NYSE$AI

C3.ai Inc. · Q4 2024 earnings

Q4 2024 earnings · · Investor relations

Briefing

C3.ai reported strong Q4 2024 financial results with accelerating revenue growth and exceeding guidance.

C3.ai's Q4 revenue grew by 20% year-over-year to $86.6 million, exceeding the top end of guidance. Subscription revenue increased by 41% year-over-year, representing 92% of total revenue. The company closed 47 agreements, including 34 new pilots, and saw significant growth in its Federal business and C3 Generative AI pilots.

  • Total revenue for the quarter was $86.6 million, a 20% increase year-over-year.
  • Subscription revenue for the quarter was $79.9 million, a 41% increase year-over-year, representing 92% of total revenue.
  • GAAP gross profit for the quarter was $51.6 million, with a 60% gross margin.
  • The company closed 47 agreements, including 34 new pilots, diversifying across industries.

Headline financials

Total Revenue

$86.6M

Previous: $72.4M+19.6%
EPS (adj)

-$0.11

Previous: -$0.13+15.4%
Non-GAAP gross margin

70.0%

No prior period
GAAP gross margin

60.0%

Previous: 66.0%-9.1%
Capital Expenditures

-$2.54M

Previous: $10.8M-123.6%
Net Income

-$72.9M

Previous: -$65M-12.3%
Operating Income

-$82.3M

Previous: -$73.3M-12.3%
Gross Profit

$51.6M

Previous: $47.5M+8.6%
R&D Expense

$50.6M

No prior period
Stock-Based Comp

$56.7M

Previous: $48.1M+18.0%

Revenue & EPS history

C3.ai · Revenue · Quarterly

$86.6M

Q4 2024+19.6%vs Q4 2023
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

C3.ai · $109M total across 2 segments · Q4 2025

  • Subscription
    $87.3M
  • Professional services
    $21.4M

Forward guidance

C3 AI expects revenue growth to accelerate to approximately 23% in FY25 and plans to continue investing in growth.

Tailwinds

  • Expecting additional acceleration of C3 AI revenue growth to approximately 23% in FY25.
  • Planning to continue to invest in growth to build a long-term cash generating profitable market leader in Enterprise AI.
  • First Quarter Fiscal 2025 Total revenue guidance: $84.0 - $89.0 million
  • Full Year Fiscal 2025 Total revenue guidance: $370.0 - $395.0 million
  • First Quarter Fiscal 2025 Non-GAAP loss from operations guidance: $(22.0) - $(30.0) million

Headwinds

  • Full Year Fiscal 2025 Non-GAAP loss from operations guidance: $(95.0) - $(125.0) million
  • A reconciliation of non-GAAP guidance measures to corresponding GAAP measures is not available on a forward-looking basis without unreasonable effort due to the uncertainty regarding expenses that may be incurred in the future.
  • Stock-based compensation expense-related charges, including employer payroll tax-related items on employee stock transactions, are impacted by the timing of employee stock transactions, the future fair market value of our common stock, and our future hiring and retention needs, all of which are difficult to predict and subject to constant change.
  • Our history of losses and ability to achieve and maintain profitability in the future
  • Our historic dependence on a limited number of existing customers that account for a substantial portion of our revenue

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

-1.0%

Avg return

Earnings day

-3.2%

Avg return

5 days after

-5.2%

Avg return

30 days after

41%

9 / 22 earnings

Positive

+37.4%

Q3 2023

Best reaction

-21.1%

Q1 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026-1.3%-0.5%+24.7%
Q3 2026+0.5%-11.7%-24.7%
Q2 2026+4.1%+6.8%-8.4%
Q1 2026-9.1%-5.6%+14.9%
Q4 2025+20.7%+11.5%+5.3%
Q3 2025-9.7%-16.4%-17.5%
Q2 2025+3.0%-2.6%-17.8%
Q1 2025-9.9%-8.8%+2.7%
Q4 2024+18.5%+22.2%+20.2%
Q3 2024+22.8%+13.2%-10.1%
Q2 2024-13.4%-6.3%-9.3%
Q1 2024-12.2%-10.2%-21.3%
Q4 2023-15.6%-19.6%-17.1%
Q3 2023+37.4%+26.1%+61.9%
Q2 2023+7.6%+10.1%-8.7%
Q1 2023-21.1%-21.2%-32.1%
Q4 2022-6.9%+1.4%+1.2%
Q3 2022+6.3%-7.6%+4.4%
Q2 2022-18.7%-18.2%-15.4%
Q1 2022-7.5%-1.8%-11.0%
Q4 2021-4.9%-15.1%-15.6%
Q3 2021-12.4%-15.4%-41.4%
Q2 2021
Q1 2021
Q4 2020
Q3 2020
Q2 2020
Q1 2020

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