Couchbase (BASE) Q4 2025 earnings summary

Executive summary

• Ended fiscal 2025 with record Q4 results, exceeding guidance on revenue, ARR, and free cash flow, with strong Capella adoption and robust customer expansion.

• Achieved $237.9M in Q4 ARR, 17% year-over-year growth, and 947 total customers, including 305 with over $100K ARR and 50 with over $1M ARR.

• Capella cloud platform accelerated growth, now 16.2% of total ARR and 33% of customer base, with new AI-focused services launched.

• Leadership transition: CFO Greg Henry departing, Bill Carey named interim CFO.

• Capella received industry recognition and expanded with perpetual free tier and Capella iQ.

Financial highlights

• Q4 revenue: $54.9M, up 10% year-over-year; full-year revenue: $209.5M, up 16%; software revenue: $200.4M, up 17%.

• Q4 non-GAAP operating loss: $144K; Q4 net income: $78K; full-year non-GAAP net loss: $10.4M.

• Q4 free cash flow: $4M (7.3% margin), highest in company history; full-year free cash flow: -$18.8M, improved from -$31.6M in FY24.

• Ended Q4 with $147.2M in cash, cash equivalents, and short-term investments.

• Q4 gross margin: 89.4% (non-GAAP); full-year: 88.9%.

Outlook and guidance

• Q1 FY26 revenue expected: $55.1–$55.9M; ARR: $242.9–$245.9M; non-GAAP operating loss: $5.4–$4.4M.

• Full-year FY26 revenue expected: $228–$232M; ARR: $273.6–$278.6M; non-GAAP operating loss: -$13.4M to -$8.4M.

• Targeting double-digit revenue and ARR growth, with positive free cash flow and operating income by FY27.

• Operating expense ratios expected to decline, with S&M at 38-40%, R&D at 20-22%, and G&A at 9-11% of revenue.