Sprinklr (NYSE:CXM) posted mixed results for its second quarter, falling short on profit expectations while revenue exceeded forecasts. The company also provided optimistic guidance for the third quarter and full fiscal year.
Despite the revenue beat, Sprinklr shares fell 1.4% in premarket trading Wednesday.
The company reported non-GAAP diluted EPS of $0.08, below analyst expectations of $0.10. Revenue climbed 8% year-over-year to $212 million, surpassing the consensus of $205.4 million, with subscription revenue rising 6% to $188.5 million.
Operating cash flow for the quarter reached $34.8 million, while free cash flow totaled $29.8 million. Remaining performance obligations (RPO) grew 4% year-over-year, with current RPO increasing 7%.
For the third fiscal quarter ending October 31, Sprinklr expects subscription revenue of $186–187 million and total revenue of $209–210 million, above the anticipated $206.6 million. The company forecasts non-GAAP operating income of $28.5–29.5 million and non-GAAP EPS of $0.09, in line with estimates.
For the full fiscal year, Sprinklr projects subscription revenue between $746–748 million and total revenue of $837–839 million, surpassing the consensus forecast of $825.9 million. Non-GAAP operating income is expected to reach $131–133 million, with EPS of $0.42–0.43, compared with the $0.40 average analyst estimate.
In addition to the results, Sprinklr announced Scott Millard as its new Chief Revenue Officer, effective September 22.
Millard will report to President and CEO Rory Read and joins from Dell Technologies, where he most recently oversaw global AI sales with a $15 billion revenue portfolio. He previously held several senior sales leadership positions at Dell across North America.
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