Commvault Q1 revenue rises on subscription growth

Commvault Systems

28/07/2026 12:56

Overview
US data protection software firm's fiscal Q1 revenue rose 11% yr/yr 
Subscription revenue climbed 16% yr/yr, with SaaS revenue up 39%
Company repurchased $10 mln in shares during the quarter

Outlook
Commvault sees Q2 subscription revenue between $264 mln and $268 mln
Company expects Q2 non-GAAP EBIT margin of about 20%
Commvault forecasts FY27 subscription revenue of $1.119 bln to $1.129 bln

Result Drivers
SUBSCRIPTION GROWTH - Subscription revenue rose 16% yr/yr, driven by increased customer adoption of the company's AI-enabled platform, per CEO Sanjay Mirchandani
SAAS MOMENTUM - SaaS revenue crossed $100 mln, up 39% yr/yr, reflecting continued customer shift to cloud-based offerings
MICROSOFT PARTNERSHIP - Multi-year strategic partnership with Microsoft to offer Commvault's AI and cyber resilience solutions as a native ISV service on Azure highlighted as a recent business development

Company press release: ID:nPn61Gw7Ga

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Subscription Revenue
 
$267 million
 
Q1 EPS
 
$0.50
 
Q1 ARR
 
$1.05 bln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 8 "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 Commvault Systems Inc is $160.00, about 7.1% above its July 27 closing price of $149.46
The stock recently traded at 27 times the next 12-month earnings vs. a P/E of 16 three months ago

Reuters Recommended Reads
July 27 - F5 raises annual revenue growth forecast again on strong cybersecurity demand
July 27 - Agilysys lifts FY revenue, subscription growth outlook after Q1 results beat
July 27 - UK's Quartix Technologies H1 revenue rises on subscription base, price increases

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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.)