Verizon re-upped its contract with Synchronoss to provide the operator’s consumer-focused cloud service for another five years. The extension provides Synchronoss with a longer runway for revenues down the road at the expense of near-term financial gain.

The deal itself will see Synchronoss’ white-label personal cloud platform continue to power the Verizon service. Verizon customers use the service as a way to save personal information from their mobile devices – like pictures and contacts – in a cloud environment.

The extension also includes a joint marketing component to more directly target existing Verizon customers to sign up for the service and an extension of what data can be uploaded into the service.

Synchronoss provides similar services to a handful of other operators, including striking a deal earlier this year with AT&T. Synchronoss President and CEO Glenn Lurie used to hold the same titles for AT&T’s wireless division.

According to Lurie, Verizon is the vendor’s largest customer. It has been providing various cloud services to the operator for nearly a decade, having entrenched itself with the carrier through various acquisitions.

The vendor today also announced its second fiscal quarter results that showed the Verizon extension would cut $10 million in deferred revenue for the second half of this year. That amount will now be amortized over the term of the contract extension.

That deferment also led Synchronoss to lower its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) forecast for the year the same amount to between $20 million and $25 million. That adjusted EBITDA forecast remains the only financial forecast the company is maintaining after it pulled all of its other forecasts earlier this year due to operating uncertainty tied to COVID-19.

Lurie also cited the pandemic as impacting the vendor’s most recent results. Synchronoss reported a 1.7% drop in revenues compared to the same quarter last year. However, an ongoing cost-cutting effort helped the company trim operating costs that resulted in net losses improving from a loss of $25 million last year to a loss of just over $10 million this year.

Investors applauded the results, with Synchronoss’ stock surging more than 18% early Monday.