Cognyte Software posts rise in Q3 revenue, raises FY revenue forecast

COGNYTE SOFTWARE

09/12/2025 12:11

Overview

Cognyte fiscal Q3 2026 revenue up 13.2% yr/yr, driven by market momentum

Adjusted EBITDA for fiscal Q3 2026 grows significantly faster than revenue

Company missed analyst expectations for operating income in fiscal Q3 2026

Outlook

Cognyte raises full-year revenue outlook to $400 mln, up 14% year-over-year

Company expects full-year adjusted EBITDA of $47 mln, a 60% increase

Cognyte anticipates non-GAAP diluted EPS of $0.24 for fiscal 2026

Result Drivers

SOFTWARE DEMAND - Increased demand for software solutions drove a 39.6% increase in software revenue

CASH GENERATION - Strong collections and improved profitability led to a significant increase in net cash provided by operating activities

NET LOSS FACTORS - Higher tax expenses and foreign exchange impacts contributed to a GAAP net loss

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
$100.74 mln
Q3 Net Income
-$3.38 mln
Q3 Operating Income
Miss
$3.20 mln
$7.56 mln (3 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "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 Cognyte Software Ltd is $12.00, about 33.8% above its December 8 closing price of $8.97

The stock recently traded at 28 times the next 12-month earnings vs. a P/E of 45 three months ago

Press Release: ID:nBw9S2XrZa

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(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.)