CXM - Sprinklr Q1 Earnings: Painful Transition Continues As Macro Headwinds Increase
2024-06-07 10:45:12 ET
Summary
- Sprinklr, Inc. beat fiscal Q1 2025 expectations, but the company reduced its full-year guidance due to higher customer churn and increasing macro headwinds.
- The company withdrew its fiscal 2027 revenue subscription revenue guidance as well, and it promoted Trac Pham to the co-CEO role.
- Sprinklr's go-to-market strategy adjustments and the tightening of customer budgets are contributing to the challenges, but the internal realignments should improve the company's position for the next expansion phase.
- The strong balance sheet, positive cash flow, and the share buyback program should help the company and its share price through this tough period.
Sprinklr, Inc. ( CXM ) delivered another shock to investors when it reported fiscal Q1 2025 results this week. The company did beat revenue and EPS estimates, but it reduced the full-year guidance range by $25 million at the mid-point due to the higher customer churn and increasing macro headwinds. This guidance cut comes on top of the December 2023 warning about the lower growth rate in fiscal 2025 compared to Street expectations....
Sprinklr Q1 Earnings: Painful Transition Continues As Macro Headwinds Increase