CVLT · Commvault Systems, Inc.

Commvault delivered solid fourth quarter fiscal 2026 results anchored by accelerating subscription adoption: SaaS revenue surged 43% YoY to $93 million, while term-based license revenue grew 6% YoY to $114 million, reflecting sustained enterprise demand for its cloud-native platform. Total revenue rose 13% YoY to $312 million, though growth moderated from prior quarters — consistent with management’s emphasis on quality over velocity in the transition to SaaS. Gross margin remained robust at 81.4% GAAP, supporting improved operating leverage: Non-GAAP EBIT expanded to $66 million (21.3% margin), up from $52 million a year ago, even as GAAP operating income declined to $17 million due to higher restructuring and R&D investments. The company highlighted strategic progress — including integrations with Microsoft Security and CrowdStrike, a NetApp alliance, and the Satori acquisition — all reinforcing its unified resilience positioning amid rising AI-driven data and cyber risk. Guidance for fiscal 2027 signals deliberate scaling: subscription revenue outlook ($1.115–$1.125B) implies ~15% YoY growth, down from 30% in FY2026, while Subscription ARR guidance ($1.200–$1.210B) suggests ~21% YoY growth, moderating from 27%. Free cash flow guidance ($250–$260M) remains strong, and the $250M reauthorized buyback underscores continued capital discipline. Management’s commentary emphasizes profitable growth through expanding customer relationships and AI-enabling capabilities — positioning Commvault not just as a backup vendor but as a core cyber resilience infrastructure provider.