Gloo (GLOO) Q1 2027 earnings summary

Executive summary

• Q1 2026 revenue reached $41.5 million, surging 238% year-over-year and surpassing guidance and analyst consensus.

• Adjusted EBITDA loss improved to negative $11.5 million, a $7 million sequential improvement and 30% better year-over-year.

• Net loss narrowed to $17.1 million from $27.0 million year-over-year, reflecting improved operating leverage.

• Acquisitions and AI integration, including EMD, Midwestern, Masterworks, and Igniter, drove growth and expanded capabilities.

• Strong demand from large strategic customers and successful integration of acquisitions fueled business momentum.

Financial highlights

• Platform revenue was $24.1 million (184% YoY growth), and platform solutions revenue was $17.4 million (358% YoY growth).

• Cost of revenue improved to 67.7% of total revenue from 72.1% a year ago, with gross margin at 32.3%.

• Operating expenses decreased $8.4 million sequentially, supporting margin improvement.

• Cash and cash equivalents stood at $33 million as of April 30, 2026.

• Debt totaled $33.8 million, with $17.8 million classified as current and no available borrowing capacity.

Outlook and guidance

• FY 2026 revenue guidance raised by $5 million to $195 million.

• Q2 2026 revenue expected at $44 million, with adjusted EBITDA loss narrowing to -$8.5 million.

• Adjusted EBITDA expected to approach breakeven in Q3 and reach profitability in Q4 2026.

• Management sees substantial opportunity in scaling AI capabilities and cross-selling bundled offerings.

• There is substantial doubt about the company’s ability to continue as a going concern without additional capital or profitability.