Braze Inc (BRZE)

Braze Delivers Fourth Straight Quarter of Organic Revenue Growth AccelerationMay 27, 2026 4:05 PM
Business Wire Realizes 30% reported and 27% organic year-over-year revenue growth in the fiscal first quarter of 2027 Trailing twelve month dollar-based net retention rises to 110% in the first quarter of 2027 Braze (Nasdaq: BRZE) the leading customer engagement platform that empowers brands to Be Absolutely Engaging™, today announced results for its fiscal quarter ended April 30, 2026. “We are off to a strong start in fiscal year 2027, delivering the fourth straight quarter of organic revenue acceleration, driven by strong demand for our AI-powered customer engagement platform,” said Bill Magnuson, cofounder and CEO of Braze. “The strong market momentum we experienced at the end of fiscal year 2026 carried directly into this quarter. Our AI solutions, including BrazeAI Operator™, BrazeAI Agent Console™, and BrazeAI Decisioning Studio™ are already delivering measurable results for customers. The world's leading brands are increasingly looking to transform their businesses through our platform as they deepen their direct-to-consumer relationships and build their futures on Braze. The strength of our results validates our product leadership, go-to-market approach, and financial strategy, positioning Braze to become the global standard for customer engagement.” Fiscal First Quarter 2027 Financial Highlights Revenue was $211.0 million compared to $162.1 million in the first quarter of the fiscal year ended January 31, 2026, up 30.2% year-over-year, driven primarily by new customers, upsells, and renewals. Subscription revenue in the quarter was $195.2 million compared to $154.9 million in the first quarter of the fiscal year ended January 31, 2026, and professional services and other revenue was $15.8 million compared to $7.2 million in the first quarter of the fiscal year ended January 31, 2026. Remaining performance obligations as of April 30, 2026 were $1,079.2 million, of which $670.3 million is current, which the company defines as less than one year. GAAP gross margin was 65.7% compared to 68.6% in the first quarter of the fiscal year ended January 31, 2026. Non-GAAP gross margin was 67.4% compared to 69.3% in the first quarter of the fiscal year ended January 31, 2026. Dollar-based net retention for all customers for the trailing 12 months ended April 30, 2026 and April 30, 2025 was 110% and 109%, respectively; dollar-based net retention for customers with annual recurring revenue (ARR) of $500,000 or more was 111% compared to 112% in the first quarter of the fiscal year ended January 31, 2026. Total customers increased to 2,713 as of April 30, 2026 from 2,342 as of April 30, 2025; 349 of the company’s customers had ARR of $500,000 or more as of April 30, 2026, compared to 262 customers as of April 30, 2025. GAAP operating loss was $27.5 million compared to an operating loss of $40.2 million in the first quarter of the fiscal year ended January 31, 2026. A primary contributor to the operating loss in the quarter included $33.6 million of stock-based compensation expense. Non-GAAP operating income was $10.5 million compared to non-GAAP operating income of $2.8 million in the first quarter of the fiscal year ended January 31, 2026. GAAP net loss per share attributable to Braze common stockholders, basic and diluted, of $0.24 based on 110.8 million weighted average shares outstanding in the first quarter of the fiscal year ending January 31, 2027, compared to GAAP net loss per share attributable to Braze common stockholders, basic and diluted, of $0.34, based on 104.6 million weighted average shares outstanding in the first quarter of the fiscal year ended January 31, 2026. Non-GAAP net income per share attributable to Braze common stockholders, diluted, was $0.10 based on 112.9 million weighted average shares outstanding in the first quarter of the fiscal year ending January 31, 2027, compared to non-GAAP net income per share attributable to Braze common stockholders, diluted, of $0.07 based on 108.0 million weighted average shares outstanding in the first quarter of the fiscal year ended January 31, 2026. Net cash provided by operating activities was $28.1 million compared to net cash provided by operating activities of $24.1 million in the first quarter of the fiscal year ended January 31, 2026. Free cash flow was $26.8 million compared to $22.9 million in the first quarter of the fiscal year ended January 31, 2026. Total cash and cash equivalents, restricted cash, and marketable securities was $391.5 million as of April 30, 2026 compared to $415.9 million as of January 31, 2026. Business Highlights Notable new business wins and existing customer expansions in the quarter included Bondora Group, ClassPass, Denny’s, Deuna, Kueski, NRMA, Regal Cinemas, Salomon, and Subway. Hosted nearly 1,200 in-person attendees at City x City London, Braze’s largest gathering of prospects and customers outside of the U.S., for an event centered on shaping the future of AI-driven customer engagement. Released the Forrester Total Economic Impact™ Of Braze study* which examines the combined business impact of the Braze platform and BrazeAI Decisioning Studio™ and finds that a composite organization using the Braze platform achieved an estimated 457% return on investment over three years, with a net present value of $23.5 million and payback in less than six months. Innovations Announced Braze Creative Studio, including new integrations with Figma and Canva, which connect creative execution with real-time data, intelligence, and cross-channel delivery, thus enabling brands to transform generic assets into relevant, memorable brand experiences. Made BrazeAI Operator™ generally available months ahead of schedule. Operator is a companion that provides a unified experience for accessing AI to build campaigns, uncover data insights, answer questions and greatly simplify execution. Amplified with a major public launch at City x City London in April, including new innovations added since general availability such as a unified experience to access AI while creating or modifying campaigns, with additional enhancements currently in beta. Made BrazeAI Agent Console™ generally available months ahead of schedule, and launched to the public at City x City London in April. Agent Console brings the power of generative and agentic AI directly into Braze Canvas and Catalogs. Additional innovation introduced after general availability includes enabling automated agents to run personalized campaigns and manage two-way customer engagement to drive ROI, with much more to come in beta. Management Team Updates Chris Lal joined the company as General Counsel on May 15, 2026 to lead global legal, strategic and governance matters, including intellectual property, privacy, commercial, corporate, employment and responsible-AI initiatives. Mr. Lal brings deep experience both as a business leader and a corporate and securities attorney, having led legal functions at companies across data analytics, technology, e-commerce and retail. Nick Rockwell will join the company as Chief Information Officer to lead compliance, data governance, AI transformation, enterprise business data flows, and corporate IT initiatives effective June 1, 2026. Mr. Rockwell brings extensive experience across media, publishing and technology organizations, building digital products for mass audiences. The company appointed Pankaj Malik, currently Chief Accounting Officer, as its Interim Chief Financial Officer effective May 29, 2026. Mr. Malik has led the Braze accounting department since 2021. Financial Outlook Braze is initiating guidance for the fiscal second quarter ending July 31, 2026, and updating guidance for the fiscal year ending January 31, 2027. Metric (in millions, except per share amounts) FY 2027 Q2 Guidance FY 2027 Guidance Revenue $219.5 - 220.5 $895.0 - 899.0 Non-GAAP operating income $17.0 - 18.0 $70.0 - 74.0 Non-GAAP net income $17.0 - 18.0 $70.0 - 74.0 Non-GAAP net income per share, diluted $0.15 - 0.16 $0.61 - 0.65 Weighted average common shares used in computing non-GAAP net income per share, diluted ~114.0 ~114.0 Braze has not reconciled its guidance as to non-GAAP operating income, non-GAAP net income or non-GAAP net income per share, diluted, to their most directly comparable GAAP measures as a result of uncertainty regarding, and the potential variability of, reconciling items such as stock-based compensation expense specific to equity compensation awards that are directly impacted by unpredictable fluctuations in Braze’s stock price. Accordingly, reconciliations are not available without unreasonable effort, although it is important to note that these factors could be material to Braze’s results calculated in accordance with GAAP. Conference Call Information What: Braze Fiscal First Quarter 2027 Financial Results Conference Call
When: Wednesday, May 27th at 4:30 pm EDT / 1:30 pm PDT
Webcast & Supplemental Data: investors.braze.com
Replay: A webcast replay will be available on Braze’s investor site at investors.braze.com. Supplemental and Other Financial Information Supplemental information, including an accompanying financial presentation and other information can be accessed through Braze’s investor website at investors.braze.com. Non-GAAP Financial Measures This press release and the accompanying tables contain the following non-GAAP financial measures: non-GAAP gross profit and margin, non-GAAP sales and marketing expense, non-GAAP research and development expense, non-GAAP general and administrative expense, non-GAAP operating income (loss), non-GAAP operating margin, non-GAAP net income (loss), non-GAAP net income (loss) per share, basic and diluted, and non-GAAP free cash flow. Braze defines non-GAAP gross profit and margin, non-GAAP sales and marketing expense, non-GAAP research and development expense, non-GAAP general and administrative expense, non-GAAP operating income (loss), non-GAAP operating margin, and non-GAAP net income (loss) as the respective GAAP balances, adjusted for stock-based compensation expense, employer taxes related to stock-based compensation, charitable contribution expense, acquisition-related expense, and amortization of intangible assets. Braze defines non-GAAP free cash flow as net cash provided by (used in) operating activities, minus purchases of property and equipment and minus capitalized internal-use software costs. Investors are encouraged to review the reconciliation of these historical non-GAAP financial measures to their most directly comparable GAAP financial measures. Braze uses this non-GAAP financial information internally in analyzing its financial results and believes that this non-GAAP financial information, when taken collectively with GAAP financial measures, may be helpful to investors because it provides consistency and comparability with past financial performance and assists in comparisons with other companies, some of which use similar non-GAAP financial information to supplement their GAAP results. The non-GAAP financial information is presented for supplemental informational purposes only, and should not be considered a substitute for financial information presented in accordance with generally accepted accounting principles in the United States (GAAP), and may be different from similarly titled non-GAAP measures used by other companies. The principal limitation of these non-GAAP financial measures is that they exclude significant expenses that are required by GAAP to be recorded in Braze’s financial statements. In addition, they are subject to inherent limitations as they reflect the exercise of judgment by Braze’s management about which expenses are excluded or included in determining these non-GAAP financial measures. A reconciliation is provided below in the financial statement tables included below in this press release for each non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP. Braze encourages investors to review the related GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures, which it includes in press releases announcing quarterly and fiscal year financial results, including this press release, and not to rely on any single financial measure to evaluate Braze’s business. Definition of Other Business Metrics Customer: Braze defines a customer, as of period end, as the separate and distinct, ultimate parent-level entity that has an active subscription with Braze to use its products. A single organization could have multiple distinct contracting divisions or subsidiaries, all of which together would be considered a single customer. Annual Recurring Revenue (ARR): Braze defines ARR as the annualized value of customer subscription contracts, including certain premium professional services that are subject to contractual subscription terms, as of the measurement date, assuming any contract that expires during the next 12 months is renewed on its existing terms (including contracts for which Braze is negotiating a renewal). Braze’s calculation of ARR is not adjusted for the impact of any known or projected future events (such as customer cancellations, expansion or contraction of existing customers relationships or price increases or decreases) that may cause any such contract not to be renewed on its existing terms. ARR may decline or fluctuate as a result of a number of factors, including customers’ satisfaction or dissatisfaction with Braze’s products and professional services, pricing, competitive offerings, economic conditions or overall changes in Braze’s customers’ spending levels. ARR should be viewed independently of revenue and does not represent Braze’s GAAP revenue on an annualized basis or a forecast of revenue, as it is an operating metric that can be impacted by contract start and end dates and renewal rates. Dollar-Based Net Retention Rate: Braze calculates dollar-based net retention rate as of a period end by starting with the ARR from a cohort of customers as of 12 months prior to such period-end (the Prior Period ARR). Braze then calculates the ARR from the same cohort of customers as of the end of the current period (the Current Period ARR). Current Period ARR includes any expansion and is net of contraction or attrition over the last 12 months, but excludes ARR from new customers in the current period. Braze then divides the total Current Period ARR by the total Prior Period ARR to arrive at the point-in-time dollar-based net retention rate. Braze then calculates the weighted average point-in-time dollar-based net retention rates as of the last day of each month in the current trailing 12-month period to arrive at the dollar-based net retention rate. Organic Revenue: Braze defines organic revenue as total GAAP revenue, less GAAP revenue generated from business units acquired within the prior 12 months. Remaining Performance Obligations: The transaction price allocated to remaining performance obligations represents amounts under non-cancelable contracts expected to be recognized as revenue in future periods, and may be influenced by several factors, including seasonality, the timing of renewals, the timing of service delivery and contract terms. Unbilled portions of the remaining performance obligation are subject to future economic risks including bankruptcies, regulatory changes and other market factors. Forward-Looking Statements This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding Braze’s financial outlook for the second quarter of and the full fiscal year ending January 31, 2027, the anticipated performance of and customer value from its products and features, including its BrazeAI products and features, and its future business strategies and plans. These forward-looking statements are based on current expectations, estimates, forecasts and projections. Words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “goal,” “hope,” “intend,” “may,” “might,” “potential,” “predict,” “project,” “shall,” “should,” “target,” “will” and variations of these terms and similar expressions are intended to identify these forward-looking statements, although not all forward-looking statements contain these identifying words. Forward-looking statements are based on Braze’s current assumptions, expectations and beliefs and are subject to substantial risks, uncertainties, assumptions and changes in circumstances that may cause Braze’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These risks include, but are not limited to, risks and uncertainties related to: (1) the extent to which Braze achieves anticipated financial targets; (2) Braze’s ability to realize its broader strategic and operating objectives; (3) unstable market and economic conditions may have serious adverse consequences on Braze’s business, financial condition and share price; (4) Braze’s recent rapid revenue growth may not be indicative of its future revenue growth; (5) Braze’s history of operating losses; (6) Braze’s limited operating history at its current scale; (7) Braze’s ability to successfully manage its growth; (8) the accuracy of estimates of market opportunity and forecasts of market growth and the impact of global and domestic socioeconomic events on Braze’s business; (9) Braze’s ability and the ability of its platform to adapt and respond to changing customer or consumer needs, requirements or preferences; (10) Braze’s ability to attract new customers and renew existing customers; (11) the competitive markets in which Braze participates and the intense competition that it faces; (12) Braze’s ability to adapt and respond effectively to rapidly changing technology, evolving cybersecurity and data privacy risks, evolving industry standards or changing regulations; and (13) Braze’s reliance on third-party providers of cloud-based infrastructure; as well as other risks and uncertainties discussed in the “Risk Factors” section of Braze’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (SEC) on March 25, 2026 and other subsequent filings Braze makes with the SEC from time to time, including Braze’s Quarterly Report on Form 10-Q for the fiscal quarter ended April 30, 2026, that will be filed with the SEC. The forward-looking statements included in this press release represent Braze’s views only as of the date of this press release and Braze assumes no obligation, and does not intend to update these forward-looking statements, except as required by law. Third Party Reports *The Total Economic Impact™ Of Braze, a commissioned study conducted by Forrester Consulting on behalf of Braze, April 2026. Results are based on a three-year composite organization representative of interviewed customers. Operational Data Operational and other internal data included in this press release is approximate and is based on various assumptions. This data is tracked with internal systems and tools that are not independently verified by any third party, and is accordingly subject to adjustment. The methodology underlying the data included in this press release may vary from prior years and prior year results may not be directly comparable to current results. About Braze Braze is the leading customer engagement platform that empowers brands to Be Absolutely Engaging™. Braze helps brands deliver great customer experiences that drive value both for consumers and for their businesses. Built on a foundation of composable intelligence, BrazeAI™ allows marketers to combine and activate AI agents, models, and features at every touchpoint throughout the Braze Customer Engagement Platform for smarter, faster, and more meaningful customer engagement. From cross-channel messaging and journey orchestration to Al-powered decisioning and optimization, Braze enables companies to turn action into interaction through autonomous, 1:1 personalized experiences. The company has been consistently recognized as a Leader in marketing technology by industry analysts, and was named a G2 “Best of Marketing and Digital Advertising Software Product” in 2026. Braze was also named a 2026 Best Places to Work by Built In, a 2025 America’s Greenest Companies by Newsweek, and a 2025 Fortune Best Workplace in Technology™ by Great Place To Work®. The company is headquartered in New York with 15 offices across the Americas, EMEA, and APAC. Learn more at braze.com. Braze uses its Investor website at investors.braze.com as a means of disclosing material non-public information, announcing upcoming investor conferences and for complying with its disclosure obligations under Regulation FD. Accordingly, you should monitor its investor relations website in addition to following its press releases, blog posts on its website (braze.com), SEC filings and public conference calls and webcasts. Selected Financial Data   BRAZE, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) (in thousands, except per share amounts)     Three Months Ended
April 30,     2026       2025           Revenue $ 210,999     $ 162,059   Cost of revenue (1)(2)(5)   72,336       50,857   Gross Profit   138,663       111,202           Operating expenses:       Sales and marketing (1)(2)(5)   89,188       74,127   Research and development (1)(2)   46,100       36,797   General and administrative (1)(2)(3)(4)(5)   30,889       40,500   Total operating expenses   166,177       151,424   Loss from operations   (27,514 )     (40,222 ) Other income, net   3,450       5,652   Loss before provision for income taxes   (24,064 )     (34,570 ) Provision for income taxes   1,428       1,071   Net loss   (25,492 )     (35,641 ) Net income (loss) attributable to redeemable non-controlling interest   1,099       145   Net loss attributable to Braze, Inc. $ (26,591 )   $ (35,786 )         Net loss per share attributable to Braze, Inc. common stockholders, basic and diluted $ (0.24 )   $ (0.34 ) Weighted-average shares used to compute net loss per share attributable to Braze, Inc. common stockholders, basic and diluted   110,797       104,572   (1) Includes stock-based compensation as follows:   Three Months Ended
April 30,     2026     2025 Cost of revenue $ 1,206   $ 1,077 Sales and marketing   10,584     10,011 Research and development   14,640     11,336 General and administrative   7,171     7,975 Total stock-based compensation expense $ 33,601   $ 30,399 (2) Includes employer taxes related to stock-based compensation as follows:   Three Months Ended
April 30,     2026     2025 Cost of revenue $ 31   $ 60 Sales and marketing   193     413 Research and development   307     744 General and administrative   139     213 Total employer taxes related to stock-based compensation expense $ 670   $ 1,430 (3) Includes 1% Pledge charitable donation expense as follows:   Three Months Ended
April 30,     2026     2025 General and administrative $ 500   $ 1,109 (4) Includes acquisition related expense as follows:   Three Months Ended
April 30,     2026     2025 General and administrative $ 172   $ 10,020 (5) Includes amortization of intangible assets acquired in the acquisition expense as follows:   Three Months Ended
April 30,     2026     2025 Cost of revenue $ 2,362   $ — Sales and marketing   600     — General and administrative   78     101 Total amortization of intangible assets $ 3,040   $ 101 BRAZE, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (in thousands, except share and per share amounts)     April 30,
2026   January 31,
2026 ASSETS       CURRENT ASSETS:       Cash and cash equivalents $ 145,289     $ 124,342   Restricted cash, current   566       566   Accounts receivable, net of allowance of $1,808 and $1,934, respectively   118,471       122,350   Marketable securities   242,232       287,580   Prepaid expenses and other current assets   40,117       33,088   Total current assets   546,675       567,926   Restricted cash, noncurrent   3,430       3,430   Property and equipment, net   42,426       43,517   Operating lease right-of-use assets   70,591       72,011   Deferred contract costs   103,755       100,738   Goodwill   262,120       261,857   Intangible assets, net   58,447       61,487   Other assets   3,595       2,791   TOTAL ASSETS $ 1,091,039     $ 1,113,757   LIABILITIES, REDEEMABLE NON-CONTROLLING INTEREST, AND STOCKHOLDERS' EQUITY       CURRENT LIABILITIES:       Accounts payable $ 5,607     $ 1,562   Accrued expenses and other current liabilities   73,579       95,023   Deferred revenue   342,519       304,560   Operating lease liabilities, current   19,775       19,269   Total current liabilities   441,480       420,414   Operating lease liabilities, noncurrent   61,681       63,385   Other long-term liabilities   4,717       5,802   TOTAL LIABILITIES   507,878       489,601   COMMITMENTS AND CONTINGENCIES (Note 13)       Redeemable non-controlling interest (Note 4)   1,488       389   STOCKHOLDERS’ EQUITY       Class A common stock, $0.0001 par value; 2,000,000,000 and 2,000,000,000 shares authorized as of April 30, 2026 and January 31, 2026, respectively; 111,783,711 and 112,770,651 shares issued and outstanding as of April 30, 2026 and January 31, 2026, respectively   11       11   Additional paid-in capital   1,325,959       1,340,091   Accumulated other comprehensive income (loss)   417       1,788   Accumulated deficit   (744,714 )     (718,123 ) TOTAL STOCKHOLDERS’ EQUITY   581,673       623,767   TOTAL LIABILITIES, REDEEMABLE NON-CONTROLLING INTEREST, AND STOCKHOLDERS’ EQUITY $ 1,091,039     $ 1,113,757     BRAZE, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (in thousands)     Three Months Ended
April 30,     2026       2025   CASH FLOWS FROM OPERATING ACTIVITIES:       Net loss (including amounts attributable to redeemable non-controlling interests) $ (25,492 )   $ (35,641 ) Adjustments to reconcile net loss to net cash provided by operating activities:       Stock-based compensation   35,804       30,643   Amortization of deferred contract costs   12,280       9,421   Depreciation and amortization   6,284       2,606   Provision for credit losses   (78 )     232   Value of common stock donated to charity   500       1,109   Accretion of discount on marketable securities   (78 )     (399 ) Non-cash foreign exchange (gain) loss   288       227   Deferred tax asset   (263 )     —   Other   6       9   Changes in operating assets and liabilities:       Accounts receivable   3,848       9,108   Prepaid expenses and other current assets   (6,961 )     3,147   Deferred contract costs   (15,342 )     (11,870 ) ROU assets and liabilities   273       (410 ) Other assets   (805 )     (403 ) Accounts payable   3,833       (978 ) Accrued expenses and other current liabilities   (20,889 )     (7,203 ) Deferred revenue   38,211       24,547   Other long-term liabilities   (3,293 )     (1 ) Net cash provided by operating activities   28,126       24,144   CASH FLOWS FROM INVESTING ACTIVITIES:       Purchases of property and equipment   (108 )     (217 ) Capitalized internal-use software costs   (1,227 )     (1,055 ) Purchases of marketable securities   (26,662 )     (52,364 ) Maturities of marketable securities   35,870       63,215   Return of principal on marketable securities   34,923       113,258   Net cash provided by investing activities   42,796       122,837   CASH FLOWS FROM FINANCING ACTIVITIES:       Proceeds from exercise of common stock options   310       605   Repurchase of common stock   (50,000 )     —   Net cash provided by/(used in) financing activities   (49,690 )     605   Effect of foreign currency exchange rate changes on cash, cash equivalents, and restricted cash   (285 )     851   Net change in cash, cash equivalents, and restricted cash   20,947       148,437   Cash, cash equivalents, and restricted cash, beginning of period   128,338       83,592   Cash, cash equivalents, and restricted cash, end of period $ 149,285     $ 232,029     BRAZE, INC. U.S. GAAP RECONCILIATION OF NON-GAAP ADJUSTED RESULTS (in thousands, except per share amounts)   The following tables reconcile each non-GAAP financial measure to its most directly comparable GAAP financial measure:   Reconciliation of GAAP to Non-GAAP Gross Margin Three Months Ended
April 30,     2026       2025           Gross profit $ 138,663     $ 111,202   Plus:       Stock-based compensation expense   1,206       1,077   Employer taxes related to stock-based compensation expense   31       60   Amortization of intangibles expense   2,362       —   Non-GAAP gross profit $ 142,262     $ 112,339   GAAP gross margin   65.7 %     68.6 % Non-GAAP gross margin   67.4 %     69.3 % Reconciliation of GAAP to Non-GAAP Operating Expenses Three Months Ended
April 30,     2026     2025         GAAP sales and marketing expense $ 89,188   $ 74,127 Less:       Stock-based compensation expense   10,584     10,011 Employer taxes related to stock-based compensation expense   193     413 Amortization of intangibles expense   600     — Non-GAAP sales and marketing expense $ 77,811   $ 63,703         GAAP research and development expense $ 46,100   $ 36,797 Less:       Stock-based compensation expense   14,640     11,336 Employer taxes related to stock-based compensation expense   307     744 Non-GAAP research and development expense $ 31,153   $ 24,717         GAAP general and administrative expense $ 30,889   $ 40,500 Less:       Stock-based compensation expense   7,171     7,975 Employer taxes related to stock-based compensation expense   139     213 1% Pledge charitable contribution expense   500     1,109 Acquisition related expense   172     10,020 Amortization of intangibles expense   78     101 Non-GAAP general and administrative expense $ 22,829   $ 21,082 Reconciliation of GAAP to Non-GAAP Operating Income Three Months Ended
April 30,     2026       2025           Loss from operations $ (27,514 )   $ (40,222 ) Plus:       Stock-based compensation expense   33,601       30,399   Employer taxes related to stock-based compensation expense   670       1,430   1% Pledge charitable contribution expense   500       1,109   Acquisition related expense   172       10,020   Amortization of intangibles expense   3,040       101   Non-GAAP income from operations $ 10,469     $ 2,837   GAAP operating margin   (13.0 )%     (24.8 )% Non-GAAP operating margin   5.0 %     1.8 % Reconciliation of GAAP to Non-GAAP Net Income Three Months Ended
April 30,     2026       2025           Net loss attributable to Braze, Inc. $ (26,591 )   $ (35,786 ) Plus:       Stock-based compensation expense   33,601       30,399   Employer taxes related to stock-based compensation expense   670       1,430   1% Pledge charitable contribution expense   500       1,109   Acquisition related expense   172       10,020   Amortization of intangibles expense   3,040       101   Non-GAAP net income attributable to Braze, Inc. (1) $ 11,392     $ 7,273           Non-GAAP net income per share attributable to Braze, Inc. common stockholders, basic $ 0.10     $ 0.07   Non-GAAP net income per share attributable to Braze, Inc. common stockholders, diluted $ 0.10     $ 0.07   Weighted-average shares used to compute net income per share attributable to Braze, Inc. common stockholders, basic   110,797       104,572   Weighted-average shares used to compute net income per share attributable to Braze, Inc. common stockholders, diluted   112,862       107,977   (1) Assumes no non-GAAP tax expenses associated with the non-GAAP adjustment. While the Company generated non-GAAP operating income during the fiscal year ended January 31, 2026, the Company has available deferred tax assets sufficient to offset such non-GAAP tax expense. Reconciliation of GAAP Cash Flow from Operating Activities to Non-GAAP Free Cash Flow Three Months Ended
April 30,     2026       2025           Net cash provided by operating activities $ 28,126     $ 24,144   Less:       Purchases of property and equipment   (108 )     (217 ) Capitalized internal-use software costs   (1,227 )     (1,055 ) Non-GAAP free cash flow $ 26,791     $ 22,872   Braze is a registered trademark of Braze, Inc.
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Christopher Ferris

Braze Delivers Powerful New Agentic AI Capabilities That Transform How Marketers Build, Personalize, and Deliver Customer ExperiencesApril 23, 2026 4:00 AM
Business Wire
BrazeAI Operator™, BrazeAI Agent Console™, and the new Braze Creative Studio are now available alongside EU hosting for BrazeAI Decisioning Studio™, introducing a radically better way for marketers to forge and maintain lasting customer relationships.


Braze (Nasdaq: BRZE), the leading customer engagement platform that empowers brands to Be Absolutely Engaging™, today delivered a new set of AI capabilities that transform how marketers build and deliver engaging and relevant experiences for their customers. From reaching new audiences to driving conversion and long-term loyalty, these capabilities join together in an integrated platform that gives marketers a unified way to manage the full customer lifecycle.


BrazeAI Operator™ and BrazeAI Agent Console™, now generally available


BrazeAI Operator™ and BrazeAI Agent Console™ bring decisioning, content generation, and execution directly into the marketer’s workflow. By embedding AI into the core platform, teams can act on data in real time and turn strategy into live customer experiences faster.



Speed up campaign execution with AI-powered content generation



Reduce dependency on technical teams to get campaigns out the door



Drive more relevant engagement by acting on customer data in real-time



A unified approach to creative production and activation in Braze


The Braze Creative Studio connects creative production with campaign execution, giving teams a single place to manage assets and launch experiences. With direct integrations to Figma and Canva, it removes friction between design and delivery.



Move creative assets seamlessly from design tools into live campaigns



Maintain brand consistency across channels with centralized asset management



Connect creative to real-time customer context for more relevant experiences



Flexible, regional infrastructure for AI-driven decisioning


BrazeAI Decisioning Studio™ can now be hosted in Europe on Google Cloud, giving brands more control over how and where their data is managed. This expansion supports decisioning while also meeting regional data requirements.



Keep customer data closer to home with EU-based hosting



Apply decisioning without compromising on data governance or compliance



Scale AI-driven engagement globally with greater flexibility and control



“The world’s largest and most sophisticated brands are choosing Braze to drive their AI transformation during this period of rapidly evolving disruption and opportunity. But for AI to matter, it has to be more than a promise. It has to work, at scale, and be enterprise-ready,” said Bill Magnuson, Cofounder and CEO of Braze. “Braze is putting powerful, production-ready AI and creative tools directly into the hands of marketers to amplify their impact and define their competitive edge. Our new tools are live, the technology is proven, and the brands that seize this moment will build the businesses that customers remember.”


These updates are being unveiled today at City x City London, Braze’s flagship EMEA event focused on the craft of customer engagement, at Olympia in London. The event brings together Europe’s leading marketers, product leaders, and customer experience teams to explore how brands are applying AI, real-time data, and creativity to drive more effective engagement. Through a combination of product showcases, customer-led sessions, and practical use cases, City x City London is designed to give attendees a clear view into how the most successful brands are putting AI to work, swapping ideas, and turning inspiration into action.


Enabling real-time, individualized engagement


BrazeAI Operator™ is a new in-dashboard AI assistant that helps marketers create campaigns, build custom agents, generate content, and troubleshoot workflows, reducing the time and technical expertise required to execute complex strategies.


Cleo, a global family care platform, used BrazeAI Operator™ to rebuild its welcome experience around individual member needs. This resulted in an 81% reduction in unsubscribes, a 97% drop in opt-outs on the first email, a 284% increase in app opens, and a 124% lift in push notification engagement.


The American Diabetes Association applied BrazeAI Operator™ to redesign its eCommerce journey, moving from a single-message approach to a more dynamic, multi-step experience that supports deeper engagement and follow-up interactions.


“I felt like I was talking to someone who worked for Braze. It’s my thought partner. I’m kind of addicted to it. I’m doing things that would have been completely impossible without the Operator.”

— Elaine Armbruster, Director of Digital Experience, American Diabetes Association


“The Operator literally thought of ways of using customer data I hadn't even considered and incorporated it into advanced Liquid code. It prevented issues I wouldn't have caught until QA, and I wouldn’t have known where to start troubleshooting.”

— Holly Jacobson, Sr Lifecycle Marketing Manager, Cleo


To learn more about how BrazeAI Operator™ helps marketers build, troubleshoot, and optimize campaigns with greater speed and confidence, visit the Braze blog for a deeper look at the product and customer use cases.


BrazeAI Agent Console™ provides a new, centralized environment to build, manage, and deploy AI agents that generate content, interpret data, and adapt campaigns in real time.


Dayuse, a global hospitality platform, used BrazeAI Agent Console™ to generate individualized messages at the moment of send, with each message informed by real-time customer context such as booking history, preferences, and language. This approach enabled the brand to move beyond static campaigns and deliver content that reflects each user’s situation as it happened. By working with Braze, Dayuse has seen a 90% increase in booking conversion rate, doubled incremental revenue for a key campaign, and achieved an additional 23% uplift in repeat engagement after adopting the capability.


“Personalization at this level across marketers used to require significant manual workload. With BrazeAI Agent Console, we were able to scale individualized messaging across languages and regions in a way that feels relevant to each customer. That shift has had a clear impact on how customers engage and return to our platform.”

— Martin Juglair, CRM Manager, Dayuse


To explore how BrazeAI Agent Console™ enables real-time decisioning, content generation, and data interpretation within live customer journeys, visit the Braze blog for additional detail and examples.


Introducing the Braze Creative Studio


The new Braze Creative Studio brings creative production and campaign execution into a unified workflow, so marketers can move from concept to campaign faster while maintaining brand consistency.


With the new Figma and Canva integrations, marketers can import creative assets and full email templates from popular design programs directly into Braze while keeping design fidelity intact. A new centralized UI gives teams easy access to a composable set of content capabilities, including the new design tool integrations, a centralized media library, templates, brand guidelines, and more, making it simpler to use the features they need and scale what works.


The Braze Creative Studio works seamlessly with the rest of the Braze platform, connecting creative execution with real-time data, intelligence, and cross-channel delivery so brands can transform generic assets into relevant, memorable brand experiences.


“The most exciting thing about agentic AI isn't what any single tool can do on its own, it's what opens up when the right tools work together. Canva AI gives agents the ability to generate and iterate on visuals at scale, and Braze gets that creative in front of the right audience at the right moment. Closing the loop from visual creation to customer activation is what marketing teams need to keep up, and this integration enables users to seamlessly publish their on-brand Canva assets to Braze while maintaining design integrity.”

— Anwar Haneef, Head of Ecosystem, Canva


“The new Figma plugin is a great workflow hack for marketers like me building asset-heavy campaigns or landing pages on tight deadlines. We all know the headache of juggling multiple tabs just to get one task done, and this tool eliminates that friction by uploading images in a single click. It’s simple, but I rely on it daily to save several minutes on each project.”

— Ashley Auger, CRM Technical Manager, Growth, Mercari US


To see how the Braze Creative Studio streamlines creative workflows and connects design to activation with Figma and Canva, visit the Braze blog for more information.


About Braze


Braze is the leading customer engagement platform that empowers brands to Be Absolutely Engaging™. Braze helps brands deliver great customer experiences that drive value both for consumers and for their businesses. Built on a foundation of composable intelligence, BrazeAI™ allows marketers to combine and activate AI agents, models, and features at every touchpoint throughout the Braze Customer Engagement Platform for smarter, faster, and more meaningful customer engagement. From cross-channel messaging and journey orchestration to Al-powered decisioning and optimization, Braze enables companies to turn action into interaction through autonomous, 1:1 personalized experiences. The company has repeatedly been recognized as a Leader in marketing technology by industry analysts, and was voted a G2 “Best of Marketing and Digital Advertising Software Product” in 2025. Braze was also named a 2025 Best Companies To Work For by U.S. News & World Report, a 2025 America’s Greatest Companies by Newsweek, and a 2025 Fortune Best Workplace in Technology™ by Great Place To Work®. The company is headquartered in New York with 15 offices across the Americas, EMEA, and APAC. Learn more at braze.com.


Forward-looking Statements


This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding the anticipated performance of and benefits from Braze, its products and programs, including the BrazeAI Decisioning Studio, BrazeAI Operator, BrazeAI Agent Console and Braze Creative Studio. These forward-looking statements are based on the current assumptions, expectations and beliefs of Braze, and are subject to substantial risks, uncertainties and changes in circumstances that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Further information on potential factors that could affect Braze results are included in Braze’s Annual Report on Form 10-K for the fiscal year ended January 31, 2026, filed with the U.S. Securities and Exchange Commission on March 25, 2026, and the other public filings of Braze with the U.S. Securities and Exchange Commission. The forward-looking statements included in this press release represent the views of Braze only as of the date of this press release, and Braze assumes no obligation, and does not intend to update these forward-looking statements, except as required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260423931363/en/
Media:

Steve Ballerini

Press@braze.com


Original: Braze Delivers Powerful New Agentic AI Capabilities That Transform How Marketers Build, Personalize, and Deliver Customer Experiences

Braze Unveils New Research Showing How AI, Data, and Decisioning Are Redefining Customer EngagementApril 23, 2026 4:00 AM
Business Wire
New TEI study and Cowry report reveal a widening gap between brands that drive measurable outcomes and those falling behind in the AI era


Braze (Nasdaq: BRZE), the leading customer engagement platform that empowers brands to Be Absolutely Engaging™, today released two new research studies from Forrester Consulting and Cowry that highlight fundamental shifts in how brands must approach customer engagement in the age of AI.


Together, the findings show that while AI adoption is nearly universal, most organizations are still struggling to translate that investment into meaningful business impact. The research points to a growing divide between brands that are operationalizing AI to drive outcomes and those still producing disconnected, low-impact experiences at scale.


The reports are being released at Braze’s City x City London event, where global brands and marketing leaders will gather to explore how AI, real-time data, and creativity are reshaping customer engagement.


AI adoption is high. Impact is not.


The April 2026 Forrester Total Economic Impact™ study* found that organizations using the Braze platform achieved a 457% return on investment over three years, with a net present value of $23.5 million and payback in less than six months. The study examined the combined business impact of the Braze platform and BrazeAI Decisioning Studio™ on a composite organization representative of interviewed customers.


At the same time, broader industry data shows a stark contrast. While the vast majority of brands are investing in AI, only a small percentage are realizing measurable returns. This gap underscores a core challenge facing marketing leaders today: moving from experimentation to execution.


Context is the competitive advantage in modern engagement


The joint report with Cowry highlights the scale of the challenge. Consumers are now exposed to as many as 10,000 commercial messages per day, creating an environment where volume alone no longer drives engagement.


Instead, effectiveness depends on relevance, timing, and the ability to respond to real-time customer signals.


This shift requires a move away from static campaigns toward systems that can interpret data, make decisions, and deliver experiences that adapt in the moment.


A new operating model for customer engagement


According to Astha Malik, Chief Business Officer of Braze, the role of marketing technology is evolving rapidly.


“While AI-generated content is potentially infinite, customer attention is finite and loyalty is fragile. Every piece of 'AI slop' that reaches a customer simply trains them to tune out,” said Malik. “The research we’re releasing today highlights a widening gap between brands using AI just to increase output and those focused on driving outcomes like conversion, retention, and revenue. At Braze, we are shifting the conversation from productivity to performance. Our community of ambitious marketers chooses a premium platform not just to build faster, but to deliver outsized business impact.”


What separates high-performing brands


Across both studies, several consistent themes emerge among organizations that are successfully driving results:



Real-time data activation: High-performing brands unify and act on first-party data without delay, enabling more relevant engagement



Embedded decisioning: AI is applied within live customer journeys, not as a separate layer or experiment



Operational simplicity: Reducing fragmentation across tools allows teams to move faster and execute more consistently



Continuous optimization: Campaigns are treated as dynamic systems that learn and improve over time



These capabilities are increasingly critical as marketing teams face pressure to do more with less while proving ROI.


Turning insight into action


The research provides a clear framework for how brands can improve customer engagement:



Move from batch campaigns to real-time, signal-based engagement



Prioritize decisioning and orchestration, not just content creation



Consolidate tools to reduce friction and improve speed to market



Focus on measurable outcomes, including conversion, retention, and revenue impact



Organizations that align their technology and processes around these principles are better positioned to deliver experiences that resonate and scale.


Timing the moment


The release of these reports comes as brands reassess their approach to AI and customer engagement. With City x City London serving as a focal point for industry discussion, the findings offer both a benchmark and a roadmap for organizations looking to close the gap between investment and impact.


*The Total Economic Impact™ Of Braze, a commissioned study conducted by Forrester Consulting on behalf of Braze, April 2026.


About Braze


Braze is the leading customer engagement platform that empowers brands to Be Absolutely Engaging™. Braze helps brands deliver great customer experiences that drive value both for consumers and for their businesses. Built on a foundation of composable intelligence, BrazeAI™ allows marketers to combine and activate AI agents, models, and features at every touchpoint throughout the Braze Customer Engagement Platform for smarter, faster, and more meaningful customer engagement. From cross-channel messaging and journey orchestration to Al-powered decisioning and optimization, Braze enables companies to turn action into interaction through autonomous, 1:1 personalized experiences. The company has repeatedly been recognized as a Leader in marketing technology by industry analysts, and was voted a G2 “Best of Marketing and Digital Advertising Software Product” in 2025. Braze was also named a 2025 Best Companies To Work For by U.S. News & World Report, a 2025 America’s Greatest Companies by Newsweek, and a 2025 Fortune Best Workplace in Technology™ by Great Place To Work®. The company is headquartered in New York with 15 offices across the Americas, EMEA, and APAC. Learn more at braze.com.


Forward-looking Statements


This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding the anticipated economic and customer benefits from Braze. These forward-looking statements are based on the current assumptions, expectations and beliefs of Braze, and are subject to substantial risks, uncertainties and changes in circumstances that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Further, the information in this press release concerning Braze’s industry, including industry statistics and forecasts, customer value, anticipated ROI and the markets in which Braze operates is based on information from independent industry and research organizations, other third-party sources and management estimates. These projections, forecasts, assumptions and estimates are necessarily subject to uncertainty and risk due to a variety of factors. Further information on potential factors that could affect these potential results or achievement of any forward-looking statements are included in Braze’s Annual Report on Form 10-K for the fiscal year ended January 31, 2026, filed with the U.S. Securities and Exchange Commission on March 25, 2026, and the other public filings of Braze with the U.S. Securities and Exchange Commission. The statements included in this press release represent the views of Braze only as of the date of this press release, and Braze assumes no obligation, and does not intend to update these statements, except as required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260423105729/en/
Media:

Steve Ballerini

Press@braze.com


Original: Braze Unveils New Research Showing How AI, Data, and Decisioning Are Redefining Customer Engagement

Braze Reports Fiscal Year and Fourth Quarter 2026 ResultsMarch 24, 2026 4:05 PM
Business Wire
Delivers 28% revenue growth in the fourth quarter, 24% for the full fiscal year 2026


Trailing twelve month dollar-based net retention rises to 109% in the fourth quarter


Announces a $100 million share repurchase authorization including a $50 million accelerated buyback


Realizes strong operating leverage in the fourth quarter and fiscal 2026


Braze (Nasdaq: BRZE), the leading customer engagement platform that empowers brands to Be Absolutely Engaging™, today announced results for its fiscal year ended January 31, 2026.


“We finished the fiscal year with an exceptional Q4, accelerating year-over-year organic revenue growth for the third straight quarter while continuing to drive strong operating leverage across our global business. In addition, we achieved an over 50% year-over-year increase in quarterly bookings, driven by significant strength in our enterprise segment and underscoring a fundamental market shift: the world’s largest and most sophisticated brands are choosing Braze as a foundational partner to drive their AI transformation during this period of intense disruption and opportunity," said Bill Magnuson, Cofounder and CEO of Braze. "We begin this fiscal year with strong commercial momentum and the fastest pace of new product delivery in our history as BrazeAI Decisioning Studio™ continues to scale rapidly and both BrazeAI Agent Console™ and BrazeAI Operator™ were made generally available in February, months ahead of schedule.”


Fiscal Fourth Quarter 2026 Financial Highlights



Revenue was $205.2 million compared to $160.4 million in the fourth quarter of the fiscal year ended January 31, 2025, up 27.9% year-over year, driven primarily by new customers, upsells, and renewals.



Subscription revenue in the quarter was $193.5 million compared to $153.9 million in the fourth quarter of the fiscal year ended January 31, 2025, and professional services and other revenue was $11.7 million compared to $6.5 million in the fourth quarter of the fiscal year ended January 31, 2025.



Remaining performance obligations as of January 31, 2026 was $1.0 billion, of which $642.1 million is current, which the company defines as less than one year.



GAAP gross margin was 65.5% compared to 69.3% in the fourth quarter of the fiscal year ended January 31, 2025.



Non-GAAP gross margin was 67.2% compared to 69.9% in the fourth quarter of the fiscal year ended January 31, 2025.



Dollar-based net retention for all customers for the trailing 12 months ended January 31, 2026 and January 31, 2025 was 109% and 111%, respectively; dollar-based net retention for customers with annual recurring revenue (ARR) of $500,000 or more was 110% compared to 114% in the fiscal year ended January 31, 2025.



Total customers increased to 2,609 as of January 31, 2026 from 2,296 as of January 31, 2025; 333 of our customers had ARR of $500,000 or more as of January 31, 2026, compared to 247 customers as of January 31, 2025.



GAAP operating loss was $28.2 million compared to an operating loss of $21.6 million in the fourth quarter of the fiscal year ended January 31, 2025. A primary contributor to the operating loss in the quarter included $37.3 million of stock-based compensation expense.



Non-GAAP operating income was $14.5 million compared to $7.9 million in the fourth quarter of the fiscal year ended January 31, 2025.



GAAP net loss per share attributable to Braze common stockholders, basic and diluted, of $0.29 based on 108.5 million weighted average shares outstanding in the fourth quarter of the fiscal year ended January 31, 2026, compared to GAAP net loss per share attributable to Braze common stockholders, basic and diluted, of $0.17, based on 102.9 million weighted average shares outstanding in the fourth quarter of the fiscal year ended January 31, 2025.



Non-GAAP net income per share attributable to Braze common stockholders, diluted, was $0.10 based on 111.4 million weighted average shares outstanding in the fourth quarter of the fiscal year ended January 31, 2026, compared to non-GAAP net income per share attributable to Braze common stockholders, diluted, of $0.12 based on 107.0 million weighted average shares outstanding in the fourth quarter of the fiscal year ended January 31, 2025.



Net cash provided by operating activities was $19.4 million compared to net cash provided by operating activities of $17.1 million in the fourth quarter of the fiscal year ended January 31, 2025.



Free cash flow was $13.9 million compared to $15.2 million in the fourth quarter of the fiscal year ended January 31, 2025.



Total cash and cash equivalents, restricted cash, and marketable securities was $415.9 million as of January 31, 2026 compared to $514.0 million as of the fiscal year ended January 31, 2025.



Fiscal Year 2026 Financial Highlights



Revenue was $738.2 million compared to $593.4 million in the fiscal year ended January 31, 2025, up 24.4% year-over year, driven primarily by new customers, upsells, and renewals.



Subscription revenue was $701.8 million compared to $570.3 million in the fiscal year ended January 31, 2025, and professional services and other revenue was $36.4 million compared to $23.1 million in the fiscal year ended January 31, 2025.



GAAP gross margin was 67.1% compared to 69.1% in the fiscal year ended January 31, 2025.



Non-GAAP gross margin was 68.7% compared to 69.8% in the fiscal year ended January 31, 2025.



GAAP operating loss was $144.8 million compared to a loss of $122.2 million in the fiscal year ended January 31, 2025. A primary contributor to the operating loss in the fiscal year included $144.9 million of stock-based compensation expense.



Non-GAAP operating income was $28.5 million compared to a loss of $0.0 million in the fiscal year ended January 31, 2025.



GAAP net loss per share attributable to Braze common stockholders, basic and diluted, of $1.22 based on 107.9 million weighted average shares outstanding in the fiscal year ended January 31, 2026, compared to GAAP net loss per share attributable to Braze common stockholders, basis and diluted, of $1.02, based on 102.2 million weighted average shares outstanding in the fiscal year ended January 31, 2025.



Non-GAAP net income per share attributable to Braze common stockholders, diluted, was $0.38 based on 111.1 million weighted average shares outstanding in the fiscal year ended January 31, 2026, compared to non-GAAP net income per share attributable to Braze common stockholders, diluted, of $0.17 based on 107.0 million weighted average shares outstanding in the fiscal year ended January 31, 2025.



Net cash provided by operating activities was $71.4 million compared to net cash provided by operating activities of $36.7 million in the fiscal year ended January 31, 2025.



Free cash flow was $58.1 million compared to $19.6 million in the fiscal year ended January 31, 2025.



Business Highlights



Notable new business wins and existing customer expansions in the quarter included Dis-Chem, Goodnotes, ID.me, King, Life360, Mytheresa, PowerUs, realestate.co.nz, Shell Mobility & Convenience, and ThriftBooks.



Published sixth annual Global Customer Engagement Review, combining insights from 2,200+ marketing leaders, 4,000 consumers, and 6B+ data points from over 750 brands across the Americas, EMEA, and APAC.



Innovations



Released BrazeAI Agent Console™ for general availability allowing brands to create custom agents that bring the power of generative and agentic AI directly into Braze Canvas and Catalogs.



Announced general availability and continued to drive value for customers through BrazeAI Operator™, a companion that provides a unified experience for accessing AI to build masterful campaigns, uncover data insights, answer questions, and simplify execution.



During calendar year 2025, Braze powered 4.5 trillion messages and Canvas actions, processed over 25 trillion data points, executed 3.1 trillion AI decisioning inferences, and made 8.7 trillion updates to user profile systems of record. This execution capability provides brands with confidence to deploy business-critical programs for entire global audiences.



Partnerships



Strengthened relationship with Snowflake by deploying Cortex Code, transforming Braze’s approach to agentic analytics by automating and enriching insights layers, and optimizing native understanding of datasets, schemas, and columns to produce more precise, actionable outputs, and in turn accelerate time-to-value for Braze customers.



Enhanced our Shopify integration by incorporating custom product data for enhanced segmentation and personalization, and syncing customer engagement to provide a unified shopper view in Shopify.



Expanded Audience Sync to The Trade Desk, enabling customers to leverage real-time, first-party data in Braze to optimize programmatic ad targeting across The Trade Desk's global inventory - including CTV, Retail Media, and the Open Web - while building a more durable, cohesive strategy across owned and paid channels.



Also expanded Audience Sync to LinkedIn, enabling customers to enhance B2B and high-consideration B2C ad targeting - increasing return on ad spend (ROAS) and unifying paid media within the broader customer journey.



Industry Recognitions



Recognized as a Strong Performer in The Forrester Wave™: Email Marketing Service Providers, Q1 2026.



Also recognized in the G2 Best of Awards for the fourth consecutive year, earning recognition in the Best Marketing and Digital Advertising Software Products, Best Software Products, Best Software for Enterprises Businesses, and Best Global Software Companies categories.



Earned the Equality 100 Award on the Human Rights Campaign Foundation’s 2026 Corporate Equality Index in the United States for the third year in a row, reflecting Braze’s commitment to workplace equality through benefits, policies, community, connection and inclusion.



Named on Built In's 2026 Best Places to Work lists, including Best Large Places to Work across Austin, Chicago, New York, and San Francisco.



Financial Outlook


Braze is initiating guidance for the fiscal first quarter ending April 30, 2026 and fiscal year ending January 31, 2027.




Metric

(in millions, except per share amounts)






FY 2027 Q1 Guidance






FY 2027 Guidance








Revenue






$204.5 - 205.5






$884.0 - 889.0








Non-GAAP operating income






$10.0 - 11.0






$69.0 - 73.0








Non-GAAP net income






$11.0 - 12.0






$69.0 - 73.0








Non-GAAP net income per share, diluted






$0.10 - 0.11






$0.61 - 0.65








Weighted average common shares used in computing non-GAAP net income per share, diluted






~112.0






~113.0







Braze has not reconciled its guidance as to non-GAAP operating income, non-GAAP net income or non-GAAP net income per share, diluted, to their most directly comparable GAAP measure as a result of uncertainty regarding, and the potential variability of, reconciling items such as stock-based compensation expense specific to equity compensation awards that are directly impacted by unpredictable fluctuations in Braze’s stock price. Accordingly, reconciliations are not available without unreasonable effort, although it is important to note that these factors could be material to Braze’s results calculated in accordance with GAAP.


Share Repurchase Program:


Braze announced today that its Board of Directors authorized a share repurchase program of up to $100 million of the Company’s outstanding Class A Common Stock. Pursuant to the new program, Braze plans to imminently enter into an accelerated share repurchase transaction with respect to approximately $50 million of its outstanding Class A Common Stock.


"As we enter fiscal 2027, our financial profile is sound, and we are pleased that our strong balance sheet and consistent cash generation provide us with the flexibility to invest in our business while returning capital to shareholders. This authorization provides us with the flexibility to opportunistically return capital while maintaining the strong liquidity needed to pursue our ambitious roadmap for durable, profitable growth,” said Isabelle Winkles, CFO of Braze. “We are proud of the scale we have achieved and view this share repurchase program as a clear signal of our Board and management team’s confidence in our strategy, our market opportunity, and our ability to execute against our financial goals.”


Conference Call Information:


What: Braze Fiscal Year and Fourth Quarter 2026 Financial Results Conference Call

When: Tuesday, March 24th at 4:30 pm EDT / 1:30 pm PDT

Webcast & Supplemental Data: investors.braze.com

Replay: A webcast replay will be available on Braze’s investor site at investors.braze.com.


Supplemental and Other Financial Information


Supplemental information, including an accompanying financial presentation and other information, can be accessed through Braze’s investor website at investors.braze.com.


Non-GAAP Financial Measures


This press release and the accompanying tables contain the following non-GAAP financial measures: non-GAAP gross profit and margin, non-GAAP sales and marketing expense, non-GAAP research and development expense, non-GAAP general and administrative expense, non-GAAP operating income (loss), non-GAAP operating margin, non-GAAP net income (loss), non-GAAP net income (loss) per share, basic and diluted, and non-GAAP free cash flow. Braze defines non-GAAP gross profit and margin, non-GAAP sales and marketing expense, non-GAAP research and development expense, non-GAAP general and administrative expense, non-GAAP operating income (loss), non-GAAP operating margin, and non-GAAP net income (loss) as the respective GAAP balances, adjusted for stock-based compensation expense, employer taxes related to stock-based compensation, charitable contribution expense, contingent consideration adjustments, acquisition related expense, and amortization of intangible assets. Braze defines non-GAAP free cash flow as net cash provided by/(used in) operating activities, minus purchases of property and equipment and minus capitalized internal-use software costs. Investors are encouraged to review the reconciliation of these historical non-GAAP financial measures to their most directly comparable GAAP financial measures.


Braze uses this non-GAAP financial information internally in analyzing its financial results and believes that this non-GAAP financial information, when taken collectively with GAAP financial measures, may be helpful to investors because it provides consistency and comparability with past financial performance and assists in comparisons with other companies, some of which use similar non-GAAP financial information to supplement their GAAP results. The non-GAAP financial information is presented for supplemental informational purposes only, and should not be considered a substitute for financial information presented in accordance with generally accepted accounting principles in the United States (GAAP), and may be different from similarly-titled non-GAAP measures used by other companies.


The principal limitation of these non-GAAP financial measures is that they exclude significant expenses that are required by GAAP to be recorded in Braze’s financial statements. In addition, they are subject to inherent limitations as they reflect the exercise of judgment by Braze’s management about which expenses are excluded or included in determining these non-GAAP financial measures. A reconciliation is provided below in the financial statement tables included below in this press release for each non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP.


Braze encourages investors to review the related GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures, which it includes in press releases announcing quarterly and fiscal year financial results, including this press release, and not to rely on any single financial measure to evaluate Braze’s business.


Definition of Other Business Metrics


Customer: Braze defines a customer, as of period end, as the separate and distinct, ultimate parent-level entity that has an active subscription with Braze to use its products. A single organization could have multiple distinct contracting divisions or subsidiaries, all of which together would be considered a single customer.


Annual Recurring Revenue (ARR): Braze defines ARR as the annualized value of customer subscription contracts, including certain premium professional services that are subject to contractual subscription terms, as of the measurement date, assuming any contract that expires during the next 12 months is renewed on its existing terms (including contracts for which Braze is negotiating a renewal). Braze’s calculation of ARR is not adjusted for the impact of any known or projected future events (such as customer cancellations, expansion or contraction of existing customers relationships or price increases or decreases) that may cause any such contract not to be renewed on its existing terms. ARR may decline or fluctuate as a result of a number of factors, including customers’ satisfaction or dissatisfaction with Braze’s products and professional services, pricing, competitive offerings, economic conditions or overall changes in Braze’s customers’ spending levels. ARR should be viewed independently of revenue and does not represent Braze’s GAAP revenue on an annualized basis or a forecast of revenue, as it is an operating metric that can be impacted by contract start and end dates and renewal rates.


Dollar-Based Net Retention Rate: Braze calculates dollar-based net retention rate as of a period end by starting with the ARR from a cohort of customers as of 12 months prior to such period-end (the Prior Period ARR). Braze then calculates the ARR from the same cohort of customers as of the end of the current period (the Current Period ARR). Current Period ARR includes any expansion and is net of contraction or attrition over the last 12 months, but excludes ARR from new customers in the current period. Braze then divides the total Current Period ARR by the total Prior Period ARR to arrive at the point-in-time dollar-based net retention rate. Braze then calculates the weighted average point-in-time dollar-based net retention rates as of the last day of each month in the current trailing 12-month period to arrive at the dollar-based net retention rate.


Remaining Performance Obligations: The transaction price allocated to remaining performance obligations represents amounts under non-cancelable contracts expected to be recognized as revenue in future periods, and may be influenced by several factors, including seasonality, the timing of renewals, the timing of service delivery and contract terms. Unbilled portions of the remaining performance obligation are subject to future economic risks including bankruptcies, regulatory changes and other market factors.


Forward-Looking Statements


This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding Braze’s financial outlook for the first quarter of and the full fiscal year ended January 31, 2027, any anticipated repurchases by Braze of its Class A common stock, the anticipated performance of and customer value from its products and features, including its BrazeAI products and features, and its future business strategies and plans. These forward-looking statements are based on current expectations, estimates, forecasts and projections. Words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “goal,” “hope,” “intend,” “may,” "might,” “potential,” “predict,” “project,” “shall,” “should,” “target,” “will” and variations of these terms and similar expressions are intended to identify these forward-looking statements, although not all forward-looking statements contain these identifying words.


Forward-looking statements are based on Braze’s current assumptions, expectations and beliefs and are subject to substantial risks, uncertainties, assumptions and changes in circumstances that may cause Braze’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These risks include, but are not limited to, risks and uncertainties related to: (1) the extent to which Braze achieves anticipated financial targets; (2) Braze’s ability to realize its broader strategic and operating objectives; (3) unstable market and economic conditions may have serious adverse consequences on Braze’s business, financial condition and share price; (4) Braze’s recent rapid revenue growth may not be indicative of its future revenue growth; (5) Braze’s history of operating losses; (6) Braze’s limited operating history at its current scale; (7) Braze’s ability to successfully manage its growth; (8) the accuracy of estimates of market opportunity and forecasts of market growth and the impact of global and domestic socioeconomic events on Braze’s business; (9) Braze’s ability and the ability of its platform to adapt and respond to changing customer or consumer needs, requirements or preferences; (10) Braze’s ability to attract new customers and renew existing customers; (11) the competitive markets in which Braze participates and the intense competition that it faces; (12) Braze’s ability to adapt and respond effectively to rapidly changing technology, evolving cybersecurity and data privacy risks, evolving industry standards or changing regulations; and (13) Braze’s reliance on third-party providers of cloud-based infrastructure; as well as other risks and uncertainties discussed in the “Risk Factors” section of Braze’s Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission (SEC) on December 9, 2025, and other subsequent filings Braze makes with the SEC from time to time, including Braze’s Annual Report on Form 10-K for the fiscal year ended January 31, 2026, that will be filed with the SEC. The forward-looking statements included in this press release represent Braze’s views only as of the date of this press release and Braze assumes no obligation, and does not intend to update these forward-looking statements, except as required by law.


Third Party Reports


The Forrester Wave™: Email Marketing Service Providers, Q1 2026, Shar VanBoskirk, March 2026.


The Forrester Wave™ is copyrighted by Forrester Research, Inc. Forrester and Forrester Wave™ are trademarks of Forrester Research, Inc. Forrester does not endorse any company, product, or service included in its research publications and does not advise any person to select the products or services of any company or brand based on the ratings included in such publications. Information is based on the best available resources. Opinions reflect judgment at the time and are subject to change. For more information, read about Forrester’s objectivity at https://www.forrester.com/about-us/objectivity/.


G2.com, Inc., https://www.g2.com/best-software-companies/top-marketing, February 2026.


Message and Internal Data


Message and other internal data included in this press release is approximate and is based on various assumptions. This data is tracked with internal systems and tools that are not independently verified by any third party, and is accordingly subject to adjustment. The methodology underlying the data included in this press release may vary from prior years, and prior year results may not be directly comparable to current results.


About Braze


Braze is the leading customer engagement platform that empowers brands to Be Absolutely Engaging™. Braze helps brands deliver great customer experiences that drive value both for consumers and for their businesses. Built on a foundation of composable intelligence, BrazeAI™ allows marketers to combine and activate AI agents, models, and features at every touchpoint throughout the Braze Customer Engagement Platform for smarter, faster, and more meaningful customer engagement. From cross-channel messaging and journey orchestration to Al-powered decisioning and optimization, Braze enables companies to turn action into interaction through autonomous, 1:1 personalized experiences. The company has repeatedly been recognized as a Leader in marketing technology by industry analysts, and was voted a G2 “Best of Marketing and Digital Advertising Software Product” in 2025. Braze was also named a 2025 Best Companies To Work For by U.S. News & World Report, a 2025 America’s Greatest Companies by Newsweek, and a 2025 Fortune Best Workplace in Technology™ by Great Place To Work®. The company is headquartered in New York with 15 offices across the Americas, EMEA, and APAC. Learn more at braze.com.


Braze uses its Investor website at investors.braze.com as a means of disclosing material non-public information, announcing upcoming investor conferences and for complying with its disclosure obligations under Regulation FD. Accordingly, you should monitor its investor relations website in addition to following its press releases, blog posts on its website (braze.com), SEC filings and public conference calls and webcasts.


Selected Financial Data




BRAZE, INC.








CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS








(in thousands, except per share amounts)








 






 






 






 






 








 






 






Three Months Ended

January 31,






 






Fiscal Year Ended

January 31,








 






 






2026






 






2025






 






2026






 






2025








 







 






 






 






 






 






 






 








Revenue







$






205,170






 






 






$






160,400






 






 






$






738,182






 






 






$






593,410






 








Cost of revenue (1)(2)(5)







 






70,816






 






 






 






49,313






 






 






 






242,525






 






 






 






183,191






 








Gross Profit







 






134,354






 






 






 






111,087






 






 






 






495,657






 






 






 






410,219






 








 







 






 






 






 






 






 






 








Operating expenses:







 






 






 






 






 






 






 








Sales and marketing (1)(2)(5)







 






81,690






 






 






 






69,262






 






 






 






327,012






 






 






 






282,316






 








Research and development (1)(2)







 






45,029






 






 






 






33,600






 






 






 






167,143






 






 






 






133,969






 








General and administrative (1)(2)(3)(4)(5)(6)







 






35,872






 






 






 






29,784






 






 






 






146,259






 






 






 






116,093






 








Total operating expenses







 






162,591






 






 






 






132,646






 






 






 






640,414






 






 






 






532,378






 








Loss from operations







 






(28,237






)






 






 






(21,559






)






 






 






(144,757






)






 






 






(122,159






)








Other income, net







 






3,556






 






 






 






5,589






 






 






 






16,596






 






 






 






21,557






 








Loss before provision for income taxes







 






(24,681






)






 






 






(15,970






)






 






 






(128,161






)






 






 






(100,602






)








Provision for income taxes







 






6,901






 






 






 






1,094






 






 






 






2,625






 






 






 






3,445






 








Net loss







 






(31,582






)






 






 






(17,064






)






 






 






(130,786






)






 






 






(104,047






)








Net income (loss) attributable to redeemable non-controlling interest







 






22






 






 






 






128






 






 






 






501






 






 






 






(304






)








Net loss attributable to Braze, Inc.







$






(31,604






)






 






$






(17,192






)






 






$






(131,287






)






 






$






(103,743






)








 







 






 






 






 






 






 






 








Net loss per share attributable to Braze, Inc. common stockholders, basic and diluted







$






(0.29






)






 






$






(0.17






)






 






$






(1.22






)






 






$






(1.02






)








Weighted-average shares used to compute net loss per share attributable to Braze, Inc. common stockholders, basic and diluted







 






108,539






 






 






 






102,918






 






 






 






107,906






 






 






 






102,189






 









(1) Includes stock-based compensation as follows:











 



 







Three Months Ended

January 31,






 






Fiscal Year Ended

January 31,








 







2026






 






2025






 






2026






 






2025








Cost of revenue







$






1,126






 






 






$






977






 






 






$






4,829






 






 






$






4,022






 








Sales and marketing







 






10,961






 






 






 






9,223






 






 






 






44,017






 






 






 






38,168






 








Research and development







 






15,561






 






 






 






10,381






 






 






 






56,816






 






 






 






43,004






 








General and administrative







 






9,683






 






 






 






7,262






 






 






 






39,239






 






 






 






29,067






 








Total stock-based compensation expense







$






37,331






 






 






$






27,843






 






 






$






144,901






 






 






$






114,261






 









(2) Includes employer taxes related to stock-based compensation as follows:











 



 







Three Months Ended

January 31,






 






Fiscal Year Ended

January 31,








 







2026






 






2025






 






2026






 






2025








Cost of revenue







$






45






 






 






$






33






 






 






$






218






 






 






$






189






 








Sales and marketing







 






425






 






 






 






177






 






 






 






1,563






 






 






 






1,247






 








Research and development







 






580






 






 






 






122






 






 






 






1,924






 






 






 






1,522






 








General and administrative







 






463






 






 






 






117






 






 






 






1,100






 






 






 






684






 








Total employer taxes related to stock-based compensation expense







$






1,513






 






 






$






449






 






 






$






4,805






 






 






$






3,642






 









(3) Includes 1% Pledge charitable donation expense as follows:











 



 







Three Months Ended

January 31,






 






Fiscal Year Ended

January 31,








 







2026






 






2025






 






2026






 






2025








General and administrative







$






691






 






 






$






1,112






 






 






$






3,223






 






 






$






3,876






 









(4) Includes acquisition related expense as follows:











 



 







Three Months Ended

January 31,






 






Fiscal Year Ended

January 31,








 







2026






 






2025






 






2026






 






2025








General and administrative







$






167






 






 






$






—






 






 






$






12,049






 






 






$






—






 









(5) Includes amortization of intangible assets acquired in the acquisition expense as follows:











 



 







Three Months Ended

January 31,






 






Fiscal Year Ended

January 31,








 







2026






 






2025






 






2026






 






2025








Cost of revenue







$






2,362






 






 






$






—






 






 






$






6,300






 






 






$






—






 








Sales and marketing







 






600






 






 






 






—






 






 






 






1,600






 






 






 






—






 








General and administrative







 






79






 






 






 






101






 






 






 






343






 






 






 






560






 








Total amortization of intangible assets







$






3,041






 






 






$






101






 






 






$






8,243






 






 






$






560






 









(6) Includes adjustment to the fair value of the contingent consideration liability as follows:











 



 







Three Months Ended

January 31,






 






Fiscal Year Ended

January 31,








 







2026






 






2025






 






2026






 






2025








General and administrative







$






—






 






 






$






—






 






 






$






—






 






 






$






(223






)























 




BRAZE, INC.








CONDENSED CONSOLIDATED BALANCE SHEETS








(in thousands, except share and per share amounts)








 






 






 








 






 






January 31,








 






 






2026






 






2025








ASSETS







 






 






 








CURRENT ASSETS:







 






 






 








Cash and cash equivalents







$






124,342






 






 






$






83,062






 








Restricted cash, current







 






566






 






 






 






—






 








Accounts receivable, net of allowance of $1,934 and $2,563 at January 31, 2026 and January 31, 2025, respectively







 






122,350






 






 






 






95,234






 








Marketable securities







 






287,580






 






 






 






430,457






 








Prepaid expenses and other current assets







 






33,088






 






 






 






35,273






 








Total current assets







 






567,926






 






 






 






644,026






 








Restricted cash, noncurrent







 






3,430






 






 






 






530






 








Property and equipment, net







 






43,517






 






 






 






38,550






 








Operating lease right-of-use assets







 






72,011






 






 






 






76,147






 








Deferred contract costs







 






100,738






 






 






 






76,766






 








Goodwill







 






261,857






 






 






 






28,448






 








Intangible assets, net







 






61,487






 






 






 






3,130






 








Other assets







 






2,791






 






 






 






3,401






 








TOTAL ASSETS







$






1,113,757






 






 






$






870,998






 








LIABILITIES, REDEEMABLE NON-CONTROLLING INTEREST, AND STOCKHOLDERS' EQUITY







 






 






 








CURRENT LIABILITIES:







 






 






 








Accounts payable







$






1,562






 






 






$






2,150






 








Accrued expenses and other current liabilities







 






95,023






 






 






 






64,189






 








Deferred revenue







 






304,560






 






 






 






239,976






 








Operating lease liabilities, current







 






19,269






 






 






 






18,162






 








Total current liabilities







 






420,414






 






 






 






324,477






 








Operating lease liabilities, noncurrent







 






63,385






 






 






 






69,278






 








Other long-term liabilities







 






5,802






 






 






 






2,494






 








TOTAL LIABILITIES







 






489,601






 






 






 






396,249






 








COMMITMENTS AND CONTINGENCIES (Note 13)







 






 






 








Redeemable non-controlling interest (Note 4)







 






389






 






 






 






(112






)








STOCKHOLDERS’ EQUITY







 






 






 








Class A common stock, $0.0001 par value; 2,000,000,000 and 2,000,000,000 shares authorized as of January 31, 2026 and January 31, 2025, respectively; 112,770,651 and 87,934,059 shares issued and outstanding as of January 31, 2026 and January 31, 2025, respectively







 






11






 






 






 






8






 








Class B common stock, $0.0001 par value; 0 and 110,000,000 shares authorized as of January 31, 2026 and January 31, 2025, respectively; 0 and 16,017,314 shares issued and outstanding as of January 31, 2026 and January 31, 2025, respectively







 






—






 






 






 






2






 








Additional paid-in capital







 






1,340,091






 






 






 






1,062,613






 








Accumulated other comprehensive gain (loss)







 






1,788






 






 






 






(926






)








Accumulated deficit







 






(718,123






)






 






 






(586,836






)








TOTAL STOCKHOLDERS’ EQUITY







 






623,767






 






 






 






474,861






 








TOTAL LIABILITIES, REDEEMABLE NON-CONTROLLING INTEREST, AND STOCKHOLDERS’ EQUITY







$






1,113,757






 






 






$






870,998






 















 




BRAZE, INC.








CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS








(in thousands)








 






 






 








 






 






Fiscal Year Ended

January 31,








 






 






2026






 






2025








CASH FLOWS FROM OPERATING ACTIVITIES:







 






 






 








Net loss (including amounts attributable to redeemable non-controlling interests)







$






(130,786






)






 






$






(104,047






)








Adjustments to reconcile net loss to net cash provided by operating activities:







 






 






 








Stock-based compensation







 






143,738






 






 






 






115,140






 








Amortization of deferred contract costs







 






41,267






 






 






 






35,014






 








Depreciation and amortization







 






19,328






 






 






 






10,115






 








Provision for credit losses







 






666






 






 






 






2,331






 








Value of common stock donated to charity







 






3,223






 






 






 






3,776






 








Accretion of discount on marketable securities







 






(951






)






 






 






(2,079






)








Non-cash foreign exchange (gain) loss







 






(73






)






 






 






(1,033






)








Fair value adjustments to contingent consideration







 






—






 






 






 






(223






)








Fixed asset write offs







 






80






 






 






 






488






 








Other







 






(144






)






 






 






(152






)








Changes in operating assets and liabilities:







 






 






 








Accounts receivable







 






(22,715






)






 






 






(5,363






)








Prepaid expenses and other current assets







 






3,569






 






 






 






(6,629






)








Deferred contract costs







 






(65,249






)






 






 






(48,171






)








ROU assets and liabilities







 






(1,133






)






 






 






1,939






 








Other assets







 






(1,880






)






 






 






(29






)








Accounts payable







 






(601






)






 






 






(3,912






)








Accrued expenses and other current liabilities







 






26,191






 






 






 






3,694






 








Deferred revenue







 






57,137






 






 






 






35,887






 








Other long-term liabilities







 






(229






)






 






 






(66






)








Net cash provided by operating activities







 






71,438






 






 






 






36,680






 








CASH FLOWS FROM INVESTING ACTIVITIES:







 






 






 








Cash paid for acquisition, net of cash acquired







 






(181,854






)






 






 






—






 








Purchases of property and equipment







 






(9,588






)






 






 






(13,234






)








Capitalized internal-use software costs







 






(3,776






)






 






 






(3,814






)








Purchases of marketable securities







 






(151,641






)






 






 






(217,975






)








Maturities of marketable securities







 






175,208






 






 






 






195,353






 








Return of principal on marketable securities







 






120,744






 






 






 






3,200






 








Net cash used in investing activities







 






(50,907






)






 






 






(36,470






)








CASH FLOWS FROM FINANCING ACTIVITIES:







 






 






 








Proceeds from exercise of common stock options







 






15,861






 






 






 






6,906






 








Proceeds from stock associated with employee stock purchase plan







 






7,099






 






 






 






7,705






 








Payments of deferred purchase consideration







 






—






 






 






 






(2,916






)








Net cash provided by financing activities







 






22,960






 






 






 






11,695






 








Effect of foreign currency exchange rate changes on cash, cash equivalents, and restricted cash







 






1,255






 






 






 






(444






)








Net change in cash, cash equivalents, and restricted cash







 






44,746






 






 






 






11,461






 








Cash, cash equivalents, and restricted cash, beginning of period







 






83,592






 






 






 






72,131






 








Cash, cash equivalents, and restricted cash, end of period







$






128,338






 






 






$






83,592






 















 




BRAZE, INC.








U.S. GAAP RECONCILIATION OF NON-GAAP ADJUSTED RESULTS








(in thousands, except per share amounts)











 



The following tables reconcile each non-GAAP financial measure to its most directly comparable GAAP financial measure:











 



Reconciliation of GAAP to Non-GAAP Gross Margin







Three Months Ended

January 31,







Fiscal Year Ended

January 31,








 







2026







2025







2026







2025








 







 







 







 







 








Gross profit







$






134,354






 







$






111,087






 







$






495,657






 







$






410,219






 








Plus:







 







 







 







 








Stock-based compensation expense







 






1,126






 







 






977






 







 






4,829






 







 






4,022






 








Employer taxes related to stock-based compensation expense







 






45






 







 






33






 







 






218






 







 






189






 








Amortization of intangibles expense







 






2,362






 







 






—






 







 






6,300






 







 






—






 








Non-GAAP gross profit







$






137,887






 







$






112,097






 







$






507,004






 







$






414,430






 








GAAP gross margin







 






65.5






%







 






69.3






%







 






67.1






%







 






69.1






%








Non-GAAP gross margin







 






67.2






%







 






69.9






%







 






68.7






%







 






69.8






%









Reconciliation of GAAP to Non-GAAP Operating Expenses







Three Months Ended

January 31,






 






Fiscal Year Ended

January 31,








 







2026






 






2025






 






2026






 






2025








 







 






 






 






 






 






 






 








GAAP sales and marketing expense







$






81,690






 






 






$






69,262






 






 






$






327,012






 






 






$






282,316






 








Less:







 






 






 






 






 






 






 








Stock-based compensation expense







 






10,961






 






 






 






9,223






 






 






 






44,017






 






 






 






38,168






 








Employer taxes related to stock-based compensation expense







 






425






 






 






 






177






 






 






 






1,563






 






 






 






1,247






 








Amortization of intangibles expense







 






600






 






 






 






—






 






 






 






1,600






 






 






 






—






 








Non-GAAP sales and marketing expense







$






69,704






 






 






$






59,862






 






 






$






279,832






 






 






$






242,901






 








 







 






 






 






 






 






 






 








GAAP research and development expense







$






45,029






 






 






$






33,600






 






 






$






167,143






 






 






$






133,969






 








Less:







 






 






 






 






 






 






 








Stock-based compensation expense







 






15,561






 






 






 






10,381






 






 






 






56,816






 






 






 






43,004






 








Employer taxes related to stock-based compensation expense







 






580






 






 






 






122






 






 






 






1,924






 






 






 






1,522






 








Non-GAAP research and development expense







$






28,888






 






 






$






23,097






 






 






$






108,403






 






 






$






89,443






 








 







 






 






 






 






 






 






 








GAAP general and administrative expense







$






35,872






 






 






$






29,784






 






 






$






146,259






 






 






$






116,093






 








Less:







 






 






 






 






 






 






 








Stock-based compensation expense







 






9,683






 






 






 






7,262






 






 






 






39,239






 






 






 






29,067






 








Employer taxes related to stock-based compensation expense







 






463






 






 






 






117






 






 






 






1,100






 






 






 






684






 








1% Pledge charitable contribution expense







 






691






 






 






 






1,112






 






 






 






3,223






 






 






 






3,876






 








Acquisition related expense







 






167






 






 






 






—






 






 






 






12,049






 






 






 






—






 








Amortization of intangibles expense







 






79






 






 






 






101






 






 






 






343






 






 






 






560






 








Contingent consideration adjustment







 






—






 






 






 






—






 






 






 






—






 






 






 






(223






)








Non-GAAP general and administrative expense







$






24,789






 






 






$






21,192






 






 






$






90,305






 






 






$






82,129






 









Reconciliation of GAAP to Non-GAAP Operating Income (Loss)







Three Months Ended

January 31,






 






Fiscal Year Ended

January 31,








 







2026






 






2025






 






2026






 






2025








 







 






 






 






 






 






 






 








Loss from operations







$






(28,237






)






 






$






(21,559






)






 






$






(144,757






)






 






$






(122,159






)








Plus:







 






 






 






 






 






 






 








Stock-based compensation expense







 






37,331






 






 






 






27,843






 






 






 






144,901






 






 






 






114,261






 








Employer taxes related to stock-based compensation expense







 






1,513






 






 






 






449






 






 






 






4,805






 






 






 






3,642






 








1% Pledge charitable contribution expense







 






691






 






 






 






1,112






 






 






 






3,223






 






 






 






3,876






 








Acquisition related expense







 






167






 






 






 






—






 






 






 






12,049






 






 






 






—






 








Amortization of intangibles expense







 






3,041






 






 






 






101






 






 






 






8,243






 






 






 






560






 








Contingent consideration adjustment







 






—






 






 






 






—






 






 






 






—






 






 






 






(223






)








Non-GAAP income (loss) from operations







$






14,506






 






 






$






7,946






 






 






$






28,464






 






 






$






(43






)








GAAP operating margin







 






(13.8






)%






 






 






(13.4






)%






 






 






(19.6






)%






 






 






(20.6






)%








Non-GAAP operating margin







 






7.1






%






 






 






5.0






%






 






 






3.9






%






 






 






0.0






%









Reconciliation of GAAP to Non-GAAP Net Income







Three Months Ended

January 31,






 






Fiscal Year Ended

January 31,








 







2026






 






2025






 






2026






 






2025








 







 






 






 






 






 






 






 








Net loss attributable to Braze, Inc.







$






(31,604






)






 






$






(17,192






)






 






$






(131,287






)






 






$






(103,743






)








Plus:







 






 






 






 






 






 






 








Stock-based compensation expense







 






37,331






 






 






 






27,843






 






 






 






144,901






 






 






 






114,261






 








Employer taxes related to stock-based compensation expense







 






1,513






 






 






 






449






 






 






 






4,805






 






 






 






3,642






 








1% Pledge charitable contribution expense







 






691






 






 






 






1,112






 






 






 






3,223






 






 






 






3,876






 








Acquisition related expense







 






167






 






 






 






—






 






 






 






12,049






 






 






 






—






 








Amortization of intangibles expense







 






3,041






 






 






 






101






 






 






 






8,243






 






 






 






560






 








Contingent consideration adjustment







 






—






 






 






 






—






 






 






 






—






 






 






 






(223






)








Non-GAAP net income attributable to Braze, Inc. (1)







$






11,139






 






 






$






12,313






 






 






$






41,934






 






 






$






18,373






 








 







 






 






 






 






 






 






 








Non-GAAP net income per share attributable to Braze, Inc. common stockholders, basic







$






0.10






 






 






$






0.12






 






 






$






0.39






 






 






$






0.18






 








Non-GAAP net income per share attributable to Braze, Inc. common stockholders, diluted







$






0.10






 






 






$






0.12






 






 






$






0.38






 






 






$






0.17






 








Weighted-average shares used to compute net income per share attributable to Braze, Inc. common stockholders, basic







 






108,539






 






 






 






102,918






 






 






 






107,906






 






 






 






102,189






 








Weighted-average shares used to compute net income per share attributable to Braze, Inc. common stockholders, diluted







 






111,354






 






 






 






106,952






 






 






 






111,150






 






 






 






106,971






 








(1) Assumes no non-GAAP tax expenses associated with the non-GAAP adjustment due to the Company’s historical non-GAAP net loss position and available deferred tax assets sufficient to offset such non-GAAP tax expense.









Reconciliation of GAAP Cash Flow from Operating Activities to Non-GAAP Free Cash Flow







Three Months Ended

January 31,






 






Fiscal Year Ended

January 31,








 







2026






 






2025






 






2026






 






2025








 







 






 






 






 






 






 






 








Net cash provided by operating activities







$






19,375






 






 






$






17,083






 






 






$






71,438






 






 






$






36,680






 








Less:







 






 






 






 






 






 






 








Purchases of property and equipment







 






(4,820






)






 






 






(1,087






)






 






 






(9,588






)






 






 






(13,234






)








Capitalized internal-use software costs







 






(665






)






 






 






(791






)






 






 






(3,776






)






 






 






(3,814






)








Non-GAAP free cash flow







$






13,890






 






 






$






15,205






 






 






$






58,074






 






 






$






19,632






 







Braze is a registered trademark of Braze, Inc.

All product and company names herein may be trademarks of their registered owners.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260324271507/en/
Investors:

Christopher Ferris

IR@braze.com

(609) 964-0585
Media:

Steve Ballerini

Press@braze.com


Original: Braze Reports Fiscal Year and Fourth Quarter 2026 Results