Appian (APPN) Q1 2026 earnings summary

Executive summary

• Q1 2026 total revenue reached $202.2 million, up 21–21.5% year-over-year, with cloud subscriptions revenue at $124.5 million (+24.7–25% YoY) and total subscriptions revenue at $160.3 million (+19% YoY).

• Adjusted EBITDA was $26.6 million, up from $16.8 million YoY, and non-GAAP net income was $19.8 million ($0.27 per share); GAAP net loss was $1.5 million ($0.02 per share).

• Professional services revenue grew 30.5–31% YoY to $41.9 million.

• International revenue accounted for 37.6% of total revenue, and U.S. federal government agencies contributed 25.8%.

• The company raised full-year guidance, citing strong AI-driven demand, robust EMEA performance, and expanded share repurchase authorization to $100 million.

Financial highlights

• Cloud subscription revenue: $124.5 million (+25% YoY); total subscription revenue: $160.3 million (+19% YoY); professional services revenue: $41.9 million (+31% YoY).

• Gross margin: 73.1–74%; subscription gross margin: 85.7–86%; professional services gross margin: 24.7–29%.

• Adjusted EBITDA: $26.6 million (vs. $16.8 million YoY); non-GAAP net income: $19.8 million ($0.27 per share); GAAP net loss: $1.5 million ($0.02 per share).

• Cash and investments: $206 million as of March 31, 2026; cash and cash equivalents: $150 million; $21.8 million in stock repurchases in Q1.

• Cloud net ARR expansion was 115% in Q1 2026.

Outlook and guidance

• Q2 2026 cloud subscription revenue expected at $126–$128 million (+18–20% YoY); total revenue $191–$195 million (+12–14% YoY).

• Full-year 2026 cloud subscription revenue guided to $515–$521 million (+18–19% YoY); total revenue $819–$831 million (+13–14% YoY).

• Adjusted EBITDA for 2026 expected at $97–$105 million; non-GAAP EPS $0.94–$1.05.

• Professional services revenue to grow high single digits in Q2 and low double digits for the year.

• Guidance includes meeting AWS hosting commitments and ongoing investments in sales, marketing, and R&D.