Customer engagement platform Braze Q2 revenue beats expectations

Braze

04/09/2025 21:12

Overview

Braze fiscal Q2 revenue up 24% yr/yr, beating analyst expectations, per LSEG data

Adjusted EPS for fiscal Q2 misses analyst estimates, per LSEG data

Non-GAAP operating income rises to $6.0 mln from $4.2 mln last year

Outlook

Braze sees Q3 revenue between $183.5 mln and $184.5 mln

Company expects FY 2026 revenue of $717 mln to $720 mln

Braze anticipates Q3 non-GAAP net income of $6.5 mln to $7.5 mln

Company forecasts FY 2026 non-GAAP EPS of $0.41 to $0.42

Result Drivers

REVENUE GROWTH - Driven by new customers, upsells, and renewals, contributing to a 24% year-over-year increase

AI DEMAND - Strong demand for AI-powered customer engagement platform highlighted as a key performance driver

CUSTOMER EXPANSION - Increase in total customers and high-value contracts, with 282 customers having ARR of $500,000 or more

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$180.11 mln
$170.10 mln (19 Analysts)
Q2 Adjusted EPS
Miss
-$0.15
$0.03 (19 Analysts)
Q2 EPS
-$0.26
Q2 Net Income
-$27.76 mln
Q2 Gross Profit
$121.89 mln
Q2 Operating Income
-$38.75 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 19 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

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

Wall Street's median 12-month price target for Braze Inc is $41.00, about 34.2% above its September 3 closing price of $26.99

The stock recently traded at 99 times the next 12-month earnings vs. a P/E of 88 three months ago

Press Release: ID:nBw7cvc0Ra

(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.)