Sprinklr Announces Fourth Quarter and Full Year Fiscal 2025 Results
•Q4 Total Revenue of $202.5 million, up 4% year-over-year
•Q4 Subscription Revenue of $182.1 million, up 3% year-over-year
•Q4 net cash provided by operating activities of $5.4 million and free cash flow* of $1.5 million in Q4
•RPO and cRPO up 2% and 4% year-over-year, respectively
•149 $1 million customers, up 18% year-over-year
•Recognized a Q4 non-cash, income tax benefit of $87.1 million related to release of valuation allowance

NEW YORK, New York--March 12, 2025--Sprinklr (NYSE: CXM), the unified customer experience management (Unified-CXM) platform for modern enterprises, today reported financial results for its fourth quarter and fiscal year ended January 31, 2025.
“We are encouraged by our Q4 results driven by several large customer deals across both Core and Sprinklr Service,” said Rory Read, Sprinklr President and CEO. Read continued, “The transformation of Sprinklr is well underway, with swift actions taken to optimize our expense base, re-define our GTM coverage model, strengthen our product innovation roadmaps, and rebalance our investments and resources to better serve our customers and partners. FY 26 will be a transition year for Sprinklr as we execute our strategy that we believe will position the company to drive durable, efficient growth as we march towards the Rule of 40.”

Fourth Quarter Fiscal 2025 Financial Highlights
•Revenue: Total revenue for the fourth quarter was $202.5 million, up from $194.2 million one year ago, an increase of 4% year-over-year. Subscription revenue for the fourth quarter was $182.1 million, up from $177.0 million one year ago, an increase of 3% year-over-year.
•Operating Income and Margin*: Fourth quarter GAAP operating income was $10.5 million, compared to operating income of $18.5 million one year ago. Non-GAAP operating income for the fourth quarter was $25.9 million, compared to non-GAAP operating income of $32.4 million one year ago. For the fourth quarter, GAAP operating margin was 5% and non-GAAP operating margin was 13% compared to GAAP operating margin of 10% and non-GAAP operating margin of 17% in the fourth quarter of fiscal year 2024.
•Net Income Per Share*: Fourth quarter GAAP net income per share, diluted was $0.37, compared to GAAP net income per share, diluted of $0.07 in the fourth quarter of fiscal year 2024. Non-GAAP net income per share, diluted for the fourth quarter was $0.10, compared to non-GAAP net income per share, diluted of $0.12 in the fourth quarter of fiscal year 2024.
•Cash, Cash Equivalents and Marketable Securities: Total cash, cash equivalents and marketable securities as of January 31, 2025 was $483.5 million.

Full Year Fiscal 2025 Financial Highlights
•Revenue: Total revenue for fiscal year 2025 was $796.4 million, up from $732.4 million one year ago, an increase of 9% year-over-year. Subscription revenue for fiscal year 2025 was $717.9 million, up from $668.5 million one year ago, an increase of 7% year-over-year.
•Operating Income and Margin*: Fiscal year 2025 operating income was $24.0 million, compared to an operating income of $33.9 million one year ago. Non-GAAP operating income for fiscal year 2025 was $84.8 million, compared to non-GAAP operating income of $92.0 million one year ago. For fiscal year 2025, GAAP operating margin was 3% and non-GAAP operating margin was 11% compared to GAAP operating margin of 5% and non-GAAP operating margin of 13% in fiscal year 2024.
•Net Income Per Share*: Fiscal year 2025 GAAP net income per share, diluted was $0.44, compared to GAAP net income per share, diluted of $0.18 in fiscal year 2024. Non-GAAP net income per share, diluted for fiscal year 2025 was $0.35, compared to non-GAAP net income per share, diluted of $0.38 in fiscal year 2024.

* Free cash flow, non-GAAP operating income, non-GAAP operating margin and non-GAAP net income per share are non-GAAP financial measures defined under “Non-GAAP Financial Measures,” and are reconciled to net cash provided by operating activities, operating income, net income or net income per share, as applicable, the closest comparable GAAP measure, at the end of this release.






Financial Outlook
Sprinklr is providing the following guidance for the first fiscal quarter ending April 30, 2025:
•Subscription revenue between $182 million and $183 million.
•Total revenue between $201.5 million and $202.5 million.
•Non-GAAP operating income between $31.5 million and $32.5 million.
•Non-GAAP net income per share of approximately $0.10, assuming 269 million diluted weighted-average shares outstanding.

Sprinklr is providing the following guidance for the full fiscal year ending January 31, 2026:
•Subscription revenue between $741 million and $743 million.
•Total revenue between $821.5 million and $823.5 million.
•Non-GAAP operating income between $129 million and $131 million.
•Non-GAAP net income per share between $0.38 and $0.39, assuming 277 million diluted weighted-average shares outstanding.

Non-GAAP Financial Measures
In addition to our results determined in accordance with U.S. GAAP, we believe that the following non-GAAP financial measures associated with our consolidated statements of operations are useful in evaluating our operating performance:
•Non-GAAP gross profit and non-GAAP gross margin;
•Non-GAAP operating income and non-GAAP operating margin; and
•Non-GAAP net income and non-GAAP net income per share.
We define these non-GAAP financial measures as the respective U.S. GAAP measures, excluding, as applicable, stock-based compensation expense and related charges, amortization of acquired intangible assets and release of U.S. federal and state valuation allowances, as well as other one-time charges and benefits, such as restructuring charges, costs associated with acquisitions, litigations and facility exit costs. We believe that it is useful to exclude these items in order to better understand the long-term performance of our core business and to facilitate comparison of our results to those of peer companies over multiple periods
In addition, we believe that free cash flow is also a useful non-GAAP financial measure. Free cash flow is defined as net cash provided by operating activities less cash used for purchases of property and equipment and capitalized internal-use software. We believe that free cash flow is a useful indicator of liquidity as it measures our ability to generate cash, or our need to access additional sources of cash, to fund operations and investments. We expect our free cash flow to fluctuate in future periods with changes in our operating expenses and as we continue to invest in our growth. We typically experience higher billings in the fourth quarter compared to other quarters and experience higher collections of accounts receivable in the first half of the year, which results in a decrease in accounts receivable in the first half of the year.
However, non-GAAP financial measures have limitations in their usefulness to investors because they have no standardized meaning prescribed by U.S. GAAP and are not prepared under any comprehensive set of accounting rules or principles. In addition, other companies, including companies in our industry, may calculate similarly titled non-GAAP financial measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of our non-GAAP financial measures as tools for comparison. As a result, our non-GAAP financial measures are presented for supplemental informational purposes only and should not be considered in isolation or as a substitute for our consolidated financial statements presented in accordance with U.S. GAAP.
Sprinklr has not reconciled its financial outlook expectations as to non-GAAP operating income, or as to non-GAAP net income per share, to their respective most directly comparable U.S. GAAP measures as a result of the high variability, complexity and low visibility with respect to the charges excluded from these non-GAAP measures, in particular, the measures and effects of stock-based compensation expense specific to equity compensation awards that are directly impacted by unpredictable fluctuations in our stock price. We expect the variability of the above charges to have a significant, and potentially unpredictable, impact on our future U.S. GAAP financial results. Accordingly, reconciliation is not available without unreasonable effort, although it is important to note that these factors could be material to Sprinklr’s results computed in accordance with U.S. GAAP.

Conference Call Information
Sprinklr will host a conference call today, March 12, 2025, to discuss fourth quarter and full year fiscal 2025 financial results, as well as the first quarter and full year fiscal 2026 outlook, at 8:30 a.m. Eastern Time, 5:30 a.m. Pacific Time. Investors are invited to join the webcast by visiting: https://investors.sprinklr.com/. To access the call by phone, dial 877-459-3955 (domestic) or 201-689-8588 (international). The conference ID number is 13751827. The webcast will be available live, and a replay will be available following completion of the live broadcast for approximately 90 days.




About Sprinklr, Inc.
Sprinklr is a leading enterprise software company for all customer-facing functions. With advanced AI, Sprinklr’s unified customer experience management (Unified-CXM) platform helps companies deliver human experiences to every customer, every time, across any modern channel. Headquartered in New York City with employees around the world, Sprinklr works with more than 1,900 valuable enterprises — global brands like Microsoft, P&G, Samsung and 60% of the Fortune 100. Sprinklr is redefining the world's ability to make every customer experience extraordinary.

Forward-Looking Statements
This press release contains express and implied “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding our financial outlook for the first quarter and full year fiscal 2026 and the impact of, and our ability to execute, our corporate strategies and business initiatives. In some cases, you can identify forward-looking statements by terms such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “project,” “will,” “would,” “should,” “could,” “can,” “predict,” “potential,” “target,” “explore,” “continue,” or the negative of these terms, and similar expressions intended to identify forward-looking statements. By their nature, these statements are subject to numerous uncertainties and risks, including factors beyond our control, that could cause actual results, performance, or achievement to differ materially and adversely from those anticipated or implied in the statements, including: our rapid growth may not be indicative of our future growth; our revenue growth rate has fluctuated in prior periods; our ability to achieve or maintain profitability; we derive the substantial majority of our revenue from subscriptions to our Unified-CXM platform; our ability to manage our growth and organizational change; the market for Unified-CXM solutions is rapidly evolving; our ability to attract new customers in a manner that is cost-effective and assures customer success; our ability to attract and retain customers to use our products; our ability to drive customer subscription renewals and expand our sales to existing customers; our ability to effectively develop platform enhancements, introduce new products or keep pace with technological developments; the market in which we participate is new and rapidly evolving and our ability to compete effectively; our business and growth depend in part on the success of our strategic relationships with third parties; our ability to develop and maintain successful relationships with partners who provide access to data that enhances our Unified-CXM platform’s artificial intelligence capabilities; the majority of our customer base consists of large enterprises, and we currently generate a significant portion of our revenue from a relatively small number of enterprises; our investments in research and development; our ability to expand our sales and marketing capabilities; our sales cycle with enterprise and international clients can be long and unpredictable; certain of our results of operations and financial metrics may be difficult to predict; our ability to maintain data privacy and data security; we rely on third-party data centers and cloud computing providers; the sufficiency of our cash and cash equivalents to meet our liquidity needs; our ability to comply with modified or new laws and regulations applying to our business; our ability to successfully enter into new markets and manage our international expansion; the attraction and retention of qualified employees and key personnel; our ability to effectively manage our growth and future expenses and maintain our corporate culture; our ability to maintain, protect, and enhance our intellectual property rights; unstable market and economic conditions, including as a result of fluctuations in inflation and interest rates, bank closures or instability, public health crises and geopolitical actions, such as war and terrorism or the perception that such hostilities may be imminent; and our ability to successfully defend litigation brought against us. Additional risks and uncertainties that could cause actual outcomes and results to differ materially from those contemplated by the forward-looking statements are or will be discussed in our Quarterly Report on Form 10-Q for the quarter ended October 31, 2024, filed with the SEC on December 4, 2024, under the caption “Risk Factors,” and in other filings that we make from time to time with the SEC, including our Annual Report on Form 10-K for the year ended January 31, 2025. Forward-looking statements speak only as of the date the statements are made and are based on information available to Sprinklr at the time those statements are made and/or management’s good faith belief as of that time with respect to future events. Sprinklr assumes no obligation to update forward-looking statements to reflect events or circumstances after the date they were made, except as required by law.

Key Business Metrics
RPO. RPO, or remaining performance obligations, represents contracted revenues that have not yet been recognized, and include deferred revenue and amounts that will be invoiced and recognized in future periods.
cRPO. cRPO, or current RPO, represents contracted revenues that have not yet been recognized, and include deferred revenue and amounts that will be invoiced and recognized in the next 12 months.
Investor Relations:
ir@sprinklr.com
Media & Press:
pr@sprinklr.com



Sprinklr, Inc.
Consolidated Balance Sheets
(in thousands)
January 31,
2025		January 31,
2024
Assets
Current assets:
Cash and cash equivalents$145,270 $164,024 
Marketable securities338,189 498,531 
Accounts receivable, net of allowance of $8.1 million and $5.3 million, respectively
285,656 267,731 
Prepaid expenses and other current assets84,982 70,690 
Total current assets854,097 1,000,976 
Property and equipment, net31,591 32,176 
Goodwill and other intangible assets49,957 50,145 
Operating lease right-of-use assets44,626 31,058 
Other non-current assets203,928 108,755 
Total assets$1,184,199 $1,223,110 
Liabilities and stockholders’ equity
Liabilities
Current liabilities:
Accounts payable$27,353 $34,691 
Accrued expenses and other current liabilities79,285 93,187 
Operating lease liabilities, current7,462 5,730 
Deferred revenue403,483 374,552 
Total current liabilities517,583 508,160 
Deferred revenue, non-current6,276 506 
Deferred tax liability, non-current35 1,474 
Operating lease liabilities, non-current41,243 27,562 
Other liabilities, non-current6,999 5,704 
Total liabilities572,136 543,406 
Commitments and contingencies
Stockholders’ equity
Class A common stock4 4 
Class B common Stock4 4 
Treasury stock(23,831)(23,831)
Additional paid-in capital1,268,920 1,182,150 
Accumulated other comprehensive loss(6,969)(3,836)
Accumulated deficit(626,065)(474,787)
Total stockholders’ equity612,063 679,704 
Total liabilities and stockholders’ equity$1,184,199 $1,223,110 



Sprinklr, Inc.
Consolidated Statements of Operations
(in thousands, except per share data)
(unaudited)
Three Months Ended January 31,Year Ended January 31,
2025202420252024
Revenue:
  Subscription $182,067 $176,960 $717,923 $668,541 
  Professional services20,472 17,247 78,47163,819
Total revenue202,539 194,207 796,394 732,360 
Costs of revenue:
  Costs of subscription (1)
38,131 30,896140,730116,032
  Costs of professional services (1)
20,685 16,65381,34863,369
Total costs of revenue58,816 47,549 222,078 179,401 
Gross profit143,723 146,658 574,316 552,959 
Operating expenses:
  Research and development (1)
22,55823,06291,99991,292
  Sales and marketing (1)
76,10177,083321,658321,849
  General and administrative (1)
34,60528,053136,689105,873
Total operating expenses133,264 128,198 550,346 519,014 
Operating income10,459 18,460 23,970 33,945 
Other income, net4,9138,25324,32226,577
Income before provision for income taxes15,372 26,713 48,292 60,522 
(Benefit) provision for income taxes(83,307)5,570(73,317)9,119
Net income$98,679 $21,143 $121,609 $51,403 
Net income per share, basic$0.39 $0.08 $0.47 $0.19 
Weighted average shares used in computing net income per share, basic254,911274,062260,241269,974
Net income per share, diluted$0.37 $0.07 $0.44 $0.18 
Weighted average shares used in computing net income per share, diluted266,910288,517274,773287,093
(1) Includes stock-based compensation expense, net of amounts capitalized, as follows:
Three Months Ended January 31,Year Ended January 31,
(in thousands)2025202420252024
Costs of subscription $378 $272 $1,323 $1,130 
Costs of professional services306 311 1,387 1,450 
Research and development3,100 2,474 11,404 11,566 
Sales and marketing4,834 6,079 21,331 24,477 
General and administrative6,722 4,516 24,072 17,134 
Stock-based compensation expense, net of amounts capitalized$15,340 $13,652 $59,517 $55,757 



Sprinklr, Inc.
Consolidated Statements of Cash Flows
(in thousands)
Year ended January 31,
20252024
Cash flow from operating activities:
Net income$121,609 $51,403 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization expense18,679 15,466 
Provision for credit losses11,560 5,906 
Stock-based compensation expense, net of amounts capitalized59,517 55,757 
Non-cash lease expense8,188 8,352 
Deferred income taxes(88,069)(2,668)
Net amortization/accretion on marketable securities(12,544)(17,009)
Other non-cash items, net 207 107 
Changes in operating assets and liabilities:
Accounts receivable(30,010)(68,709)
Prepaid expenses and other current assets(15,503)8,675 
Other non-current assets(9,560)(25,577)
Accounts payable(7,048)3,325 
Operating lease liabilities(5,570)(8,019)
Accrued expenses and other current liabilities(12,487)(6,515)
Litigation settlement— — 
Deferred revenue37,473 49,813 
Other liabilities1,148 1,158 
Net cash provided by operating activities77,590 71,465 
Cash flow from investing activities:
Purchases of marketable securities(396,154)(604,648)
Proceeds from sales and maturities of marketable securities568,713 514,403 
Purchases of property and equipment(5,802)(8,548)
Capitalized internal-use software(12,631)(11,777)
Net cash provided by (used in) investing activities154,126 (110,570)
Cash flow from financing activities:
Proceeds from issuance of common stock upon exercise of stock options19,908 43,333 
Proceeds from issuance of common stock upon ESPP purchase5,807 7,437 
Payments for repurchase of Class A common shares(273,873)(26,684)
Net cash (used in) provided by financing activities(248,158)24,086 
Effect of exchange rate fluctuations on cash, cash equivalents, and restricted cash(2,454)(939)
Net change in cash, cash equivalents, and restricted cash(18,896)(15,958)
Cash, cash equivalents and restricted cash at beginning of period
172,429 188,387 
Cash, cash equivalents and restricted cash at end of period
$153,533 $172,429 




Sprinklr, Inc.
Reconciliation of Non-GAAP Measures
(in thousands)
(unaudited)
Three Months Ended January 31,Year Ended January 31,
2025202420252024
Non-GAAP gross profit:
GAAP gross profit$143,723 $146,658 $574,316 $552,959 
Stock-based compensation expense-related charges (1)
686 590 2,750 2,625 
Non-GAAP gross profit$144,409 $147,248 $577,066 $555,584 
Gross margin71 %76 %72 %76 %
Non-GAAP gross margin71 %76 %72 %76 %
Non-GAAP operating income:
GAAP operating income$10,459 $18,460 $23,970 $33,945 
Stock-based compensation expense-related charges (2)
15,420 13,859 60,663 57,902 
Amortization of acquired intangible assets— 50 118 200 
Non-GAAP operating income$25,879 $32,368 $84,751 $92,046 
Operating margin5 %10 %3 %5 %
Non-GAAP operating margin13 %17 %11 %13 %
Free cash flow:
Net cash provided by operating activities$5,365 $17,303 $77,590 $71,465 
Purchase of property and equipment(802)(2,054)(5,802)(8,548)
Capitalized internal-use software(3,022)(2,986)(12,631)(11,777)
Free cash flow$1,541 $12,263 $59,157 $51,140 
(1) Employer payroll tax related to stock-based compensation for the periods ended January 31, 2025, and 2024 was immaterial as to the impact to gross profit.
(2) Includes $0.1 million and $0.2 million of employer payroll tax related to stock-based compensation expense for the three months ended January 31, 2025, and 2024, respectively, and $1.1 million and $2.1 million of employer payroll tax related to stock-based compensation expense for the years ended January 31, 2025, and 2024, respectively.







Three Months Ended January 31,
20252024
(in thousands)Per Share-BasicPer Share-Diluted(in thousands)Per Share-BasicPer Share-Diluted
Non-GAAP Net Income reconciliation to Net Income
Net income$98,679 $0.39 $0.37 $21,143 $0.08 $0.07 
Add:
Stock-based compensation expense-related charges15,420 0.060.0613,859 0.050.05
Amortization of acquired intangible assets— 0.000.0050 0.000.00
Release of U.S. federal and state valuation allowances(87,058)(0.34)(0.33)— 0.000.00
Total additions, net(71,638)(0.28)(0.27)13,909 0.05 0.05 
Non-GAAP Net Income$27,041 $0.11 $0.10 $35,052 $0.13 $0.12 
Weighted-average shares outstanding254,911 266,910 274,062 288,517 
Year Ended January 31,
20252024
(in thousands)Per Share-BasicPer Share-Diluted(in thousands)Per Share-BasicPer Share-Diluted
Non-GAAP Net Income reconciliation to Net Income
Net income$121,609 $0.47 $0.44 $51,403 $0.19 $0.18 
Add:
Stock-based compensation expense-related charges60,663 0.230.2257,902 0.220.20
Amortization of acquired intangible assets118 0.000.00200 0.000.00
Release of U.S. federal and state valuation allowances(87,058)(0.33)(0.31)— 0.000.00
Total additions, net(26,277)(0.10)(0.09)58,102 0.22 0.20 
Non-GAAP Net Income$95,332 $0.37 $0.35 $109,505 $0.41 $0.38 
Weighted-average shares outstanding260,241 274,773 269,974 287,093