Yext reported second-quarter fiscal 2027 revenue of $111.1 million, with annual recurring revenue of $440.8 million.
GAAP net income was $13.1 million, or $0.13 per diluted share, while non-GAAP net income reached $21.2 million, or $0.21 per diluted share.
Adjusted EBITDA increased to a record $34 million, representing a 30.6% adjusted EBITDA margin, compared with $26.4 million and a 23.3% margin a year earlier.
ARR from customers generating at least $50,000 increased to $405.9 million, up 2% year over year, while total ARR declined approximately 1% because of contraction among smaller customers.
Dollar-based net retention for customers with ARR of $50,000 or more improved to 98% from 96% a year earlier.
During the quarter, Yext completed its acquisition of GoShine, expanding into brand-level visibility optimization for AI search.
The company also released a working prototype of Corvo AI, a conversational platform designed to bring Yext’s marketing agents to small business owners.
Yext generated $45.4 million of operating cash flow during the first six months and spent approximately $150.9 million repurchasing common stock.
KEY QUOTE:
“Growth in our enterprise ARR customer cohort accelerated again in the second quarter, driven by improvements in both retention and expansion for that cohort, and we are seeing signs that we expect that momentum carry into the third quarter. The future of discovery is agentic, and that is a tailwind for Yext. AI answers reward brand information that is accurate, consistent, and trusted wherever it appears. Understanding that is the easy part. Acting on it across the internet in near real-time is the hard part, and the platform we have developed over the past fifteen years is what lets our customers and their agents do exactly that. As we build more AI into our own platform, and expand our API and MCP offering, we are making it easier for customers to see and experience the power of our full suite of solutions. Importantly, as we advance our innovation agenda we are simultaneously achieving record Adjusted EBITDA and delivering significant capital returns to shareholders. We believe the opportunity for Yext has never been greater.”
Michael Walrath, Chairman and Chief Executive Officer of Yext
