- Q1 Total Revenue of $145.0 million, up 31% year-over-year
- Q1 Subscription Revenue up 32% year-over-year
- RPO and cRPO up 34% and 30% year-over-year, respectively
- Q1 NDE at 123%
- 90 $1 million customers, up 30% year-over-year
Sprinklr (NYSE: CXM), the unified customer experience management (Unified-CXM) platform for modern enterprises, today reported financial results for its first quarter ended April 30, 2022.
“We are very pleased with Sprinklr’s performance in Q1 across our four product suites, as customers within every industry continue to drive revenue, reduce costs and mitigate risks using Sprinklr’s unified platform. With improved operating discipline, we achieved positive adjusted free cash flow for the quarter,” said Ragy Thomas, Sprinklr Founder and CEO.
First Quarter Fiscal 2023 Financial Highlights
- Revenue: Total revenue for the first quarter was $145.0 million, up from $111.0 million one year ago, an increase of 31% year-over-year. Subscription revenue for the first quarter was $127.3 million, up from $96.8 million one year ago, an increase of 32% year-over-year.
- Operating Loss and Margin: First quarter operating loss was $23.1 million, compared to operating loss of $10.5 million one year ago. Non-GAAP operating loss was $10.3 million, compared to non-GAAP operating loss of $1.5 million one year ago. For the first quarter, GAAP operating margin was (16%) and non-GAAP operating margin was (7%).
- Net Loss Per Share: First quarter net loss per share was $0.10, compared to net loss per share of $0.15 in the first quarter of fiscal year 2022. Non-GAAP net loss per share for the first quarter was $0.05, compared to non-GAAP net loss per share of $0.06 in the first quarter of fiscal year 2022.
- Cash, Cash Equivalents and Marketable Securities: Total cash, cash equivalents and marketable securities as of April 30, 2022 was $530.9 million.
Financial Outlook
Sprinklr is providing the following guidance for the second fiscal quarter ending July 31, 2022:
- Subscription revenue between $129.5 million and $131.5 million.
- Total revenue between $146.5 million and $148.5 million.
- Non-GAAP operating loss between $11 million and $13 million.
- Non-GAAP net loss per share between $0.05 and $0.06, assuming 263 million weighted average shares outstanding.
Sprinklr is providing the following guidance for the full fiscal year ending January 31, 2023:
- Subscription revenue between $540.5 million and $546.5 million.
- Total revenue between $612 million and $618 million.
- Non-GAAP operating loss between $37 million and $41 million.
- Non-GAAP net loss per share between $0.18 and $0.20, assuming 263 million weighted average shares outstanding.
Non-GAAP Financial Measures
This press release and the accompanying tables contain the following non-GAAP financial measures: non-GAAP gross profit and non-GAAP gross margin, non-GAAP operating loss, non-GAAP net loss, non-GAAP net loss per share, basic and diluted, free cash flow, and adjusted free cash flow. We define these non-GAAP financial measures as the respective GAAP measures, excluding, as applicable, stock-based compensation expense-related charges, amortization of acquired intangible assets, purchase of property and equipment, capitalized internal-use software, and litigation settlement payments. We believe that it is useful to exclude these expenses in order to better understand the long-term performance of our core business and to facilitate comparison of our results to those of peer companies over multiple periods. The principal limitation of these non-GAAP financial measures is that they exclude significant expenses that are required by GAAP to be recorded in Sprinklr’s financial statements. In addition, they are subject to inherent limitations, as they reflect the exercise of judgment by Sprinklr’s management about which expenses are excluded or included in determining these non-GAAP financial measures. A reconciliation is provided below for each non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP.
Sprinklr has not reconciled its expectations as to non-GAAP operating loss, or as to non-GAAP net loss per share, to their most directly comparable GAAP measures as a result of the high variability, complexity and low visibility with respect to the charges excluded from these non-GAAP measures; in particular, the measures and effects of stock-based compensation expense specific to equity compensation awards that are directly impacted by unpredictable fluctuations in our stock price. We expect the variability of the above charges to have a significant, and potentially unpredictable, impact on our future GAAP financial results. Accordingly, reconciliation is not available without unreasonable effort, although it is important to note that these factors could be material to Sprinklr’s results computed in accordance with GAAP.
Conference Call Information
Sprinklr will host a conference call today, June 14, 2022, to discuss first quarter fiscal 2023 financial results, as well as the second quarter and full year fiscal 2023 outlook, at 5:00 p.m. Eastern Time, 2:00 p.m. Pacific Time. Investors are invited to join the webcast by visiting: https://investors.sprinklr.com/. To access the call by phone, dial 877-459-3955 (domestic) or 201-689-8588 (international). The conference ID number is 13730011. The webcast will be available live, and a replay will be available following completion of the live broadcast for approximately 90 days.
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