Shares of Sprinklr Inc. (NYSE:CXM) surged 9.6% in premarket trading Wednesday after the customer experience software provider delivered stronger-than-anticipated results for the first quarter of its fiscal 2026.
The company reported adjusted earnings of $0.12 per share for the quarter ended April 30, surpassing Wall Street’s consensus estimate of $0.10. Revenue climbed 5% year-over-year to reach $205.5 million, also topping analyst expectations of $201.88 million.
A major driver of the quarterly beat was continued strength in subscription revenue, which rose 4% from a year earlier to $184.1 million – outpacing Bloomberg’s forecast of $182.4 million. Subscription-based income is a key performance metric for software-as-a-service (SaaS) companies like Sprinklr.
President and CEO Rory Read commented on the company’s performance, emphasizing that the results reflect ongoing progress in its strategic transformation. “We are laser-focused on improving execution and enhancing the value we deliver to brands through our AI-native customer experience management platform,” Read said.
Sprinklr also demonstrated strong cash flow generation, reporting a record $80.7 million in free cash flow for the quarter. The number of customers generating over $1 million in annual recurring revenue rose to 146, marking a 6% increase from the same period last year.
For the current quarter, Sprinklr is guiding for revenue between $205 million and $206 million, with adjusted earnings per share around $0.10. Full-year fiscal 2026 projections include revenue in the range of $825 million to $827 million.