Kinaxis Inc. Reports Record First Quarter 2026 Results

About this update from Kinaxis, Inc.

.bwalignc { text-align: center; list-style-position: inside } .bwalignl { text-align: left } .bwalignr { text-align: right; list-style-position: inside } .bwblockalignl { margin-left: 0px; margin-right: auto } .bwcellpmargin { margin-bottom: 0px; margin-top: 0px } .bwdoublebottom { border-bottom: double black 2.25pt } .bwleftsingle { border-left: solid black 1pt } .bwlistdisc { list-style-type: disc } .bwpadb3 { padding-bottom: 4px } .bwpadb4 { padding-bottom: 5px } .bwpadl0 { padding-left: 0px } .bwpadl1 { padding-left: 5px } .bwpadl2 { padding-left: 10px } .bwpadl6 { padding-left: 30px } .bwpadr0 { padding-right: 0px } .bwsinglebottom { border-bottom: solid black 1pt } .bwtablemarginb { margin-bottom: 10px } .bwvertalignb { vertical-align: bottom } .bwvertalignt { vertical-align: top } .bwwidth1 { width: 1% } .bwwidth100 { width: 100% } .bwwidth14 { width: 14% } .bwwidth15 { width: 15% } .bwwidth16 { width: 16% } .bwwidth19 { width: 19% } .bwwidth2 { width: 2% } .bwwidth24 { width: 24% } .bwwidth25 { width: 25% } .bwwidth34 { width: 34% } .bwwidth4 { width: 4% } .bwwidth5 { width: 5% } .bwwidth50 { width: 50% } .bwwidth52 { width: 52% } .bwwidth6 { width: 6% } .bwwidth65 { width: 65% } .bwwidth67 { width: 67% } Q1 SaaS revenue grows 21% versus 16% a year ago Record new business for a Q1 drives ARR 2 growth of 20% versus 14% a year ago Delivered record Q1 profit and adjusted EBITDA 1 , adjusted EBITDA margin 1 up to 32% Kinaxis ® (TSX:KXS), a global leader in end-to-end supply chain planning and orchestration, reported record results for its first quarter ended March 31, 2026. All amounts are in U.S. dollars. All figures are prepared in accordance with IFRS Accounting Standards (IFRS) unless otherwise indicated. “We continue to have tremendous success winning the largest new customer opportunities and expanding with existing customers, which together is driving record levels of bookings and ARR growth. We were thrilled with continued traction in scaling up our business through market leading innovations and further customer success earned alongside our partner ecosystem,” said Razat Gaurav, chief executive officer at Kinaxis . “We’re seeing good early-stage demand for our Maestro Agents, with new paying customers in Q1. At the same time, we experienced strong demand for our market leading, end-to-end AI-driven demand and supply planning capabilities, which use a combination of advanced optimization, heuristics and machine learning models. Agentic and Generative AI are tremendous complements to deep mathematical techniques, and when leveraging the latest data architectures, all these technologies combined will be critical to helping organizations manage their supply chains amidst the unprecedented levels of volatility in demand and supply.” Q1 2026 Highlights $ USD thousands, except as otherwise indicated Q1 2026 Q1 2025 Change Total Revenue 165,568 132,788 25% SaaS 102,885 84,882 21% Subscription term licenses 19,052 9,027 111% Professional services 38,720 33,340 16% Maintenance and support 4,911 5,539 (11)% Gross profit 114,016 86,539 32% Margin 69% 65% Profit 29,420 15,913 85% Per diluted share $1.04 $0.55 Adjusted EBITDA 1 53,603 33,143 62% Margin 32% 25% Cash flows from operating activities 59,082 31,647 87% (1) “Adjusted EBITDA” is a non-IFRS measure that is not a recognized, defined or standardized measure under IFRS. This measure as well as any other non-IFRS financial measures reported by Kinaxis are defined in the “Non-IFRS Measures” section of this news release. Key Performance Indicators The company’s Annual Recurring Revenue 2 (ARR), which includes subscription amounts related to both SaaS and on-premise contracts, rose 20% to $447 million at the end of the quarter. $USD millions Q1 2026 Q1 2025 Change Annual recurring revenue 2 447 372 20% (2) Annual Recurring Revenue (ARR) is the total annualized value of recurring subscription amounts (ultimately recognized as SaaS, Subscription term licenses and Maintenance and support revenue) of all subscription contracts at a point in time. Annualized subscription amounts are determined solely by reference to the underlying contracts, normalizing for the varying revenue recognition treatments under IFRS 15 for cloud-based versus on-premise subscription amounts. It excludes one-time fees, such as for non-recurring professional services, and assumes that customers will renew the contractual commitments on a periodic basis as those commitments come up for renewal, unless such renewal is known to be unlikely. We believe that this measure provides a more current indication of our performance in the growth of our subscription business than other metrics. The nature of the company’s long-term contracts provides visibility into future, contracted revenue. The following table presents revenue expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) at March 31, 2026. $USD millions 2026 2027 2028 and later Total SaaS 295.7 306.2 303.5 905.4 Maintenance and support 11.4 13.8 12.3 37.5 Subscription term licenses 2.2 3.3 0.3 5.8 Total 309.3 323.3 316.1 948.7 Financial Guidance Kinaxis is reiterating its fiscal 2026 financial guidance, as follows. FY 2026 Guidance Total revenue $620-635 million SaaS revenue growth 17-19% growth Adjusted EBITDA 1 margin 25-26% “I couldn’t be more excited than to complete my time at Kinaxis with such a stellar quarter. Despite our outperformance, we are maintaining all aspects of annual guidance, which we provided only 60 days ago. It is early in the year and we will gather more information and review assumptions next quarter. In any case, Kinaxis exits the first quarter with even more confidence in our 2026 targets,” said Blaine Fitzgerald, chief financial officer at Kinaxis. Guidance in this press release is provided to enhance visibility into Kinaxis’ expectations for financial targets for the periods indicated. Please refer to the section regarding forward-looking statements that forms an integral part of this release. This press release along with the financial statements and MD&A for the quarter ended March 31, 2026 are available on Kinaxis’ website and on SEDAR+ at www.sedarplus.ca . Conference Call Kinaxis will host a conference call tomorrow, May 7, 2026, to discuss these results. Razat Gaurav, chief executive officer, and Blaine Fitzgerald, chief financial officer, will host the call starting at 8:30 a.m. Eastern Time. A question and answer session will follow management's presentation. DATE: Thursday, May 7, 2026 TIME: 8:30 a.m. Eastern Time WEBCAST https://events.q4inc.com/attendee/986528748 (available for three months) About Kinaxis Inc. Kinaxis is a global leader in modern supply chain planning and orchestration, powering complex global supply chains and supporting the people who manage them. Our powerful, AI-infused supply chain orchestration platform, Maestro™, combines proprietary technologies and techniques that provide full transparency and agility across the entire supply chain – from multi-year strategic planning to last-mile delivery. We are trusted by renowned global brands to provide the agility and predictability needed to navigate today’s volatility and disruption. For more news and information, please visit kinaxis.com or follow us on LinkedIn . Non-IFRS Measures This press release makes reference to Adjusted Profit and Adjusted EBITDA, which are non-IFRS financial measures, as well as Adjusted EBITDA margin which expresses Adjusted EBITDA as a percentage of revenue. Adjusted Profit, Adjusted EBITDA and Adjusted EBITDA margin are not recognized, defined or standardized measures under IFRS. We use these measures to provide investors with supplemental information on our operating performance and to highlight trends in our core business that may not otherwise be apparent when relying solely on IFRS financial measures. We believe that securities analysts, investors and other interested parties frequently use non-IFRS measures in the evaluation of issuers. Providing these non-IFRS measures provides useful information because they portray the financial results of the Company before certain expenses that do not impact the ongoing operating decisions taken by management. Management also uses non-IFRS measures in order to facilitate operating performance comparisons from period to period, prepare annual operating budgets and assess our ability to meet our capital expenditure and working capital requirements, and to determine components of employee compensation. Adjusted Profit represents profit adjusted to exclude our equity compensation plans. Adjusted EBITDA represents profit adjusted to exclude our equity compensation plans, income tax expense, depreciation and amortization, foreign exchange loss (gain) and net finance (income) expense. Adjusted EBITDA margin expresses Adjusted EBITDA as a percentage of revenue. Our definitions of Adjusted Profit, Adjusted EBITDA and Adjusted EBITDA margin will likely differ from those used by other companies (including our peers) and therefore comparability may be limited. Non-IFRS measures should not be considered a substitute for or in isolation from measures prepared in accordance with IFRS. Investors are encouraged to review our financial statements and disclosures in their entirety and are cautioned not to put undue reliance on non-IFRS measures and view them in conjunction with the most comparable IFRS financial measures. Kinaxis has reconciled Adjusted Profit and Adjusted EBITDA to the most comparable IFRS financial measure as follows: Three months ended March 31, 2026 2025 (In thousands of USD) Profit 29,420 15,913 Share-based compensation 8,620 9,347 Adjusted profit 38,040 25,260 Income tax expense 13,915 5,740 Depreciation and amortization 4,676 5,423 Foreign exchange (gain) (494) (914) Net finance income (2,534) (2,366) 15,563 7,883 Adjusted EBITDA 53,603 33,143 Adjusted EBITDA as a percentage of revenue 32% 25% Forward-Looking Statements Certain statements in this release constitute forward-looking statements, future-oriented financial information and financial outlook within the meaning of applicable securities laws. Forward-looking statements, future-oriented financial information and financial outlook include statements as to our expectations for: growth of annual total revenue, annual SaaS revenue growth, and our expectations for Adjusted EBITDA margin achievement, in each case looking forward for our fiscal year ending December 31, 2026; SaaS growth and increased profitability in years beyond 2026; and contracted revenue in future periods, including 2026, 2027 and 2028 and later. This release also includes forward-looking statements as to Kinaxis’ growth opportunities and the potential benefits of, and markets and demand for, Kinaxis’ products and services. These statements are subject to certain assumptions, risks and uncertainties, including our view of the relative position of Kinaxis’ products and services compared to competitive offerings in the industry. In particular, our guidance for 2026 annual total revenue, annual SaaS revenue growth and annual Adjusted EBITDA margin, as well as our comments on our expectations for SaaS growth and increased profitability in years beyond 2026, are subject to certain assumptions and associated risks including: our ability to win business from new customers and expand business from existing customers; the timing of new customer wins and expansion decisions by our existing customers; maintaining our customer retention levels , and specifically, that customers will renew contractual commitments on a periodic basis as those commitments come up for renewal, at rates consistent with our historic experience; anticipated trends, standards and challenges in our business and the markets we operate in; fluctuations in the value of foreign currencies relative to the U.S. Dollar; and with respect to Adjusted EBITDA and profitability, our ability to contain expense levels while expanding our business. Our guidance and commentary for achievement of contracted revenue in future periods, including in 2026, 2027 and 2028 and later, is based on assumptions and associated risks including: our ability to satisfy material unperformed obligations under our long-term contracts; and the continued financial capacity and creditworthiness of our customers under long-term contracts. These and other assumptions, risks and uncertainties may cause Kinaxis’ actual results, performance, achievements and developments to differ materially from the results, performance, achievements or developments expressed or implied by forward-looking statements, future-oriented financial information or financial outlook. Material risks and uncertainties relating to our business are described under the headings “Forward-Looking Statements” and “Risks and Uncertainties” in our annual MD&A dated March 4, 2026, and under the heading “Risk Factors” in our Annual Information Form dated March 4, 2026, which are available at www.sedarplus.ca . Readers are cautioned that the assumptions used in the preparation of forward-looking statements, future-oriented financial information and financial outlook, although considered reasonable at the time of preparation, may prove to be imprecise or inaccurate and, as such, undue reliance should not be placed on such information. Our actual results, performance and achievements could differ materially from those expressed in, or implied by, such forward-looking statements, future-oriented financial information or financial outlook. Forward-looking statements, future-oriented financial information and financial outlook are provided to help readers understand management’s expectations as at the date of this release and may not be suitable for other purposes. Readers are cautioned not to place undue reliance on forward-looking statements. Kinaxis assumes no obligation to update or revise any forward-looking statements, future-oriented financial information or financial outlook whether as a result of new information, future events or otherwise, except as expressly required by law. SOURCE: Kinaxis Inc. Kinaxis Inc. Condensed Consolidated Interim Statements of Financial Position (Expressed in thousands of USD) March 31, 2026 December 31, 2025 Assets Current assets: Cash and cash equivalents $ 230,129 $ 149,614 Short-term investments 97,499 175,095 Trade and other receivables 167,465 165,781 Prepaid expenses 28,082 15,743 523,175 506,233 Non-current assets: Unbilled receivables 2,637 1,596 Other receivables 1,014 1,047 Prepaid expenses 3,181 1,558 Deferred tax assets 15,703 18,225 Contract acquisition costs 40,326 37,038 Property and equipment 27,048 28,526 Right-of-use assets 43,363 43,090 Intangible assets 9,760 10,804 Goodwill 75,810 76,597 218,842 218,481 $ 742,017 $ 724,714 Liabilities and Shareholders’ Equity Current liabilities: Trade payables and accrued liabilities $ 109,021 $ 90,040 Deferred revenue 189,585 161,060 Lease obligations 6,119 5,938 304,725 257,038 Non-current liabilities: Lease obligations 41,543 42,065 Deferred tax liabilities 3,557 4,042 45,100 46,107 Shareholders’ equity: Share capital 386,780 363,246 Accumulated other comprehensive loss (2,791 ) (223 ) Retained earnings 8,203 58,546 392,192 421,569 $ 742,017 $ 724,714 Kinaxis Inc. Condensed Consolidated Interim Statements of Comprehensive Income (Expressed in thousands of USD, except share and per share data) Three months ended March 31, 2026 2025 Revenue $ 165,568 $ 132,788 Cost of revenue 51,552 46,249 Gross profit 114,016 86,539 Operating expenses: Selling and marketing 29,563 28,689 Research and development 27,460 22,668 General and administrative 16,687 16,866 73,710 68,223 40,306 18,316 Other income: Foreign exchange gain 494 914 Net finance and other income 2,535 2,423 3,029 3,337 Profit before income taxes 43,335 21,653 Income tax expense 13,915 5,740 Profit 29,420 15,913 Other comprehensive income (loss): Items that are or may be reclassified subsequently to profit Foreign currency translation differences - foreign operations (2,147 ) 1,077 Change in valuation of cash flow hedges (421 ) 577 (2,568 ) 1,654 Total comprehensive income $ 26,852 $ 17,567 Basic earnings per share $ 1.06 $ 0.57 Weighted average number of basic Common Shares 27,717,242 28,094,465 Diluted earnings per share $ 1.04 $ 0.55 Weighted average number of diluted Common Shares 28,313,923 28,788,191 Kinaxis Inc. Condensed Consolidated Interim Statements of Changes in Shareholders’ Equity (Expressed in thousands of USD) Accumulated other comprehensive income (loss) Share capital Contributed surplus Cash flow hedges Currency translation adjustments Total Retained earnings Total equity Balance, December 31, 2024 $ 329,312 $ 12,078 $ (1,203 ) $ (2,644 ) $ (3,847 ) $ 57,968 $ 395,511 Profit — — — — — 15,913 15,913 Other comprehensive income — — 577 1,077 1,654 — 1,654 Total comprehensive income — — 577 1,077 1,654 15,913 17,567 Share options exercised 7,625 (1,805 ) — — — — 5,820 Restricted share units vested 12,828 (12,828 ) — — — — — Performance share units vested 3,262 (3,262 ) — — — — — Share-based payments — 8,527 — — — — 8,527 Shares repurchased (974 ) (2,710 ) — — — (12,957 ) (16,641 ) Total shareholder transactions 22,741 (12,078 ) — — — (12,957 ) (2,294 ) Balance, March 31, 2025 $ 352,053 $ — $ (626 ) $ (1,567 ) $ (2,193 ) $ 60,924 $ 410,784 Balance, December 31, 2025 363,246 — 136 (359 ) (223 ) 58,546 421,569 Profit — — — — — 29,420 29,420 Other comprehensive loss — — (421 ) (2,147 ) (2,568 ) — (2,568 ) Total comprehensive income (loss) — — (421 ) (2,147 ) (2,568 ) 29,420 26,852 Share options exercised 12,533 (3,075 ) — — — — 9,458 Restricted share units vested 21,906 (3,902 ) — — — (18,004 ) — Performance share units vested 7,934 — — — — (7,934 ) — Share-based payments — 6,977 — — — — 6,977 Shares repurchased (8,333 ) — — — — (53,825 ) (62,158 ) Change in obligation for share repurchases (10,506 ) — — — — — (10,506 ) Total shareholder transactions 23,534 — — — — (79,763 ) (56,229 ) Balance, March 31, 2026 $ 386,780 $ — $ (285 ) $ (2,506 ) $ (2,791 ) $ 8,203 $ 392,192 Kinaxis Inc. Condensed Consolidated Interim Statements of Cash Flows (Expressed in thousands of USD) Three months ended March 31, 2026 2025 Cash flows from operating activities Profit $ 29,420 $ 15,913 Items not affecting cash: Depreciation of property and equipment and right-of-use assets 3,837 4,619 Amortization of intangible assets 839 804 Share-based payments 8,620 9,347 Net finance income (2,534 ) (2,366 ) Income tax expense 13,915 5,740 Change in operating assets and liabilities 6,829 13,781 Interest received 2,565 2,903 Interest paid (422 ) (449 ) Income taxes paid (3,987 ) (18,645 ) 59,082 31,647 Cash flows from (used in) investing activities Purchase of property and equipment (990 ) (1,582 ) Purchase of short-term investments (25,700 ) (122,445 ) Redemption of short-term investments 103,577 77,564 76,887 (46,463 ) Cash flows used in financing activities Payment of lease obligations (1,500 ) (1,561 ) Repurchase of shares (61,592 ) (17,388 ) Proceeds from exercise of stock options 9,458 5,820 (53,634 ) (13,129 ) Increase (decrease) in cash and cash equivalents 82,335 (27,945 ) Cash and cash equivalents, beginning of period 149,614 172,192 Effects of exchange rates on cash and cash equivalents (1,820 ) (758 ) Cash and cash equivalents, end of period $ 230,129 $ 143,489 View source version on businesswire.com: https://www.businesswire.com/news/home/20260506915169/en/ Investor Relations Rick Wadsworth | Kinaxis [email protected] 613-907-7613 Media Relations Matt Tatham | Kinaxis [email protected] 917-446-7227

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