Latest news with #Fiscal2026
Yahoo
4 days ago
- Business
- Yahoo
PagerDuty Inc (PD) Q1 2026 Earnings Call Highlights: Strong Revenue Growth Amidst Market Challenges
Revenue: $120 million, up 8% year over year. Non-GAAP Operating Margin: 20%, exceeding target by 500 basis points. Annual Recurring Revenue (ARR): $496 million, 7% growth year over year. Dollar-Based Net Retention: 104%. Gross Margin: 86%, at the high end of the 84% to 86% target range. Operating Income: $24 million, 20% of revenue. Cash from Operations: $31 million, 26% of revenue. Free Cash Flow: $29 million, 24% of revenue. Cash and Investments: $597 million. Total Paid Customers: 15,247, with 127 net new customers added. Guidance for Q2 Fiscal 2026 Revenue: $122.5 million to $124.5 million, growth rate of 6% to 7%. Guidance for Full Fiscal Year 2026 Revenue: $493 million to $499 million, growth rate of 5% to 7%. Net Income per Diluted Share Guidance for Q2 Fiscal 2026: $0.19 to $0.20. Net Income per Diluted Share Guidance for Full Fiscal Year 2026: $0.95 to $1. Warning! GuruFocus has detected 2 Warning Signs with PD. Release Date: May 29, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. PagerDuty Inc (NYSE:PD) delivered revenue of $120 million, representing 8% growth at the top of their guidance range. Non-GAAP operating margin reached 20%, exceeding their target by 500 basis points. Significant improvement in net-new paid customers, driven by a new commercial digital acquisition strategy. Strengthened strategic partnership with AWS, expanding integration capabilities and serving nearly 6,000 joint customers. Public sector expansion achieved FedRAMP Low authorization, enabling federal agencies to leverage AI and automation capabilities. Dollar-based net retention was 104%, reflecting higher than expected customer downgrades in the enterprise segment and elevated churn in the commercial business. Transitional dynamics in the go-to-market motion led to inconsistent sales and marketing execution. Organizational transitions and go-to-market execution challenges impacted Q1 results. Revenue growth guidance for the full fiscal year 2026 was revised down to a range of 5% to 7%, compared to the previous range of 6% to 7%. Enterprise churn was noted, with downgrades due to company mergers and cautious spending due to macroeconomic uncertainty. Q: Can you discuss the enterprise pressure and the impact of rapid innovation in IT and DevOps, particularly with generative AI? Are enterprises hesitant to commit to multiyear contracts due to market evolution? A: Jennifer Tejada, CEO: The primary issue is execution rather than market hesitancy. We experienced gaps in customer engagement due to significant transformations, such as reassigning territories and onboarding new reps. However, new logo growth, especially from AI companies, indicates strong demand. We are confident that our experienced sales force will drive stronger execution in the latter half of the year. Q: The full-year guidance implies revenue growth exiting the year at 5%. How derisked is this guidance, and what precautions were considered? A: Howard Wilson, CFO: The guidance is prudent, reflecting organizational transitions and go-to-market execution challenges in Q1. We expect improvements in bookings in the latter half of the year as sales reps ramp up, but the guidance accounts for early-year challenges. Q: What adoption trends are you seeing for new modules like PagerDuty Advance and Enterprise Plus? A: Jennifer Tejada, CEO: Adoption is in early stages, with strong interest in our generative AI solutions. Customers appreciate the chat-native experience and our ability to integrate with platforms like Teams and Slack. We are reducing friction by seeding access to new features across pricing packages and enabling easier access to AI products. Q: Can you provide more color on the enterprise churn and downgrades? Was this broad-based, and how did it impact the quarter? A: Jennifer Tejada, CEO: We saw elevated churn in SMBs and downgrades in enterprise due to factors like company mergers. The macro environment remains uncertain, but we are focusing on helping customers realize operational efficiencies. Our quarters are more back-end loaded, and April was particularly challenging. Q: How did non-incident management products perform this quarter, and what trends are you seeing? A: Jennifer Tejada, CEO: AIOps continues to lead growth, with new use cases emerging, such as helping customers manage observability costs. Our AIOps offering is maturing, and customers are using it to prioritize tech debt reduction and manage operational risks. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Yahoo
4 days ago
- Business
- Yahoo
G-III Apparel Group Ltd (GIII) Q1 2026 Earnings Call Highlights: Navigating Challenges with ...
Net Sales: $584 million for Q1 fiscal 2026, compared to $610 million in the same period last year. Wholesale Segment Sales: $563 million, down from $598 million in the previous year. Retail Segment Sales: $36 million, up from $31 million in the previous year. Gross Margin: 42.2% for Q1 fiscal 2026, compared to 42.5% in the previous year's first quarter. Retail Operations Gross Margin: 53.5%, up from 47% in the prior year's period. Non-GAAP SG&A Expenses: $231 million, down from $237 million in the previous year's first quarter. Non-GAAP Net Income: $8.4 million or $0.19 per diluted share, compared to $5.8 million or $0.12 per diluted share last year. Inventory: $456 million, a 5% decrease from the previous year's $480 million. Net Cash Position: Approximately $239 million, compared to $82 million in the prior year. Liquidity: Approximately $740 million. Full Fiscal Year 2026 Net Sales Guidance: Approximately $3.14 billion. Second Quarter Fiscal 2026 Net Sales Guidance: Approximately $570 million, compared to $645 million in the prior year. Second Quarter Fiscal 2026 Non-GAAP Net Income Guidance: Between $1 million and $6 million or between $0.02 and $0.12 per diluted share. Warning! GuruFocus has detected 7 Warning Signs with AVD. Release Date: June 06, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. G-III Apparel Group Ltd (NASDAQ:GIII) delivered solid first-quarter results with earnings exceeding the high end of their guidance. The company's key owned brands, DKNY, Karl Lagerfeld, and Donna Karan, experienced double-digit growth, offsetting the loss from exited Calvin Klein licenses. G-III Apparel Group Ltd (NASDAQ:GIII) has a well-diversified supply chain across over 40 countries, reducing reliance on China to less than 20% of production. The company is actively working to mitigate the impact of tariffs through sourcing diversification, vendor negotiations, and selective retail price increases. G-III Apparel Group Ltd (NASDAQ:GIII) ended the quarter with a strong financial position, having approximately $740 million in cash and availability. The global macroeconomic environment remains uncertain, with potential unmitigated tariff impacts estimated at $135 million for fiscal 2026. Net sales for the first quarter were $584 million, a decrease from $610 million in the same period last year. The company has withdrawn its net income, non-GAAP net income, and adjusted EBITDA guidance for fiscal 2026 due to tariff uncertainties. The relaunch of the Sonia Rykiel brand was postponed due to production challenges and macroeconomic uncertainties. G-III Apparel Group Ltd (NASDAQ:GIII) anticipates a decrease in net sales for the second quarter of fiscal 2026 compared to the prior year, partly due to supply chain disruptions and timing shifts. Q: You mentioned taking price increases as part of your strategy. Are these increases focused on newer brands with limited distribution, and which product categories offer the most opportunity for price adjustments? A: Morris Goldfarb, CEO: We're working closely with retailers to adjust pricing in targeted areas, focusing on consumer acceptance. Our brands like Donna Karan and Karl Lagerfeld have strong pricing power due to their unique positioning and quality. We're not applying arbitrary increases but are strategically adjusting prices where consumers see value. Q: With the postponement of the Sonia Rykiel relaunch, how does this affect your guidance, and are you adjusting supply plans for potential demand changes in the second half? A: Morris Goldfarb, CEO: The postponement was due to production challenges and tariffs. It wasn't a significant business yet, so the impact is minimal. We're cautiously optimistic about the second half, with new launches expected to drive demand. We're managing inventory prudently to align with potential demand fluctuations. Q: How much of the Q2 revenue outlook is impacted by timing shifts, and how do you plan to mitigate the $135 million tariff impact? A: Neal Nackman, CFO: About half of the Q2 decrease is due to supply chain issues, with shifts affecting both Q3 and Q4. We're working on mitigating tariffs through pricing adjustments, sourcing diversification, and vendor negotiations. The process is ongoing, and we're focused on minimizing the impact. Q: Can you provide insights into your inventory levels for Q2 and expectations for the rest of the year? A: Neal Nackman, CFO: Inventory levels are aligned with sales growth expectations. We're accelerating product movement to avoid potential tariff impacts. While the environment is uncertain, we're managing inventory effectively to ensure stability. Q: With industry-wide consumer uncertainty and inventory builds, what are your expectations for promotions, and how will you navigate potential headwinds? A: Morris Goldfarb, CEO: We're not feeling significant pressure for promotions. Our products are well-positioned and in demand, including exiting brands like Tommy and Calvin. Our inventory levels are slightly low for current demand, indicating strong sell-through and minimal promotional pressure. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
6 days ago
- Business
- Yahoo
Samsara Inc (IOT) Q1 2026 Earnings Call Highlights: Record Growth and Strategic Partnerships ...
Annual Recurring Revenue (ARR): $1.54 billion, growing 31% year over year. Revenue: $367 million, growing 31% year over year or 32% adjusted for constant currency. Customers with $100,000+ ARR: 2,638, growing 35% year over year. Non-GAAP Gross Margin: 79%, a quarterly record. Non-GAAP Operating Margin: 14%, compared to 2% in Q1 FY25. Adjusted Free Cash Flow Margin: 12%, compared to 7% in Q1 last year. Q2 Revenue Guidance: $371 million to $373 million, representing 24% year-over-year growth. Full-Year FY26 Revenue Guidance: $1.547 billion to $1.555 billion, representing 24% to 25% year-over-year growth. Non-GAAP EPS Guidance for Q2: $0.06 to $0.07. Non-GAAP EPS Guidance for Full-Year FY26: $0.39 to $0.41. Release Date: June 05, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Samsara Inc (NYSE:IOT) reported a strong Q1 fiscal 2026 with an ARR of $1.54 billion, marking a 31% year-over-year growth. The company expanded its customer base significantly, adding 154 customers with more than $100,000 in ARR, a 35% increase year-over-year. Samsara's AI-powered safety solutions have shown significant impact, with a 75% reduction in safety events and a 71% reduction in mobile usage for a major retail propane company. The company is expanding its ecosystem through strategic OEM partnerships with Hyundai Translead, Stellantis, and Rivian, enhancing its connected operations platform. Samsara achieved a record non-GAAP gross margin of 79% in Q1, demonstrating strong operational efficiency and scalability. Samsara experienced elongated sales cycles due to macroeconomic uncertainties and tariff impacts, affecting some transactions. Despite strong pipeline generation, there is ongoing macro uncertainty that could create timing risks for deal closures. The company noted that the current macro environment could delay customer decisions, particularly in asset-intensive industries. Samsara's international expansion, while promising, still faces challenges in newer markets like France and Germany. The impact of OEM partnerships on gross margins is not yet significant, and benefits are expected to be realized in the medium to long term. Q: Can you elaborate on the sales cycle elongation and its impact on deal sizes and pipeline construction? A: Dominic Phillips, CFO, explained that while some deals closed in May, the construction of deals didn't change significantly. The impact was multimillion-dollar, not just hundreds of thousands. Despite macro uncertainty, they had a record pipeline generation in Q1, indicating strong customer demand and interest in Samsara's platform. Q: How do the OEM investments and relationships impact Samsara's competitive positioning? A: Sanjit Biswas, CEO, stated that OEM partnerships make it easier for customers to integrate their operations into Samsara's Connected Operations Cloud. This strategy reduces friction and enhances data insights, strengthening Samsara's competitive position by simplifying asset digitization for customers. Q: What are the drivers behind the strong growth in the transportation vertical? A: Sanjit Biswas highlighted that transportation companies prioritize efficiency and safety, leading to increased digitization. Samsara is gaining market share among leading transportation companies, contributing to the vertical's growth as the second largest for the company. Q: How is Samsara addressing the macroeconomic uncertainty and its impact on customer priorities? A: Dominic Phillips noted that while macro uncertainty creates timing risks for deals, Samsara's strong pipeline and customer demand demonstrate the value of their platform. The company remains focused on delivering ROI and efficiency to customers, which is crucial in uncertain times. Q: Can you discuss the international growth, particularly in Europe, and any regulatory impacts? A: Sanjit Biswas mentioned that Samsara has been investing in Europe, achieving product-market fit, especially in the UK and Ireland. While there are no specific new regulatory tailwinds, there is growing interest in digital transformation, contributing to international growth. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Globe and Mail
04-06-2025
- Business
- Globe and Mail
Will Our AI Analyst Upgrade CrowdStrike (CRWD) Before Earnings? Here's What Sparks Says
CrowdStrike Holdings (CRWD) is set to report its Q1 fiscal 2026 earnings later today, and investors are watching closely. Over the past few days, six new Buy ratings have been issued by Wall Street analysts, showing a wave of optimism. But does Sparks, our AI Analyst, agree? Let's take a closer look. Confident Investing Starts Here: CrowdStrikes' Strengths Sparks gives CrowdStrike an Outperform rating with a score of 76, reflecting confidence in the company's growth engine. Despite some macro concerns and a recent pre-market dip in its stock price, the fundamentals remain strong. CRWD ended fiscal 2025 with $4.24 billion in annual recurring revenue (ARR), and its free cash flow hit a record $1.07 billion, with a healthy 27% margin. In a high-growth SaaS model, that kind of cash generation is a big green flag. The company's business model, based on recurring subscriptions for its Falcon cybersecurity platform, is working. It boasts a 97% customer retention rate, indicating both high product satisfaction and customer loyalty. Falcon has expanded from just three modules in 2016 to 29 modules today, covering a wide range of topics, from cloud security to AI-powered identity protection. CrowdStrike's Weaknesses While Sparks sees a lot to like, it's not all smooth sailing. CRWD is still not consistently profitable under Generally Accepted Accounting Principles (GAAP) accounting. In its most recent quarter, the company posted a net loss of $92.3 million, partly due to acquisition costs and strategic investments. Sparks also notes that net new ARR slightly declined, raising questions about growth sustainability. There's also the matter of valuation. While some sources cite a forward P/E near 137, CrowdStrike's trailing twelve-month (TTM) P/E is deeply negative at -5062, reflecting its ongoing GAAP net losses, driven by heavy investment in growth and stock-based compensation. Additionally, the company recently announced a workforce reduction of around 500 employees (about 5%) as part of a strategic restructuring plan. While the move is aimed at improving long-term efficiency, it reflects some internal cost pressure. Further Positive Aspects From a market perspective, CRWD is showing strong technical momentum, trading well above its 50-day and 200-day moving averages. It has outperformed most peers in the cybersecurity space over the past 12 months. According to Sparks, sector strength is also above average, with CRWD holding its own against competitors like Palo Alto Networks (PANW) and Fortinet (FTNT). Adding to the bullish case, six new Buy ratings have come in just days ahead of the earnings report, highlighting Wall Street's growing confidence in CrowdStrike's long-term trajectory. These fresh endorsements support Sparks' positive outlook and reinforce the view that the company is on the right path. Is CrowdStrike a Buy, Sell, or Hold? Wall Street Analysts see CrowdStrike as a Strong Buy, with an average CRWD stock price target of $443.63. This implies a 7.42% downside. See more CRWD analyst ratings Bottom Line So, is CRWD a Buy ahead of earnings? Sparks thinks so. With strong revenue growth, healthy cash flow, and expanding product adoption, the outlook is solid. The upcoming earnings will offer more clues—but for now, both Sparks and Wall Street seem to agree: CrowdStrike is still worth watching.
Newsweek
28-05-2025
- Newsweek
New York Gun Violence Hits Record Low: What To Know
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Democratic New York Governor Kathy Hochul announced on Tuesday that gun violence in the state has reached its lowest level since 2006, when the state began tracking this data. In communities participating in the state's Gun Involved Violence Elimination initiative, the Division of Criminal Justice Services (DCJS) reported a 15 percent decline in shooting victims and a 9 percent decline in shootings resulting in injury from January 1 to April 30 compared to the same period last year, the governor's office said in a press release. Governor Kathy Hochul announces Fiscal 2026 budget investments in subway safety at Grand Central Terminal on May 1, 2025, in New York City. Governor Kathy Hochul announces Fiscal 2026 budget investments in subway safety at Grand Central Terminal on May 1, 2025, in New York City. NDZ/STAR MAX/IPx Why It Matters The data comes from 28 police departments outside of New York City participating in the GIVE initiative. These police departments report around 90 percent of violent crimes involving firearms outside New York City. The initiative aims at reducing shootings and other firearm-related crimes by providing state funding to local law enforcement agencies for equipment, overtime and personnel. It also provides training and technical assistance to those agencies. What To Know The police departments involved in the GIVE initiative include Albany Police Department, Binghamton Police Department, Auburn Police Department, Jamestown Police Department, Elmira Police Department, Poughkeepsie Police Department, Amherst Police Department and Buffalo Police Department. Cheektowaga Police Department, Lackawanna Police Department, Watertown Police Department, Greece Police Department, Rochester Police Department, Hempstead Police Department, Nassau County Police Department and Niagara Falls Police Department also participate in the GIVE initiative. Other law enforcement agencies following the GIVE initiative are Utica Police Department, Syracuse Police Department, Middletown Police Department, Newburgh Police Department, Troy Police Department, Spring Valley Police Department, Schenectady Police Department, Suffolk County Police Department, Ithaca Police Department, Kingston Police Department, Mount Vernon Police Department and Yonkers Police Department. Between January and April, these departments reported 156 shooting victims, down from 183 during the same period last year. Since 2021, when Hochul took office, shootings in New York are down 50 percent and murders are down 30 percent, the release said. What People Are Saying New York Governor Kathy Hochul, in a statement: "Keeping New Yorkers safe is my top priority. Since taking office, my administration has been laser focused on eliminating gun violence and reducing the number of gun-related injuries and fatalities across the State. Our efforts are working, and I am committed to continuing our record level support for gun violence prevention initiatives in our most impacted communities to ensure all New Yorkers are safe." DCJS Commissioner Rossana Rosado, in a statement: "New York's strategy is working because it's grounded in data, backed by funding, and built on strong partnerships. We are proud to support our law enforcement and community partners with the tools they need to make every neighborhood safer." What Happens Next Hochul's office said that the 2026 fiscal year budget will build on public safety efforts, including $347 million allocated to gun violence programs and continued funding for DCJS initiatives that support local law enforcement, community-based violence prevention and victim services. Do you have a story that Newsweek should be covering? Do you have any questions about this story? Contact LiveNews@
