Bandwidth Inc. is an American communications platform as a service (CPaas) company that provides application programming interfaces (APIs) for voice calling, text messaging, and emergency services. The company operates its own global IP voice network and provides communications infrastructure for businesses and software applications. Founded in 1999 by David Morken and headquartered in Raleigh, North Carolina, Bandwith became a publicly traded company on the Nasdaq stock exchange in 2017.3Wikipedia text CC BY-SA 4.0
Bandwidth Inc. is an American communications platform as a service (CPaas) company that provides application programming interfaces (APIs) for voice calling, text messaging, and emergency services. The company operates its own global IP voice network and provides communications infrastructure for businesses and software applications.3
Financials
From the company’s reports to the SEC. Every number links to the filing it came from.
Revenue9101112135$753.8M in 2025+269% since 2018Gross profit9101112135$295.1M in 2025+207% since 2018Operating income9101112135-$14.4M in 2025Net income9101112135-$12.9M in 2025
Revenue141516$208.8M in Q1 FY2026+16% since Q2 FY2025Gross profit141516$77.9M in Q1 FY2026+9% since Q2 FY2025Operating income141516-$4.6M in Q1 FY2026+23% since Q2 FY2025Net income151614$4.1M in Q1 FY2026
Every line of the income statement as filed: the last 3 fiscal years, latest first.5
Period ending
2025-12-31
2024-12-31
2023-12-31
Revenue
$753.8M
$748.5M
$601.1M
Cost of revenue
$458.8M
$468.5M
$365.0M
Gross profit
$295.1M
$280.0M
$236.2M
Research and development
$132.5M
$118.6M
$104.2M
Sales and marketing
$101.7M
$109.7M
$102.1M
General and administrative
$75.2M
$71.7M
$65.4M
Total operating expenses
$309.4M
$300.0M
$271.6M
Operating loss
-$14.4M
-$20.1M
-$35.5M
Net gain on extinguishment of debt
$1.1M
$10.3M
$12.8M
Gain on business interruption insurance recoveries
$0
$0
$4.0M
Interest expense, net
-$2.0M
-$1.9M
-$808.0K
Other (expense) income
-$1.3M
$2.7M
$195.0K
Total other (expense) income
-$2.2M
$11.1M
$16.2M
Loss before income taxes
-$16.6M
-$9.0M
-$19.3M
Income tax benefit
$3.7M
$2.4M
$3.0M
Net loss
-$12.9M
-$6.5M
-$16.3M
Basic (in usd per share)
-$0.43
-$0.24
-$0.64
Diluted (in usd per share)
-$0.43
-$0.24
-$0.64
Basic (in shares)
30.0M shares
27.2M shares
25.6M shares
Diluted (in shares)
30.0M shares
27.2M shares
25.6M shares
No quarter-by-quarter statement was filed.
Total assets179101112135$1.1B in 2025+600% since 2018Total liabilities179101112135$652.7M in 2025+1467% since 2018Shareholders’ equity101112135$400.0M in 2025+268% since 2018Cash1791012135$102.8M in 2025+149% since 2018Long-term debt9101112135$247.6M in 2025
Total assets141516$984.2M in Q1 FY2026−4% since Q2 FY2025Total liabilities141516$578.5M in Q1 FY2026−9% since Q2 FY2025Shareholders’ equity151614$405.7M in Q1 FY2026+17% since Q3 FY2025Cash141516$47.3M in Q1 FY2026−21% since Q2 FY2025Long-term debt141516$148.7M in Q1 FY2026−40% since Q2 FY2025
Every line of the balance sheet as filed: the last 4 fiscal years (annual) or 4 quarters (quarterly), latest first.5
Period ending
2025-12-31
2024-12-31
2023-12-31
2022-12-31
Cash and cash equivalents
$102.8M
$81.8M
$132.0M
Marketable securities
$8.5M
$2.0M
Accounts receivable, net of allowances
$91.4M
$86.5M
Deferred costs
$4.8M
$3.7M
Prepaid expenses and other current assets
$11.6M
$13.8M
Total current assets
$219.1M
$187.8M
Property, plant and equipment, net
$174.3M
$176.8M
Operating right-of-use asset, net
$152.9M
$153.6M
Intangible assets, net
$138.7M
$145.4M
Deferred costs, non-current
$3.1M
$4.4M
Other long-term assets
$7.8M
$4.0M
Goodwill
$356.8M
$317.2M
$335.9M
Total assets
$1.1B
$989.2M
Accounts payable
$42.6M
$28.4M
Accrued expenses and other current liabilities
$91.2M
$101.8M
Current portion of deferred revenue
$8.7M
$7.0M
Operating lease liability, current
$3.9M
$3.1M
Current portion of convertible senior notes
$7.6M
$0
Total current liabilities
$154.1M
$140.3M
Other liabilities
$555.0K
$576.0K
Operating lease liability, net of current portion
$221.0M
$219.2M
Deferred revenue, net of current portion
$5.0M
$8.0M
Deferred tax liability
$24.5M
$27.3M
Convertible senior notes
$247.6M
$281.3M
Total liabilities
$652.7M
$676.6M
Preferred stock: $0.001 par value; 10,000,000 shares authorized; 0 shares issued and outstanding
$0
$0
Additional paid-in capital
$485.8M
$435.9M
Accumulated deficit
-$84.3M
-$71.4M
Accumulated other comprehensive loss
-$1.6M
-$52.0M
Total stockholders equity
$400.0M
$312.5M
$297.4M
$272.2M
Total liabilities and stockholders equity
$1.1B
$989.2M
Preferred stock, par value (in usd per share)
$0.00
$0.00
Preferred stock, shares authorized (in shares)
10.0M shares
10.0M shares
Preferred stock, shares issued (in shares)
0 shares
0 shares
Preferred stock, shares outstanding (in shares)
0 shares
0 shares
Period ending
2025-12-31
2024-12-31
2023-12-31
2022-12-31
Cash and cash equivalents
$102.8M
$81.8M
$132.0M
Marketable securities
$8.5M
$2.0M
Accounts receivable, net of allowances
$91.4M
$86.5M
Deferred costs
$4.8M
$3.7M
Prepaid expenses and other current assets
$11.6M
$13.8M
Total current assets
$219.1M
$187.8M
Property, plant and equipment, net
$174.3M
$176.8M
Operating right-of-use asset, net
$152.9M
$153.6M
Intangible assets, net
$138.7M
$145.4M
Deferred costs, non-current
$3.1M
$4.4M
Other long-term assets
$7.8M
$4.0M
Goodwill
$356.8M
$317.2M
$335.9M
Total assets
$1.1B
$989.2M
Accounts payable
$42.6M
$28.4M
Accrued expenses and other current liabilities
$91.2M
$101.8M
Current portion of deferred revenue
$8.7M
$7.0M
Operating lease liability, current
$3.9M
$3.1M
Current portion of convertible senior notes
$7.6M
$0
Total current liabilities
$154.1M
$140.3M
Other liabilities
$555.0K
$576.0K
Operating lease liability, net of current portion
$221.0M
$219.2M
Deferred revenue, net of current portion
$5.0M
$8.0M
Deferred tax liability
$24.5M
$27.3M
Convertible senior notes
$247.6M
$281.3M
Total liabilities
$652.7M
$676.6M
Preferred stock: $0.001 par value; 10,000,000 shares authorized; 0 shares issued and outstanding
$0
$0
Additional paid-in capital
$485.8M
$435.9M
Accumulated deficit
-$84.3M
-$71.4M
Accumulated other comprehensive loss
-$1.6M
-$52.0M
Total stockholders equity
$400.0M
$312.5M
$297.4M
$272.2M
Total liabilities and stockholders equity
$1.1B
$989.2M
Preferred stock, par value (in usd per share)
$0.00
$0.00
Preferred stock, shares authorized (in shares)
10.0M shares
10.0M shares
Preferred stock, shares issued (in shares)
0 shares
0 shares
Preferred stock, shares outstanding (in shares)
0 shares
0 shares
Cash from operations9101112135$89.5M in 2025+263% since 2018Capital spending9$12.3M in 2020−1% since 2018Free cash flow91011-$7.8M in 2020
Cash flow is reported year to date, not quarter by quarter, so there are no separate quarterly figures.
Every line of the cash flow as filed: the last 3 fiscal years, latest first.5
Period ending
2025-12-31
2024-12-31
2023-12-31
Net loss
-$12.9M
-$6.5M
-$16.3M
Depreciation and amortization
$53.8M
$49.2M
$41.7M
Non-cash reduction to the right-of-use asset
$3.4M
$3.6M
$9.3M
Amortization of debt discount and issuance costs
$1.4M
$1.7M
$2.5M
Stock-based compensation
$52.3M
$48.4M
$37.0M
Deferred taxes and other
-$2.1M
-$4.5M
-$5.9M
Gain on sale of intangible asset
$0
-$1.0M
$0
Net gain on extinguishment of debt
-$1.1M
-$10.3M
-$12.8M
Accounts receivable
-$4.0M
-$8.7M
-$3.5M
Prepaid expenses and other assets
-$1.7M
$4.1M
$2.1M
Accounts payable
$13.1M
-$4.6M
$5.4M
Accrued expenses and other liabilities
-$10.7M
$18.1M
-$10.6M
Operating right-of-use liability
-$1.9M
-$5.6M
-$10.0M
Net cash provided by operating activities
$89.5M
$83.9M
$39.0M
Purchase of property, plant and equipment
-$22.3M
-$14.0M
-$9.3M
Refund of deposits for construction in progress
$0
$2.7M
$0
Capitalized software development costs
-$10.7M
-$11.4M
-$10.6M
Purchase of marketable securities
-$16.1M
-$34.0M
-$80.6M
Proceeds from sales and maturities of marketable securities
$9.7M
$53.5M
$130.1M
Proceeds from sale of business
$361.0K
$779.0K
$1.3M
Proceeds from sale of intangible assets
$0
$1.0M
$0
Net cash used in investing activities
-$39.1M
-$1.4M
$30.8M
Borrowings on line of credit
$28.5M
$206.5M
$0
Repayments on line of credit
-$28.5M
-$206.5M
$0
Payments on finance leases
-$66.0K
-$87.0K
-$157.0K
Net cash paid for debt extinguishment
-$26.1M
-$128.5M
-$51.3M
Payment of debt issuance costs
-$25.0K
-$524.0K
-$710.0K
Proceeds from exercises of stock options
$109.0K
$167.0K
$413.0K
Value of equity awards withheld for tax liabilities
-$2.9M
-$2.3M
-$1.1M
Net cash used in financing activities
-$29.1M
-$131.3M
-$52.8M
Effect of exchange rate changes on cash, cash equivalents and restricted cash
-$440.0K
-$1.2M
$610.0K
Net increase (decrease) in cash, cash equivalents, and restricted cash
$20.9M
-$50.1M
$17.7M
Cash (received from) paid for interest
-$182.0K
$691.0K
-$1.5M
Cash (refunded) paid for taxes, net
-$55.0K
$3.8M
$7.2M
Right-of-use assets obtained in exchange for new operating lease liabilities
$2.7M
$1.9M
$156.0M
Purchase of property, plant and equipment, accrued but not paid
$6.6M
$11.4M
$6.9M
Purchase of property and equipment through lease incentive
$1.9M
$0
$57.3M
Purchase of property and equipment through use of escrow deposits
Bandwidth.com sits at the top of its group. 13 entities, 11 countries on record. Switch between the flow chart and the network, and select any entity to see its details.
• Bandwidth Communications Canada, Inc. Subsidiary · Canada
• Bandwidth Comunicaciones, S. de R.L. de C.V. Subsidiary · Mexico
• Bandwidth Comunicação do Brasil Ltda. Subsidiary · Brazil
• Bandwidth Iberia S.L Subsidiary · Spain
• Bandwidth.com CLEC, LLC Subsidiary · Delaware, United States
• DE Bandwidth GmbH Subsidiary · Germany
• UK Bandwidth Limited Subsidiary · United Kingdom
• Voice Bidco Limited Subsidiary · United Kingdom
• Voxbone El Salvador Sociedad Anonima De Capital Variable Subsidiary · El Salvador
• Voxbone Panama Inc. Subsidiary · Panama
• Voxbone S.A. Subsidiary · Belgium
• Voxbone Telekomunikasyon ve Iletisim Hizmetleri Ticaret Limited Sirketi Subsidiary · Turkey
Built from subsidiaries listed in Exhibit 21 of annual reports filed with the SEC; major holders from Schedules 13D and 13G. Each entity in the chart links to its source.
What it owns
What Bandwidth.com reports owning in its annual reports to the SEC: buildings, land and equipment, real estate and locations, investments, intangible assets and inventory, at the end of its latest fiscal year and a year before.
Our corporate headquarters is located in Raleigh, North Carolina, where we lease approximately 534,000 square feet of office space at 2230 Bandmate Way.
We maintain offices in locations in Raleigh, NC, Denver, CO and Rochester, NY in the United States, and in a number of locations internationally, including Brussels, Belgium; London, U.K.; Dublin, Ireland; Iasi, Romania; and Istanbul, Turkey.
The rest of Item 2
We currently lease all our facilities. We believe our corporate headquarters in Raleigh, NC will provide sufficient space to accommodate our growing work force.
Bandwidth was formed in 1999 by David Morken who was later joined by Henry Kaestner as co-founder in 2001, merging Bandwidth International into Bandwidth.com.
In Aug. 2023, Bandwidth moved to a new, purpose-built 40-acre headquarters campus at 2230 Bandmate Way in Raleigh, where the company maintains a workforce of about 1,000 employees as of Aug. 2023.
On November 10, 2017, the company had an initial public offering on the Nasdq which raised $80 million in capital by selling 4 million $20 shares.
On January 11, 2024, Bandwidth terminated its incentive agreement with the state of North Carolina, which required creating over 1,100 local jobs, citing the need for more hiring flexibility outside of Raleigh.
Bandwidth has been noted for its unusual approach of incorporating Christian religion in business, including starting meetings with Christian prayers.
Feb 20, 2025Reported quarterly or annual results57
Oct 31, 2024Reported quarterly or annual results58
Upcoming dates from Nasdaq's calendar; past results from the company's 8-K filings (Item 2.02). The full markets calendar
Filings
603 filings to the SEC since October 2021: 5 annual reports, 15 quarterly reports, 48 major events, 382 insider forms, 25 large holders, 128 other. The latest 20:
239 open-market trades by officers, directors and large owners since October 2021: 8 buys and 231 sales. Grants, option exercises and gifts are left out.
What the company paid its top executives, from the summary compensation table in its proxy statement. Total pay includes salary, bonus, stock and option awards and other pay, as the company valued them.
The largest holders among investment managers' 13F reports for the quarter ending Jun 30, 2026, the top 25 of 100. Change is in shares since the quarter before.
From the cover page of the 10-K filed Feb 19, 2026 (Section 12(b) of the Exchange Act).18
Risk factors and legal proceedings
The risks Bandwidth.com names in Item 1A of its 10-K filed Feb 19, 2026: 67 risks under these headings, as written.18
Risks Related to Our Business
Our growth and financial health are impacted by a number of risks, including uncertain capital markets, political and economic instability in a number of regions, the imposition of widespread tariffs, unfavorable macroeconomic conditions, recessionary fears, high rates of inflation and higher interest rates.
Nearly all of our operating cash is maintained in deposit accounts with various financial institutions and is not insured by the FDIC.
Government shutdowns or delays in government agency operations, including those of the FCC, could materially and adversely affect our business, financial condition, and results of operations.
The market in which we participate is highly competitive, and if we do not compete effectively, our business, results of operations and financial condition could be adversely affected.
If we are unable to attract new customers in a cost-effective manner, our business, results of operations and financial condition could be adversely affected.
The market for some of our services is new and unproven, may decline or experience limited growth and is dependent in part on enterprises and developers continuing to adopt our platform and use our services.
Our ability to achieve revenue growth, cashflow, and operating performance depends on retaining customers and increasing their use of our services.
If we are unable to increase the revenue that we derive from enterprises, our business, results of operations and financial condition may be adversely affected.
If we do not develop enhancements to our services and introduce new services or features that achieve marketplace acceptance and preference, our business, results of operations and financial condition could be adversely affected.
Use of AI in our business, and its use by others, may present challenges with properly managing its use including potential reputational harm, competitive harm, and legal liability, or otherwise adversely affect our operations.
As we continue to expand our services geographically and otherwise, we may experience difficulties in maintaining our corporate culture, operational infrastructure and management, and our business, results of operations and financial condition could be adversely affected.
The other 56 risks
Our pricing and billing systems are complex, and errors could adversely affect our results of operations.
We must continue to develop effective business support systems to implement customer orders and to provide and bill our customers for services.
If we are not able to maintain and enhance our brand and increase market awareness of our company and services, then our business, results of operations and financial condition may be adversely affected.
Any failure to deliver and maintain high-quality customer support may adversely affect our relationships with our customers and prospective customers, and could adversely affect our reputation, business, results of operations and financial condition.
We operate internationally, which exposes us to risks that are incremental to those experienced by a company operating only domestically.
A significant portion of our revenue is concentrated in a limited number of large customers.
Attacks on or breaches of our networks or systems, or those of third parties upon which we rely, could degrade our ability to conduct our business, compromise the integrity of our services and our communications platform, result in service degradation or outages, significant data losses, the theft of our intellectual property, investigations and fines by government agencies and damage to our reputation, and could expose us to liability to third parties and require us to incur significant additional costs to maintain the security of our networks and data.
We are currently subject to litigation related to taxes and charges associated with our provision of 911 services, which could divert management’s attention and adversely affect our results of operations.
We face a risk of litigation and/or regulatory enforcement actions resulting from customer or end user misuse of our services and software to make or send unauthorized and/or unsolicited calls and/or messages, including those in violation of the Telephone Consumer Protection Act of 1991 (the “TCPA”), the Telemarketing Sales Rule (the “TSR”), and other state and federal laws. Customer or end user misuse of our services and software also could damage our reputation.
We are also subject to litigation in the ordinary course of business, and uninsured judgments or a rise in insurance premiums may adversely affect our results of operations.
The communications industry faces significant regulatory uncertainties and the resolution of these uncertainties could harm our business, results of operations and financial condition.
The effects of either increased or decreased regulation of IP-based services are unknown.
Our operations are subject to significant regulation and require us to obtain and maintain numerous governmental licenses and permits in the United States and internationally. If we fail to obtain and maintain those licenses and permits, we may not be able to conduct our business. Moreover, changes in regulatory requirements could significantly increase our costs or otherwise adversely affect our operations.
Our business could suffer if we cannot obtain or retain numbering resources or are significantly limited with how numbers may be distributed to customers.
We may be exposed to liabilities under anti-corruption, export control and economic sanction regulations, and similar laws and regulations, and any determination that we violated any of these laws or regulations could have a material adverse effect on our business.
Intellectual property and proprietary rights of others could prevent us from using necessary technology to provide our services or subject us to expensive intellectual property litigation.
Our use of open source software could negatively affect our ability to sell our services and subject us to possible litigation.
Indemnity provisions in various agreements potentially expose us to substantial liability for intellectual property infringement and other losses.
If we fail to protect our internally developed systems, technology and software and our patents and trademarks, we may become involved in costly litigation or our business or brand may be harmed.
We may be liable for the information that content owners or distributors distribute over our network.
Third parties may fraudulently obtain access to customer accounts and other personal information, use our services to commit fraud or steal our services, which could damage our reputation, limit our growth or cause us to incur additional expenses.
If our customers or their end users do not accept the differences between our service and traditional telephone service, they may choose to remain with their current telephone service provider or may choose to return to service provided by traditional network service providers.
We may lose customers if we experience failures of our system or communications platform that significantly disrupt the availability and quality of the services that we provide. Such failures may also cause interruptions to service delivery and the completion of other corporate functions.
Defects or errors in our services could diminish demand for our services, harm our business and results of operations and subject us to liability.
If our emergency services do not function properly, we may be exposed to significant liability from our users.
Any disruption to or termination of arrangements with key suppliers could cause delay and additional costs and could harm our relationships with current and prospective customers.
Our customer churn rate may increase.
The market prices for certain of our services have decreased in the past and may decrease in the future, resulting in lower revenue than we anticipate.
The need to obtain additional IP circuits from other providers increases our costs. In addition, the need to interconnect our network to networks that are controlled by others could increase our costs and adversely impact our business.
We depend largely on the continued services of our senior management and other key employees, the loss of any of whom could adversely affect our business, results of operations and financial condition.
If we are unable to hire, retain and motivate qualified personnel, our business will suffer.
We could be subject to additional tax liabilities for historic and future sales, use and similar taxes, which could adversely affect our results of operations.
Our global operations and legal entity structure subject us to potentially adverse income tax consequences.
Our ability to use our net operating loss and tax credit carryforwards to offset future taxable income may be subject to certain limitations.
If we redeem or repurchase shares of our stock in the future, we could be subject to an excise tax.
If our estimates or judgments relating to our critical accounting policies prove to be incorrect, our results of operations could be adversely affected.
If we fail to maintain an effective system of disclosure controls and internal control over financial reporting, our ability to produce timely and accurate financial statements or comply with applicable regulations could be impaired.
If our goodwill or intangible assets become impaired, we may be required to record a significant charge to earnings.
We face exposure to foreign currency exchange rate fluctuations, and such fluctuations could adversely affect our business, results of operations and financial condition.
Earthquakes, hurricanes, fires, floods, pandemics, power outages, terrorist attacks, acts of war, civilian unrest and other significant events could disrupt our business and ability to serve our clients.
We may acquire or invest in companies, which may divert our management’s attention and result in debt or dilution to our stockholders. We may not be able to efficiently and effectively integrate acquired operations, and thus may not fully realize the anticipated benefits from such acquisitions.
Risks Related to the Convertible Notes
Servicing our debt requires a significant amount of cash, and additional indebtedness could intensify the risk associated with our indebtedness.
We may not have the ability to raise the funds necessary for cash settlement upon conversion of the Convertible Notes or to repurchase the Convertible Notes for cash following a fundamental change, and the conditional conversion feature of the Convertible Notes, if triggered, may adversely affect our financial conditions and operating results.
The Capped Calls may affect the value of the Convertible Notes and our Class A common stock.
We are subject to counterparty risk with respect to the Capped Calls.
Risks Related to Ownership of Our Class A Common Stock
The trading price of our Class A common stock may be volatile, and you could lose all or part of your investment.
Substantial future sales of shares of our Class A common stock could cause the market price of our Class A common stock to decline.
The dual class structure of our common stock has the effect of concentrating voting control with those stockholders who held our capital stock prior to the completion of our initial public offering. This may limit or preclude stockholders’ ability to influence corporate matters, including the election of directors, amendments to our organizational documents and any merger, consolidation, sale of all or substantially all of our assets, or other major corporate transaction requiring stockholder approval.
We cannot predict the impact our capital structure may have on our stock price.
If securities or industry analysts cease publishing research or reports about us, our business or our market, or if they change their recommendations regarding our Class A common stock adversely, the trading price of our Class A common stock and trading volume could decline.
Anti-takeover provisions contained in our second amended and restated certificate of incorporation and third amended and restated bylaws, as well as provisions of Delaware law, could impair a takeover attempt.
Our second amended and restated certificate of incorporation and our third amended and restated bylaws include super-majority voting provisions that will limit your ability to influence corporate matters.
Our third amended and restated bylaws provide, subject to certain exceptions, that the Court of Chancery of the State of Delaware will be the sole and exclusive forum for certain stockholder litigation matters, which could limit our stockholders’ ability to obtain a favorable judicial forum for disputes with us or our directors, officers, employees or stockholders.
We may need additional capital in the future and such capital may be limited or unavailable. Failure to raise capital when needed could prevent us from growing in accordance with our plans.
We do not intend to pay dividends for the foreseeable future.
If a large number of shares of our Class A common stock is sold in the public market, the sales could reduce the trading price of our Class A common stock and impede our ability to raise future capital.
Legal proceedings
Information with respect to this item may be found in Note 11, “Commitments and Contingencies,” in the accompanying notes to the consolidated financial statements contained in Part II, Item 8 of this Annual Report on Form 10-K, under “Legal Matters”, which is incorporated herein by reference.
In addition to the litigation referenced above, we have received, and may in the future continue to receive, claims from third parties relating to number management and billing, employment-related claims, claims arising from customer misuse of our offerings, and claims asserting, among other things, infringement of their intellectual property rights. Future litigation may be necessary to defend ourselves, our partners and our customers by determining the scope, enforceability and validity of third-party proprietary rights, or to establish our proprietary rights or to recover amounts owed to us.
The results of any current or future litigation in which we engage cannot be predicted with certainty. Regardless of the outcome, litigation can have an adverse impact on us because of defense and settlement costs, diversion of management resources, and other factors.
