Economic Overview - U.S. private employers cut 32,000 jobs in November, reversing October's gains and indicating renewed labor-market weakness [1] - The ADP data showed broad declines led by small businesses and major sectors like manufacturing and professional services, with pay growth continuing to slow [1] Market Reaction - The Dow Jones Industrial Average rose over 400 points, closing nearly 0.9% higher at 47,882.90, driven by expectations of an upcoming rate cut [2] - The S&P 500 and Nasdaq also saw gains, closing at 6,849.72 and 23,454.09 respectively [2] Company Performance: Salesforce - Salesforce reported third-quarter revenue of $10.26 billion, slightly below expectations, but adjusted earnings of $3.25 per share exceeded estimates of $2.86 [3] - Remaining performance obligations increased by 11% to $29.4 billion, with AI-driven products generating $1.4 billion in ARR [3] - The company raised its full-year revenue and earnings outlook [3] Company Performance: Snowflake - Snowflake's stock increased by 2.05%, closing at $265, but dropped 7.9% in after-hours trading to $244.05 [4] - The company posted third-quarter revenue of $1.21 billion, with adjusted earnings of 35 cents, beating estimates [5] - Revenue rose 29% year-over-year, and remaining performance obligations jumped 37% to $7.88 billion, although slower fourth-quarter operating margins were forecasted [5] Company Performance: UiPath - UiPath shares rose 3.92%, closing at $14.86, and jumped 6.5% in after-hours trading to $15.82 [6] - The company reported third-quarter revenue of $411 million and adjusted earnings of 16 cents per share, exceeding expectations [7] - ARR increased by 11% year-over-year to $1.78 billion, with strong margins and positive free cash flow reported [7] Company Performance: iRobot - iRobot's stock surged by 73.85%, closing at $3.39, following reports of a potential executive order from the Trump administration to boost the robotics industry [8] - The stock reached a high of $3.50 and a low of $2.12, but slipped 2.4% in after-hours trading [8] Company Performance: Netflix - Netflix shares fell by 4.93%, closing at $103.96, with an intraday high of $106.87 and a low of $102.03 [9] - The company reportedly explored acquiring Warner Bros. Discovery's studios and streaming operations, framing the deal as a consumer cost-cutting bundle with HBO Max [10] - The merger discussions faced political pushback, including criticism from the Pentagon and GOP objections over Netflix's potential market power [10]

Core Insights - UiPath reported revenue of $411.11 million for the quarter ended October 2025, marking a year-over-year increase of 15.9% and exceeding the Zacks Consensus Estimate by 4.71% [1] - The company achieved an EPS of $0.16, up from $0.11 a year ago, surpassing the consensus EPS estimate of $0.14 by 14.29% [1] Financial Performance Metrics - Annual Recurring Revenue (ARR) reached $1.78 billion, slightly above the four-analyst average estimate of $1.77 billion [4] - Net New ARR was reported at $59 million, exceeding the average estimate of $50.57 million from three analysts [4] - The dollar-based net retention rate was 107%, compared to the estimated 108.4% [4] - Revenue from licenses was $150.04 million, surpassing the estimated $140.47 million and reflecting a 9.4% increase year-over-year [4] - Revenue from professional services and other was $13.5 million, exceeding the estimate of $10.89 million and showing a 27.9% increase year-over-year [4] - Subscription services revenue was $247.57 million, above the estimated $241.54 million, representing a 19.7% increase year-over-year [4] Stock Performance - UiPath shares returned +0.2% over the past month, while the Zacks S&P 500 composite experienced a -0.1% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Core Insights - UiPath reported quarterly earnings of $0.16 per share, exceeding the Zacks Consensus Estimate of $0.14 per share, and showing an increase from $0.11 per share a year ago, resulting in an earnings surprise of +14.29% [1] - The company achieved revenues of $411.11 million for the quarter ended October 2025, surpassing the Zacks Consensus Estimate by 4.71% and increasing from $354.65 million year-over-year [2] Financial Performance - Over the last four quarters, UiPath has consistently surpassed consensus EPS estimates, achieving this four times [2] - The company has also topped consensus revenue estimates three times in the same period [2] - The current consensus EPS estimate for the upcoming quarter is $0.25, with projected revenues of $462.66 million, and for the current fiscal year, the estimate is $0.65 on revenues of $1.57 billion [7] Market Position - UiPath shares have increased by approximately 12.5% since the beginning of the year, while the S&P 500 has gained 16.1% [3] - The Zacks Industry Rank places the Internet - Software sector in the top 26% of over 250 Zacks industries, indicating a favorable market position [8] Future Outlook - The sustainability of UiPath's stock price movement will largely depend on management's commentary during the earnings call and future earnings expectations [3][4] - The estimate revisions trend for UiPath was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, suggesting it is expected to perform in line with the market [6]

Financial Data and Key Metrics Changes - The company reported a third quarter ARR of $1.782 billion, an increase of 11% year-over-year, driven by $59 million in net new ARR [6][24] - Revenue for the quarter was $411 million, reflecting a 16% increase year-over-year [6][23] - The company achieved its first GAAP profitable third quarter with GAAP operating income of $13 million, compared to a GAAP operating loss of $43 million in the prior year [7][26] - Non-GAAP operating income reached $88 million, representing a 21% margin, up more than 700 basis points year-over-year [7][27] - Dollar-based net retention rate was 107%, indicating strong customer engagement and retention [25][72] Business Line Data and Key Metrics Changes - The company highlighted significant customer engagement with over 950 companies developing agents and more than 365,000 processes orchestrated with Maestro [8][24] - The introduction of agentic capabilities in various products, such as intelligent extraction and processing, has enhanced customer automation efforts [10][11] - The company reported strong performance in the federal sector, with no major impact from the government shutdown, indicating resilience in critical operations [35][46] Market Data and Key Metrics Changes - The company ended the quarter with approximately 10,860 customers, with an increase in customers generating $100,000 or more in ARR to 2,506 [24] - Remaining performance obligations increased to $1.265 billion, up 12% year-over-year, indicating a healthy future revenue stream [25] - The company is expanding its cloud footprint in key markets, including Switzerland and the UAE, to meet regional data residency and governance requirements [15][16] Company Strategy and Development Direction - The company is focused on enhancing its automation strategy by integrating deterministic automation with agentic AI to deliver trusted enterprise-grade automation [5][6] - The company is actively pursuing vertical solutions in industries such as healthcare and financial services, aiming to accelerate outcomes and ROI for customers [16][84] - Collaborations with technology leaders like Microsoft, OpenAI, and NVIDIA are aimed at enhancing the capabilities of the platform and driving customer value [17][52] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's execution and innovation pace, positioning it well for future growth [20][21] - The company anticipates continued improvement in net new ARR growth, supported by enhanced execution and customer engagement [38][66] - Management acknowledged that while early traction with agentic capabilities is promising, significant contributions to top-line growth are not expected in fiscal 2026 [28][28] Other Important Information - The company was recognized as a leader in the Gartner Magic Quadrant for intelligent document processing and AI augmenting software testing tools, highlighting its competitive positioning [11][12][13] - The company is committed to maintaining operational efficiency while investing in key areas such as engineering and sales capacity to support growth [59][60] Q&A Session Summary Question: Can you provide insights on the traction of agentic solutions? - Management noted strong momentum across agentic offerings, with consistent buying patterns emerging from proof of concepts to production [32][34] Question: Was there any impact from the government shutdown on federal business? - Management confirmed no direct impact from the shutdown, as many projects are funded through bills and are considered critical operations [35][46] Question: What are the drivers for the expected growth in net new ARR? - Management attributed the growth to improved execution, customer activity, and a stable macroeconomic environment [38][66] Question: Can you elaborate on the OpenAI collaboration? - Management highlighted the use of GPT-5 across the platform, particularly in the Screenplay product, which combines UI automation with LLM capabilities [47][48] Question: How is the partnership with Deloitte impacting the pipeline? - Management indicated that the quality of the pipeline has improved significantly due to deeper engagement with partners like Deloitte [56] Question: What are the expectations for the federal sector moving forward? - Management expressed optimism about the federal sector's performance, noting a return to a new normal with solid deals [46][68] Question: How is the company addressing spend predictability for agentic consumption? - Management is evaluating customer adoption patterns and aims to develop flexible pricing models that reflect AI consumption [90][91]

UiPath (NYSE:PATH) Q3 2026 Earnings Call December 03, 2025 05:00 PM ET Company ParticipantsAllise Furlani - VP of Investor RelationsDaniel Dines - CEOArsenije Matovic - VP of Equity ResearchAshim Gupta - Chief Operating and Financial OfficerAustin Williams - VP of Software Equity ResearchKingsley Crane - Software Managing Director of Equity ResearchDominique Manansala - Equity Research AssociateMike Richards - Equity Research Senior AssociateBryan Bergin - Managing Director of Equity ResearchConference Call ...

Financial Data and Key Metrics Changes - The company reported third quarter ARR of $1.782 billion, an increase of 11%, driven by $59 million in net new ARR [4][22] - Revenue for the quarter was $411 million, reflecting a 16% year-over-year increase [5][21] - The company achieved its first GAAP profitable third quarter with GAAP operating income of $13 million, compared to a GAAP operating loss of $43 million in the prior year [24] - Non-GAAP operating income reached $88 million, representing a 21% margin, up more than 700 basis points year-over-year [24] Business Line Data and Key Metrics Changes - The company highlighted strong customer engagement with over 950 companies developing agents and more than 365,000 processes orchestrated with Maestro [6][22] - The introduction of agentic capabilities in the intelligent extraction and processing (IXP) product is expected to enhance automation in document-heavy processes [9][10] Market Data and Key Metrics Changes - The company ended the quarter with approximately 10,860 customers, with significant growth in customers generating $100,000 or more in ARR, increasing to 2,506 [22] - Dollar-based gross retention remained at 98%, while the dollar-based net retention rate was 107%, indicating strong customer loyalty [23] Company Strategy and Development Direction - The company is focused on enhancing its automation strategy by integrating deterministic automation with agentic AI, aiming to provide trusted enterprise-grade automation [4][5] - The company is expanding its cloud footprint in key markets and developing vertical solutions to address industry-specific challenges [14][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to drive future growth and operational efficiency, despite a variable macroeconomic environment [24][25] - The company is raising guidance for the fourth fiscal quarter, expecting revenue in the range of $462 million to $467 million [25][26] Other Important Information - The company was recognized as a leader in the Gartner Magic Quadrant for intelligent document processing and AI augmenting software testing tools, highlighting its capabilities in these areas [10][11] - The company is actively collaborating with technology partners like OpenAI and Microsoft to enhance its automation offerings [16][17] Q&A Session Summary Question: Regarding agentic solution traction - Management noted that over 950 clients are developing agents, indicating strong momentum across the agentic offering [27][28] Question: Impact of the federal shutdown - Management confirmed no direct impact from the federal shutdown, as many projects are funded through bills and considered critical operations [29] Question: Drivers of net new ARR growth - Management attributed the expected growth to improved execution, customer activity, and a stable macroeconomic environment [30][44] Question: OpenAI collaboration details - Management highlighted the use of GPT-5 across the platform, particularly in the Screenplay product, which combines UI automation with LLM adaptability [34] Question: Incremental pipeline from partnerships - Management emphasized the quality of partnerships, particularly with Deloitte, which has led to deeper engagement in larger-scale transformation processes [38] Question: Agentic consumption pricing predictability - Management acknowledged the industry's dynamic nature and is working on flexible pricing models to help customers forecast usage patterns more reliably [56]

This automation company just reported financial results. Was the company's recent performance that good?After climbing 3.9% during regular trading hours, UiPath (PATH +4.20%) stock is ripping higher in after-hours trading. Investors are bidding shares of the robotics processing automation company higher as a result of its reporting strong third-quarter 2026 financial results this afternoon after the bell rang.As of 5:22 p.m. ET, shares of UiPath are up 9.3% from their closing price of $14.86 at 4:00 p.m. A ...

Financial Performance - UiPath's revenue for the three months ended October 31, 2025, reached $411 million, representing an 16% year-over-year growth rate[11, 14] - The Annualized Renewal Run-rate (ARR) as of October 31, 2025, was $1782 billion, reflecting an 11% year-over-year growth rate[12, 14] - Non-GAAP operating income for the same period was $88 million, resulting in a Non-GAAP operating margin of 21%[13, 14] - UiPath has 2506 customers with >= $100k ARR and 333 customers with >= $1 million ARR as of 3Q 2026[60] - UiPath's dollar-based net retention rate was 107%[57] Financial Metrics (GAAP) - GAAP revenue was $4111 million in 3Q 2026, compared to $3547 million in 3Q 2025[62] - GAAP gross margin was 83% in 3Q 2026, compared to 82% in 3Q 2025[62] - GAAP operating income was $131 million in 3Q 2026, compared to a loss of $(434) million in 3Q 2025[62] Financial Metrics (Non-GAAP) - Non-GAAP gross margin was 85% in both 3Q 2026 and 3Q 2025[64] - Non-GAAP operating income increased to $878 million in 3Q 2026 from $497 million in 3Q 2025[64] - Non-GAAP adjusted free cash flow was $279 million in 3Q 2026, compared to $331 million in 3Q 2025[64] Guidance - UiPath projects revenue between $462 million and $467 million for 4Q 2026[65] - The company anticipates ARR to be between $1844 billion and $1849 billion for 4Q 2026[65] - Non-GAAP operating income is expected to be approximately $140 million for 4Q 2026[65]

Core Insights - UiPath Inc. reported strong third quarter earnings, surpassing both revenue and earnings expectations, leading to a significant stock price increase [1][2]. Financial Performance - Adjusted earnings for the quarter were 16 cents per share, exceeding the Street estimate of 15 cents [2]. - Quarterly revenue reached $411.11 million, beating the consensus estimate of $392.97 million and showing a year-over-year increase from $354.65 million [2]. - Annual Recurring Revenue (ARR) stood at $1.782 billion, reflecting an 11% year-over-year growth [4][5]. - The company achieved a net new ARR of $59 million and a dollar-based net retention rate of 107% [5]. Profitability Metrics - Non-GAAP gross margin was reported at 85% [5]. - Non-GAAP operating income for the quarter was $88 million [5]. - Non-GAAP adjusted free cash flow amounted to $28 million [5]. Future Outlook - For the fourth quarter, UiPath anticipates revenue in the range of $462 million to $467 million, slightly above the analyst estimate of $462.91 million [4].

UiPath (PATH) shares surged more than 10% in extended trading on Wednesday after the software company reported third-quarter results and guidance that topped Wall Street's forecast. For the period ending Oct. 31, UiPath said it earned an adjusted $0.16 per share as revenue rose ...