Business
Braze Reports Fiscal Year and Fourth Quarter 2025 Results
Delivers 26% revenue growth and strong operating leverage in fiscal 2025 Introduces first quarter and full year fiscal 2026 guidance Furthers agentic AI
About this update from Braze, Inc.
[{"type":"text","content":"\nDelivers 26% revenue growth and strong operating leverage in fiscal 2025\n\nIntroduces first quarter and full year fiscal 2026 guidance\n\nFurthers agentic AI innovation with agreement to acquire OfferFit, a modern AI decisioning company\n\n NEW YORK--(BUSINESS WIRE)--\nBraze (Nasdaq: BRZE) the leading customer engagement platform that empowers brands to Be Absolutely Engaging™, today announced results for its fiscal year ended January 31, 2025.\n\n\"Fiscal 2025 was a milestone year for Braze that reinforced our position as the leading Customer Engagement platform through robust customer growth and continued advancements in our product, including meaningful new investments in AI and machine learning. We grew revenue 26% while continuing to drive strong operating leverage, ending the year with three straight quarters of non-GAAP net income profitability,” said Bill Magnuson, Cofounder and CEO of Braze. “And today, we are also pleased to announce our intent to acquire OfferFit, a sophisticated AI decisioning company focused on deploying reinforcement learning that recommends individualized cross-channel customer journeys at scale. We look forward to bringing our complementary products and teams together to drive the evolution of Customer Engagement.”\n\nFiscal Fourth Quarter 2025 Financial Highlights\n\n\nRevenue was $160.4 million compared to $131.0 million in the fourth quarter of the fiscal year ended January 31, 2024, up 22.5% year-over year, driven primarily by new customers, upsells, and renewals.\n\n\n\nSubscription revenue in the quarter was $153.9 million compared to $125.9 million in the fourth quarter of the fiscal year ended January 31, 2024, and professional services and other revenue was $6.5 million compared to $5.1 million in the fourth quarter of the fiscal year ended January 31, 2024.\n\n\n\nRemaining performance obligations as of January 31, 2025 was $793.1 million, of which $505.2 million is current, which the company defines as less than one year.\n\n\n\nGAAP gross margin was 69.3% compared to 67.2% in the fourth quarter of the fiscal year ended January 31, 2024.\n\n\n\nNon-GAAP gross margin was 69.9% compared to 67.9% in the fourth quarter of the fiscal year ended January 31, 2024.\n\n\n\nDollar-based net retention for all customers for the trailing 12 months ended January 31, 2025 and January 31, 2024 was ...