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• Weave is like **Salesforce** but tailored for the unified patient communication and front-office operations of small healthcare practices.
• Weave is like **Square** for healthcare practices, but focused on unifying patient communications, scheduling, and payments into one front-office platform.
• Weave is like **RingCentral** combined with patient engagement and payment tools, designed specifically for dental, optometry, and veterinary offices.

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• VoIP Phone System: A cloud-based communication platform providing business phone services with features like call routing and voicemail.
• Two-Way Text Messaging: Facilitates direct text communication with customers for appointments, inquiries, and marketing campaigns.
• Online Scheduling: Enables customers to book appointments digitally, often integrating with existing practice management software.
• Payment Processing: Offers integrated solutions for secure and convenient customer payments, including in-office and text-to-pay options.
• Email Marketing & Campaigns: Provides tools for businesses to create and send targeted email communications for promotions and customer engagement.
• Review Management: Helps businesses generate, monitor, and manage their online customer reviews to enhance their digital reputation.
• Team Chat: An internal messaging tool designed to streamline communication and collaboration among staff members.

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Weave Communications (WEAV) sells primarily to other businesses, specifically small and medium-sized businesses (SMBs).

Due to the nature of its business model, which involves providing a comprehensive communication and business platform to a large number of individual SMBs, Weave Communications does not have a few "major" customer companies that account for a significant portion of its revenue in the traditional sense. Instead, its customer base consists of thousands of smaller practices and businesses across various verticals.

The primary categories of businesses that Weave serves include:

• Dental Practices: This is a core vertical for Weave, providing solutions tailored for general dentists, orthodontists, oral surgeons, and other dental specialists.
• Optometry Practices: Weave offers specialized tools and services for eye care professionals, including optometrists and ophthalmologists.
• Veterinary Practices: Pet care providers, including veterinarians and animal hospitals, utilize Weave's platform for patient communication and practice management.
• Other Healthcare and Service-Based SMBs: Beyond the primary healthcare verticals, Weave also serves other small businesses such as physical therapists, chiropractors, medical spas, salons, and various home service providers.

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• Amazon.com, Inc. (AMZN)

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Brett White, Chief Executive Officer

Brett White became CEO of Weave in August 2022, having previously served as its President and COO, and a member of the board of directors since July 2020. Prior to joining Weave, Mr. White held executive positions at several technology companies. He was the Chief Financial Officer for Mindbody, Inc. from July 2013, also serving as its Chief Operating Officer from 2016 to 2020. During his tenure at Mindbody, Inc., he took the company public in 2015 and oversaw its sale to a private equity firm in 2019. He also served as Chief Financial Officer for Meru Networks from January 2008 to July 2013, where he led the company's IPO in March 2010. His career also includes CFO roles at Fortinet, Inc., Corio, Inc., and KANA Software, and he was a VP of Finance at Oracle Corp.

Jason Christiansen, Chief Financial Officer

Jason Christiansen is Weave's Chief Financial Officer, taking over from Alan Taylor, who is set to retire at the end of the first quarter of 2025. Mr. Christiansen has been with Weave for four years, previously serving as Vice President of Finance. In this role, he was instrumental in Weave's initial public offering (IPO) and played a pivotal role in developing the company's payments business strategy and leading its technology and business intelligence teams. Before joining Weave, he held senior leadership positions at inContact and NICE, where he gained extensive experience in scaling SaaS companies. He began his career as a certified public accountant with Deloitte.

Brooke Shreeve, Chief People Officer

Brooke Shreeve serves as Weave's Chief People Officer. She brings over 20 years of human resources experience to her role, having worked with organizations ranging in size from 250 to 16,000 employees, both in the U.S. and globally across multiple industries. Her background includes leadership positions at companies such as Wex Inc., Marketstar, Flying J, Kohl's, and Sears. Ms. Shreeve has a track record of leading HR teams, building out multiple HR organizations, and guiding teams through mergers and acquisitions.

Chris Baird, Chief Marketing Officer

Chris Baird is the Chief Marketing Officer at Weave. He has nearly two decades of experience in high-growth B2B SaaS companies. Before joining Weave, Mr. Baird served as the Chief Marketing Officer for ObservePoint for seven years, where he contributed to building a category-leading brand. Prior to ObservePoint, he held positions at Omniture and Adobe, where he was responsible for demand marketing and web strategy initiatives.

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The key risks to Weave Communications (symbol: WEAV) include the following:

1. Unprofitability and Uncertain Path to Breakeven: Weave Communications has consistently reported operating losses and negative earnings, with analysts not forecasting the company to achieve profitability within the next three years. This ongoing unprofitability and lack of a clear timeline for breakeven pose a significant financial risk to the business.
2. Customer Concentration and Retention Challenges: A substantial portion of Weave's revenue is concentrated within specific healthcare verticals, such as dental, optometry, and specialty medical practices. This heavy reliance makes the company vulnerable to shifts in the healthcare sector or regulatory changes. Furthermore, the company faces challenges with customer retention, as indicated by its Net Revenue Retention (NRR) and Gross Revenue Retention (GRR) metrics, suggesting customers are not expanding their spending meaningfully and there is an annual loss of revenue to churn.
3. Intense Competition and Acquisition Integration Risks: Weave operates in a crowded and highly competitive healthcare software market, facing off against established giants offering integrated solutions. The company also encounters risks related to the integration of strategic acquisitions, such as TrueLark. Failures in seamlessly merging acquired AI tools and platforms with Weave's existing services could delay anticipated revenue synergies and operational efficiencies.

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The clear emerging threat to Weave Communications is the increasing integration of communication, scheduling, and payment processing features directly into existing practice management systems (PMS) and electronic health record (EHR) platforms used by small and medium-sized healthcare businesses. As these foundational software providers expand their native functionalities to offer robust two-way texting, automated reminders, online scheduling, and payment collection tools, it diminishes the need for standalone, specialized platforms like Weave. This trend could lead to customer preference for a single, integrated vendor solution, potentially reducing Weave's market opportunity and increasing churn as SMBs consolidate their software providers.

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Weave Communications (NYSE: WEAV) offers an all-in-one customer experience and payments software platform primarily for small and medium-sized healthcare businesses. The company's main products and services encompass voice, short message service (SMS), email, and marketing tools designed to help practices attract, communicate with, and engage patients and clients.

The addressable markets for Weave's offerings are as follows:

• For its core market of dental, optometry, and veterinary (DOV) practices, the total addressable market (TAM) in the U.S. is estimated to be $3 billion.
• By expanding into additional select medical verticals within the U.S., beyond its traditional DOV focus, the TAM increases to $5 billion.
• When considering all U.S. medical verticals, Weave's addressable market is $10 billion. This figure was updated following the acquisition of TrueLark.
• Potential international expansion could further increase the total addressable market to $22 billion. This international TAM includes locations in 17 target countries such as Australia, New Zealand, Canada, the UK, and various European and Asian countries.

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Expected Drivers of Future Revenue Growth for Weave Communications (WEAV)

Weave Communications (NYSE: WEAV) is anticipated to drive future revenue growth over the next 2-3 years through several key initiatives:

• Expansion into Specialty Medical Verticals: Weave is actively expanding its presence beyond its traditional dental and optometry markets into other specialty medical practices. This strategic expansion is expected to be a significant growth vector.
• Growth in Payments Revenue: The company's payments product, Weave Payments, is a rapidly growing area and a key contributor to revenue. Weave's ability to generate incremental revenue from this product depends on customers increasing their usage.
• AI-Powered Innovations and Solutions: Weave is focusing on accelerating its AI-powered healthcare solutions and investing in AI-powered automation. These innovations are designed to streamline operations for small and medium-sized healthcare practices and are expected to drive accelerated growth.
• Integration Partnerships: Establishing and leveraging integration partnerships are identified as a growth vector for Weave Communications.
• Customer Acquisition and Multi-location Practices: CEO Brett White has highlighted customer acquisition as a factor in the company's financial performance. Additionally, expansion within multi-location practices is considered a growth driver.

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Share Issuance

• Weave Communications completed its Initial Public Offering (IPO) on November 10, 2021, by pricing 5,000,000 shares of common stock at $24.00 per share, raising $120 million.
• The underwriters were granted a 30-day option to purchase up to an additional 750,000 shares of common stock at the initial public offering price.

Outbound Investments

• Weave Communications acquired TrueLark, which involved the issuance of up to 981,405 shares of Weave's common stock to the selling stockholders of TrueLark.

Capital Expenditures

• Capital expenditures were approximately $0.60 million in 2022, $0.93 million in 2023, and $0.95 million in 2024.
• Capitalized internal-use software costs amounted to approximately $0.822 million in a recent period, reflecting investment in proprietary technology.
• Purchases of property and equipment accounted for approximately $0.988 million in a recent period.