C3 AI Q4 net loss widens; Thomas Siebel returns as CEO

C3.ai

03/06/2026 21:17

Overview
Enterprise AI software firm's fiscal Q4 revenue fell sharply yr/yr, with net loss widening
Subscription revenue comprised 94% of total Q4 revenue
Company restructured leadership, with Thomas Siebel resuming CEO role to address weak sales

Outlook
C3 AI sees Q1 fiscal 2027 revenue between $50 mln to $54 mln
Company expects full-year fiscal 2027 revenue of $210 mln to $240 mln
C3 AI projects full-year non-GAAP loss from operations of $128 mln to $160 mln

Result Drivers
SALES UNDERPERFORMANCE - Co said sales performance over recent quarters was 'entirely unacceptable', per CEO Thomas Siebel
RESTRUCTURING IMPACT - Co cited a restructured organization and new executive leadership as part of its plan to address weak sales
DECLINE IN PROFESSIONAL SERVICES - Professional services revenue, including prioritized engineering services, fell sharply yr/yr

Company press release: ID:nBw9pmnCBa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 EPS
 
-$0.79
 
Q4 Net Income
 
-$115.57 mln
 
Q4 Gross Profit
 
$11.32 mln
 
Q4 Operating Expenses
 
$132.48 mln
 
Q4 Operating Income
 
-$121.16 mln
 

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 7 "hold" and 6 "sell" or "strong sell"
The average consensus recommendation for the software peer group is "buy."
Wall Street's median 12-month price target for C3.ai Inc is $8.50, about 24% below its June 2 closing price of $11.18

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.)