Revenue Growth
Total revenue grew 7% year-over-year to $219.5 million in Q1 FY2027; subscription revenue grew 6% year-over-year to $194.8 million.
Profitability and Cash Generation
Non-GAAP operating income was $31.7 million (14% margin) and non-GAAP net income was $0.11 per diluted share. Generated $65.8 million in free cash flow in Q1, representing a 30% free cash flow margin.
Record RPO Milestone
Total RPO crossed $1.0 billion to $1.04 billion (up 10% YoY, up 5% QoQ); current RPO was $627.1 million (up 5% YoY, up 1% QoQ), providing greater visibility into contracted demand.
AI Momentum and Product Traction
ARR for AI-native SKUs grew 47% year-over-year; over 180 AI projects underway. Notable agentic outcomes: one customer achieved 90% containment, 6+ month copiloting deployments saw 55% average reduction in handling times (some >70%), another customer automated 85%+ of presales conversations across 11 markets, and AI-led engagements delivered 4x higher conversion rates.
Largest Deal and Enterprise Execution
Signed the largest software deal in company history: a multiyear platform agreement with a leading global consumer electronics company (expanded to 42 divisions), demonstrating ability to win and deploy complex enterprise-scale implementations.
Strong Balance Sheet and Capital Return
Ended Q1 with $442.8 million in cash, cash equivalents and marketable securities and no debt. Repurchased 17.1 million shares under an accelerated repurchase program with $75 million remaining under a $200 million authorization.
Improving Renewals and Net Dollar Expansion
Reported the highest renewal rate in over two years and a subscription net dollar expansion rate of 104% overall (115% for the $1M cohort), signaling improving customer retention and share-of-wallet expansion.