🔹 Adj EPS: $4.04 (Est: $3.83) 🟢
🔹 Total Revenue: $3.09B (Est: $3.08B) 🟢; UP +18.5% YoY
🔹 Subscription Revenue: $3.01B (Est: $3.00B) 🟢; UP +19% YoY
🔹 Adjusted Gross Profit: $2.54B (Est: $2.53B) 🟢
🔹 Adjusted Gross Margin: 82% (Est: 81.8%) 🟢; DOWN from 83% YoY
🔹 Adjusted Subscription Gross Margin: 84.5% (Est: 83.9%) 🟢; DOWN from 86% YoY
🔹 Adj. Free Cash Flow: $1.48B (Est: $1.32B) 🟢; UP +21% YoY
Remaining Performance Obligations (RPO)
🔹 Total RPO: $22.1B; UP +25% YoY
🔹 Current RPO (cRPO): $10.31B (Est: $10.1B) 🟢; UP +22% YoY
Guidance – Q2 2025
🔹 Subscription Revenue: $3.03B–$3.04B (Est: $3.02B) 🟢
🔹 cRPO Growth: +19.5% YoY
🔹 Operating Margin (GAAP): 27%
Guidance – Full Year 2025
🔹 Subscription Revenue: $12.64B–$12.68B (Est: $12.66B) 🟡
🔹 Subscription Gross Margin: 83.5% (Est: 83.6%) 🟡
🔹 Operating Margin: 30.5%
🔹 Free Cash Flow Margin: 32%
Operational Highlights
🔹 Professional Services Revenue: $83M (Est: $86.5M) 🔴; UP +3.8% YoY
🔹 Professional Services Gross Margin: 4% (Est: 11.1%) 🔴; DOWN from 16% YoY
🔹 Crossed 500 customers with >$5M ACV
🔹 72 net new $1M+ ACV deals in Q1
Strategic & AI Highlights
🔸 Introduced agentic AI capabilities with new platform updates (Yokohama release)
🔸 Announced AI-powered telecom agents built on NVIDIA for CSP automation
🔸 Rolled out Government Transformation Suite to support U.S. public sector transparency and ROI
🔸 Public Sector revenue grew +30% YoY
M&A and Partnerships
🔸 Announced acquisitions of Moveworks (AI assistant) and Logik:ai (AI CPQ solution)
🔸 Expanded partnerships with NVIDIA, Vodafone, Aptiv, Devoteam, Google Cloud, and DXC Technology to power AI deployments across industries
