profit for the year, representing a gross profit margin of 72.1%. This demonstrates the company's core pricing power and production efficiency.