C3 AI reported fiscal first-quarter 2027 revenue of $52.4 million, with subscription revenue of $49.2 million representing 94% of total revenue.
Bookings increased 73% sequentially, while the company’s non-GAAP operating loss improved 33% quarter over quarter to $36.2 million. C3 AI generated positive operating cash flow and free cash flow of $2.1 million and ended the quarter with $651.1 million in cash, cash equivalents and marketable securities, up $76 million sequentially.
GAAP gross margin was 32% and non-GAAP gross margin was 50%. GAAP net loss per share was $0.60 and non-GAAP net loss per share was $0.20.
C3 AI closed 22 agreements during the quarter with organizations including Ford Motor Company, Johnson & Johnson, Heidelberg Materials, Holcim, Seaspan and several U.S. government agencies.
For the second quarter, C3 AI expects revenue of $51 million to $55 million. Full-year fiscal 2027 revenue is expected to range from $210 million to $240 million, with a non-GAAP operating loss of $123 million to $155 million.
KEY QUOTE:
“Revenue was $52.4 million, on plan. Free cash flow was positive $2.1 million. Non-GAAP operating loss was $36.2 million, a 33% improvement QoQ. Bookings increased 73% QoQ. Cash balance was $651.1 million, up $76 million QoQ. The Company has done exactly what a disciplined, focused turnaround should do. We restructured Sales. We aligned cash outflows with cash inflows. We instituted rigorous expense control. We installed experienced leadership across the board, and we implemented rigorous management discipline across every line of business. Revenue has stabilized, free cash flow is positive, operating loss has narrowed, and Forrester Research named C3 AI a leader in Enterprise AI. The plan is working, we are on track with laser-like management discipline to grow revenue, generate cash, attain non-GAAP profitability, maintain technology leadership, and increase customer satisfaction.”
Thomas M. Siebel, Chairman and Chief Executive Officer of C3 AI
