Cloud communications provider Crexendo (CXDO) set a $150 million annual revenue target for the end of 2028 during a presentation at the Lytham Partners 2026 Consumer & Technology Investor Summit on Tuesday.
The company, which operates at a $100 million annual revenue run rate, highlighted its 12 consecutive quarters of GAAP profitability and $18.3 million in cash with no debt. Doug Gaylor, president and COO, emphasized the firm’s acquisition-driven growth strategy, noting the March 2024 purchase of ESI for $35 million as a key milestone. ESI contributed $2.1 million in its first month and $6.9 million in the second quarter of 2024, when Crexendo’s total revenue reached $24.6 million.
Crexendo’s licensee network of 250+ partners and 260+ resellers supports over 8 million users, positioning the company as the third-largest platform provider in the sector. Gaylor described the network as a “stocked fishing pond” for future acquisitions, with the next deal expected 6 to 9 months after ESI’s integration, potentially by early 2025.
The company’s open architecture and 57 ecosystem vendors—including 13 focused on AI—underscore its push into artificial intelligence. Crexendo’s CAIRO AI platform, launched in early 2024, handles 24/7 call management and customer interactions at a starting price of $150 per month. Average customer spend on CAIRO is about $340 monthly, with Gaylor calling AI “the biggest game changer yet” in his 36-year telecom career.
Customer service rankings on G2.com place Crexendo at No. 1 across 18 cloud communication categories, outperforming competitors such as RingCentral and 8x8. The firm’s sessions-based pricing model, which reduces customer costs by 35% to 50% compared to traditional per-seat models, has contributed to its growth in new logos, with 11 added in the first half of 2024 versus just 2 in the same period of 2023.
Crexendo’s remaining performance obligation stands at $139 million, and the company maintains a 30% wholesale platform licensing split alongside a 70% direct retail service focus for small and mid-sized businesses.
