C3.ai Inc - Class A
Q4 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: −1.54%.
Did AI Beat Earnings? Q4 2026 Results
C3.ai, Inc. closed out its fiscal fourth quarter of 2026 with results that <a href="https://247wallst.com/investing/2026/06/03/live-will-c3-ai-beat-q4-earnings-after-the-bell-tonight/">beat expectations on both fronts</a>, reporting a non-GAAP loss of $0.33 per share against a consensus estimate of $0.37, an 11.46% beat, while revenue of $51.60 million edged past the $50.23 million analyst estimate by 2.73%. The headline numbers, however, could not obscure the severity of the year-over-year deterioration; total revenue collapsed 52.5% from $108.72 million a year ago, with subscription revenue falling to $48.38 million from $87.33 million and GAAP gross margin contracting sharply to 22% from 62%. The company incurred roughly $10.83 million in restructuring charges during the quarter, underscoring the scale of the operational reset underway. Founder Thomas Siebel, who returned to the CEO role and personally purchased 6.17 million shares at $11.16 apiece, offered blunt commentary on prior execution. Looking ahead, management guided Q1 FY2027 revenue of $50.00 million to $54.00 million, with full-year FY2027 revenue of $210.00 million to $240.00 million, a midpoint implying further annual decline before any recovery takes hold.
- Subscription revenue constituted 94% of total Q4 revenue
- Subscription and Prioritized Engineering Services combined constituted 98% of total Q4 revenue
- Sharp decline in professional services revenue year-over-year
“We have a well-defined strategy, a restructured organization, new executive leadership, and a detailed execution plan now in place with the singular focus of increasing shareholder value through topline revenue growth, cash generation, and non-GAAP profitability. Game on.”
C3.ai CEO, on the earnings call
Forward Guidance & Outlook
For Q1 FY2027, C3 AI guided total revenue of $50.0 million to $54.0 million and non-GAAP loss from operations of $(40.5) million to $(48.5) million. For full-year FY2027, the company guided total revenue of $210.0 million to $240.0 million and non-GAAP loss from operations of $(128.0) million to $(160.0) million. The company emphasized a singular focus on topline revenue growth, cash generation, and non-GAAP profitability under the returned leadership of founder Tom Siebel.
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Figures from SEC filings and company reports. Not investment advice.