BlackLine Q1 revenue beats estimates on AI adoption

BlackLine

05/05/2026 21:25

Overview

Financial automation software firm's preliminary Q1 revenue rose 9.7% yr/yr, beating analyst expectations

Adjusted EPS and net income increased yr/yr

Company repurchased 1.2 mln shares for $47.1 mln in Q1

Outlook

BlackLine raises full-year 2026 revenue outlook to $765 mln-$769 mln

Company expects Q2 revenue between $186 mln and $188 mln

BlackLine sees full-year non-GAAP operating margin of 24.0%-24.5%

Result Drivers

AI PLATFORM ADOPTION - Co said growing adoption of Verity AI capabilities and Studio360 helped drive Q1 results

PLATFORM STRATEGY MOMENTUM - CEO said momentum from platform strategy contributed to accelerating revenue growth and operating leverage

CUSTOMER EXPANSION - Co achieved dollar-based net revenue retention rate of 105%, indicating expansion among existing customers

Company press release: ID:nGNX1ldfHs

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$183.16 mln
$181.06 mln (14 Analysts)
Q1 EPS
$0.13
Q1 Net Income Attributable to Blackline
$8.12 mln
Q1 Gross Profit
$139.15 mln
Q1 Operating Expenses
$132.92 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 6 "strong buy" or "buy", 8 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the software peer group is "buy."

Wall Street's median 12-month price target for BlackLine Inc is $50.00, about 49.6% above its May 4 closing price of $33.43

The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 20 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)