Braze Inc - Class A
Q3 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: +0.90%.
Did BRZE Beat Earnings? Q3 2026 Results
Braze delivered a mixed but largely encouraging fiscal third quarter of 2026, posting revenue of $190.84 million, a 25.5% year-over-year increase that cleared the $184.08 million consensus estimate by 3.67%, even as earnings came in slightly light. Non-GAAP diluted EPS of $0.06 missed the $0.07 consensus by 8.26%, though the figure still represented meaningful improvement from $0.02 a year earlier, reflecting the company's ongoing push toward profitability. The standout driver behind the revenue beat was a combination of new customer wins, upsells, and renewals, with total customers growing 14% to 2,528 and large customers surging 29% to 303. Free cash flow swung sharply positive to $17.78 million from negative $14.25 million in the prior year, underscoring improving cash generation. Analysts have largely greeted the results with bullish sentiment, pointing to Braze's AI-powered platform capabilities as a key differentiator. Looking ahead, the company guided Q4 revenue of $197.50 million to $198.50 million and raised full-year fiscal 2026 revenue guidance to $730.50 million to $731.50 million.
- 25.5% year-over-year revenue growth driven by new customers, upsells, and renewals
- Total customer count grew 14% year-over-year to 2,528
- Large customers (ARR $500K+) grew 29% year-over-year to 303
- Non-GAAP operating income swung to $5.1 million from a loss of $2.2 million year-over-year
- Free cash flow improved to $17.8 million from negative $14.2 million year-over-year
- Record 102.5 billion messages delivered during Cyber Week with 100% uptime
“This was another standout quarter for Braze, with 25.5% revenue growth and strong profitability, proving the strength of our model. We introduced a wave of innovation across BrazeAI™, including BrazeAI Operator™, BrazeAI Agent Console™ and BrazeAI Decisioning Studio™, fundamentally rewriting the rules of customer engagement. The new BrazeAI™ is a force multiplier for both marketers and consumers, delivering smarter, more adaptive, and increasingly autonomous capabilities. Marketers now have the flexibility to orchestrate personalized, high-impact experiences through composable intelligence, and as consumers we are surprised and delighted with experiences that feel thoughtful, connected and tailored just for us.”
Braze CEO, on the earnings call
Forward Guidance & Outlook
For fiscal Q4 2026 (ending January 31, 2026), Braze guided revenue of $197.5–$198.5 million, non-GAAP operating income of $12.0–$13.0 million, non-GAAP net income of $15.0–$16.0 million, and non-GAAP diluted EPS of $0.13–$0.14 on approximately 113.0 million weighted average diluted shares. For full fiscal year 2026, the company updated guidance to revenue of $730.5–$731.5 million, non-GAAP operating income of $26.0–$27.0 million, non-GAAP net income of $46.0–$47.0 million, and non-GAAP diluted EPS of $0.42–$0.43 on approximately 110.0 million weighted average diluted shares.
BRZE YoY Financials
BRZE Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.