BOULDER, Colo., Dec. 17, 2025 /PRNewswire/ -- Gloo Holdings, Inc. (Nasdaq: GLOO), a leading technology platform for the faith and flourishing ecosystem, today reported financial results for its third quarter ended October 31, 2025.
"Q3 marks a solid start as a public company. We delivered very strong revenue growth and continued progress toward profitability, while strategically expanding our platform through the acquisitions of XRI Global and Igniter," said Scott Beck, CEO of Gloo. "We believe these additions, along with today's announcement that we are acquiring Westfall Gold, will deepen our donor engagement services and significantly advance the AI capabilities we are providing to customers. We remain focused on disciplined execution as we serve those who serve and build the trusted infrastructure for the faith and flourishing ecosystem."
Third Quarter 2025 Financial Highlights and Recent Events
-- Total revenue of $32.6 million, up 432% year over year, and increase of
$26.4 million from the prior year period and beating consensus of $24.0
million.
-- Platform revenue totaled $19.8 million, up 226% year over year, an
increase of $13.7 million compared to the third quarter of 2024.
-- Platform Solutions revenue of $12.7 million, up $12.7 million from
the third quarter of 2024.
-- $143.1 million of debt successfully converted at the time of the IPO in
Q4.
-- Net loss of $39.0 million, compared to $13.6 million in the prior year
period. In conjunction with the convertible debt issued, there are
meaningful non-cash charges in Q3 that do not continue after the IPO.
Adjusting for these and other non-routine charges, non-GAAP net loss
attributable to members of Gloo Holdings was $26.7 million.
-- Adjusted EBITDA of negative $19.2 million, beating consensus estimates of
negative $23.0 million, and compared to negative $10.2 million in the
prior year period.
"We're pleased with our Q3 financial performance, including significant revenue growth. We believe our acquisition strategy is proving effective, as these acquisitions will be accretive and strengthen our position in high-value areas of the ecosystem," said Paul Seamon, CFO of Gloo. "We expect to end 2025 on a positive note and next year we expect strong year-over-year revenue growth and are committed to achieving adjusted EBITDA profitability in Q4 of fiscal year 2026, coupled with disciplined capital allocation as we scale the Gloo platform and deliver value to stockholders."
Business Highlights
-- Strategic Acquisitions - Gloo recently announced three acquisitions that
will further increase the value and reach of the Gloo platform. All three
acquisitions are expected to be accretive.
-- Westfall Gold - entered into a definitive agreement to acquire a
leading platform for major donor engagement in the faith and
flourishing ecosystem, expanding Gloo's capabilities in donor
development and strengthening synergies with Masterworks, acquired
earlier this year.
-- XRI Global - completed the acquisition of an AI innovator
specializing in advanced voice and multilingual technologies,
expanding the revenue opportunity for Gloo AI and Gloo360.
-- Igniter - completed the acquisition of a media innovator serving
churches for over two decades. This acquisition combines Gloo's
digital infrastructure and AI with Igniter's extensive,
high-quality media library, enabling churches of all sizes to
communicate the Gospel with greater clarity and ease.
-- Key Customers
-- So far in 2025 Gloo has secured over 20 customers that will each
contribute over $1 million in annual contract value, and we expect
this pace to accelerate in 2026.
-- Signed a multi-year, enterprise-level engagement with American
Bible Society, leveraging both Gloo360 and Masterworks to
modernize American Bible Society's technology infrastructure and
mass fundraising operations.
-- Announced strategic initiative, with YouVersion as a key partner,
to develop the world's first biblically aligned AI.
-- Other key customers this quarter include Biblica, United Way of
Greater Atlanta and Project Rescue.
-- Advancing AI
-- Launched the Flourishing AI Christian (FAI-C) Benchmark, part of a
broader benchmarking framework supporting values-aligned AI
adoption across the ecosystem.
-- Hosted the Gloo AI Hackathon, bringing together more than 700
developers to build Kingdom-aligned AI solutions.
Fiscal Year 2025 Outlook
Gloo expects revenue for the fourth quarter of its fiscal year 2025 to be between $28 million and $30 million, which represents a more than tripling of revenue growth year over year, and aligns with normal seasonality in this ecosystem. Adjusted EBITDA is expected to be between negative $19.5 million and negative $18.5 million. Looking forward to fiscal year 2026, Gloo expects revenue to more than double to greater than $180 million, inclusive of acquisitions.
Gloo has not provided a reconciliation of its forward outlook for Adjusted EBITDA to its most directly comparable GAAP financial measure in reliance on the unreasonable efforts exception provided under Item 10(e)(1)(i)$(B)$ of Regulation S-K. Gloo is unable to predict with reasonable certainty the amount and timing of adjustments that are used to calculate this non-GAAP financial measure, particularly related to interest expense and changes in fair value of certain financial instruments, as well as equity-based compensation and employee stock transactions and related tax effects.
Conference Call Information
Gloo will conduct a conference call with analysts and investors to discuss its third quarter fiscal 2025 financial results and current financial prospects today at 5 p.m. ET. Participants may access the conference call via webcast using this link: Gloo Webcast Link. The webcast will be recorded and available for replay. The link and recording will also be available on the Investor Relations section of Gloo's website at investors.gloo.com.
About Gloo Holdings, Inc.
Gloo is a leading technology platform for the faith and flourishing ecosystem, providing values-aligned AI, resources, insights and funding so people and communities flourish and organizations thrive. Gloo serves over 140,000 faith, ministry and nonprofit leaders and is based in Boulder, Colorado.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. All statements other than statements of historical or current fact included in this press release are forward-looking statements, including but not limited to statements regarding our growth prospects, market share gains and business initiatives, and our outlook for the fourth quarter and fiscal year of 2025. Forward-looking statements include statements containing words such as "expect," "anticipate," "believe," "project," "will" and similar expressions intended to identify forward-looking statements. These forward-looking statements are based on our current expectations. Forward-looking statements are subject to known and unknown risks, uncertainties, assumptions and other factors. Some of these risks are described in greater detail in our Prospectus dated November 18, 2025, filed with the Securities and Exchange Commission (the "SEC") on November 19, 2025, and in the other documents we file with the SEC from time to time, including our Quarterly Report on Form 10-Q for the quarter ended October 31, 2025, which we expect to file with the SEC on or around the date of this press release. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause our actual results to differ materially from those contained in any forward-looking statements we may make. These factors may cause our actual results, performance or achievements to differ materially and adversely from those anticipated or implied by our forward-looking statements. Furthermore, if our forward-looking statements prove to be inaccurate, the inaccuracy may be material. In light of the significant uncertainties in these forward-looking statements, you should not rely on these statements or regard these statements as a representation or warranty by us or any other person that we will achieve our objectives and plans in any specified timeframe, or at all. We undertake no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Non-GAAP Financial Measures
To supplement its condensed consolidated financial statements, which are prepared and presented in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"), Gloo has provided in this press release and the accompanying tables the following non-GAAP financial measures: Adjusted EBITDA, non-GAAP net loss attributable to members of Gloo Holdings, LLC, and non-GAAP net loss per unit available to members of Gloo Holdings, LLC, basic and diluted.
Gloo uses Adjusted EBITDA to evaluate its core operating performance, support planning and forecasting, and assess strategic opportunities. In addition, Gloo may use Adjusted EBITDA in its incentive compensation programs applicable to some of its employees. Accordingly, Gloo believes that Adjusted EBITDA may provide useful information to investors about its business and financial performance, enhance its overall understanding of our past performance and future prospects, and allow for greater transparency with respect to this measure used by Gloo management in their financial and operational decision making.
Adjusted EBITDA is defined as net loss adjusted to exclude (1) interest expense, (2) income tax expense (benefit), (3) depreciation and amortization, (4) equity-based compensation, (5) financing and restructuring costs, (6) impairment of goodwill, (7) loss (gain) from change in fair value of financial instruments, (8) loss on extinguishment of debt, (9) income (loss) from equity method investments, net, (10) interest income, and (11) other non-cash or non-routine items that are not reflective of Gloo's core operating results.
Gloo also presents non-GAAP net loss attributable to members of Gloo Holdings, LLC, and non-GAAP net loss per unit available to members of Gloo Holdings, LLC, basic and diluted, because it believes that these measures may similarly provide useful information to investors about its business and financial performance, enhance its overall understanding of our past performance and future prospects, and allow for greater transparency with respect to this measure used by Gloo management in their financial and operational decision making. Management also believes that these measures are commonly used by securities analysts, investors and other interested parties in the evaluation of the Company's performance.
Non-GAAP net loss attributable to members of Gloo Holdings, LLC and non-GAAP net loss per unit available to members of Gloo Holdings, LLC, basic and diluted, are defined as net loss attributable to members of Gloo Holdings, LLC and net loss per unit available to members of Gloo Holdings, LLC, basic and diluted, respectively, adjusted to exclude the impact of (1) loss (gain) from change in fair value of financial instruments, (2) loss on extinguishment of debt, (3) other non-routine items, such as IPO related costs, and (4) the income tax expense (benefit) impact of other adjustments, if any. Non-GAAP net loss per unit available to members of Gloo Holdings, LLC, basic and diluted, includes adjustments made to (U.S. GAAP) net loss attributable to members of Gloo Holdings, LLC. The Company has made these non-GAAP adjustments because it believes that these charges are not reflective of its core operating results.
The non-GAAP financial measures included in this press release are not measurements of financial performance under U.S. GAAP and they should not be considered as alternatives to or substitutes for measures of performance derived in accordance with U.S. GAAP. In addition, these non-GAAP measures should not be construed as an inference that the Company's future results will be unaffected by unusual or non-routine items. These non-GAAP measures have limitations as analytical tools, and investors should not consider such measures either in isolation or as substitutes for analyzing the Company's results as reported under U.S. GAAP. The Company's definitions and calculations of these non-GAAP measures are not necessarily comparable to other similarly titled measures used by other companies due to different methods of calculation. Investors are encouraged to review the most directly comparable GAAP measure and the Company's condensed consolidated financial statements and related notes included in Part I, Item 1 of the Quarterly Report on Form 10-Q for the quarter ended October 31, 2025, which Gloo expects to file with the SEC on or around the date of this press release.
Gloo Holdings, LLC
Condensed Consolidated Balance Sheets
(unaudited)
October 31, January 31,
2025 2025
-------------------- --------------
(in thousands, except unit data)
ASSETS
Current assets:
Cash and cash equivalents $ 15,134 $ 13,592
Restricted cash 255 252
Accounts receivable, net of
allowance for credit losses
of $9 and $68, respectively 8,005 623
Inventory 1,303 1,460
Contract assets 5,004 --
Prepaid expenses and other
current assets 9,336 2,388
---- -------------- -------------
Total current assets 39,037 18,315
Property and equipment, net 3,650 2,303
Capitalized software, net 28,768 23,578
ROU operating lease asset 8,041 3,835
Long-term investments 100 33,252
Other non-current assets 1,372 209
Intangible assets, net 31,971 11,431
Goodwill 93,761 27,901
---- -------------- -------------
Total assets $ 206,700 $ 120,824
==== ============== =============
LIABILITIES, MEZZANINE
EQUITY, AND MEMBERS' DEFICIT
Current liabilities:
Accounts payable $ 9,289 $ 3,613
Accrued compensation 6,852 4,538
Accrued liabilities 11,530 3,521
Acquisition-related
liabilities, current 2,039 1,350
Deferred revenue 8,889 3,725
Debt, current (4) 7,231 3,177
Lease liabilities, current 1,582 685
---- -------------- -------------
Total current liabilities 47,412 20,609
Acquisition-related
liabilities, non-current 723 100
Debt, non-current 162,653 66,959
Lease liabilities, non-current 6,728 3,095
Derivative liability 33,673 832
Deferred income taxes 2,839 1,911
Other non-current liabilities 10,801 13,426
---- -------------- -------------
Total liabilities $ 264,829 $ 106,932
---- -------------- -------------
Mezzanine Equity:
Series A Preferred Units (no
par value; 39,250,615
authorized as of October 31,
2025 and January 31, 2025;
38,523,781 and 37,532,207
units issued and outstanding
as of October 31, 2025 and
January 31, 2025,
respectively; and aggregate
liquidation preference of
$461.9 million and $432.7
million as of October 31,
2025 and January 31, 2025,
respectively) 364,411 351,887
Redeemable noncontrolling
interests 3,233 --
---- -------------- -------------
Total mezzanine equity 367,644 351,887
Members' Deficit:
Common member units (no par
value; 13,217,025 units
authorized as of October 31,
2025 and January 31, 2025,
respectively; and 8,345,221
and 8,201,191 units issued
and outstanding as of
October 31, 2025 and January
31, 2025, respectively) -- --
Additional paid-in capital 31,555 23,591
Accumulated deficit (476,112) (368,312)
Accumulated other
comprehensive income 189 --
---- -------------- -------------
Deficit attributable to
members of Gloo Holdings,
LLC (444,368) (344,721)
Equity attributable to
noncontrolling interests 18,594 6,726
---- -------------- -------------
Total members' deficit (425,774) (337,995)
---- -------------- -------------
Total liabilities, mezzanine
equity, and members'
deficit $ 206,700 $ 120,824
==== ============== =============
Gloo Holdings, LLC
Condensed Consolidated Statements of Operations
(unaudited)
Three Months Ended Nine Months Ended
October 31, October 31,
---------------------- -----------------------
2025 2024 2025 2024
---------- ---------- ---------- -----------
(in thousands, except unit and per unit data)
Revenue:
Platform revenue $ 19,824 $ 6,087 $ 37,065 $ 16,550
Platform
solutions
revenue 12,728 36 23,962 157
Other revenue -- -- -- 13
--------- --------- --------- ----------
Total revenue 32,552 6,123 61,027 16,720
--------- --------- --------- ----------
Operating
expenses:
Cost of revenue
(exclusive of
depreciation and
amortization) 24,847 4,938 45,815 14,332
Product
development 6,136 3,852 16,866 9,957
Sales and
marketing 8,144 5,317 23,967 16,141
General and
administrative 17,272 2,779 39,478 10,314
Depreciation and
amortization 2,846 1,949 8,046 5,560
--------- --------- --------- ----------
Total operating
expenses 59,245 18,835 134,172 56,304
--------- --------- --------- ----------
Operating loss (26,693) (12,712) (73,145) (39,584)
Other expense
(income):
Interest expense 6,390 1,779 12,393 2,854
Other expense
(income), net (210) (343) (330) (537)
Loss (gain) from
change in fair
value of
financial
instruments 9,067 (538) 20,503 (758)
Loss on
extinguishment
of debt -- -- 7,473 --
--------- --------- --------- ----------
Total other
expense
(income), net 15,247 898 40,039 1,559
--------- --------- --------- ----------
Net loss before
income taxes (41,940) (13,610) (113,184) (41,143)
Income tax
(expense)
benefit 25 148 318 560
Income (loss)
from equity
method
investments,
net 2,888 (164) 2,782 (437)
--------- --------- --------- ----------
Net loss (39,027) (13,626) (110,084) (41,020)
Less: net loss
attributable to
noncontrolling
interests (978) -- (2,285) --
--------- --------- --------- ----------
Net loss
attributable to
members of Gloo
Holdings, LLC $ (38,049) $ (13,626) $(107,799) $ (41,020)
========= ========= ========= ==========
Net loss per unit
available to
members of Gloo
Holdings, LLC,
basic and
diluted $ (6.08) $ (2.41) $ (15.98) $ (7.34)
Weighted-average
common units used
to compute net
loss per unit
available to
members of Gloo
Holdings, LLC,
basic and
diluted 8,282,512 7,769,167 8,239,088 7,643,420
Gloo Holdings, LLC
Condensed Consolidated Statements of Cash Flows
(unaudited)
Nine Months Ended October 31,
---------------------------------
2025 2024
------------------ -------------
(in thousands)
Operating activities:
Net loss $ (110,084) $ (41,020)
Adjustments to reconcile net
loss attributable to common
members to net cash used in
operating activities:
Equity-based compensation
expense 4,928 3,441
Depreciation and amortization 8,046 5,560
Amortization of deferred
financing costs 3,016 382
Provision for expected credit
losses 145 45
Lease expense 1,169 866
Deferred income taxes (466) (560)
Loss (gain) from change in fair
value of financial instruments 20,503 758
Loss (gain) on sale of property
and equipment - 18
(Income) loss from equity method
investments, net (2,782) 436
Loss on extinguishment of debt 7,473 --
Debt assumed through PIK
interest 1,899 778
Changes in operating assets and
liabilities, net of
acquisitions:
Accounts receivable (3,440) (742)
Prepaid expenses and other
current assets 177 (150)
Other non-current assets (4,776) (74)
Accounts payable 3,987 (503)
Accrued expenses and other
current liabilities 9,081 (1,658)
Deferred revenue (1,132) 1,253
Other non-current liabilities (698) (2,068)
-------------- ------------
Net cash used in operating
activities (62,954) (33,238)
-------------- ------------
Investing activities:
Purchases of property and
equipment (453) (266)
Capitalized internal-use
software costs (10,076) (4,484)
Acquisitions, net of cash
acquired (6,351) (1,491)
-------------- ------------
Net cash used in investing
activities (16,880) (6,241)
-------------- ------------
Financing activities:
Payments on debt (2,495) (190)
Proceeds from debt 81,925 45,680
Payments of deferred financing
costs (85) (87)
Proceeds from exercise of
common unit options 564 --
Proceeds from Member Advances
received, net of refunds 5,000 --
Proceeds from Series A Preferred
Units issuance 818 325
Payments of deferred offering
costs (4,094) --
-------------- ------------
Net cash provided by financing
activities 81,633 45,728
Effect of exchange rate changes
on cash and cash equivalents (254) --
-------------- ------------
Net increase in cash, cash
equivalents and restricted cash 1,545 6,249
Cash, cash equivalents, and
restricted cash:
Beginning of period 13,844 13,727
-------------- ------------
End of period $ 15,389 $ 19,976
============== ============
Supplemental disclosures of cash
flow information:
Cash paid for interest $ 3,178 $ 1,966
Cash paid for taxes 49 --
Supplemental disclosure of
non-cash investing and financing
activity:
ROU assets obtained in
acquisitions $ 2,206 $ --
ROU assets obtained in exchange 1,315 --
for new lease liabilities
Gloo Holdings, LLC
GAAP to Non-GAAP Reconciliation
(unaudited)
The following tables provide a reconciliation of our non-GAAP
financial measures to their most directly comparable GAAP
financial measures for the periods presented:
Three Months Ended Nine Months Ended
October 31, October 31,
---------------------- ------------------------
2025 2024 2025 2024
---------- ---------- ---------- ------------
(in thousands)
Net loss
attributable to
members of Gloo
Holdings, LLC $ (38,049) $ (13,626) $(107,799) $ (41,020)
Net loss
attributable
to
noncontrolling
interests (978) -- (2,285) --
--------- --------- --------- -----------
Net loss (39,027) (13,626) (110,084) (41,020)
Adjusted to
exclude:
Interest
expense 6,390 1,779 12,393 2,854
Income tax
benefit (25) (148) (318) (560)
Depreciation
and
amortization 2,846 1,949 8,046 5,560
Equity-based
compensation 1,623 564 4,928 3,410
Loss (gain)
from change in
fair value of
financial
instruments 9,067 (538) 20,503 (758)
IPO related
costs 2,251 -- 3,621 --
Transaction
related
bonuses 732 -- 732 --
Loss on
extinguishment
of debt -- -- 7,473 --
(Income) loss
from equity
method
investments,
net (2,888) 164 (2,782) 437
Interest income (178) (337) (310) (519)
--------- --------- --------- -----------
Adjusted EBITDA $ (19,209) $ (10,193) $ (55,798) $ (30,596)
========= ========= ========= ===========
Three Months Ended Nine Months Ended
October 31, October 31,
---------------------- ------------------------
2025 2024 2025 2024
---------- ---------- ---------- ------------
(in thousands, except for unit and per unit
data)
Net loss $ (39,027) $ (13,626) $(110,084) $ (41,020)
Net loss
attributable
to
noncontrolling
interests (978) -- (2,285) --
--------- --------- --------- -----------
Net loss
attributable to
members of Gloo
Holdings, LLC (38,049) (13,626) (107,799) (41,020)
Adjusted to
exclude:
Loss (gain)
from change in
fair value of
financial
instruments 9,067 (538) 20,503 (758)
IPO related
costs 2,251 -- 3,621 --
Loss on
extinguishment
of debt -- -- 7,473 --
Income tax
impact(1) -- -- -- --
--------- --------- --------- -----------
Non-GAAP net
loss
attributable to
members of Gloo
Holdings, LLC (26,731) (14,164) (76,202) (41,778)
Less:
Undeclared
cumulative
dividends on
Series A
Preferred
Units 5,581 5,071 16,465 15,079
Less: Deemed
dividend for
conversion of
Member
Advance 6,700 -- 7,400 --
--------- --------- --------- -----------
Non-GAAP net
loss available
to members of
Gloo Holdings,
LLC basic and
diluted $ (39,012) $ (19,235) $(100,067) $ (56,857)
--------- --------- --------- -----------
Weighted average
number of
common units
outstanding,
basic and
diluted 8,282,512 7,769,167 8,239,088 7,643,420
Net loss per
unit available
to members of
Gloo Holdings,
LLC, basic and
diluted $ (6.08) $ (2.41) $ (15.98) $ (7.34)
========= ========= ========= ===========
Non-GAAP net
loss per unit
available to
members of Gloo
Holdings, LLC,
basic and
diluted $ (4.71) $ (2.48) $ (12.15) $ (7.44)
========= ========= ========= ===========
_____________________________
(1) The adjustments to net loss attributable to members of Gloo Holdings, LLC
relate to accounting transactions that are exclusive to Gloo Holdings, LLC, a
nontaxable entity.
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SOURCE Gloo
(END) Dow Jones Newswires
December 17, 2025 16:10 ET (21:10 GMT)
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