C3 AI Announces Fiscal Third Quarter 2023 Financial Results
Revenue
“As we enter Q4 FY 23, we are seeing tailwinds from improved business optimism and increased interest in applying C3 AI solutions to address an increasing range of applications across a broad range of industries,” said
“In the course of the third quarter we validated our transition to a consumption-based pricing model, expanded our partner ecosystem, expanded our business pipeline, and delivered industry leading product innovation in enterprise AI. We remain on track to become cash positive and non-GAAP profitable by the end of FY 24,” Siebel continued. “The results speak for themselves.”
Fiscal Third Quarter 2023 Financial Highlights
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Revenue: Total revenue for the quarter was
$66.7 million , exceeding guidance of$63.0 million to$65.0 million . -
Subscription Revenue: Subscription revenue for the quarter was
$57.0 million , constituting 85.6% of revenue. -
Gross Profit: GAAP gross profit for the quarter was
$44.4 million , representing a 67% gross margin. Non-GAAP gross profit for the quarter was$51.0 million , representing a 76% non-GAAP gross margin. -
Remaining Performance Obligations (“RPO”): GAAP RPO was
$403.2 million . Our GAAP RPO represents 151% of Q3 annualized revenue. Non-GAAP RPO was$436.3 million . -
Current RPO: Current RPO of
$176.3 million , an increase of 7% compared to$164.5 million one quarter ago. -
Net Loss per Share: GAAP net loss per share was
$(0.57) . Non-GAAP net loss per share was$(0.06) . - Customer Count: Customer count was 236.
-
Cash Reserves: With
$789.8 million in cash, cash equivalents, and investments, we believe C3 AI is well positioned to sustain equity market turbulence and to continue to invest in growth through enterprise AI innovation and sales expansion, while sustaining our path to profitability.
C3 AI Partner Model Successes
In the third quarter we established, reestablished, and substantially expanded our go-to-market partnerships.
-
C3 AI and
Google Cloud closed deals with eight new customers and expanded our joint pipeline. Our combined sales teams have identified 291 enterprise opportunities for our joint solutions, over 100 of which we are currently engaged in licensing discussions.Thomas Kurian ,Google Cloud CEO, andThomas Siebel , C3 AI CEO, held a joint meeting with a number of clients, prospects, and partners in theU.S. Federal region. Substantial progress has been made to ensure that all C3 AI products perform optimally in theGoogle Cloud environment. We further expanded our partnership agreement so that customers can purchase C3 AI software solutions on theGoogle Cloud Marketplace . Together C3 AI andGoogle Cloud have closed transactions with two global Consumer Packaged Goods companies, three High Tech and Telecom companies, and a largeCanadian Financial Services company. - C3 AI and AWS renewed and expanded our go-to-market partnership. AWS funded C3 AI to enhance C3 AI Law Enforcement optimized for AWS, integrating Amazon OpenSearch and AWS Machine Learning services to enhance the speed and quality of analysis for state and local agencies using the application on AWS. C3 AI and AWS are jointly pursuing 75 new opportunities, of which 41 appear highly qualified; and we closed 6 new agreements in the quarter.
-
C3 AI and Azure collaborated to close a global U.S. Energy company and a European Technology company serving the Construction and Mining sectors. We cooperated to deliver a highly successful pilot engagement to a large
U.S. Defense Agency . -
C3 AI and
Booz Allen established a highly strategic partnership in December focused on providing solutions for the Government, Defense, and Intelligence sectors. C3 AI andBooz Allen are jointly going to market with the C3 AI Platform and suite of pre-built C3 AI Applications. Together the companies have cross trained employees on the C3 AI Platform; are actively pursuing six highly qualified large opportunities; and we already closed our first engagement with the Chief Digital Artificial Intelligence Office (“CDAO”). - C3 AI and Accenture renewed our partnership to help customers drive product innovation, design and development to provide strategic support and systems integration at scale, drawing on Accenture’s experience to transform asset management across industries to help improve profitability and reduce risk. Together the companies have rapidly trained Accenture employees on the C3 AI Platform and have already collaborated to close two pilot deals in the Consumer Packaged Goods and Oil & Gas sectors; are actively engaged with a large Oil & Gas services company; and have generated several new opportunities with target accounts.
-
C3 AI and EY entered into a teaming agreement to address the needs of the Healthcare industry in the
UK . -
C3 AI and Peraton entered into a teaming agreement to address the modernization of the
Veterans Administration . -
C3 AI and
Baker Hughes substantially expanded their strategic partnership. The terms of this expansion resulted in an incremental C3 AI booking of$32.5 million , and the frequency of payments due fromBaker Hughes was accelerated over the term of the agreement. C3 AI agreed to provide additional products and services toBaker Hughes , and providedBaker Hughes additional flexibility in the manner in which they sell C3 AI products and services. The expanded agreement also enablesBaker Hughes to extend the term of the agreement beyond its six-year term. We believe the partnership withBaker Hughes has enhanced our credibility in the Oil & Gas and Chemicals markets. As a result of our partnership withBaker Hughes , combining both joint selling through the partnership and the sales we have closed independently, C3 AI has closed 87 contracts in the Oil & Gas and Chemical industries including LyondellBasell, Shell, ExxonMobil,Petronas , ENI,Aramco , Qatargas, ADNOC, PTTGC, Yokogawa,Baker Hughes , Braskem, and others, from which we have closed over$650 million in bookings and recognized over$350 million in revenue through Q3 FY 23.
C3 AI ESG. C3 AI’s most mature application in market is C3 AI Energy Management. Initially released in Spring 2010, this product is used to measure and manage the energy and greenhouse gas footprint at over 6 million residences and businesses today. In
C3 AI Intellectual Property. C3 AI continues to make significant investments in technology innovation. We have been awarded 26 patents to date and have an additional 96 patents pending. One of our most important inventions is the model driven architecture for enterprise AI applications – the core architecture of the C3 AI Platform. We have been issued several patents for this architecture, including Systems, Methods, and Devices for an Enterprise AI Application Development Platform, Siebel, et al.
C3 Generative AI. By combining the utility of the C3 AI Platform, predictive analytics, enterprise search, natural language processing, generative pre-trained transformers, and reinforcement learning, we have developed a novel technique to fundamentally improve the nature and utility of the human-computer interface for enterprise applications. We believe that this represents a breakthrough development that will dramatically facilitate the ease of use and explainability of enterprise AI applications, in addition to providing users immediate controlled access to potentially the entire corpus of data and information systems within an enterprise. We expect C3 Generative AI for Enterprise Search to be incorporated into the C3 AI Platform and C3 AI Applications and generally available in Spring 2023. It is currently being deployed as a utility in the C3 AI Platform, at
Our pipeline of qualified opportunities for the coming year is in excess of 500. As a result of our successful transition to consumption-based pricing our pilot pipeline has increased, the number of deals we are closing in quarter is increasing, our average selling price is decreasing, our partnerships are strengthening, and our innovation accelerates apace – all of which portend the opportunity for substantially increased revenue growth in FY 24, and beyond while we simultaneously manage the company on a well-engineered path to profitability.
Financial Outlook:
The Company’s guidance includes GAAP and non-GAAP financial measures.
The following table summarizes C3 AI’s guidance for the fourth quarter of fiscal 2023 and full-year fiscal 2023:
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(in millions) |
Fourth Quarter Fiscal 2023
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Full Year Fiscal 2023
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Total revenue |
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Non-GAAP loss from operations |
( |
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( |
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, and the potential variability of, 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. We have provided a reconciliation of GAAP to non-GAAP financial measures in the financial statement tables for our historical non-GAAP results included in this press release. Our fiscal year ends
Conference Call Details
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What: |
C3 AI Third Quarter Fiscal 2023 Financial Results Conference Call |
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When: |
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Time: |
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Participant Registration: |
https://register.vevent.com/register/BI475641e7eb5043d3b21151cf2869c07b (live call) |
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Webcast: |
https://edge.media-server.com/mmc/p/barehejb (live and replay) |
Investor Presentation Details
An investor presentation providing additional information and analysis can be found at our investor relations page at ir.c3.ai.
Statement Regarding Use of Non-GAAP Financial Measures
The Company reports the following non-GAAP financial measures, which have not been prepared in accordance with generally accepted accounting principles in
- Non-GAAP gross profit, non-GAAP gross margin, non-GAAP loss from operations, and non-GAAP net loss per share. Our non-GAAP gross profit, non-GAAP gross margin, non-GAAP loss from operations, and non-GAAP net loss per share exclude the effect of stock-based compensation expense-related charges and employer payroll tax expense related to employee stock-based compensation. We believe the presentation of operating results that exclude these non-cash items provides useful supplemental information to investors and facilitates the analysis of our operating results and comparison of operating results across reporting periods.
- Non-GAAP RPO: Non-GAAP RPO represents our GAAP RPO plus the associated cancellable contracted backlog. We believe the presentation of our RPO inclusive of the cancellable backlog provides useful supplemental information to investors about our aggregate contractual backlog and facilitates the analysis of our operating results and comparison of operating results across reporting periods.
We use these non-GAAP financial measures internally for financial and operational decision-making purposes and as a means to evaluate period-to-period comparisons. Non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP financial measures and should be read only in conjunction with our condensed consolidated financial statements prepared in accordance with GAAP. Our presentation of non-GAAP financial measures may not be comparable to similar measures used by other companies. We encourage investors to carefully consider our results under GAAP, as well as our supplemental non-GAAP information and the reconciliation between these presentations, to more fully understand our business. Please see the tables included at the end of this release for the reconciliation of GAAP to non-GAAP financial measures.
Use of Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release other than statements of historical facts, including our market leadership position, anticipated benefits from our partnerships and investments, financial outlook, our expectations relating to our new consumption-pricing model and the impact to our results of operations, our expectation to be operating profitably on a non-GAAP basis by the end of fiscal 2024, the expected benefits of our offerings, our business strategies, plans, and objectives for future operations, are forward-looking statements. The words “anticipate,” “believe,” “continue,” “estimate,” “expect,” “intend,” “may,” “will” and similar expressions are intended to identify forward-looking statements. We have based these forward-looking statements largely on our current expectations and projections about future events and trends that we believe may affect our financial condition, results of operations, business strategy, short-term and long-term business operations and objectives, and financial needs. These forward-looking statements are subject to a number of risks and uncertainties, including difficulties in evaluating our prospects and future results of operations given our limited operating history, our dependence on a limited number of existing customers that account for a substantial portion of our revenue, our ability to attract new customers and retain existing customers, market awareness and acceptance of enterprise AI solutions in general and our products in particular, and our history of operating losses. Some of these risks are described in greater detail in our filings with the
About
|
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share data) (Unaudited) |
|||||||||||||||
|
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||||||
|
Revenue |
|
|
|
|
|
|
|
||||||||
|
Subscription(1) |
$ |
57,043 |
|
|
$ |
57,084 |
|
|
$ |
173,577 |
|
|
$ |
150,614 |
|
|
Professional services(2) |
|
9,626 |
|
|
|
12,689 |
|
|
|
20,808 |
|
|
|
29,828 |
|
|
Total revenue |
|
66,669 |
|
|
|
69,773 |
|
|
|
194,385 |
|
|
|
180,442 |
|
|
Cost of revenue |
|
|
|
|
|
|
|
||||||||
|
Subscription(3) |
|
21,294 |
|
|
|
12,275 |
|
|
|
54,551 |
|
|
|
32,880 |
|
|
Professional services |
|
977 |
|
|
|
5,079 |
|
|
|
6,878 |
|
|
|
13,470 |
|
|
Total cost of revenue |
|
22,271 |
|
|
|
17,354 |
|
|
|
61,429 |
|
|
|
46,350 |
|
|
Gross profit |
|
44,398 |
|
|
|
52,419 |
|
|
|
132,956 |
|
|
|
134,092 |
|
|
Operating expenses |
|
|
|
|
|
|
|
||||||||
|
Sales and marketing(4) |
|
43,497 |
|
|
|
43,146 |
|
|
|
131,420 |
|
|
|
126,134 |
|
|
Research and development |
|
55,051 |
|
|
|
40,931 |
|
|
|
160,979 |
|
|
|
104,166 |
|
|
General and administrative |
|
17,888 |
|
|
|
15,748 |
|
|
|
57,770 |
|
|
|
43,391 |
|
|
Total operating expenses |
|
116,436 |
|
|
|
99,825 |
|
|
|
350,169 |
|
|
|
273,691 |
|
|
Loss from operations |
|
(72,038 |
) |
|
|
(47,406 |
) |
|
|
(217,213 |
) |
|
|
(139,599 |
) |
|
Interest income |
|
6,987 |
|
|
|
410 |
|
|
|
13,749 |
|
|
|
1,077 |
|
|
Other income (expense), net |
|
2,032 |
|
|
|
7,742 |
|
|
|
66 |
|
|
|
5,471 |
|
|
Loss before provision for income taxes |
|
(63,019 |
) |
|
|
(39,254 |
) |
|
|
(203,398 |
) |
|
|
(133,051 |
) |
|
Provision for income taxes |
|
143 |
|
|
|
193 |
|
|
|
485 |
|
|
|
594 |
|
|
Net loss |
$ |
(63,162 |
) |
|
$ |
(39,447 |
) |
|
$ |
(203,883 |
) |
|
$ |
(133,645 |
) |
|
Net loss per share attributable to Class A and Class B common stockholders, basic and diluted |
$ |
(0.57 |
) |
|
$ |
(0.38 |
) |
|
$ |
(1.87 |
) |
|
$ |
(1.29 |
) |
|
Weighted-average shares used in computing net loss per share attributable to Class A and Class B common stockholders, basic and diluted |
|
110,735 |
|
|
|
105,093 |
|
|
|
108,869 |
|
|
|
103,841 |
|
|
(1) |
Including related party revenue of |
|
|
(2) |
Including related party revenue of |
|
|
(3) |
Including related party cost of revenue of nil and |
|
|
(4) |
Including related party sales and marketing expense of |
|
CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands, except for share and per share data) (Unaudited) |
|||||||
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||||
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Assets |
|
|
|
||||
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Current assets |
|
|
|
||||
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Cash and cash equivalents |
$ |
311,142 |
|
|
$ |
339,528 |
|
|
Short-term investments |
|
461,298 |
|
|
|
620,633 |
|
|
Accounts receivable, net of allowance of |
|
143,678 |
|
|
|
80,271 |
|
|
Prepaid expenses and other current assets(2) |
|
30,392 |
|
|
|
20,004 |
|
|
Total current assets |
|
946,510 |
|
|
|
1,060,436 |
|
|
Property and equipment, net |
|
75,197 |
|
|
|
14,517 |
|
|
|
|
625 |
|
|
|
625 |
|
|
Long-term investments |
|
17,369 |
|
|
|
32,086 |
|
|
Other assets, non-current(3) |
|
55,512 |
|
|
|
63,218 |
|
|
Total assets |
$ |
1,095,213 |
|
|
$ |
1,170,882 |
|
|
Liabilities and stockholders’ equity |
|
|
|
||||
|
Current liabilities |
|
|
|
||||
|
Accounts payable(4) |
$ |
19,990 |
|
|
$ |
54,218 |
|
|
Accrued compensation and employee benefits |
|
39,522 |
|
|
|
32,223 |
|
|
Deferred revenue, current(5) |
|
38,893 |
|
|
|
48,854 |
|
|
Accrued and other current liabilities(6) |
|
25,203 |
|
|
|
14,874 |
|
|
Total current liabilities |
|
123,608 |
|
|
|
150,169 |
|
|
Deferred revenue, non-current |
|
51 |
|
|
|
288 |
|
|
Other long-term liabilities(7) |
|
24,184 |
|
|
|
30,948 |
|
|
Total liabilities |
|
147,843 |
|
|
|
181,405 |
|
|
Commitments and contingencies |
|
|
|
||||
|
Stockholders’ equity |
|
|
|
||||
|
Class A common stock, |
|
109 |
|
|
|
103 |
|
|
Class B common stock, |
|
3 |
|
|
|
3 |
|
|
Additional paid-in capital |
|
1,693,574 |
|
|
|
1,532,917 |
|
|
Accumulated other comprehensive loss |
|
(1,035 |
) |
|
|
(2,148 |
) |
|
Accumulated deficit |
|
(745,281 |
) |
|
|
(541,398 |
) |
|
Total stockholders’ equity |
|
947,370 |
|
|
|
989,477 |
|
|
Total liabilities and stockholders’ equity |
$ |
1,095,213 |
|
|
$ |
1,170,882 |
|
|
(1) |
Including amounts from a related party of |
|
|
(2) |
Including amounts from a related party of |
|
|
(3) |
Including amounts from a related party of |
|
|
(4) |
Including amounts from a related party of nil and |
|
|
(5) |
Including amounts from a related party of |
|
|
(6) |
Including amounts from a related party of |
|
|
(7) |
Including amounts from a related party of nil and |
|
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands) (Unaudited) |
|||||||
|
|
Nine Months Ended |
||||||
|
|
2023 |
|
2022 |
||||
|
Cash flows from operating activities: |
|
|
|
||||
|
Net loss |
$ |
(203,883 |
) |
|
$ |
(133,645 |
) |
|
Adjustments to reconcile net loss to net cash used in operating activities |
|
|
|
||||
|
Depreciation and amortization |
|
3,257 |
|
|
|
3,761 |
|
|
Non-cash operating lease cost |
|
5,820 |
|
|
|
2,369 |
|
|
Stock-based compensation expense |
|
168,474 |
|
|
|
77,813 |
|
|
Other |
|
(1,779 |
) |
|
|
255 |
|
|
Changes in operating assets and liabilities |
|
|
|
||||
|
Accounts receivable(1) |
|
(63,609 |
) |
|
|
(1,963 |
) |
|
Prepaid expenses, other current assets and other assets(2) |
|
(7,745 |
) |
|
|
(21,108 |
) |
|
Accounts payable(3) |
|
(26,250 |
) |
|
|
2,237 |
|
|
Accrued compensation and employee benefits |
|
1,069 |
|
|
|
759 |
|
|
Operating lease liabilities |
|
(3,296 |
) |
|
|
(2,303 |
) |
|
Other liabilities(4) |
|
(4,606 |
) |
|
|
14,304 |
|
|
Deferred revenue(5) |
|
(10,197 |
) |
|
|
(15,779 |
) |
|
Net cash used in operating activities |
|
(142,745 |
) |
|
|
(73,300 |
) |
|
Cash flows from investing activities: |
|
|
|
||||
|
Purchases of property and equipment |
|
(59,767 |
) |
|
|
(2,183 |
) |
|
Capitalized software development costs |
|
(1,000 |
) |
|
|
(500 |
) |
|
Purchases of investments |
|
(497,288 |
) |
|
|
(540,290 |
) |
|
Maturities and sales of investments |
|
674,440 |
|
|
|
698,312 |
|
|
Net cash provided by investing activities |
|
116,385 |
|
|
|
155,339 |
|
|
Cash flows from financing activities: |
|
|
|
||||
|
Payment of deferred offering costs |
|
— |
|
|
|
(105 |
) |
|
Proceeds from exercise of Class A common stock options |
|
2,364 |
|
|
|
19,334 |
|
|
Taxes paid related to net share settlement of equity awards |
|
(4,815 |
) |
|
|
— |
|
|
Net cash (used in) provided by financing activities |
|
(2,451 |
) |
|
|
19,229 |
|
|
Net (decrease) increase in cash, cash equivalents and restricted cash |
|
(28,811 |
) |
|
|
101,268 |
|
|
Cash, cash equivalents and restricted cash at beginning of period |
|
352,519 |
|
|
|
116,255 |
|
|
Cash, cash equivalents and restricted cash at end of period |
$ |
323,708 |
|
|
$ |
217,523 |
|
|
Cash and cash equivalents |
$ |
311,142 |
|
|
$ |
204,531 |
|
|
Restricted cash included in other assets |
|
12,566 |
|
|
|
12,567 |
|
|
Restricted cash included in prepaid expenses and other current assets |
|
— |
|
|
|
425 |
|
|
Total cash, cash equivalents and restricted cash |
$ |
323,708 |
|
|
$ |
217,523 |
|
|
Supplemental disclosure of cash flow information—cash paid for income taxes |
$ |
219 |
|
|
$ |
677 |
|
|
Supplemental disclosures of non-cash investing and financing activities: |
|
|
|
||||
|
Purchases of property and equipment included in accounts payable and accrued liabilities |
$ |
12,618 |
|
|
$ |
483 |
|
|
Right-of-use assets obtained in exchange for lease obligations (including remeasurement of right-of-use assets and lease liabilities due to changes in the timing of receipt of lease incentives) |
$ |
2,033 |
$ |
26,529 |
|||
|
Unpaid liabilities related to intangible purchases |
$ |
1,500 |
|
|
$ |
2,500 |
|
|
Vesting of early exercised stock options |
$ |
842 |
|
|
$ |
2,391 |
|
| (1) |
Including changes in related party balances of |
|
| (2) |
Including changes in related party balances of |
|
| (3) |
Including changes in related party balances of |
|
| (4) |
Including changes in related party balances of |
|
| (5) |
Including changes in related party balances of |
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RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (In thousands, except percentages) (Unaudited) |
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|
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||||||
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Reconciliation of GAAP gross profit to non-GAAP gross profit: |
|
|
|
|
|
|
|
||||||||
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Gross profit on a GAAP basis |
$ |
44,398 |
|
|
$ |
52,419 |
|
|
$ |
132,956 |
|
|
$ |
134,092 |
|
|
Stock-based compensation expense (1) |
|
6,357 |
|
|
|
3,343 |
|
|
|
17,665 |
|
|
|
7,815 |
|
|
Employer payroll tax expense related to employee stock-based compensation (2) |
|
201 |
|
|
|
8 |
|
|
|
773 |
|
|
|
73 |
|
|
Gross profit on a non-GAAP basis |
$ |
50,956 |
|
|
$ |
55,770 |
|
|
$ |
151,394 |
|
|
$ |
141,980 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
Gross margin on a GAAP basis |
|
67 |
% |
|
|
75 |
% |
|
|
68 |
% |
|
|
74 |
% |
|
Gross margin on a non-GAAP basis |
|
76 |
% |
|
|
80 |
% |
|
|
78 |
% |
|
|
79 |
% |
|
|
|
|
|
|
|
|
|
||||||||
|
Reconciliation of GAAP loss from operations to non-GAAP loss from operations: |
|
|
|
|
|
|
|
||||||||
|
Loss from operations on a GAAP basis |
$ |
(72,038 |
) |
|
$ |
(47,406 |
) |
|
$ |
(217,213 |
) |
|
$ |
(139,599 |
) |
|
Stock-based compensation expense (1) |
|
55,831 |
|
|
|
31,361 |
|
|
|
168,474 |
|
|
|
77,813 |
|
|
Employer payroll tax expense related to employee stock-based compensation (2) |
|
1,175 |
|
|
|
356 |
|
|
|
4,208 |
|
|
|
1,794 |
|
|
Loss from operations on a non-GAAP basis |
$ |
(15,032 |
) |
|
$ |
(15,689 |
) |
|
$ |
(44,531 |
) |
|
$ |
(59,992 |
) |
|
|
|
|
|
|
|
|
|
||||||||
|
Reconciliation of GAAP net loss per share to non-GAAP net loss per share: |
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
Net loss on a GAAP basis |
$ |
(63,162 |
) |
|
$ |
(39,447 |
) |
|
$ |
(203,883 |
) |
|
$ |
(133,645 |
) |
|
Stock-based compensation expense (1) |
|
55,831 |
|
|
|
31,361 |
|
|
|
168,474 |
|
|
|
77,813 |
|
|
Employer payroll tax expense related to employee stock-based compensation (2) |
|
1,175 |
|
|
|
356 |
|
|
|
4,208 |
|
|
|
1,794 |
|
|
Net loss on a non-GAAP basis |
$ |
(6,156 |
) |
|
$ |
(7,730 |
) |
|
$ |
(31,201 |
) |
|
$ |
(54,038 |
) |
|
|
|
|
|
|
|
|
|
||||||||
|
GAAP net loss per share attributable common shareholders, basic and diluted |
$ |
(0.57 |
) |
|
$ |
(0.38 |
) |
|
$ |
(1.87 |
) |
|
$ |
(1.29 |
) |
|
Non-GAAP net loss per share attributable common shareholders, basic and diluted |
$ |
(0.06 |
) |
|
$ |
(0.07 |
) |
|
$ |
(0.29 |
) |
|
$ |
(0.52 |
) |
|
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted |
|
110,735 |
|
|
|
105,093 |
|
|
|
108,869 |
|
|
|
103,841 |
|
| (1) |
Starting fiscal year 2023, the Company records stock-based compensation associated with the Company’s annual bonus program that will be settled by shares of restricted common stock. Stock-based compensation expense for gross profits and gross margin includes costs of subscription and cost of professional services as follows. Stock-based compensation expense for loss from operations includes total stock-based compensation expense as follows: |
|
|
Three Months Ended |
|
Nine Months Ended |
||||||||
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||
|
Cost of subscription |
$ |
5,996 |
|
$ |
2,639 |
|
$ |
15,754 |
|
$ |
5,824 |
|
Cost of professional services |
|
361 |
|
|
704 |
|
|
1,911 |
|
|
1,991 |
|
Sales and marketing |
|
18,316 |
|
|
8,850 |
|
|
54,175 |
|
|
28,540 |
|
Research and development |
|
23,646 |
|
|
12,846 |
|
|
72,768 |
|
|
25,860 |
|
General and administrative |
|
7,512 |
|
|
6,322 |
|
|
23,866 |
|
|
15,598 |
|
Total stock-based compensation expense |
$ |
55,831 |
|
$ |
31,361 |
|
$ |
168,474 |
|
$ |
77,813 |
|
(2) |
Employer payroll tax expense related to employee stock-based compensation for gross profits and gross margin includes costs of subscription and cost of professional services as follows. Employer payroll tax expense related to employee stock-based compensation for loss from operations includes total employer payroll tax expense related to employee stock-based compensation as follows: |
|
|
Three Months Ended |
|
Nine Months Ended |
||||||||
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||
|
Cost of subscription |
$ |
190 |
|
$ |
7 |
|
$ |
646 |
|
$ |
7 |
|
Cost of professional services |
|
11 |
|
|
1 |
|
|
127 |
|
|
66 |
|
Sales and marketing |
|
277 |
|
|
202 |
|
|
1,163 |
|
|
718 |
|
Research and development |
|
618 |
|
|
38 |
|
|
1,947 |
|
|
437 |
|
General and administrative |
|
79 |
|
|
108 |
|
|
325 |
|
|
566 |
|
Total employer payroll tax expense |
$ |
1,175 |
|
$ |
356 |
|
$ |
4,208 |
|
$ |
1,794 |
Reconciliation of remaining performance obligations (“RPO”) to Non-GAAP RPO:
The following table presents a reconciliation of RPO to Non-GAAP RPO:
|
|
As of |
||||
|
|
2023 |
|
2022 |
||
|
RPO |
$ |
403,159 |
|
$ |
469,276 |
|
Cancellable amount of contract value |
|
33,171 |
|
|
67,454 |
|
Non-GAAP RPO |
$ |
436,330 |
|
$ |
536,730 |
View source version on businesswire.com: https://www.businesswire.com/news/home/20230302005592/en/
Investor Contact
ir@c3.ai
Press Contact
(415) 914-8336
pr@c3.ai
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