Press Release: Clearwater Analytics Announces First Quarter 2026 Financial Results

Dow Jones05-08

Quarterly Revenue of $221.2 Million, Up 74% Year-Over-Year

Annualized Recurring Revenue of $872 Million, Up 77% Year-Over-Year

Adjusted EBITDA of $77.4 Million, Up 72% Year-Over-Year

BOISE, Idaho--(BUSINESS WIRE)--May 07, 2026-- 

Clearwater Analytics Holdings, Inc. (NYSE: CWAN) ("CWAN" or the "Company"), the most comprehensive technology platform for investment management, today announced its financial results for the quarter ended March 31, 2026.

"We delivered a strong start to 2026 with Q1 revenue of $221.2 million, up 74% year-over-year. GenAI tools are woven into the fabric of our organization, enabling both technical and non-technical employees to deliver internal automation and new products at unprecedented speeds," said Sandeep Sahai, CEO at CWAN. "This is enabling strong profitability with Non-GAAP Gross Profit growing 73% year-over-year to a record $172.7 million. Adjusted EBITDA grew 71.8% year-over-year to $77.4 million, reaching a near-record margin of 35%."

"Now that we have completed a full year since acquiring Enfusion, Beacon, and Bistro, we are seeing clear validation of the strategic rationale we presented," continued Sahai. "CWAN's comprehensive front--to--back platform continues to resonate with clients and is influencing investment management workflows worldwide. The strength of our product portfolio, the expertise of our teams, and the scale of our offerings provide a robust foundation for CWAN's continued leadership in rapid development and commercialization of best--in--class technologies."

First Quarter 2026 Financial Results Summary

   --  Revenue: Total revenue for the first quarter of 2026 was $221.2 million, 
      an increase of 74%, from $126.9 million in the first quarter of 2025. 
   --  Gross Profit: Gross profit for the first quarter of 2026 increased to 
      $145.5 million, which equates to a 65.8% GAAP gross margin, compared with 
      gross profit of $92.9 million and GAAP gross margin of 73.3% in the first 
      quarter of 2025. Non-GAAP gross profit for the first quarter of 2026 was 
      $172.7 million, which equates to a 78.1% non-GAAP gross margin, compared 
      with non-GAAP gross profit of $100.1 million and non-GAAP gross margin of 
      78.9% in the first quarter of 2025. 
   --  Net Income/(Loss): Net loss for the first quarter of 2026 was $2.8 
      million, compared with net income of $6.5 million in the first quarter of 
      2025. Non-GAAP net income for the first quarter of 2026 increased to 
      $48.6 million, an increase of 39.5% from $34.9 million in the first 
      quarter of 2025. 
   --  Adjusted EBITDA: Adjusted EBITDA for the first quarter of 2026 was 
      $77.4 million, an increase of 72%, from $45.1 million in the first 
      quarter of 2025. Adjusted EBITDA margin for the first quarter of 2026 was 
      35.0%, an increase from 34.1% in the fourth quarter of 2025. 
   --  Cash Flows: Operating cash flows for the first quarter of 2026 were 
      $17.7 million. Free cash flows for the first quarter of 2026 were $11.2 
      million. 
   --  Net Loss Per Share and Non-GAAP Net Income Per Share: Net loss per 
      basic and diluted share was $0.01 in the first quarter of 2026. Non-GAAP 
      net income per basic and diluted share was $0.16 in the first quarter of 
      2026, an increase of 23% compared to Q1 of 2025. 
   --  Cash, cash equivalents, and investments were $81.5 million as of March 
      31, 2026. Total debt, net of debt issuance cost, was $806.4 million as of 
      March 31, 2026. 

First Quarter 2026 Key Metrics Summary

   --  Annualized Recurring Revenue: As of March 31, 2026, annualized 
      recurring revenue ("ARR") reached $872 million, an increase of 77% from 
      $494 million as of March 31, 2025.  ARR is calculated at the end of a 
      period by dividing the recurring revenue in the last month of such period 
      by the number of days in the month and multiplying by 365. 
 
   --  Gross Revenue Retention Rate: As of March 31, 2026, the gross revenue 
      retention rate was 97%.  Gross revenue retention rate represents annual 
      contract value ("ACV") at the beginning of the 12-month period ended on 
      the reporting date less client attrition over the prior 12-month period, 
      divided by ACV at the beginning of the 12-month period, expressed as a 
      percentage. ACV is comprised of annualized recurring revenue plus 
      contracted-not-billed revenue, which represents the estimated annual 
      contracted revenue for new and existing client opportunities prior to 
      revenue recognition. 
 
   --  Net Revenue Retention Rate: As of March 31, 2026, the net revenue 
      retention rate was 108%.  Net revenue retention rate is the percentage 
      of recurring revenue from clients on the platform for 12 months and 
      includes changes from the addition, removal, or value of assets on our 
      platform, contractual changes that have an impact to annualized recurring 
      revenues and lost revenue from client attrition. 

Recent Business Highlights

   --  On December 20, 2025, the Company entered into an Agreement and Plan of 
      Merger to be acquired in a transaction (the "Proposed Transaction") 
      valued at approximately $8.4 billion by a Permira and Warburg Pincus-led 
      investor group, with participation from Temasek, and key support from 
      Francisco Partners (collectively, the "Investor Group"). Under the terms 
      of the agreement, Company stockholders will receive $24.55 per share in 
      cash upon completion of the Proposed Transaction. 
   --  On May 6, 2026, CWAN shareholders voted to adopt the Agreement and Plan 
      of Merger, approving the Company's acquisition by the Investor Group. 
   --  CWAN has now obtained all required regulatory approvals for the 
      proposed acquisition, except for the Australia Foreign Investment Review 
      Board ("FIRB") approval. An FIRB application was submitted in the second 
      quarter of 2026. Subject to the approval by the Australian Treasurer 
      pursuant to the FIRB approval process and the satisfaction or waiver of 
      other customary closing conditions, CWAN currently expects to close the 
      Proposed Transaction in the second quarter of 2026. 
   --  Orange Investment Advisors successfully implemented Enfusion by CWAN to 
      modernize its front--to--back investment operations across structured 
      credit. The unified PMS, OMS, and execution platform--combined with 
      Clearwater's Beacon analytics--provides real--time data, enhanced 
      transparency, and faster, more accurate reporting. The deployment 
      streamlines workflows across front, middle, and back office, reducing 
      manual reconciliation and improving client responsiveness. 
   --  Dunamis Asset Management, an onshore Korean hedge fund manager that has 
      also recently expanded to Hong Kong, was recently onboarded; they 
      selected Enfusion by Clearwater to support its domestic and international 
      operations. As a recognized global leader in Korea's hedge fund ecosystem, 
      Dunamis required a comprehensive platform for order execution, position 
      management, risk management, and operational transparency, including 
      seamless shadow accounting and control-level reconciliation with fund 
      administrators, prime brokers and allocators. They chose Enfusion by 
      Clearwater for its established presence in the Asia-Pacific region and 
      proven success enabling international growth. This client win underscores 
      how sophisticated hedge fund managers increasingly rely on Clearwater 
      Analytics to accelerate global expansion. 

Earnings Conference Call and Guidance

As a result of the execution of a definitive agreement under which the Investor Group will acquire all of the outstanding shares of the Company's common stock in an all-cash transaction, as announced on December 21, 2025, the Company will not host an earnings conference call or webcast to discuss its first quarter 2026 financial results nor provide forward-looking guidance.

About CWAN

CWAN (NYSE: CWAN) is transforming investment management with the industry's most comprehensive cloud-native platform for institutional investors across global public and private markets. While legacy systems create risk, inefficiency, and data fragmentation, CWAN's single-instance, multi-tenant architecture delivers real-time data and AI-driven insights throughout the investment lifecycle. The platform eliminates information silos by integrating portfolio management, trading, investment accounting, reconciliation, regulatory reporting, performance, compliance, and risk analytics in one unified system. Serving leading insurers, asset managers, hedge funds, banks, corporations, and governments, CWAN supports over $10 trillion in assets globally. Learn more at www.cwan.com.

Use of non-GAAP Information

This press release contains certain non-GAAP measures, including non-GAAP gross profit, non-GAAP gross margin, adjusted EBITDA, adjusted EBITDA margin, non-GAAP net income, non-GAAP net income per basic and diluted share, non-GAAP effective tax rate, diluted non-GAAP share count and free cash flow.

The non-GAAP measures are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similar measures presented by other companies. However, the Company believes that this non-GAAP information is useful as an additional means for investors to evaluate its operating performance, when reviewed in conjunction with its GAAP financial statements. These measures should not be considered in isolation or as a substitute for measures prepared in accordance with GAAP, and because these amounts are not determined in accordance with GAAP, they should not be used exclusively in evaluating the Company's business and operations. In addition, undue reliance should not be placed upon non-GAAP or operating information because this information is neither standardized across companies nor subjected to the same control activities and audit procedures that produce the Company's GAAP financial results.

The Company's non-GAAP statement of operations measures, including non-GAAP gross profit, non-GAAP gross margin, adjusted EBITDA, adjusted EBITDA margin, non-GAAP net income, non-GAAP net income per basic and diluted share, non-GAAP effective tax rate, diluted non-GAAP share count and free cash flow, are adjusted to exclude the impact of certain costs, expenses, gains and losses and other specified items that management believes are not indicative of its ongoing operations. These adjusted measures exclude the impact of share-based compensation and eliminate potential differences in results of operations between periods caused by factors such as financing and capital structures, taxation positions or regimes, restructuring, transaction expenses, impairment and other charges. Please refer to the reconciliations of these measures below to what the Company believes are the most directly comparable measures evaluated in accordance with GAAP.

Use of Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management's beliefs and assumptions and on information currently available to management. Forward-looking statements include information concerning the Company's expectations with respect to the proposed transaction, including the timing thereof, and the Company's possible or assumed future results of operations, business strategies, technology developments, financing and investment plans, dividend policy, competitive position, industry, economic and regulatory environment, potential growth opportunities and the effects of competition. Forward-looking statements include statements that are not historical facts and can be identified by terms such as "anticipate," "believe," "could," "estimate," "expect," "intend," "aim," "may," "plan," "potential," "predict," "project," "seek," "should," "will," "would" or similar expressions and the negatives of those terms, but are not the exclusive means of identifying such statements.

Forward-looking statements involve known and unknown risks, uncertainties, and other factors, many of which are beyond the Company's control, that may cause the Company's actual results, performance, or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These risks and uncertainties may cause actual results to differ materially from the Company's current expectations and include, but are not limited to: $(A)$ risks related to the Proposed Transactions, including (i) the risk that the Proposed Transaction may not be completed in a timely manner or at all; (ii) the possibility that any or all of the various conditions to the consummation of the Proposed Transaction may not be satisfied or waived, including the failure to receive any required regulatory approvals from any applicable governmental entities (or any conditions, limitations or restrictions placed on such approvals); (iii) the occurrence of any event, change or other circumstance that could give rise to the termination of the definitive transaction agreement relating to the Proposed Transaction, including in circumstances which would require the Company to pay a termination fee; (iv) the effect of the announcement or pendency of the Proposed Transaction on the Company's ability to attract, motivate or retain key executives and associates, its ability to maintain relationships with its customers, vendors, service providers and others with whom it does business, or its operating results and business generally; (v) risks related to the Proposed Transaction diverting management's attention from the Company's ongoing business operations; (vi) the risk of shareholder litigation in connection with the Proposed Transaction, including resulting expense or delay; (vii) certain restrictions during the pendency of the Proposed Transaction that may impact the Company's ability to pursue certain business opportunities or strategic transactions; (viii) risks that the anticipated benefits of the Proposed Transaction are not realized when and as expected; (ix) the availability of capital and financing and rating agency actions in connection with the Proposed Transaction; $(B)$ ongoing risks such as those related to (i) the Company's ability to successfully integrate the operations and technology of its acquisitions of Enfusion, Beacon and Bistro (the "Acquisitions") with those of the Company and to obtain third party data rights, retain and incentivize the employees of the Acquisitions following the close of the Acquisitions, retain the Acquisitions' clients, repay debt incurred in connection with the Acquisitions and meet financial covenants to be imposed in connection with such debt; (ii) risks that synergies and growth from the Acquisitions may not be fully realized or may take longer to realize than expected, (iii) the Company's ability to keep pace with rapid technological change and market developments, including artificial intelligence, (iv) competitors in its industry, (v) the possibility that market volatility, a downturn in economic conditions or other factors may cause negative trends or fluctuations in the value of the assets on the Company's platform, (vi) the Company's ability to manage growth, (vii) the Company's ability to attract and retain skilled employees, (viii) the possibility that the Company's solutions fail to perform properly, (ix) disruptions and failures in the Company's and third parties' computer equipment, cloud-based services, electronic delivery systems, networks and telecommunications systems and infrastructure, (x) the failure to protect the Company, its customers' and/or its vendors' confidential information and/or intellectual property, claims of infringement of others' intellectual property, (xi) factors related to the Company's ownership structure; and $(CUL3)$ other risks and uncertainties detailed in the Company's periodic public filings with the SEC, including but not limited to those discussed under "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2025 filed on February 18, 2026 (as amended by Amendment No. 1 thereto, filed with the SEC on April 1, 2026), and in other periodic reports filed by the Company with the SEC. These filings are available at www.sec.gov and on the Company's website.

Given these uncertainties, you should not place undue reliance on forward-looking statements. Also, forward-looking statements represent management's beliefs and assumptions only as of the date of this press release and should not be relied upon as representing the Company's expectations or beliefs as of any date subsequent to the time they are made. The Company does not undertake to and specifically declines any obligation to update any forward-looking statements that may be made from time to time by or on behalf of the Company.

 
                   Clearwater Analytics Holdings, Inc. 
                        Consolidated Balance Sheets 
   (In thousands, except share amounts and per share amounts, unaudited) 
 
                                                  March 31    December 31 
                                                 ----------  ------------- 
                                                    2026         2025 
                                                 ----------  ------------- 
Assets 
Current assets: 
  Cash and cash equivalents                      $   81,507   $     91,245 
  Accounts receivable, net                          169,630        167,348 
  Prepaid expenses and other current assets          43,107         36,977 
                                                  ---------      --------- 
    Total current assets                            294,244        295,570 
Property, equipment and software, net                30,454         26,607 
Operating lease right-of-use assets, net             51,639         34,300 
Deferred contract costs, non-current                 11,044         13,017 
Debt issuance costs - line of credit                  3,268          3,467 
Deferred tax assets, net                            702,300        695,998 
Intangible assets, net                              660,650        687,578 
Goodwill                                          1,268,440      1,270,056 
Other non-current assets                              4,816          5,336 
                                                  ---------      --------- 
Total assets                                     $3,026,855   $  3,031,929 
                                                  =========      ========= 
Liabilities and Stockholders' Equity 
Current liabilities: 
  Accounts payable                               $    1,630   $      4,096 
  Accrued expenses and other current 
   liabilities                                       78,605        112,249 
  Notes payable, current portion                      8,000          8,000 
  Deferred revenue                                   28,027         21,860 
  Operating lease liability, current portion         14,210         15,138 
                                                  ---------      --------- 
    Total current liabilities                       130,472        161,343 
Notes payable, less current maturities and 
 unamortized debt issuance costs                    798,399        814,643 
Operating lease liability, less current portion      40,228         22,555 
Other long-term liabilities                           3,194          2,296 
                                                  ---------      --------- 
Total liabilities                                   972,293      1,000,837 
Stockholders' Equity 
  Class A common stock, par value $0.001 per 
   share; 1,500,000,000 shares authorized, 
   297,249,547 shares issued and outstanding as 
   of March 31, 2026, 291,426,648 shares issued 
   and outstanding as of December 31, 2025              297            291 
  Class B common stock, par value $0.001 per 
   share; 500,000,000 shares authorized, 
   1,113,136 share issued and outstanding as of 
   March 31, 2026; and 2,017,754 share issued 
   and outstanding as of December 31, 2025                1              2 
  Class C common stock, par value $0.001 per 
  share; 500,000,000 shares authorized, no 
  share issued and outstanding as of March 31, 
  2026 and December 31, 2025                             --             -- 
  Class D common stock, par value $0.001 per 
  share; 500,000,000 shares authorized, no 
  share issued and outstanding as of March 31, 
  2026 and December 31, 2025                             --             -- 
  Additional paid-in-capital                      1,784,861      1,754,387 
  Accumulated other comprehensive income              2,777          7,089 
  Retained earnings                                 261,564        259,963 
                                                  ---------      --------- 
Total stockholders' equity attributable to 
 Clearwater Analytics Holdings, Inc.              2,049,500      2,021,732 
Non-controlling interests                             5,062          9,360 
                                                  ---------      --------- 
Total stockholders' equity                        2,054,562      2,031,092 
                                                  ---------      --------- 
Total liabilities and stockholders' equity       $3,026,855   $  3,031,929 
                                                  =========      ========= 
 
 
                 Clearwater Analytics Holdings, Inc. 
                 Consolidated Statements of Operations 
 (In thousands, except share amounts and per share amounts, unaudited) 
 
                                             Three Months Ended 
                                                   March 31, 
                                        ------------------------------ 
                                            2026           2025 
                                         -----------    ----------- 
Revenue                                 $    221,228   $    126,864 
Cost of revenue(1)                            75,681         33,924 
                                         -----------    ----------- 
Gross profit                                 145,547         92,940 
                                         -----------    ----------- 
Operating expenses: 
  Research and development(1)                 57,050         37,400 
  Sales and marketing(1)                      46,241         19,631 
  General and administrative(1)               33,266         28,827 
                                         -----------    ----------- 
    Total operating expenses                 136,557         85,858 
                                         -----------    ----------- 
Income from operations                         8,990          7,082 
  Interest expense                            12,646            919 
  Other income, net                              (51)        (2,323) 
                                         -----------    ----------- 
Income (loss) before income taxes             (3,605)         8,486 
Provision for (benefit from) income 
 taxes                                          (809)         1,550 
                                         -----------    ----------- 
Net income (loss)                             (2,796)         6,936 
Less: Net income (loss) attributable 
 to non-controlling interests                    (20)           426 
                                         -----------    ----------- 
Net income (loss) attributable to 
 Clearwater Analytics Holdings, Inc.    $     (2,776)  $      6,510 
                                         ===========    =========== 
 
Net income (loss) per share 
attributable to Class A and Class D 
common stockholders stock: 
  Basic                                 $      (0.01)  $       0.03 
  Diluted                               $      (0.01)  $       0.03 
 
Weighted average shares of Class A and 
Class D common stock outstanding: 
  Basic                                  294,989,154    237,324,564 
  Diluted                                294,989,154    246,212,517 
 
 
(1) Amounts include equity-based compensation as follows: 
Cost of revenue                               $   4,323  $ 3,464 
Operating expenses: 
  Research and development                        7,065    8,698 
  Sales and marketing                             8,793    4,009 
  General and administrative                      8,394    7,541 
                                                 ------   ------ 
Total equity-based compensation expense       $  28,575  $23,712 
                                                 ======   ====== 
 
 
                    Clearwater Analytics Holdings, Inc. 
                    Consolidated Statements of Cash Flows 
                          (In thousands, unaudited) 
 
                                           Three Months Ended March 31, 
                                      -------------------------------------- 
                                             2026                 2025 
                                          -----------          ---------- 
OPERATING ACTIVITIES 
Net income (loss)                      $       (2,796)      $       6,936 
Adjustments to reconcile net income 
(loss) to net cash provided by 
operating activities: 
  Depreciation and amortization                29,557               3,146 
  Noncash operating lease cost                  4,123               2,375 
  Equity-based compensation                    28,575              23,712 
  Amortization of deferred contract 
   acquisition costs                            3,121               1,350 
  Amortization of debt issuance 
   costs, included in interest 
   expense                                        954                  69 
  Provision for bad debt                          216                  -- 
  Deferred tax (benefit) expense               (2,000)              1,250 
  Accretion of discount on 
   investments                                     --                (284) 
  Realized gain on investments                     --                (112) 
  Gain on disposal of fixed assets                (80)                 -- 
Changes in operating assets and 
liabilities, net of acquisitions: 
  Accounts receivable, net                     (2,498)             (5,296) 
  Prepaid expenses and other assets            (4,078)             (2,576) 
  Deferred contract acquisition 
   costs                                       (3,006)                  7 
  Accounts payable                             (2,458)               (918) 
  Accrued expenses and other 
   liabilities                                (32,824)             (5,124) 
  Tax receivable agreement liability               --                 (35) 
  Other long-term liabilities                     869                  -- 
                                          -----------          ---------- 
Net cash provided by operating 
 activities                                    17,675              24,500 
                                          -----------          ---------- 
INVESTING ACTIVITIES 
  Purchases of property, equipment 
   and software                                (6,440)             (1,468) 
  Purchase of held to maturity 
   investments                                     --              (4,686) 
  Proceeds from sale of 
   available-for-sale investments                  --              89,479 
  Proceeds from maturities of 
   investments                                     --              16,200 
                                          -----------          ---------- 
Net cash (used in) provided by 
 investing activities                          (6,440)             99,525 
                                          -----------          ---------- 
FINANCING ACTIVITIES 
  Taxes paid related to net share 
   settlement of equity awards                 (2,248)            (24,402) 
  Repayments of borrowings                    (17,000)               (688) 
  Payment of debt issuance costs                   --              (2,159) 
                                          -----------          ---------- 
Net cash used in financing 
 activities                                   (19,248)            (27,249) 
                                          -----------          ---------- 
Effect of exchange rate changes on 
 cash and cash equivalents                     (1,725)              1,033 
Change in cash and cash equivalents 
 during the period                             (9,738)             97,809 
Cash and cash equivalents, beginning 
 of period                                     91,245             177,350 
                                          -----------          ---------- 
Cash and cash equivalents, end of 
 period                                $       81,507       $     275,159 
                                          ===========          ========== 
SUPPLEMENTAL DISCLOSURE OF CASH FLOW 
INFORMATION 
Cash paid for interest                 $       21,708       $       1,282 
Cash paid for income taxes             $        1,154       $         583 
NON-CASH INVESTING AND FINANCING 
ACTIVITIES 
Purchase of property, equipment and 
 software included in accounts 
 payable and accrued expense           $          202       $          64 
Tax distributions payable to 
 Continuing Equity Owners included 
 in accrued expenses                   $           --       $          29 
Acquisition of intangible assets 
 paid in common stock                  $           --       $     102,729 
Acquisition holdback liability 
 included in accrued expenses and 
 other liabilities                     $           --       $      10,000 
 
 
                Clearwater Analytics Holdings, Inc. 
       Reconciliation of Net Income (Loss) to Adjusted EBITDA 
                      (In thousands, unaudited) 
 
                              Three Months Ended March 31, 
                    ------------------------------------------------ 
                               2026                     2025 
                    ---------------------------  ------------------- 
                           (in thousands, except percentages) 
Net income (loss)    $     (2,796)       (1%)    $   6,936     5% 
Adjustments: 
  Interest expense         12,646         5%           919     1% 
  Depreciation and 
   amortization            29,557        13%         3,146     2% 
  Equity-based 
   compensation 
   expense and 
   related payroll 
   taxes                   32,827        15%        27,562    22% 
  Transaction 
   expenses(1)              6,051         3%         7,280     6% 
  Provision for 
   (benefit from) 
   income taxes              (809)        0%         1,550     1% 
  Other income, 
   net                        (51)        0%        (2,323)   (2%) 
                        ---------      ----       --------   --- 
Adjusted EBITDA      $     77,425        35%     $  45,070    35% 
                        =========      ====       ========   === 
Revenue              $    221,228       100%     $ 126,864   100% 
 
(1) Transaction expenses primarily consist of professional fees and 
administrative costs for the Proposed Transaction and closed 
acquisitions. 
 
 
                    Clearwater Analytics Holdings, Inc. 
                      Reconciliation of Free Cash Flow 
                          (In thousands, unaudited) 
 
                                             Three Months Ended March 31, 
                                          ---------------------------------- 
                                                2026              2025 
                                          ----------------  ---------------- 
Net cash provided by operating 
 activities                                $        17,675   $        24,500 
  Less: Purchases of property, equipment 
   and software                                      6,440             1,468 
                                              ------------      ------------ 
Free Cash Flow                             $        11,235   $        23,032 
                                              ============      ============ 
 
 
                  Clearwater Analytics Holdings, Inc. 
                 Reconciliation of Non-GAAP Information 
  (In thousands, except share amounts and per share amounts, unaudited) 
 
                                         Three Months Ended March 31, 
                                      ---------------------------------- 
                                          2026              2025 
                                       -----------       ----------- 
Revenue                               $    221,228      $    126,864 
 
Gross profit                          $    145,547      $     92,940 
Adjustments: 
  Equity-based compensation expense 
   and related payroll taxes                 5,182             4,374 
  Depreciation and amortization             21,995             2,764 
                                       -----------       ----------- 
Gross profit, non-GAAP                $    172,724      $    100,078 
                                       ===========       =========== 
As a percentage of revenue, non-GAAP            78%               79% 
 
Cost of Revenue                       $     75,681      $     33,924 
Adjustments: 
  Equity-based compensation expense 
   and related payroll taxes                 5,182             4,374 
  Depreciation and amortization             21,995             2,764 
                                       -----------       ----------- 
Cost of revenue, non-GAAP             $     48,504      $     26,786 
                                       ===========       =========== 
As a percentage of revenue, non-GAAP            22%               21% 
 
Research and development              $     57,050      $     37,400 
Adjustments: 
  Equity-based compensation expense 
   and related payroll taxes                 8,390             9,827 
  Depreciation and amortization                753               122 
                                       -----------       ----------- 
Research and development, non-GAAP    $     47,907      $     27,451 
                                       ===========       =========== 
As a percentage of revenue, non-GAAP            22%               22% 
 
Sales and marketing                   $     46,241      $     19,631 
Adjustments: 
  Equity-based compensation expense 
   and related payroll taxes                10,132             5,000 
  Depreciation and amortization              6,297               153 
                                       -----------       ----------- 
Sales and marketing, non-GAAP         $     29,812      $     14,478 
                                       ===========       =========== 
As a percentage of revenue, non-GAAP            13%               11% 
 
General and administrative            $     33,266      $     28,827 
Adjustments: 
  Equity-based compensation expense 
   and related payroll taxes                 9,123             8,361 
  Depreciation and amortization                512               107 
  Transaction expenses                       6,051             7,280 
                                       -----------       ----------- 
General and administrative, non-GAAP  $     17,580      $     13,079 
                                       ===========       =========== 
As a percentage of revenue, non-GAAP             8%               10% 
 
Income from operations                $      8,990      $      7,082 
Adjustments: 
  Equity-based compensation expense 
   and related payroll taxes                32,827            27,562 
  Depreciation and amortization             29,557             3,146 
  Transaction expenses                       6,051             7,280 
                                       -----------       ----------- 
Income from operations, non-GAAP      $     77,425      $     45,070 
                                       ===========       =========== 
As a percentage of revenue, non-GAAP            35%               36% 
 
Net income (loss)                     $     (2,796)     $      6,936 
Adjustments: 
  Equity-based compensation expense 
   and related payroll taxes                32,827            27,562 
  Depreciation and amortization             29,557             3,146 
  Transaction expenses                       6,051             7,280 
  Tax impacts of adjustments to net 
   income (loss) (1)                       (17,017)          (10,069) 
                                       -----------       ----------- 
Net income, non-GAAP                  $     48,622      $     34,855 
                                       ===========       =========== 
As a percentage of revenue, non-GAAP            22%               27% 
 
Net income per share - basic, 
 non-GAAP                             $       0.16      $       0.15 
Net income per share - diluted, 
 non-GAAP                             $       0.16      $       0.13 
 
Weighted average common shares 
 outstanding - basic                   294,989,154       237,324,564 
Weighted average common shares 
 outstanding - diluted                 303,076,722       258,754,627 
 
(1) The non-GAAP effective tax rate was 25% for the three months ended 
March 31, 2026 and 2025, respectively, and has been used to adjust the 
provision for income taxes for non-GAAP net income and non-GAAP basic 
and diluted net income per share. 
 

View source version on businesswire.com: https://www.businesswire.com/news/home/20260507061293/en/

 
    CONTACT:    Investor Contact: 

Kamil Mielczarek | +1 208-510-6856 | investors@cwan.com

Media Contact:

Claudia Cahill | +1 703-728-1221 | press@cwan.com

 
 

(END) Dow Jones Newswires

May 07, 2026 16:15 ET (20:15 GMT)

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment