RingCentral says AI boosts margins and voice unit growth
The cloud communications firm told investors at the Oppenheimer conference that artificial intelligence is improving profitability and driving demand in its voice segment.
RingCentral Inc. executives highlighted artificial intelligence as a key driver of margin expansion and growth in the company’s voice business during a presentation at the Oppenheimer Technology, Internet & Communications Conference on Monday.
The cloud communications provider said AI tools are enhancing operational efficiency, reducing costs and improving customer experience in its voice segment, which includes unified communications and contact center solutions. Chief Financial Officer (CFO) Paul Dickinson emphasized that AI integration is contributing to higher gross margins and accelerating revenue growth in the unit.
Dickinson also noted that demand for RingCentral’s voice services remains robust, supported by enterprise adoption of AI-powered solutions. The company reported that its voice segment contributed to overall revenue growth in the most recent quarter, though specific figures were not disclosed in the presentation.
RingCentral’s focus on AI aligns with broader industry trends, as competitors in the cloud communications space increasingly leverage automation and machine learning to optimize service delivery. The company did not provide updated financial guidance but reiterated its commitment to long-term margin improvement through technology investments.
Shares of RingCentral were trading slightly higher in after-hours trading following the conference remarks.
Priya covers listed equities and corporate earnings, reading quarterly results and guidance for what they signal about sector health and forward valuations.
More from Priya Anand →