Sprinklr (CXM) Q3 2025 Financial Results Summary

2025-12-03 · Stocks · QuoteReporter

Sprinklr (CXM) Q3 2026 Financial Results Summary

Sprinklr (NYSE: CXM) announced its financial results for the third quarter of fiscal year 2026 on December 3, 2025, for the period ending October 31, 2025.

Third Quarter Fiscal 2026 Financial Highlights

Total Revenue:
$219.1 million
Up 9% year-over-year from $200.7 million
Subscription Revenue:
$190.3 million
Up 5% year-over-year from $180.6 million
Net Cash Provided by Operating Activities:
$20.0 million
Free Cash Flow:
$15.5 million
Remaining Performance Obligations (RPO):
Down 5% year-over-year
Current Remaining Performance Obligations (cRPO):
Up 3% year-over-year
$1 million Customers:
145 customers

Operating Income and Margins

GAAP Operating Income:
$11.6 million
Up from $7.9 million year-over-year
Non-GAAP Operating Income:
$33.5 million
Up from $23.0 million year-over-year
GAAP Operating Margin:
5% (up from 4% year-over-year)
Non-GAAP Operating Margin:
15% (up from 11% year-over-year)

Net Income and Share Metrics

GAAP Net Income Per Share:
$0.01 (down from $0.04 year-over-year)
Non-GAAP Net Income Per Share:
$0.12 (up from $0.10 year-over-year)

Cash and Securities

Total Cash, Cash Equivalents, and Marketable Securities:
$480.3 million as of October 31, 2025

Financial Outlook

Fourth Quarter Fiscal 2026 Guidance:
Subscription revenue between $191 million and $192 million
Total revenue between $216.5 million and $217.5 million
Non-GAAP operating income between $29 million and $30 million
Non-GAAP net income per share between $0.09 and $0.10
Full Fiscal Year 2026 Guidance:
Subscription revenue between $754 million and $755 million
Total revenue between $853 million and $854 million
Non-GAAP operating income between $137.5 million and $138.5 million
Non-GAAP net income per share between $0.43 and $0.44

Share Repurchase

During the period, Sprinklr repurchased $152.3 million worth of Class A common shares.

Summary of Key Business Metrics

Sprinklr experienced steady growth in total and subscription revenue, indicating ongoing demand for its customer experience management services.
Operating metrics showed an improvement in both GAAP and non-GAAP measures, suggesting enhanced efficiency and financial health.
The company is optimistic about its future performance, providing positive guidance for the fourth quarter and the full fiscal year.
The decline in RPO indicates slight deterioration in deferred revenue but is contrasted by growth in cRPO, highlighting a more stable revenue outlook in the coming year.

Sprinklr recorded increased customer acquisitions with 145 large customers, reaffirming its market presence and ability to serve significant enterprises.

For full details and to participate in the earnings call, visit their Investor Relations website.

Note: Metrics referenced as “non-GAAP” are reconciled to their GAAP counterparts in the detailed financial statements provided by Sprinklr.

	Three Months Ended	Three Months Ended	Nine Months Ended	Nine Months Ended
	October 31, 2025	October 31, 2024	October 31, 2025	October 31, 2024
Revenue:
Subscription	$190,295	$180,634	$562,895	$535,856
Professional services	$28,773	$20,055	$73,713	$57,999
Total revenue	$219,068	$200,689	$636,608	$593,855
Costs of revenue:
Costs of subscription	$45,400	$35,723	$130,763	$102,599
Costs of professional services(1)	$28,182	$22,126	$72,888	$60,342
Total costs of revenue	$73,582	$57,849	$203,651	$162,941
Gross profit	$145,486	$142,840	$432,957	$430,914
Operating expense:
Research and development	$24,707	$23,298	$70,680	$69,063
Sales and marketing(1)	$75,011	$78,395	$216,665	$243,369
General and administrative	$33,687	$34,123	$103,685	$102,006
Restructuring	$530	-$865	$15,859	$2,965
Total operating expense	$133,935	$134,951	$406,889	$417,403
Operating income	$11,551	$7,889	$26,068	$13,511
Other income, net	$5,763	$5,495	$20,162	$19,409
Income before provision for income	$17,314	$13,384	$46,230	$32,920
taxes
Provision for income taxes	$14,410	$2,929	$32,279	$9,990
Net income	$2,904	$10,455	$13,951	$22,930
Net income per share, basic	$0.01	$0.04	$0.06	$0.09
Weighted average shares used in computing net income per share, basic	244,916	253,807	251,934	262,030
Net income per share, diluted	$0.01	$0.04	$0.05	$0.08
Weighted average shares used in computing net income per share, diluted	252,054	261,972	260,266	275,109

(1) Includes stock-based compensation expense, net of amounts capitalized, as follows:

Assets	October 31, 2025	January 31, 2025
Current assets:
Cash and cash equivalents	$189,591	$145,270
Marketable securities	$290,754	$338,189
Accounts receivable, net of allowance of $8.2 million and $8.1 million, respectively	$150,187	$285,656
Prepaid expenses and other current assets	$105,107	$84,982
Total current assets	$735,639	$854,097
Property and equipment, net	$33,023	$31,591
Goodwill and other intangible assets	$50,176	$49,957
Operating lease right-of-use assets	$44,848	$44,626
Deferred tax asset, non-current	$75,952	$90,369
Other non-current assets	$114,251	$113,559
Total assets	$1,053,889	$1,184,199
Liabilities and stockholders’ equity
Liabilities
Current liabilities:
Accounts payable	$22,649	$27,353
Accrued expenses and other current liabilities	$80,916	$79,285
Operating lease liabilities, current	$8,318	$7,462
Deferred revenue	$332,180	$403,483
Total current liabilities	$444,063	$517,583
Deferred revenue, non-current	$4,185	$6,276
Operating lease liabilities, non-current	$40,118	$41,243
Other liabilities, non-current	$7,438	$7,034
Total liabilities	$495,804	$572,136
Commitments and contingencies
Stockholders’ equity
Class A common stock	$4	$4
Class B common stock	$3	$4
Treasury stock	-$23,831	-$23,831
Additional paid-in capital	$1,350,506	$1,268,920
Accumulated other comprehensive loss	-$5,142	-$6,969
Accumulated deficit	-$763,455	-$626,065
Total stockholders’ equity	$558,085	$612,063
Total liabilities and stockholders’ equity	$1,053,889	$1,184,199