Avaya Reports Second Quarter Fiscal 2021 Financial Results

Rhea-AI Summary

Avaya Holdings Corp. (NYSE: AVYA) reported robust second quarter financial results for fiscal 2021, with revenues reaching $738 million, an 8% increase year-over-year. Key highlights include a 31% sequential growth in OneCloud ARR to $344 million and a rise in recurring revenue to 66%. The GAAP net loss was $58 million with a GAAP loss per share of $0.70, while Non-GAAP net income was $72 million with earnings per share of $0.74. Adjusted EBITDA climbed to $177 million, representing 24% of revenue, up 220 basis points year-over-year.

Positive

• Revenues of $738 million, up 8% from a year ago
• OneCloud ARR increased by 31%, reaching $344 million
• Recurring revenue at 66%, up from 64% year-over-year
• Adjusted EBITDA of $177 million, 24.0% of revenue, up 220 basis points

Negative

• GAAP net loss of $58 million
• GAAP Loss Per Share of $0.70

Avaya Holdings Corp. (NYSE: AVYA) today reported financial results for the second quarter of fiscal 2021 ended March 31, 2021.

Second Quarter Financial Highlights

• Revenues of $738 million, up 8% from a year ago
• OneCloud ARR was $344 million, up 31% sequentially
• CAPS (Cloud, Alliance Partner and Subscription) was 40% of revenue, up from 23% a year ago
• Software and services were 90% of revenue, up from 88% a year ago
• Recurring revenue was 66%, up from 64% a year ago
• GAAP Operating income was $44 million; Non-GAAP Operating income was $148 million
• GAAP Net loss was $58 million; Non-GAAP Net income was $72 million
• Adjusted EBITDA was $177 million, 24.0% of revenue, up 220 basis points year over year
• Ending cash and cash equivalents were $593 million
• GAAP Loss Per Share of $0.70; Non-GAAP Earnings Per Share of $0.74

“We drove solid second quarter results which highlight the company’s continuing momentum. But more importantly, they represent the significant work and strategic investments we have been making over the last few years to reshape our company and portfolio to be a leader in enterprise communications and collaboration,” said Jim Chirico, president and CEO of Avaya. “The playbook for our industry is not a secret. It is all about how you execute and I couldn’t be more delighted with our performance, which is why we are again raising guidance across several key financial metrics.”

GAAP

Non-GAAP (1)

(In millions, except percentages)

2Q21

1Q21

2Q20

2Q21

1Q21

2Q20

Revenue

$

738

FAQ

What were Avaya's Q2 2021 revenues?

Avaya reported revenues of $738 million for Q2 2021.

How much did OneCloud ARR grow in Q2 2021?

OneCloud ARR grew by 31% sequentially to reach $344 million.

What is Avaya's GAAP net loss for Q2 2021?

Avaya reported a GAAP net loss of $58 million for Q2 2021.

What was the adjusted EBITDA for Avaya in Q2 2021?

Avaya's adjusted EBITDA for Q2 2021 was $177 million, which is 24% of its revenue.

What is the earnings per share for Avaya in Q2 2021?

Avaya reported a GAAP loss per share of $0.70 and a Non-GAAP earnings per share of $0.74.