C3.ai Q4 Loss Narrower Than Expected, Revenues Rise Y/Y, Stock Up

C3.ai AI witnessed a 12.3% rise in its share price during the after-hours trading session yesterday, following the release of fourth-quarter fiscal 2025 results. The company reported a narrower-than-expected loss and revenues surpassed the Zacks Consensus Estimate.In the fiscal fourth quarter, C3.ai benefited from a strong technology partner base. The company closed 69 agreements through its partner network. C3.ai entered into new and expanded agreements with ExxonMobil, U.S. Steel, Air Products, Bristol Myers Squibb, Signature Aviation, Curtiss-Wright, Cargill, Dow, Chanel, Ericsson and Heidelberg Materials.Inside C3.ai’s Q4 ResultsIn the quarter under review, C3.ai reported an adjusted loss of 16 cents per share, which was narrower than the Zacks Consensus Estimate of a loss of 20 cents. The company reported a non-GAAP loss of 11 cents in the year-ago quarter. (See the Zacks Earnings Calendar to stay ahead of market-making news.)Revenues of $108.7 million surpassed the consensus estimate of $108.3 million by 0.4% and increased 26% year over year.C3.ai, Inc. Price, Consensus and EPS Surprise C3.ai, Inc. price-consensus-eps-surprise-chart | C3.ai, Inc. QuoteC3.ai’s fiscal fourth-quarter topline benefited from a strong subscription-based business model and increased demand for its Generative-AI and Enterprise-AI software.The company’s subscription revenues (80% of revenues) increased 9% year over year to $87.3 million. Professional service revenues (20%) surged to $21.4 million.AI’s Operating HighlightsIn the reported quarter, the non-GAAP gross margin was 69% compared with 70% reported in the year-ago quarter.Research and development, and general and administrative expenses increased 15.4% and 36.6%, respectively, year over year to $58.4 million and $27.4 million. Sales and marketing expenses increased 11.8% year over year to $70.7 million.In the fiscal fourth quarter, C3.ai reported a non-GAAP loss from operations of $21.9 million compared with $14 million reported in the year-ago quarter.Fiscal 2025 Highlights of AITotal revenues in fiscal 2025 were $389.1 million, up from $310.6 million reported in fiscal 2024.Non-GAAP loss from operations in fiscal 2025 was $52.4 million compared with $56.2 million reported in fiscal 2024.In fiscal 2025, adjusted loss per share was 41 cents, down from 47 cents reported in the previous year.Balance Sheet of AIAs of April 30, 2025, C3.ai had total cash, cash equivalents and short-term investments of $742.7 million compared with $750.4 million at fiscal 2024-end.AI’s Fiscal 2026 GuidanceFor first-quarter fiscal 2026, C3.ai expects revenues between $100 million and $109 million. Non-GAAP loss from operations is anticipated to be $23.5-$33.5 million.For fiscal 2026, C3.ai expects revenues between $447.5 million and $484.5 million. Non-GAAP loss from operations is expected in the range of $65-$100 million.AI’s Zacks RankC3.ai currently carries a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Recent ReleasesToll Brothers, Inc. TOL reported second-quarter fiscal 2025 (ended April 30) results, with adjusted earnings and total revenues topping the Zacks Consensus Estimate. On a year-over-year basis, the bottom line grew while the top line tumbled.The quarterly performance reflects soft contributions from the Land sales and other segment, partially offset by growth in home sales revenues. The housing market uncertainties persist and are expected to elevate if the new tax regime is fully implemented, mainly hitting the homebuilding cost structure. Nonetheless, the company is optimistic about its long-term growth trend, backed by the shortage of housing and the favorable demographics.Dycom Industries Inc. DY reported better-than-expected results for the first quarter of fiscal 2026 (ended April 26). Contract revenues and adjusted earnings surpassed the Zacks Consensus Estimate. On a year-over-year basis, the top line grew while the bottom line tumbled.The quarter’s performance reflects market demand strength driving the backlog growth, benefits realized from the company’s business model and ongoing execution of its strategy. Also, contributions from the acquired businesses added to the uptrend. The company provided an upbeat fiscal second-quarter view and raised fiscal 2026 revenue guidance.Williams-Sonoma Inc. WSM reported results for first-quarter fiscal 2025 (ended May 4), with earnings and net revenues beating the Zacks Consensus Estimate. The top line increased on a year-over-year basis. The company saw positive comparable sales, supported by stable profitability.Going forward, the company remains focused on product development and customer service while navigating ongoing macroeconomic and geopolitical uncertainties.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Toll Brothers Inc. (TOL): Free Stock Analysis Report Williams-Sonoma, Inc. (WSM): Free Stock Analysis Report C3.ai, Inc. (AI): Free Stock Analysis Report Dycom Industries, Inc. (DY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks