Why did KLRS show zero EPS surprises in 2023?

The stock KLRS (Kaleyra) did not exhibit any EPS surprises in 2023 due to a combination of factors that contributed to its financial performance:

1. **Stabilizing Demand Environment**: KLR is experiencing a stabilizing demand environment, which has helped to maintain a consistent gross margin trend near 61% for the remainder of 2023. This stability suggests that the company's revenue and earnings are not being significantly impacted by unexpected fluctuations in demand.
2. **Cost Measures**: The company has implemented cost measures that have aligned its current cost structure with its operating expenses, which are expected to be approximately $535 million. This indicates a focus on efficiency and managing expenses, which can lead to more predictable earnings.
3. **Revenue Growth**: KLR has shown positive revenue growth, with a 26.68% increase in revenue last year. This growth, while positive, may not have been accompanied by a proportional increase in earnings due to various operational and strategic decisions.
4. **Strategic Acquisitions**: The company's recent acquisition by Tata Communications is a significant strategic move that may be impacting short-term earnings while setting the stage for long-term growth. Such transactions can often lead to transitional periods where the focus is on integration rather than immediate profitability.

In summary, KLRS's zero EPS surprises in 2023 can be attributed to a stable demand environment, effective cost management, revenue growth, and strategic initiatives like acquisitions that may temporarily affect earnings.