BRZE · Braze, Inc.

Braze delivered a strong fiscal first quarter, with revenue accelerating 30% year-over-year to $211.0 million, driven by new customers, upsells, and renewals. The company highlighted its fourth consecutive quarter of organic revenue acceleration, supported by AI-powered products like BrazeAI Operator and Agent Console. GAAP gross margin declined to 65.7% from 68.6%, while non-GAAP gross margin was 67.4% vs. 69.3%, primarily due to investments in infrastructure. Operating leverage improved significantly: GAAP operating loss narrowed to $27.5 million from $40.2 million, and non-GAAP operating income rose to $10.5 million from $2.8 million. Net cash provided by operations was $28.1 million, and free cash flow reached $26.8 million, up from $22.9 million a year ago. Remaining performance obligations grew to $1.08 billion, with current RPO of $670.3 million. Customer count increased 16% to 2,713, and dollar-based net retention for all customers improved to 110%. The company also appointed Pankaj Malik, who has served as CAO since June 2021, as Interim CFO effective May 29, 2026, with a base salary of $409,013 and target bonus of $205,000. Management's guidance for Q2 and full fiscal year 2027 implies continued growth and margin expansion, with Q2 revenue expected between $219.5-$220.5 million and non-GAAP operating income of $17-$18 million. For the full year, revenue is projected at $895-$899 million with non-GAAP operating income of $70-$74 million.