Elastic N.V. (NYSE: ESTC) Q4 2025 Earnings Call | Cloud Revenue Surges & AI Platform | 5/30/2025

7 days ago

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Elastic NV reported strong Q4 FY25 results, with total revenue of $388 million, up 16% year-over-year, and Elastic Cloud revenue growing 23%. Non-GAAP operating margin was 15%, with adjusted free cash flow margin at 19%. The company exceeded guidance across all metrics, driven by robust sales execution and demand for its Search AI platform. Key highlights include over 1,510 customers with >$100K ACV (up 14%) and 210 with >$1M ACV (up 27%), fueled by enterprise and mid-market expansion. Generative AI (GenAI) adoption grew, with over 2,000 cloud customers using Elastic for GenAI, including 310 with >$100K ACV. Notable deals included an 8-figure observability expansion with a global financial institution and a 7-figure deal with an international bank for platform consolidation. Innovations like Better Binary Quantization (BBQ) and AI assistant features enhanced Elastic’s position in search, observability, and security. Despite U.S. public sector pressure, global performance was strong, particularly in APJ and EMEA. FY26 guidance projects total revenue of $1.655-$1.67 billion (12% growth at midpoint) and a 16% non-GAAP operating margin, reflecting cautious optimism amid macro uncertainties. Elastic announced a 5-year AWS partnership and integrations with NVIDIA and Google Cloud, strengthening its GenAI and cloud offerings. The company remains focused on sustaining growth, profitability, and platform consolidation.

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Elastic N.V. (NYSE: ESTC), the Search AI Company, reported robust financial results for its fourth quarter and full fiscal year 2025 on May 30, 2025. Q4 revenue reached $388 million, up 16% year-over-year, with Elastic Cloud revenue climbing 23% to $182 million. The company posted a non-GAAP operating margin of 15% and non-GAAP diluted EPS of $0.47, while operating cash flow totaled $87 million for the quarter. For the full year, Elastic delivered $1.483 billion in revenue (up 17%), with Elastic Cloud revenue up 26% to $688 million. The company ended the year with $1.397 billion in cash and marketable securities. Customer momentum remained strong, with over 1,510 customers holding annual contract values above $100,000 and more than 210 customers exceeding $1 million in annual commitments. Elastic’s GenAI and security solutions continued to drive demand, despite some headwinds in the U.S. public sector. Management provided cautious guidance for fiscal 2026, forecasting Q1 revenue of $396–$398 million and full-year revenue of $1.655–$1.67 billion, reflecting a 12% growth outlook at the midpoint. About Inside Ticker: For more expert analysis and real-time updates on Elastic N.V. (NYSE: ESTC) and other market movers, follow Inside Ticker and visit InsideTicker.com for in-depth reports, financial insights, and the latest news on leading companies.

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