March 2, 2023 –C3.ai (NYSE:AI) the Enterprise AI application software company, today announced financial results for its fiscal third quarter ended January 31, 2023.
C3.ai (NYSE:AI) reported a fiscal Q3 non-GAAP net loss of $0.06 per diluted share, Analysts polled by Capital IQ expected a loss of $0.22 per share.
Revenue for the quarter ended Jan. 31 fell to $66.7 million，Analysts’ estimate was $64.3 million.
For fiscal Q4, the company projects revenue at $70 million to $72 million. The consensus is for $69.9 million.
For fiscal 2023, C3.ai now expects revenue of $264 million to $266 million. In December, the company said it expected revenue between $255 million and $270 million. Analysts are looking for $261.3 million.
“As we enter Q4 FY 23, we are seeing tailwinds from improved business optimism and increased interest in applying C3 AI solutions to address an increasing range of applications across a broad range of industries,” said Thomas M. Siebel, C3 AI CEO. “The overall business sentiment appears to be improving. This is a dramatic change from what we experienced in mid 2022.”
“In the course of the third quarter we validated our transition to a consumption-based pricing model, expanded our partner ecosystem, expanded our business pipeline, and delivered industry leading product innovation in enterprise AI. We remain on track to become cash positive and non-GAAP profitable by the end of FY 24,” Siebel continued. “The results speak for themselves.”
Fiscal Third Quarter 2023 Financial Highlights
•Revenue: Total revenue for the quarter was $66.7 million, exceeding guidance of $63.0 million to $65.0 million.
•Subscription Revenue: Subscription revenue for the quarter was $57.0 million, constituting 85.6% of revenue.
•Gross Profit: GAAP gross profit for the quarter was $44.4 million, representing a 67% gross margin. Non-GAAP gross profit for the quarter was $51.0 million, representing a 76% non-GAAP gross margin.
•Remaining Performance Obligations (“RPO”): GAAP RPO was $403.2 million. Our GAAP RPO represents 151% of Q3 annualized revenue. Non-GAAP RPO was $436.3 million.
•Current RPO: Current RPO of $176.3 million, an increase of 7% compared to $164.5 million one quarter ago.
•Net Loss per Share: GAAP net loss per share was $(0.57). Non-GAAP net loss per share was $(0.06).
•Customer Count: Customer count was 236.
•Cash Reserves: With $789.8 million in cash, cash equivalents, and investments, we believe C3 AI is well positioned to sustain equity market turbulence and to continue to invest in growth through enterprise AI innovation and sales expansion, while sustaining our path to profitability.
C3.AI, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
About C3.ai, Inc.
C3.ai, Inc. (NYSE:AI) is the Enterprise AI application software company. C3 AI delivers a family of fully integrated products including the C3 AI Application Platform, an end-to-end platform for developing, deploying, and operating enterprise AI applications and C3 AI Applications, a portfolio of industry-specific SaaS enterprise AI applications that enable the digital transformation of organizations globally.