Financial Data and Key Metrics Changes - The company achieved record quarterly billings of $111.2 million, representing an 8% year-over-year growth, the strongest in three years, and exceeding billing guidance for the quarter [4][23] - Full fiscal year billings reached $318.7 million, marking a 3% increase over the prior year, the first full year of billings growth since fiscal 2023 [23] - Gross retention rate improved to over 88%, the highest level in 12 quarters, reflecting strong customer relationships and progress in moving to a consumption pricing model [23][24] - Operating margin for the quarter was a record high of 10%, contributing to the highest full-year operating margin in company history at over 6% [25] - Adjusted free cash flow for the full year was near breakeven, an improvement of over $12 million from the prior year, representing the best full-year cash flow result [25] Business Line Data and Key Metrics Changes - The cohort of customers on consumption contracts achieved a net revenue retention of 111% in Q4, highlighting the value derived from the consumption model [6][24] - The company ended fiscal 2026 with 84% of annual recurring revenue on consumption pricing, a significant achievement [24] Market Data and Key Metrics Changes - Current subscription RPO grew 1% year-over-year to $227 million, while total subscription RPO grew 8% to $437.9 million, underscoring the strength of customer relationships [25][26] - Total revenue was above the high end of guidance at $79.6 million, with a gross margin of 78.2%, an improvement of over two percentage points year-over-year [26] Company Strategy and Development Direction - The company is focused on leveraging its innovative cloud data platform to benefit from the rapid adoption of AI, positioning itself as a strategic data and AI platform for modern business challenges [7][10] - The introduction of App Catalyst, an AI-powered app builder, aims to enhance customer engagement and drive deeper adoption of the platform [9] - The company is committed to operational efficiency while investing in key growth areas such as AI innovation and ecosystem partnerships [28] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the ongoing adoption of the consumption model and the potential for improved retention rates as more customers engage with the platform [34][36] - The company expects GAAP revenue to remain relatively flat, with modest improvement in non-GAAP EPS and positive adjusted free cash flow for the upcoming fiscal year [28] Other Important Information - Domo received significant recognition from industry analysts, including multiple awards for technology innovation and being recognized as a leader in AI analytics [21] - The company is actively engaging with customers to explore AI-driven solutions, which are increasingly becoming a core part of their operations [10][31] Q&A Session Summary Question: Competitive Environment and Win Rates - Management noted that customers are increasingly focused on implementing AI solutions, which highlights the platform's capabilities and has improved relationships with ecosystem partners [30][32] Question: Future Retention Rates - Management is encouraged by the net retention rate among consumption customers and expects continued improvement as they deepen customer engagement [33][36] Question: Sales Cycle Dynamics - The sales cycles have been mixed, with some deals taking longer due to the complexity of global data strategies, while others are closing more quickly as relationships with ecosystem partners strengthen [47][50] Question: Customer Spending Mechanisms - The company has seen significant usage of partner marketplace funds to purchase Domo services, leading to longer contract renewals and upsells [54][58] Question: Consumption Customer Usage - Management indicated that net revenue retention for consumption customers is a strong indicator of increased usage, with ongoing efforts to enhance customer engagement and explore the platform [61][68]

Financial Data and Key Metrics Changes - The company achieved record quarterly billings of $111.2 million, representing an 8% year-over-year growth, the strongest in three years, and exceeding billing guidance for the quarter [4][23] - Full fiscal year billings reached $318.7 million, marking a 3% increase over the prior year, the first full year of billings growth since fiscal 2023 [23] - Gross retention rate improved to over 88%, the highest level in 12 quarters, reflecting strong customer relationships and progress in moving to a consumption pricing model [23][24] - Operating margin for the quarter was a record high of 10%, contributing to the highest full-year operating margin in company history at over 6% [25] - Adjusted free cash flow for the full year was near breakeven, an improvement of over $12 million from the prior year, representing the best full-year cash flow result [25] Business Line Data and Key Metrics Changes - The cohort of customers on consumption contracts achieved a net revenue retention of 111% in Q4, highlighting the value derived from the consumption model [6][24] - The company ended fiscal 2026 with 84% of annual recurring revenue on consumption pricing, a significant milestone [24] Market Data and Key Metrics Changes - Current subscription RPO grew 1% year-over-year to $227 million, while total subscription RPO grew 8% to $437.9 million, underscoring the strength of customer relationships [25][26] - Total revenue was above the high end of guidance at $79.6 million, with a gross margin of 78.2%, an improvement of over two percentage points year-over-year [26] Company Strategy and Development Direction - The company is focused on leveraging its innovative cloud data platform to benefit from the rapid adoption of AI, positioning itself as a strategic data and AI platform rather than just a BI tool [7][10] - The introduction of App Catalyst, an AI-powered app builder, is expected to drive increased consumption and deeper adoption of the platform [9] - The company aims to optimize spending while continuing to invest in key growth areas such as AI innovation and ecosystem partnerships [28] Management's Comments on Operating Environment and Future Outlook - Management noted that customers are increasingly interested in implementing AI solutions that are governed and secure, which highlights the company's platform capabilities [31] - The company expects GAAP revenue to remain relatively flat, with modest improvement in non-GAAP EPS and positive adjusted free cash flow for the upcoming fiscal year [28] Other Important Information - The company received significant recognition from industry analysts, including multiple awards for technology innovation and being recognized as a leader in AI analytics [21] - The upcoming Domopalooza user conference is highlighted as an opportunity for customers and partners to connect and explore innovations [21] Q&A Session Summary Question: Competitive Environment and Win Rates - Management noted that customers are increasingly discussing AI and agentic opportunities, which has positively impacted win rates against competitors [30][31] Question: Future Gross Retention and NRR - Management expressed optimism about the net retention rate for consumption customers, expecting upward trends as adoption increases [33][36] Question: Sales Cycle Dynamics - Management acknowledged that while some deals are taking longer due to involvement with C-suite executives, there are also quicker deals emerging, particularly with existing customers [47][50] Question: Use of Partner Marketplace Funds - Management confirmed that Q4 saw significant usage of partner marketplace funds to purchase Domo, leading to longer contract renewals and upsells [54][58] Question: Consumption Customer Usage - Management indicated that net revenue retention for consumption customers is a strong indicator of increased usage, with expectations for continued growth in this area [67][68]

Financial Data and Key Metrics Changes - The company achieved record quarterly billings of $111.2 million, representing an 8% year-over-year growth, the strongest in three years [4][22] - Full fiscal year billings reached $318.7 million, marking a 3% increase over the prior year, the first full year of billings growth since fiscal 2023 [22] - Gross retention rate improved to over 88%, the highest level in 12 quarters, reflecting strong customer relationships [22] - Operating margin for the quarter was a record high of 10%, contributing to the highest full-year operating margin in company history at over 6% [24] - Non-GAAP net income was $1.2 million, with non-GAAP diluted net income per share at $0.03 [25] Business Line Data and Key Metrics Changes - The transition to a consumption-based pricing model has resulted in 84% of annual recurring revenue (ARR) now on consumption pricing [23] - Net retention for customers on consumption contracts was 111% in Q4, significantly higher than seat-based customers [23] Market Data and Key Metrics Changes - The company noted a growing interest in AI solutions among customers, with AI discussions occurring in nearly 70% of calls with current and prospective customers [9] - The company has seen an increase in multi-year contracts and the longest average contract duration to date [24] Company Strategy and Development Direction - The company is focused on leveraging its AI-driven platform to enhance operational efficiency and customer engagement [26] - The strategy includes optimizing spending while investing in key growth areas such as AI innovation and ecosystem partnerships [26] - The company aims to position itself as a leader in the AI and data space, emphasizing the importance of a unified platform that integrates data, analytics, and action [20] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, highlighting the potential for increased consumption and deeper adoption of the platform [10][32] - The company expects GAAP revenue to remain relatively flat, with modest improvement in non-GAAP EPS and positive adjusted free cash flow [26] Other Important Information - The company received significant recognition from industry analysts, including multiple awards for technology innovation and leadership in AI analytics [20] - The upcoming Domopalooza user conference is expected to provide opportunities for customer engagement and showcasing innovations [20] Q&A Session Summary Question: Competitive Environment and Win Rates - Management noted that customers are increasingly focused on implementing AI solutions, which highlights the company's platform capabilities [29] Question: Future Gross Retention and NRR - Management expressed confidence in improving net retention rates as more customers adopt the consumption model and engage with technical resources [32][33] Question: Time to Value and Implementation Challenges - Management confirmed that the platform's ability to deliver quick implementation and value is a key differentiator in winning customers [39] Question: Sales Cycle Dynamics - Management acknowledged that while some deals take longer due to the complexity of global data strategies, others are closing more quickly, particularly with existing customers [44][46] Question: Use of Partner Marketplace Funds - Management reported a significant increase in customers using marketplace funds to purchase Domo, leading to longer contract renewals and upsells [55] Question: Consumption Customer Net Retention - Management indicated that the strong net retention rate for consumption customers reflects ongoing adoption efforts and the ability to explore the platform without large upfront commitments [58]