0001193125-26-209631
SEC filingRevenue grew 17% YoY driven by customer expansion, while operating losses narrowed as a percentage of revenue.
For the three months ended March 31, 2026, Amplitude reported total revenue of $93.5 million, a 17% increase compared to $80.0 million in the same period last year. The growth was primarily driven by expansion within the existing customer base, reflected in a dollar-based net retention rate (TTM) of 105%, and an increase in the number of paying customers. Gross profit rose 14% to $68.3 million, but gross margin contracted to 73% from 75% in the prior year. The decline was attributed to a 25% increase in cost of revenue, driven by higher third-party hosting costs ($2.2 million), personnel-related expenses ($2.1 million), and amortization of capitalized software ($0.7 million).
Operating expenses increased 10% to $92.4 million. Research and development expenses grew 8% to $25.3 million, driven by higher personnel costs, partially offset by lower stock-based compensation. Sales and marketing expenses rose 15% to $50.8 million, reflecting increased investment in headcount and sales events. General and administrative expenses were flat at $16.3 million. As a result, loss from operations remained essentially flat at $24.1 million, but operating margin improved to -26% from -30% in the prior year, indicating operating leverage. Net loss was $23.3 million, compared to $22.2 million in the prior year, with the increase driven by lower other income and higher income tax provisions.
The MD&A does not provide a formal segment-level breakdown of revenue or operating income. However, the company highlights strong performance in its enterprise customer segment, with the number of paying customers generating over $100,000 in annual recurring revenue (ARR) growing 18% year-over-year to 727. Total ARR reached $374 million, up 17% from $320 million. The dollar-based net retention rate (ending) improved to 106% from 101% in the prior year, indicating that existing customers are expanding their spend at an accelerating rate. International revenue accounted for 39% of total revenue, underscoring the company's global footprint.
Management's outlook is embedded in the discussion of key business metrics and strategic priorities. The company expects to continue investing in product innovation, sales capacity, and international expansion, which will likely keep operating expenses elevated in dollar terms. However, management anticipates that operating expenses as a percentage of revenue will decrease over the longer term. A significant new contractual commitment with Amazon Web Services (AWS) for $326.3 million through March 2031 signals confidence in future growth and infrastructure needs. The strong growth in remaining performance obligations (RPO), up 31% to $427.4 million, provides a solid foundation for future revenue recognition. No specific quantitative guidance for future periods was provided in the MD&A section.
Amplitude ended Q1 2026 with $86.6M in cash and cash equivalents, $126.9M in marketable securities (all U.S. government and agency securities classified as available-for-sale), and no debt. Restricted cash totaled $0.9M. Shareholders' equity stood at $217.3M, down from $245.3M at year-end 2025 due to stock repurchases and net loss. The company maintains a strong liquidity position with total cash, equivalents, and marketable securities of $213.5M.
Total contractual obligations primarily consist of operating lease commitments of $11.1M as of March 31, 2026, with $2.6M payable within 12 months. There are no material purchase commitments or debt obligations. Remaining performance obligations (RPO) totaled $427.4M, of which $279.7M is expected to be recognized within 12 months, indicating robust future revenue visibility.
Amplitude's Board approved a $100M increase to the share repurchase program on February 18, 2026, bringing total authorization to $150M. During Q1, the company repurchased 2.8M shares for $20.7M, leaving $105.3M available. No dividends were paid. Capital expenditures (including capitalized software) were $1.6M, or 1.7% of revenue. No debt was issued or repaid. The company also completed a small acquisition of InfiniGrow for $0.2M cash, with additional earnout consideration.
Amplitude operates as a single reportable segment. Revenue is disaggregated geographically: United States $56.7M (61%) and international $36.8M (39%). International revenue grew 17.5% YoY, slightly outpacing U.S. growth of 16.6%. The CEO evaluates performance using functional expenses excluding stock-based compensation, amortization, and related tax impacts, which are presented in the segment footnote.
No cash flow statement data was included in the provided excerpt. The document contains only narrative sections (accounting policies, revenue recognition, deferred revenue, and balance sheet notes). Therefore, analysis of operating cash flow, investing activities, financing activities, capital expenditures, and free cash flow is not possible. The period is Q1 FY2026 (three months ended March 31, 2026). To complete the analysis, the actual cash flow statement table is required.