UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended January 31, 2026 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission file number 001-40528 Sprinklr, Inc. (Exact name of registrant as specified in its charter) Delaware (State or other Jurisdiction of ...

Core Insights - The trading environment in the first quarter of 2026 has been challenging, with persistent bearish sentiments driven by a weak global market [1] Group 1: Market Conditions - The market headlines are contributing to a bearish outlook, indicating ongoing concerns about economic conditions [1] Group 2: Analyst Background - Gary Alexander has extensive experience in technology sectors, having worked on Wall Street and in Silicon Valley, and has been advising seed-round startups [1] - He has been a contributor to Seeking Alpha since 2017 and has been featured in various web publications [1]

Management View - Sprinklr reported a 9% year-over-year revenue increase, reaching $220.6 million [2] - Subscription revenue grew by 6%, totaling $193.4 million [2] - The company achieved $37.7 million in non-GAAP operating income, resulting in a 17% non-GAAP operating margin [2] Future Outlook - Sprinklr set a revenue target of $869 million to $871 million for FY '27, driven by momentum in its AI platform [2]

Sprinklr (NYSE: CXM) was spraying gains on its shareholders in a prosperous Wednesday trading session. On a generally forgettable day for the stock market, the customer experience management solutions company was an outperformer, posting an over 6% increase. That was in reaction to a very well-received earnings report. A shower of good results Well before market open that day, Sprinklr took the lid off its fourth quarter and full-year fiscal 2026 figures. In the prior period, the company earned revenue o ...

Financial Data and Key Metrics Changes - Total revenue for Q4 FY26 grew 9% year-over-year to $220.6 million, with subscription revenue increasing 6% to $193.4 million [5][14] - Non-GAAP operating income was $37.7 million, representing a 17% non-GAAP operating margin [5][17] - For the full year FY26, total revenue was $857.2 million, up 8% year-over-year, with subscription revenue of $756.3 million, up 5% [21][22] - Non-GAAP operating income for the full year was $146.2 million, equating to a non-GAAP net income per diluted share of $0.49 [21][22] Business Line Data and Key Metrics Changes - Professional services revenue for Q4 was $27.1 million, up 29% year-over-year, driven by large-scale rollouts [14][21] - The subscription revenue base net dollar expansion rate in Q4 was 103%, with a net dollar expansion for the $1 million customer cohort at 115% [15][16] - The average revenue per customer in the $1 million cohort is now above $3 million [15] Market Data and Key Metrics Changes - ARR from generative AI-native Sprinklr Service SKUs grew 50% year-over-year, indicating strong demand for AI capabilities [8][10] - The company operates in 12 regions, with the Americas contributing approximately 50-55% of revenue, Europe around 35%, and Asia-Pacific about 10% [40] Company Strategy and Development Direction - The company is in the second phase of its transformation, focusing on embedding changes to build a stronger foundation for scale and efficiency [7][13] - Key innovation priorities include unified customer intelligence, enterprise-wide automation, AI-driven marketing, and next-generation AI insights [9][10] - The company aims to solidify its baseline and contribution from top-tier enterprise customers through a focus on renewal rates and multiyear deals [16] Management's Comments on Operating Environment and Future Outlook - Management noted that while churn was higher than preferred, improvements in renewal rates were observed in Q4, with expectations for continued improvement in Q1 and Q2 [5][13] - The macro environment remains fluid, particularly due to geopolitical events, but the company is focused on maintaining operational discipline [13][14] - Management expressed confidence in the strategy and commitment to delivering durable growth and long-term shareholder value [14][29] Other Important Information - The board has authorized a new $200 million share buyback program, reflecting confidence in the company's strategy and balance sheet [18] - The company generated $15.9 million in free cash flow in Q4 and $142 million for the year, indicating strong cash conversion [17][22] Q&A Session Summary Question: Is the margin outlook conservative? - Management emphasized a balanced approach to investments while ensuring long-term growth and addressing technical debt [31][32] Question: What is the revenue breakdown between international and U.S. markets? - Management indicated that the Middle East is a healthy region with a good pipeline, contributing to overall revenue [39][40] Question: Will elevated churn continue in FY27? - Management expects renewal rates to improve, indicating a positive trend in customer retention [45][46] Question: What are the plans for increasing margins? - Management highlighted a focus on revenue mix and operational efficiency, with investments in AI solutions and disciplined expense management [48][50] Question: What signals the transition to the acceleration phase? - Management noted the importance of improving renewal rates, customer sentiment, and operational efficiency as indicators for moving to the next phase [89]

Financial Data and Key Metrics Changes - In Q4 FY26, total revenue increased by 9% year-over-year to $220.6 million, while subscription revenue grew by 6% to $193.4 million [4][14] - Non-GAAP operating income for Q4 was $37.7 million, representing a 17% non-GAAP operating margin [4][17] - For the full year FY26, total revenue was $857.2 million, up 8% year-over-year, with subscription revenue of $756.3 million, up 5% [20][21] - Non-GAAP operating income for FY26 was $146.2 million, equating to a non-GAAP net income per diluted share of $0.49 [20][21] Business Line Data and Key Metrics Changes - Professional services revenue in Q4 was $27.1 million, up 29% year-over-year, driven by large-scale rollouts [14][20] - The subscription revenue base net dollar expansion rate in Q4 was 103%, with a net dollar expansion for the $1 million customer cohort at 115% [15][16] - The average revenue per customer in the $1 million cohort is now above $3 million [15] Market Data and Key Metrics Changes - ARR from generative AI-native Sprinklr Service SKUs grew by 50% year-over-year, indicating strong demand for AI capabilities [7] - The company operates in 12 regions, with the Americas contributing approximately 50-55% of revenue, Europe around 35%, and Asia-Pacific about 10% [38] Company Strategy and Development Direction - The company is in the second phase of its transformation, focusing on embedding changes made in FY26 to build a stronger foundation for scale and efficiency [5][12] - Key innovation priorities for FY27 include unified customer intelligence, enterprise-wide automation, AI-driven marketing, and next-generation AI insights [8] - The company aims to solidify its baseline and contribution from top-tier enterprise customers through its "bear hug" strategy [15][16] Management's Comments on Operating Environment and Future Outlook - Management noted that while churn was higher than preferred in FY26, renewal rates improved in Q4 and are expected to continue improving in Q1 and Q2 of FY27 [5][12] - The macro environment remains fluid, particularly due to geopolitical events, but the company is focused on maintaining discipline and positioning for growth [12][13] - Management expressed confidence in the strategy and commitment to delivering durable growth and long-term shareholder value [12][13] Other Important Information - The board has authorized a new $200 million share buyback program, reflecting confidence in the company's strategy and balance sheet [18] - The company generated $15.9 million in free cash flow in Q4 and $142 million for the year, with a strong balance sheet of $502.5 million in cash and no debt [17][18] Q&A Session Summary Question: Is the margin outlook conservative? - Management emphasized a balanced approach to investments while ensuring long-term growth and addressing technical debt [30][31] Question: What is the revenue breakdown between international and U.S. markets? - The Middle East is a healthy region for the company, contributing to a good pipeline, with the Americas being the largest market [36][38] Question: Will elevated churn continue in FY27? - Management expects renewal rates to improve, indicating a positive trend in customer retention [44][45] Question: What are the plans for increasing margins? - The company is focused on revenue mix, operational efficiency, and investing in AI solutions to support margin expansion [47][49] Question: What signals the transition to the acceleration phase? - Management highlighted the importance of improving renewal rates, customer sentiment, and operational efficiency as indicators for moving to the next phase [87][89]

分组1 - Sprinklr reported quarterly earnings of $0.13 per share, exceeding the Zacks Consensus Estimate of $0.10 per share, and showing an increase from $0.10 per share a year ago, resulting in an earnings surprise of +30.00% [1] - The company achieved revenues of $220.59 million for the quarter ended January 2026, surpassing the Zacks Consensus Estimate by 1.68% and increasing from $202.54 million year-over-year [2] - Sprinklr has consistently surpassed consensus EPS estimates over the last four quarters, indicating strong performance [2] 分组2 - The stock has underperformed, losing approximately 27.8% since the beginning of the year, compared to a decline of 0.9% for the S&P 500 [3] - The current consensus EPS estimate for the upcoming quarter is $0.12 on revenues of $216.09 million, and for the current fiscal year, it is $0.48 on revenues of $867.6 million [7] - The Technology Services industry, to which Sprinklr belongs, is currently ranked in the bottom 28% of over 250 Zacks industries, which may impact stock performance [8]

March 2026 Safe Harbor Statement We have based these forward-looking statements largely on our current expectations and projections about future events and trends that we believe may affect our financial condition, results of operations, business strategy and financial needs . These forward-looking statements include, but are not limited to, statements regarding our financial guidance for the first quarter and full year fiscal 2027 , our market size and growth strategy, our estimated and projected costs, ma ...

Revenue Performance - Q4 total revenue was $220.6 million, representing a 9% year-over-year increase from $202.5 million[6]. - Q4 subscription revenue reached $193.4 million, up 6% year-over-year from $182.1 million[6]. - Full year total revenue for fiscal 2026 was $857.2 million, an 8% increase from $796.4 million in fiscal 2025[7]. - Full year subscription revenue was $756.3 million, up 5% from $717.9 million in the previous year[7]. - Total revenue for the three months ended January 31, 2026, was $220,592 thousand, representing a 8.3% increase from $202,539 thousand in the same period of 2025[22]. - Subscription revenue increased to $193,444 thousand for the three months ended January 31, 2026, up from $182,067 thousand in the prior year, marking a growth of 6.8%[22]. Income and Profitability - Q4 GAAP operating income was $14.2 million, compared to $10.5 million in the same quarter last year, with a GAAP operating margin of 6%[7]. - Non-GAAP operating income for Q4 was $37.7 million, up from $26.3 million year-over-year, with a non-GAAP operating margin of 17%[7]. - Net income for the year ended January 31, 2026, was $22,905 thousand, a significant decrease of 81.1% compared to $121,609 thousand in 2025[24]. - Operating income for the three months ended January 31, 2026, was $14,171 thousand, an increase of 35.0% from $10,459 thousand in the same period of 2025[22]. - Non-GAAP net income per share for fiscal 2026 was $0.49, compared to $0.37 in fiscal 2025[7]. - U.S. GAAP net income for the year ended January 31, 2026, was $22.905 million, down from $121.609 million in 2025, indicating a decline of 81.1%[27]. Cash Flow and Financial Position - The company reported a free cash flow of $15.9 million in Q4 and a total cash position of $502.5 million as of January 31, 2026[6][7]. - Cash flow from operating activities for the year ended January 31, 2026, was $159,193 thousand, more than double the $77,590 thousand reported in 2025[24]. - Free cash flow for the year ended January 31, 2026, was $141.903 million, compared to $59.157 million in 2025, showing an increase of 139.5%[26]. Assets and Liabilities - Total assets as of January 31, 2026, were $1,205,061 thousand, a slight increase from $1,184,199 thousand in 2025[20]. - Total liabilities increased to $612,418 thousand as of January 31, 2026, compared to $572,136 thousand in the previous year, reflecting a growth of 7.0%[20]. - The company reported a total stockholders' equity of $592,643 thousand as of January 31, 2026, down from $612,063 thousand in the previous year[20]. Research and Development - Research and development expenses for the year ended January 31, 2026, were $96,001 thousand, up from $91,621 thousand in 2025, indicating a 4.1% increase[22]. Deferred Revenue and Other Metrics - Deferred revenue increased to $420,339 thousand for the three months ended January 31, 2026, compared to $403,483 thousand in the same period of 2025, showing a growth of 4.2%[22]. - U.S. GAAP gross profit for the three months ended January 31, 2026, was $144.826 million, compared to $143.723 million for the same period in 2025, reflecting a slight increase[26]. - Non-GAAP gross profit for the year ended January 31, 2026, was $584.494 million, up from $579.604 million in 2025, indicating a growth of approximately 0.15%[26]. - Non-GAAP operating income for the three months ended January 31, 2026, was $37.734 million, a significant increase from $26.338 million in 2025, representing a growth of 43.5%[26]. - Non-GAAP net income for the three months ended January 31, 2026, was $31.959 million, compared to $27.500 million in 2025, reflecting a growth of 16.9%[27]. Stock and Compensation - The Board of Directors authorized a $200 million stock repurchase program, with an immediate execution of a $125 million Accelerated Share Repurchase[6]. - Weighted-average shares outstanding for the three months ended January 31, 2026, were 247.571 million, compared to 254.911 million in 2025, indicating a decrease of 2.9%[27]. - Stock-based compensation expense for the three months ended January 31, 2026, was $21.750 million, up from $15.420 million in 2025, reflecting a rise of 41.5%[27]. - Non-recurring litigation costs for the year ended January 31, 2026, amounted to $2.076 million, compared to no costs in 2025, indicating the company faced additional legal expenses[27]. Guidance - Guidance for Q1 fiscal 2027 includes total revenue between $215.5 million and $216.5 million and subscription revenue between $193 million and $194 million[13].

Core Insights - Sprinklr reported strong financial results for Q4 and fiscal year 2026, highlighting a transformation in customer engagement and operational efficiency [1][2] - The company announced a $200 million stock repurchase program, reflecting confidence in its financial health and commitment to shareholder value [1][2] Financial Highlights Fourth Quarter Fiscal 2026 - Total revenue reached $220.6 million, a 9% increase year-over-year from $202.5 million [1][3] - Subscription revenue was $193.4 million, up 6% from $182.1 million in the same quarter last year [1][3] - GAAP net income per share was $0.04, down from $0.37 in Q4 FY 2025, while non-GAAP net income per share increased to $0.13 from $0.10 [1][3] - Free cash flow for Q4 was $15.9 million, with net cash provided by operating activities at $20.7 million [1][3] Full Year Fiscal 2026 - Total revenue for the year was $857.2 million, an 8% increase from $796.4 million in FY 2025 [1][3] - Subscription revenue for the year was $756.3 million, up 5% from $717.9 million [1][3] - GAAP net income per share for the year was $0.09, down from $0.44 in FY 2025, while non-GAAP net income per share rose to $0.49 from $0.37 [1][3] - Operating income for the year was $40.2 million, compared to $24.0 million in the previous year [1][3] Guidance - For Q1 FY 2027, Sprinklr expects non-GAAP net income per share of approximately $0.09 and total revenue between $215.5 million and $216.5 million [1][2] - For the full fiscal year ending January 31, 2027, the company anticipates non-GAAP net income per share between $0.47 and $0.48, with total revenue projected between $869 million and $871 million [1][2] Key Business Metrics - Remaining Performance Obligations (RPO) remained flat, while current RPO (cRPO) increased by 1.0% year-over-year [1] - The company serves over 1,600 enterprises, including notable clients like Microsoft and P&G, indicating a strong market presence [2]