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Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 4:30 p.m. ET Head of Investor Relations - Jamie Arestia Chief Executive Officer - Tianyi Jiang Chief Financial Officer - Jim Caci Operator: Good day, and welcome to the AvePoint Inc. second quarter 2026 results conference call. I would now like to turn the conference over to Jamie Arestia, Head of Investor Relations. Jamie Arestia: Thank you, operator. Good afternoon, and welcome to AvePoint's second quarter 2026 earnings call. With me on the call this afternoon is Dr. Tianyi Jiang, Chief Executive Officer, and Jim Caci, Chief Financial Officer. After preliminary remarks, we will open the call for a question-and-answer session. Please note that this call will include forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from management's current expectations. We encourage you to review the safe harbor statements contained in our press release for a more complete description. All material in the webcast is the sole property and copyright of AvePoint, with all rights reserved. Please note this presentation describes certain non-GAAP measures, including non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating income, and non-GAAP operating margin, which are not measures prepared in accordance with U.S. GAAP. The non-GAAP measures are included in this presentation as we believe they provide investors with a means of understanding how management evaluates the company's operating performance. These non-GAAP measures should not be considered in isolation from, as substitutes for, or superior to financial measures prepared in accordance with U.S. GAAP. A reconciliation of these measures to the most directly comparable GAAP financial measures is available in our second quarter 2026 earnings press release, as well as our updated investor presentation and financial tables, all of which are available on our investor relations website. With that, let me turn the call over to TJ. Tianyi Jiang: Thank you, Jamie, and thank you to everyone joining us on the call today. Q2 was another strong quarter for AvePoint, and our results make clear that in today's rapidly evolving AI-dominated business landscape, our customer value proposition is resonating better than ever. This is true for organizations which are new to AvePoint, as well as for our existing customers, which are now consuming even more of the AvePoint Confidence Platform. This broad-based demand is reflected across our second quarter performance, where we once again outperformed all guided metrics, delivered double-digit growth in net new ARR, our 13th straight quarter, and achieved several record KPIs. As Jim and I will discuss, AvePoint has never been in a stronger position to capitalize on the multiple growth opportunities ahead of us. What is that value proposition for customers? This is where I want to spend my time today. Let's jump in. Agentic AI represents perhaps the largest technological opportunity of our generation, and companies around the world are moving swiftly to ensure that they fully harness its capabilities. In the course of these deployments, employees at organizations of all sizes, in all regions, and across every industry have moved beyond chatbots and Copilots and are now creating autonomous agents that can access sensitive data, make critical decisions, and take action across the enterprise. As these agents proliferate, new challenges are emerging, and we frequently see that many organizations cannot answer some very basic questions, such as how many AI agents are operating in the business and who owns them? What data are they accessing, and are they fully compliant with company policies? What risks are they introducing, and can you proactively recover from any granular damage they cause? What do these agents cost now and at scale? Perhaps most importantly, are these agents delivering measurable business value? Our customer conversations show that answering these simple questions is, in fact, far more difficult because enterprises today are facing a new form of sprawl. Across Microsoft 365, Google Workspace, Salesforce, Copilot Studio, and countless custom environments, AI agents are being created faster than organizations can manage them. As a result, we're seeing the emergence of shadow AI, agents operating outside traditional governance frameworks, often with access to sensitive information and little organizational oversight. Our formal research proves this as well. Our recently published State of AI report, which surveys 750 global IT leaders, found that 88% of organizations reported at least one security incident tied to agents in the past year, and that nearly 20% don't know whether their employees are using unsanctioned tools to build AI agents in their own environment. Without answers to those questions, without trust in this new, powerful technology, and without the ability to address shadow AI adoption and ROI at scale will eventually hit a wall. It's not surprising, therefore, that nearly 90% of organizations have delayed their AI deployments by an average of six months, citing this lack of trust. Just as cybersecurity became essential to the internet and governance became essential to the cloud, trust will become the essential unifying layer for AI, and this is where AvePoint is uniquely positioned. For 25 years, AvePoint has helped organizations govern, secure, and manage their most critical enterprise data. We have built deep expertise in understanding who has access to information, how data is being used, and how organizations can scale innovation without scaling risk. That foundation becomes even more valuable in the age of AI, because AI agents are only as trustworthy as the data, governance, and controls surrounding them. This is precisely why we launched AgentPulse, which became GA in Q1 as part of the tiered bundles of our control suite. At a high level, AgentPulse gives organizations unified visibility, governance, and cost control for every AI agent operating across their environment, all from one centralized command center. More specifically, AgentPulse can discover previously unknown agents, identify risky permissions, enforce data governance policies, retire unused agents, assign ownership, and gain visibility into the true economics of their AI investments. Critically, our approach is platform-neutral. We can do all these things across the most commonly used cloud ecosystems and business applications. Distinguishing AvePoint from the more narrowly focused point solutions, as well as the individual native capabilities of the hyperscalers. This is the value that only AvePoint can provide today, and we believe will drive incremental demand in the years to come. Gartner is currently defining a new agent management platform category, where it projects that by 2029, enterprise investments will exceed $15 billion, and the average Fortune 500 company will be managing 150,000 agents. This creates a powerful strategic position for us. As AI adoption grows, organizations will need more than basic intelligence. They will need the visibility, accountability, compliance, and operational control of the AvePoint Confidence Platform, the unifying trust layer for AI. Importantly, our ongoing innovation ensures that we will capitalize on this durable and growing market opportunity. This includes the launch of AgentPulse on a standalone basis in early July, as well as our announcement this week at Black Hat of new kinetic classification and rapid recovery intelligence capabilities. Two solutions which work hand-in-hand to continuously evaluate data sensitivity, provide security teams with a real-time view of their critical data, and help them quickly restore it at machine speed when an incident occurs. That's where we see the market going. Let me come back to the quarter and share some examples of the team's success with both new logos and existing customers. One of the largest American retail corporations has been a long-time AvePoint customer, and in Q2 opened up AI agent building to its 36,000 employees, immediately introducing risks around agent sprawl, cost exposure, and compliance. After evaluating native tools and other leading cybersecurity vendors, they chose AgentPulse through our Control Plus bundle, giving them a single pane of glass to immediately inventory, analyze, and govern more than 10,000 agents. By becoming the trusted layer beneath their entire agent environment, AvePoint is now critical to how they scale AI safely, deepening a relationship that now spans governance, security, and resilience across their organization, and elevating this customer into our $1 million ARR cohort. Similarly, one of the largest dental insurance providers in the United States, with more than 12,000 employees, faced a lack of visibility and potential sprawl as AI Copilots and agents began proliferating across their environment. After evaluating alternative solutions like Agent 365, they selected AgentPulse based on our more actionable governance capabilities and lower overall costs. This expansion successfully transitioned this existing customer from a à la carte licensing to our Control Plus bundle, validating a land and expand motion that extends our trusted governance relationship directly into the management of their emerging AI ecosystem. Two Canadian corporations became new AvePoint customers in Q2. One, a consumer lender, knew that the native backup and archiving capabilities from Salesforce could not meet their long-term requirements. After successful proof of concept, the organization trusted AvePoint to protect their critical Salesforce data, and since that deployment, we have created new opportunities to expand into Microsoft 365 protection, along with broader governance capabilities from the control suite. Second, a financial services company came to us at a crossroads. Their new CISO paused a planned Copilot deployment until concerns around sensitive information could be addressed. We quickly acted on a proof concept, which provided the visibility and oversight their CISO required, removing a key barrier to AI deployment for this organization. With the confidence to move forward with Copilot across approximately 3,000 employees, the customer is now evaluating additional capabilities within our resilience suite. Lastly, one of the world's largest banks signed a seven-figure upsell deal in the quarter. A long-standing customer of all three of our suites. They needed to address strict legal requirements for record management and data protection ahead of a multi-petabyte modernization effort. As part of this expansion, the customer extended their governance and records management capabilities within our control suite to include both on-prem and cloud data. By doing so, the organization has further strengthened its governance framework and laid the foundation for secure and compliant AI adoption. AvePoint's mission has always been to give organizations the confidence to innovate faster while maintaining control of their data, security, and compliance obligations. That mission was relevant when we founded the company 25 years ago and is equally critical today as customers rely on us to safely deploy enterprise AI at scale. We believe the winners of the AI era will not simply be the companies building the most agents. The winners will be the companies enabling enterprises to trust those agents. As investors evaluate the long-term opportunity in artificial intelligence, we believe one theme will become increasingly clear. The future belongs to trusted AI, and AvePoint is building the unifying trust layer for AI that makes that future possible. Thank you again for joining us today. I will now turn it over to Jim. Jim Caci: Thanks, TJ, and good afternoon, everyone. Thanks for joining us today. Those of you who have followed the AvePoint story since our first Investor Day in 2023 know that the pursuit of our longer-term strategic priorities, as well as our quarterly results along the way, have been driven by a few key mantras. These include our unwavering commitment to profitable growth, our focus on controlling what we can control, and the importance of consistent execution and delivering on what we said we'll do. This mindset allowed us to achieve our longer-term goals of GAAP profitability and the Rule of 40 well ahead of schedule. It has also produced quarterly results consistently highlighted by outperformance on the top and bottom line, as well as steady improvements to key customer and operational metrics. We are pleased to report another set of these results today, as Q2 was highlighted by an acceleration of both total ARR growth and total revenue growth after adjusting for FX, record net new ARR dollars, and meaningful acceleration of net new ARR growth. Strong execution across verticals and customer segments, especially at the enterprise level, and our eighth straight quarter of GAAP operating profitability and the ongoing expansion of our GAAP operating margins, even as we continue making incremental strategic investments across the business. With that, let's dive in a bit deeper into the quarter. Total Q2 revenues were $124.5 million, representing 22% growth year-over-year and above the high end of our guidance. On a constant currency basis, total revenue growth accelerated to 21%. Q2 SaaS revenues were $98.5 million, growing 27% year-over-year and representing 79% of total revenues. On a constant currency basis, Q2 SaaS revenues grew 26% year-over-year. Term license and support revenue was flat year-over-year and represented 8% of Q2 revenues, compared to 10% a year ago. Lastly, services revenue were $15.7 million and represented 13% of Q2 revenues, compared to 14% a year ago. Turning to our revenue performance on a regional basis, in North America, total revenue growth accelerated to 23% year-over-year, driven by SaaS revenue growth of 27%. In EMEA, total revenue growth was 27% year-over-year, driven by SaaS revenue growth of 28%. In APAC, total revenues grew 16% year-over-year, driven by SaaS revenue growth of 27%. On a constant currency basis, EMEA SaaS revenues increased 26%, while total revenue growth accelerated to 24% year-over-year. For APAC, SaaS revenues increased 27% on a constant currency basis, while total revenues increased 16%. Switching to ARR, which we believe is the most important metric for investors, we saw strong performance from all three regions in Q2, as North America ARR grew 21%, EMEA ARR grew 34%, and APAC ARR grew 25%. Taken together, we ended the quarter with total ARR of $465.1 million. This represents 27% year-over-year growth and 24% after adjusting for FX, both of which are an acceleration from Q1. As a result, net new ARR in Q2 was a record $29.9 million, representing growth of 35% year-over-year and a meaningful acceleration from last quarter. Additionally, we are pleased that all three of our regions are now above $100 million in ARR, as our APAC business achieved this milestone in Q2. We ended the second quarter with 911 customers with ARR of over $100,000. This represents 26% growth, which is both an acceleration from Q1 and the highest growth for this metric in more than three years. More importantly, our larger customer cohorts of greater than $250,000, greater than $500,000, and greater than $1 million of ARR each grew at or above 30%. Finally, we are pleased to have added a record number of net new logos for the $250,000, $500,000 ARR cohorts in the quarter. Taken together, these results continue to show the durable and accelerating enterprise demand for our ability to solve their most critical data management challenges. This ability extends to every customer segment we serve, as we also added a record number of net new SMB logos in Q2. Much of this success is attributable to the continued rapid growth of our MSP business and strategy of driving more business through the channel. At the end of Q2, 59% of our total ARR came through the channel, compared to 56% a year ago. Two-thirds of our incremental ARR in Q2 came through the channel. Our MSP segment continues to be one of AvePoint's fastest-growing areas, and we intend to continue investing here to ensure we efficiently capture the enormous market opportunity that it serves. Turning now to our customer retention rates. Adjusted for the impact of FX, our Q2 gross retention rate was 89%, and our Q2 net retention was 110%, both of which were in line with Q1. Similar to prior quarters, our migration products again served as a two-point headwind to GRR, given their naturally lower retention rates. On a reported basis, Q2 GRR was 89% and NRR was 111%, both of which were also in line with Q1. Turning back to the income statement, Q2 gross profit was $91.7 million, representing a gross margin of 73.7%. This compares to 74.8% a year ago, and while the year-over-year decline is again the result of lower services gross margins, the 83% gross margins on our software products is in line with both the prior quarter and the prior year. Q2 operating expenses totaled $71.5 million, or 57% of revenues. This compares to 56% of revenues a year ago, reflecting our plan for increased investments across the business in 2026. As a result, Q2 non-GAAP operating income was $20.3 million, which represented an operating margin of 16.3% and was above the high end of our guidance. Importantly, we continue to focus on GAAP profitability through our ongoing management of stock-based compensation, which was 8% of Q2 revenues, compared to 11% a year ago. As a result, GAAP operating margins were 8.2% in Q2 and expanded nearly 130 basis points year-over-year and are now at 10% on a trailing 12-month basis. For the Rule of 40, which we define as the sum of ARR growth and non-GAAP operating margin, we finished Q2 at the Rule of 45 on a trailing 12-month basis. Using revenue growth and free cash flow margin to calculate the Rule of 40, we finished Q2 at the Rule of 47, again, on a trailing 12-month basis. Turning to the balance sheet and cash flow statement, we ended the quarter with $417.3 million in cash and cash equivalents. For the first six months of the year, operating cash flow was $40.2 million, or a 17% margin, while free cash flow was $37.7 million, or a 16% margin. This compares to operating cash flow of $20.8 million and free cash flow of $18.3 million in the same period a year ago. Lastly, we are pleased that on a trailing 12-month basis, our free cash flow has surpassed $100 million and is at 22% margin. Over the last few quarters, we have discussed the acceleration of our share repurchases, and last quarter noted that the $60 million that we utilized in Q1 outpaced the entirety of our buyback spend for all of 2025. This pace largely continued in Q2 as we spent approximately $50 million to repurchase another 4.9 million shares. When comparing our year-to-date buybacks with the first half of 2025, we have repurchased nearly 9x as many shares this year at approximately 70% of the cost per share. Through the close of trading on Friday, we have bought another 853,000 shares for approximately $10.7 million. Taken together, we have spent $121.5 million this year on share repurchases and have approximately $108.6 million remaining in our share repurchase program. These actions reflect our belief in the underlying strength of the business and our commitment to driving shareholder value. Importantly, the buybacks have more than offset the dilutive effects we see from our employee incentive programs. Turning now to our guidance, where I want to provide some color behind our current expectations. First, we are again raising our full-year guidance for ARR, reflecting our momentum and the demand we see. Second, similar to last quarter, our updated full-year guidance for revenue and non-GAAP operating income only includes the Q2 outperformance relative to guidance, as we account for the uncertain SaaS and term license revenue mix in the second half and the impact it may have on reported revenues. Third, given the enormous and rapidly growing market opportunity we currently see, we are increasing our expense plans for the second half of the year with two primary areas of focus. The first is technology, where existing investments have already driven rapid productivity improvements for our engineering teams and where further investment will accelerate the R&D transformation and drive similar efficiencies across the business. The second area of focus will be our go-to-market motion, where additional support for sales capacity, partner enablement, and enhanced brand awareness will allow us to better capture the market demand, support pipeline growth, and improve campaign conversions. Lastly, similar to last quarter, the final point is around FX, where the global nature of our business exposes us to fluctuations in currency exchange rates. Our updated guidance reflects the corresponding incremental FX headwinds we expect for the rest of the year, which more than offset the ARR raise and the Q2 outperformance. In other words, absent the impact of FX, our full-year expectations for top-line growth have accelerated relative to our guidance last quarter. As a result, for the third quarter, we expect total revenues of $128.2 million-$130.2 million, or growth of 18% at the midpoint. This includes an FX headwind of $2.4 million that is incremental to what was implied in our prior full-year revenue guidance. On a constant currency basis, we expect revenue growth of 19% at the midpoint. We expect non-GAAP operating income of $21 million-$22 million, and for the full year, we now expect total ARR of $522.1 million-$528.1 million, or growth of 26% at the midpoint. This includes a $1 million raise from our prior guidance, offset by an incremental FX headwind of $2 million. On an FX-adjusted basis, we expect total ARR growth of 20% at the midpoint, a modest acceleration from our prior guidance. We now expect total revenues of $508.5 million-$512.5 million, or growth of 22% at the midpoint. This includes the Q2 beat of $3.7 million, offset by an incremental FX headwind of $5.6 million, on a constant currency basis, we now expect revenue growth of 21% at the midpoint, an acceleration from our prior full-year expectations. Lastly, we now expect full-year non-GAAP operating income of $86.4 million-$88.4 million, which includes the Q2 beat of $1.2 million, the offsetting FX headwind of $1.9 million, and the elevated investments I discussed a moment ago. Finally, on a Rule of 40 basis, the midpoint of our updated full-year guidance is the rule of 43. We have again included a slide in our investor presentation that provides a walk from our prior full-year guidance in May to today's updated outlook. In summary, this was an excellent quarter from our team, with multiple data points confirming that our momentum and success with new and existing customers continues to strengthen. As we look to the market opportunity ahead of us, we see ample opportunities to continue capitalizing and driving shareholder value, both in the second half of 2026 and in the many years to come. Thanks for joining us today. With that, we would be happy to take your questions. Operator? Operator: We will now begin the question and answer session. Our first question comes from Shrenik Kothari with Baird. Please go ahead. Shrenik Kothari: Yeah. Thanks for taking my question. TJ, it's really encouraging to see the early AgentPulse traction, particularly the wins you mentioned, customers choosing you for more actionable governance and lower total cost. You initially bundled AgentPulse within Control, and you have since launched it as standalone as well. Just curious how much of the pipeline uplift today is directly attributable to AgentPulse, and how are you thinking about standalone adoption versus using it to pull customers into the broader Control Plus deployments? Then a quick follow for Jim. Thanks. Tianyi Jiang: Great. Thanks for the question. Yeah, we're very pleased with reception thus far on the AgentPulse product. Definitely driving customer conversations and interest in the bundles. This is also why we actually announced the standalone in July, because the demand is quite high. The number of Control packages customers roughly doubled in Q2 versus the prior quarter, and also our pipeline stats cited last quarter around Control bundles are roughly the same percentage so far this year. We did note that the average with the AgentPulse in the dollar value of those deals are 2x-3x larger. Also, given the latest data, we also see that on average, AgentPulse customer are managing well over 5,000 agents, AI agents. What's remarkable is that the number of those agents are growing, doubling every quarter, every three months. This is something that it's definitely a high priority item for our customers, and this is why we made that a standalone SKU. Thank you. Shrenik Kothari: Great. Very helpful. Just a quick follow-up for Jim. I know you previously had disclosed Control represents roughly 40% of pipeline, and today's commentary suggests that the momentum has strengthened further. However, the NRR still remains and hovers around that 110%, has not yet begun moving towards that 115% target that you've set. If you can help just unpack a bit on the dynamics, like why are these larger expansion, as TJ just mentioned, including Control and AgentPulse, not yet sort of translating into stronger expansion, and what should we expect next? Thanks. Jim Caci: Sure. Thanks, Shrenik. I think maybe to keep in mind, it's still very early in terms of AgentPulse. As we mentioned in Q1, it was introduced midway through the quarter. Obviously, we've seen really good pipeline creation and demand for those bundles that TJ referred to, but most of that is still in pipeline. We saw nice closing and bookings in Q2, but there's still a ton of pipeline. In addition to that, we just introduced the standalone SKU in July. We haven't seen any real impact, obviously, on the Q2 numbers for that. We do expect to see an impact moving forward. We feel really good about the 110% of NRR where we stand today. We still have that long-term target of 115%. We feel good about that. I do think over time here, we're going to see our continue moving forward toward that 115%. Again, I feel good about the pipeline we've created and that the longer-term target, that will help us achieve the NRR goals that we've set. Shrenik Kothari: Very helpful. Thanks a lot, TJ and Jim. Thanks. Jim Caci: Thank you. Operator: Our next question comes from Joseph Gallo with Jefferies. Please go ahead. Joseph Gallo: Hey, guys. Thanks for the question. TJ, love all the prepared remarks on governance. That was certainly a key theme, Black Hat. Obviously, it's growing your pipeline. I wanted to ask, do you think you have the brand awareness in the market where you want it? Is that where the incremental OpEx spend is going? I'm just curious because I imagine it's a tremendously easy cross-sell, but can this also be a net new logo driver? Tianyi Jiang: That's a great question. I'll go first, and then Jim can chime in. For sure, in our ecosystem, we have the brand name, especially within the Microsoft Cloud ecosystem, and we have a large team at Black Hat Conference as well, and we talked about new product releases this week around kinetic classification as well as rapid intelligence recovery capabilities. It's all part of our AI trust layer framing, that increasingly customers see our Confidence Platform as the trust layer for AI to actually confidently scale AI deployment without scaling risks. These are really resonating with our customers and partners. In terms of branding outside of our ecosystem, we're definitely going to do more. Jim actually mentioned specifically on this topic around we are increasing some of the work on go-to-market, on branding. We are investing for growth because we see the demand in the market, we see the need for our solutions, and we see the actual evidence of growth for our product line. You will see more product announcements coming as the way to build out this AI trust layer across data infrastructure, AI, and AI agents. Stay tuned to see more of that from us. Joseph Gallo: Awesome. Maybe just as a follow-up for Jim, how was U.S. Fed demand? What's the pipeline look like? What are you expecting in the second half this year? Is that what's giving you the confidence in the ramp or the acceleration, the further acceleration in ARR growth constant currency? Thank you. Jim Caci: Thanks, Joe. I think you're spot on. We definitely see pipeline creation really accelerating, that gives us some confidence. Also our ARR really is following a trend that we've seen really over the past several years where Q2 accelerated over Q1, historically, our second half of the year accelerates from the first half of the year. Right now, 2026 is playing out exactly that way. We see nice pipeline acceleration from some of the things TJ mentioned about AgentPulse. That's a little bit of a tailwind and pushing that forward. It's also the reason that we see this demand and this market opportunity, and it's part of the reason we're doubling down and increasing our investment in the second half of the year. All of that taken together, gives us the confidence not only in the growth, but also the reason that we're doubling down on our investment. Joseph Gallo: Awesome. Thank you very much. Jim Caci: Thanks, Joe. Operator: Our next question comes from Jason Ader with William Blair. Please go ahead. Jason Ader: Thanks. Good afternoon, guys. I was just wondering if you could help us understand how you're positioning versus Agent 365 from Microsoft, and just how to think about any potential headwinds from the E7 bundle where Agent 365 is included. Just help us think through that. Tianyi Jiang: Hey, Jason. Thanks for the question. We actually mentioned a customer example in the prepared remarks around how customers selected us. We can work hand-in-hand with Agent 365, but we also go one level deeper, like how we work with Purview. Purview is really at the content level, we're at the workspace level. Here, we actually, our delegate administration model, our cross-cloud capabilities, and also Agent ROIs and be able to track the costs. All those things, we go beyond what the hyperscaler themself offer, more importantly, it's this multi-cloud flavor. We also know that Agent 365 standalone is about $15 per user. Of course, you have to upgrade to the $99 per user E7 to have it. There are many customers that have mixed license types. We all know not all customers are going to go, even within the organization, everyone go to E7. There's a lot of opportunity for customers and partners to leverage our capabilities, especially around multi-cloud management, at also affordable rate. Jason Ader: Got you. Okay, thanks. Could you remind us of the pricing for AgentPulse? Jim Caci: There's two different flavors. Obviously in the bundle, it's just part of the overall Control Suite bundle, so it's embedded in that pricing. What we just released in terms of the standalone, we essentially have two different flavors. When you think about the base flavor for AgentPulse, it really is providing visibility and observability to the customer so that they can see what's happening in their environment. The step up from that, or the more advanced, would allow them to actually take action and govern what's happening in their environment. Two different price points. A base entry-level price to essentially accommodate visibility, and then the actual governance is a second-tiered price. Both very competitively priced. We think they're aggressive, not only to attract new customers, but also to help our existing customers take that next step. Again, we think that we've priced it right. Early indications are very positive, we're excited about what we're going to see in the future. Jason Ader: All right. Thanks, guys. Good luck. Jim Caci: Thanks, Jason. Operator: Our next question comes from Rudy Kessinger with D.A. Davidson. Please go ahead. Ben Smith: Hey, this is Ben Smith on for Rudy. Thanks for taking the question. Curious on the incremental investments that you're making. Do you see that as making investments to meet the ARR guidance for this year, or is that more intended to drive sustained growth in 2027 and beyond? Jim Caci: Thanks for the question. I appreciate the clarification. We broke those investments into two components, really. A technology-driven investment and go-to-market motion. I would suggest that the way we're thinking about it is both of those have more future impact than current quarter or even next quarter. The go-to-market motions are investments that are intended to capitalize on what we're seeing in the market and take advantage of that, but obviously they won't have an immediate impact. They'll have longer term impact. The technology ones, we're seeing nice efficiency gains from what we've been doing, particularly in our engineering team. We want to see that continued transformation, not only within the engineering team, but beyond. Again, those efficiencies will happen over time, and we'll see those improvements moving forward. I would think about it, and the way the company's thinking about it, is more of a longer-term impact. We think about a slight impact on our current operating income results with the intention that this gives us even more confidence of hitting our longer-term operating income targets because of the efficiencies gained and the ability to increase the top line as well. Ben Smith: Thanks. Operator: Our next question comes from Erik Suppiger with B. Riley Securities. Please go ahead. Erik Suppiger: Yeah, two follow-up questions. One on the pricing for AgentPulse on the standalone. I didn't catch, did you say that you price it on a per agent basis, or what is the foundation for that? Then on the operating margin, I'm assuming you're still targeting the 25%-30% in fiscal 2029. Can you just describe what the trajectory for getting there will be? Will it be back-end loaded, or what should we be thinking about as you get past fiscal 2026 here? Jim Caci: Great. Thanks, Erik, for the question. I appreciate the clarification on the pricing. Great point. What we've tried to do is make it very easy for our customers, and right now it's being priced on a per seat or per user basis as opposed to a per agent. Some of the feedback we've obviously heard from customers is one of their challenges is even understanding how many agents they have running in their environments. To essentially have certainty of pricing, we went and the easiest model possible, which would be the user. Again, that seems to be resonating with customers. We think that's the right strategy, at least for today. On the second question about- Erik Suppiger: Just real quick on that user. Is that typically an administrator, like a 365 administrator, or who is the typical user that you're selling to there? Jim Caci: No, think more of the Microsoft licensing model, where it would be for the whole enterprise in terms of all users. That would be the structure. Erik Suppiger: Oh, I got you. Okay. Jim Caci: Yeah. Erik Suppiger: Thank you. Jim Caci: Which is similar to pricing for other products as well. Erik Suppiger: Okay. Jim Caci: When we think about the operating margins, good question in terms of what we're expecting moving forward. We haven't changed our long-term targets. As I had mentioned, I think this actually gives us more confidence that we're going to be able to achieve those longer term targets because of the efficiency we're seeing from some of the investments we're making today. When we think about how that trajectory looks, I don't think it'll be, and we said this right from the start, I don't think it's completely linear. There will be some ups and downs as we move forward toward that goal. I don't think that changes, but I would expect to see improvements over the years. They just won't be at the same rate. Again, we feel really good with those overall targets. One of the things that, again, we're even more focused on is GAAP profitability. You heard me mention earlier about the expansion that we saw in Q2 as well. When we look at all of that together, we're excited to be able to hit those longer term targets. I think the investments we're making today make that goal even more easier to hit and give us more confidence to achieve that. Erik Suppiger: Very good. Thank you. Jim Caci: Thanks, Erik [crosstalk]. Operator: Our next question comes from Todd Weller with Stephens. Please go ahead. Todd Weller: Thanks for the question. Could you hit on the resilience business and talk about kind of the demand trends and drivers you're seeing there? Related to that, how do you see AI kind of impacting, influencing that business, both from a capabilities perspective but also from a growth and opportunity perspective? Tianyi Jiang: I'll go first. The resilience side is still growing very robust. From AI perspective, the AI risks, right? We recently released a State of AI report, where we see that 88% of the companies have some sort of AI security incident in the last 12 months. AI risk is real. That damage is happening at machine speed. This is actually highlighting the need for a very robust resilience capability. We actually include essentially, Back Express and Restore Express capabilities to restore environments very quickly, in minutes. Give customers the ability to actually prioritize, with even recommendations on prioritizing which workloads, which type of functional areas to restore first. The concept of minimal viable company idea in term of a massive outage. These things are actually happening live. If you recall the previous earnings, we even talk about how when the conflict in Middle East happened, that really drove up a spike for resilience capabilities because of the need to restore entire production environments in a different hyperscaler cloud very quickly. AI is actually driving even further need, heightened need for this, and this is why we released the new products that we announced at Black Hat. It's leveraging AI capabilities to actually continuously classify and add rich context to your data sets. At the same time, be able to identify prioritization of restore capabilities. Todd Weller: TJ, just a follow-up to that. What are you seeing? Where are we in terms of AI applications and workloads being backed up by kind of AvePoint's resilience solutions? Tianyi Jiang: Yeah, we actually back up agents now as well. This is what we call IaaS and PaaS. Much of this infrastructure is running in compute cloud, whether it's Azure, GCP, or AWS. We also actively back up those and then restore them, store them to wherever the customer would like, whether it's their own data centers or the same cloud data centers or in a different hyperscaler location for failover capabilities. That demand is there. We do more of that today than ever before. Todd Weller: Great. Thank you. Tianyi Jiang: Thank you. Operator: Our next question comes from Joe Vandrick with Scotiabank. Please go ahead. Joe Vandrick: Thanks for the question. Maybe one for TJ. I mean, it seems like we're starting to see an acceleration in how quickly large enterprises are adopting AI. We've seen really strong results at Microsoft with Copilot adoption. You're starting to see it flow through numbers for other software companies like Datadog and Snowflake. I guess I'd love to understand what trends you're seeing in your customer base and if this is ringing true for you guys. I know roughly half of AvePoint ARR is mid-market and SMB. What does that mean for adoption? Is it taking a little bit longer to show up for these smaller customers than the larger enterprises that you also see? Because you also have those guys as customers. What does that mean for AvePoint? Tianyi Jiang: Yeah. The example we give, on average AgentPulse customer, they discover they have at least 5,000 agents, and then that number grows, doubles every three months. We have customers where we're managing hundreds of thousands agents for them. The number of agents now far exceeding the number of employees. Of course, most of these agents are very lightweight, very simple, almost workflow type of agents, not yet full on virtual employee, not human identity type of robust agents that people spoke of. That's where we see. Of course, Microsoft's Office Copilot adoption has been very robust. It's gone to now 30 million user seats, then GitHub Copilot is now 50 million user seats. That's not just enterprise, it's also medium-sized businesses and SMBs. In fact, in Q2, we added a record number of SMB new logos as well as a record number of $250,000-$500,000 ARR cohorts. We do see success across all the segments. I don't think it's true that SMBs are not deploying AI faster than enterprise. It's this ability to deploy and launch agents that's very different this year versus last year. Everyone's focused on how many Office Copilot people are deploying. Actually, it's very targeted deployment of AI. Of course, last year is also token maxing. This year, it's very focused on cost control and making sure that there's intentionality in term of outcome-based AI deployment. This is why the AI trust thing is so important now. Joe Vandrick: Very helpful. Yeah, thank you. Maybe just one follow-up. You guys continue to improve and add functionality to the AvePoint Elements platform. Can you talk more about the traction there, and ultimately, how big can this MSP-focused business be for AvePoint? Tianyi Jiang: That's a great question. Right now, MSP is almost analogous to SMB to us. SMB is roughly about 20% of our recurring. We are adding new capability to our AvePoint Elements platform. We include endpoint management, license management, SaaS license management, in addition to, of course, agents, AI agent cost management. That's our fastest-growing segment, as we mentioned a number of times before, and it continue to be. We think the SMB market segment could be as large as 30%-40% in the next few years. We still have ways to go. In terms of the overall market size, it's massive. We cited that we have about 6,000 total partners. I think in the MSP space, we have about 2,000 total partners. But the ecosystem, even just in North America, is about 20,000 MSP partners. There's still a lot of green field for us to go after. Joe Vandrick: Thank you. Jim Caci: Thanks, Joe. Tianyi Jiang: Thanks, Joe. Operator: Our next question comes from Nehal Chokshi with Northland Capital Markets. Please go ahead. Nehal Chokshi: Yeah, thank you, and congrats on another good quarter. As always, great clarity on the guidance, including slide 25 here that bridges the prior guidance and updated guidance. It shows that indeed it's a raise here, excluding the FX impacts. Just to be clear, though, this guidance change, is that reflective of or is that inclusive of Q2 outperformance on the ARR side? Jim Caci: Again, we don't necessarily guide quarterly on ARR. When you say outperformance, we technically guide for the full year on ARR. There's not necessarily a beat for the individual quarter. We were very pleased with the performance of ARR in the quarter. That is reflected in our overall change to the guidance in total, where we feel really confident based on the performance in Q2 and what we see for the rest of the year to raise our guidance by $1 million. I wouldn't say it's specifically just about Q2, though. Nehal, thank you for recognizing the slide and the walk that we try and put together. It can be complicated, we understand that, we appreciate the fact that you recognize and see that. Thanks for mentioning that. Nehal Chokshi: Absolutely. TJ, there appears to be new ecosystems that have been born, specifically Anthropic and OpenAI. Do you agree with that assertion? If so, what are you guys doing to develop products specific to these new ecosystems and go-to-market mechanisms for these new ecosystems? Tianyi Jiang: That's a great question. We think those are commercial available large language model ecosystems, and they're increasingly in the age of expensive AI tokens. We see more and more customers that are using different providers and different type of models, both private models as well as open source models running their own infrastructure to be much more cost-conscious and outcome-driven. In leveraging these models, there need to be certain agnostic nature to it to be able to route different type of workloads to different models. Fundamentally, though, everything these models ground on, especially for the enterprise, are the data. The foundational data is what we care about, right? We curate that data, we actually add context. We do this kinetic classification and life cycle management and this recertification of that. Ultimately, whichever provider and whichever large language model that the customer used to refine on will have a better outcome. In that way, we are model provider agnostic. Microsoft also say that as a hyperscaler, they're the one that most neutral to these type of model. Having said that, Anthropic, OpenAI do have now their own B2B ecosystem, so there is another area that we do work to support. Today, like we mentioned earlier, we do support backing up and restore of agents. Those basically VMs and servers and all the data that those agents ground on, including memories, models, and skills, right? Those cached data repository that agents will use to be productive. Nehal Chokshi: Just curious, could you give your perspective as far as the enterprises that you're working with that is AgentPulse? What is their distribution of agents across these various LLM ecosystems, open source versus closed source versus hyperscaler backed? Tianyi Jiang: That is actually very hard. It is very dynamic, honestly, because as I mentioned last year was token maxing. Everyone is just measure simplistically how much token is being consumed as a kind of a proxy for intelligent use of AI, right? This year, a lot more cost consciousness towards this. I know even ourselves included. No CFOs, Jim included, want to be surprised with token consumption over budget in a very quick order. More and more enterprises are actually becoming smarter, wise up to the fact that they need to be much more diligent in how to use AI and how to do this in an economic way. This whole space is changing very quickly. Nehal, I don't think it is useful to say this is a snapshot. I feel like this dynamic's changing by the quarter. Thinking Machines now has an open source model, an American-made open source model that a lot of people are now using as alternatives. This is a very dynamic space. It is very hard to get concrete data on that. Nehal Chokshi: Thank you very much for that perspective. Tianyi Jiang: Thanks, Nehal. Operator: Our next question comes from Derrick Wood with TD Cowen. Please go ahead. Cole Erskine: Great. Thanks. This is Cole on for Derrick. TJ, this is kind of a follow-up to an earlier question, with Mythos and all these new vulnerability concerns, are you guys seeing incremental demand and pull forward or faster buying cycles from customers? Tianyi Jiang: Yeah, that's a great question. This is what we're seeing in term of this whole AI resilience. Smart recovery and be able to detect damages more in real time with the phrasing machine speed. This is where the demand for resilience is coming in. Damages are being done now at machine speed, recovery has to be done at machine speed. It's absolutely driving the demand for resilience as well as, of course, the governance overall, this AI trust layer. You will hear more, again, as I mentioned, product coming from AvePoint in the next months and quarters to really lay out the overall robust offering around the AI trust layer. Now with security completely disrupted by attackers that's actually not humans anymore, it's agents, fleets of agents. This whole AI trust, AI recovery capabilities is ever more important. Cole Erskine: Great. Thank you. Tianyi Jiang: Thanks, Cole. Operator: Our next question comes from Kirk Materne with Evercore. Please go ahead. Vinod Srinivasaraghavan: Hi, this is Vinod on for Kirk. We realize this is a small part of the business right now, but could you maybe talk about your Google Cloud related business and the growth trends there? Thank you. Tianyi Jiang: We're pleased with Google growth rates. We have seen really good success in North America, in Japan. Now starting to see it in EMEA as well. We actually articulated this earlier as also Google is actually making very good inroads. I personally was at their Google Next conference a couple months ago. They're making very good inroads into enterprise. Our community, there's a lot of enterprise leaders that we know very well for a decade plus are now leading teams there. The thing is different tech stack, but same problems that they solve. We help customers move data between different hyperscaler data estates. The reality is the world is multi-cloud, we even have customers to have both Google and Microsoft Stack running in the cloud. That side is growing well. We're pleased to see the progress. We're making investment also to make sure that we have this go-to-market success globally. Vinod Srinivasaraghavan: Great. Thanks. One more for me. The environment around us is changing very quickly and rapidly with Mythos, et cetera. Looking back to the end of last year, has anything really surprised you or stood out or been very different than your initial expectations around the topic of shadow AI coming into the year? Tianyi Jiang: Yeah, things are moving very fast. I think every CEO I talk to, there are two things that they very much focus on, hair-on-fire problem. One is the risk, shadow AI and agent sprawl, and of course, around cyber. How AI agents can break in at a much more fast and furious than human actors can do that. Second one is cost. AI consumption costs are going through the roof. I know many of our customers talk about their budget kind of blown with the token consumption. That's something that everyone increasingly need to get a handle around. These two things, risk and cost, is what customers are really very focused on. The fact remains, this AI technology is highly disruptive. It's here, it's real, and companies have to use it, but they have to use it in a trusted way so that they don't also, at the same time, scale risk. They need to control risks and control the cost at the same time. I think nothing really surprises us per se, but it seems like this pressure is even higher this year versus last year. The pressure to not only deploy AI, but also securely and cost effectively. Vinod Srinivasaraghavan: Thank you. Operator: This concludes our question and answer session. I would like to turn the conference back over to Tianyi Jiang for closing remarks. Tianyi Jiang: Well, thank you for joining us today. I'll close by sharing where our confidence comes from, because I'm coming off a full round of quarterly business reviews with our teams across Americas, EMEA, and APAC. The message from every one of those conversations with our customers, partners, and leaders running each of our regions was remarkably consistent. The disruption created by agentic AI is real and accelerating, and organizations everywhere are turning to AvePoint to bring the visibility, governance, and above all, the trust this new era demands. We are executing well on every front, and our business is performing with greater breadth and consistency than ever. That is exactly why we're so bullish on our ability to capitalize on this generational opportunity as the unifying trust layer for AI, and why our conviction in the path to our $1 billion ARR target has never been stronger. Thank you again for joining us today. We look forward to speaking with you more this quarter. Operator: The conference is now concluded. Thank you for attending today's presentation. You may now disconnect. Before you buy stock in AvePoint, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and AvePoint wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $400,209!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,375,393!* Now, it’s worth noting Stock Advisor’s total average return is 964% — a market-crushing outperformance compared to 215% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of August 13, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. AvePoint (AVPT) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Never miss an important update on your stock portfolio and cut through the noise. Over 7 million investors trust Simply Wall St to stay informed where it matters for FREE. AvePoint (AVPT) is drawing fresh attention after reporting second quarter 2026 results alongside new revenue guidance for the third quarter and full year, while also spotlighting progress in its AI governance offerings. The company reported second quarter revenue of US$124.5 million compared with US$102.02 million a year earlier. Net income was US$27.57 million compared with US$2.7 million for the same period, with diluted earnings per share from continuing operations of US$0.12 compared with US$0.01 a year ago. For the first six months of 2026, AvePoint reported revenue of US$241.74 million compared with US$195.08 million a year earlier. Net income for the period was US$42.82 million compared with US$6.14 million, with diluted earnings per share from continuing operations of US$0.19 compared with US$0.03 a year ago. AvePoint also issued revenue guidance on 6 August 2026. For the third quarter of 2026, the company expects total revenue between US$128.2 million and US$130.2 million, which it quantified as 18% year over year growth at the midpoint. For the full year 2026, AvePoint now expects total revenue between US$508.5 million and US$512.5 million, which it described as 22% year over year growth at the midpoint. Alongside these financial updates, AvePoint highlighted that AI governance products now account for 40% of its pipeline and reiterated a target of US$1b in annual recurring revenue by 2029 while remaining profitable. These factors, together with the revised guidance, give investors updated reference points for thinking about the stock at the current price of US$13.13 as of 10 August 2026. See our latest analysis for AvePoint. AvePoint shares have been volatile over the past year, with the recent earnings release, higher 2026 revenue guidance and new AI governance products helping support a 36.91% 90 day share price return, even as the 1 year total shareholder return is down 11.88%. If you are interested in how other AI focused software stocks are trading after earnings and product updates, now is a good time to check out 71 profitable AI stocks that aren't just burning cash AvePoint stock has raced ahead on strong numbers and AI momentum. The next step is to see whether the current valuation still reflects a favourable balance between potential upside and the risks from here. The most followed AvePoint narrative points to a fair value of $23.61 against the last close at $13.13, which frames the stock as materially undervalued in that model. Read the complete narrative. Want to see what sits behind that confidence in AvePoint? The narrative leans on faster top line expansion, higher profitability and a premium earnings multiple. Curious which assumptions really move that $23.61 fair value. Result: Fair Value of $23.61 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, AvePoint’s AI governance story still carries risks, including its heavy reliance on Microsoft related revenue and the possibility that large customers may slow AI project rollouts. Find out about the key risks to this AvePoint narrative. The bullish AvePoint narrative leans on a higher future earnings multiple. By contrast, the current P/E of 38.9x sits above both the US Software industry at 31.8x and a fair ratio of 21.9x, even though it is slightly below peers at 40.6x. That mix of signals raises a practical question: Is the valuation leaving enough room for error if growth or margins do not keep pace with expectations? See what the numbers say about this price — find out in our valuation breakdown. With mixed signals around AvePoint in this article, it makes sense to review the numbers, risks and upside yourself, then weigh the 3 key rewards and 1 important warning sign. If AvePoint has your attention, now is the moment to widen your watchlist with other concrete ideas that match different goals, risk levels and income needs. Prioritise capital preservation and steadier compounding by scanning companies in the 85 resilient stocks with low risk scores that still offer room for long term growth. Hunt for potential mispriced opportunities by reviewing the 49 high quality undervalued stocks and see which stocks currently trade below their assessed worth. Strengthen your income stream by checking companies in the 8 dividend fortresses that pair higher yields with business fundamentals you can scrutinise in detail. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include AVPT. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

This article first appeared on GuruFocus. Total Revenue: $124.5 million, representing 22% growth year-over-year and above the high end of guidance. SaaS Revenue: $98.5 million, growing 27% year-over-year and representing 79% of total revenues. Total ARR: $465.1 million, representing 27% year-over-year growth (24% after adjusting for FX). Net New ARR: Record $29.9 million, representing growth of 35% year-over-year. Gross Profit: $91.7 million, representing a gross margin of 73.7%. Non-GAAP Operating Income: $20.3 million, representing an operating margin of 16.3%. GAAP Operating Margin: 8.2% in Q2, expanding nearly 130 basis points year-over-year. Cash and Cash Equivalents: $417.3 million at the end of the quarter. Operating Cash Flow (First Six Months): $40.2 million, or a 17% margin. Free Cash Flow (First Six Months): $37.7 million, or a 16% margin. Customer Retention: Q2 gross retention rate was 89%, and net retention was 110% (adjusted for FX). Customers with ARR over $100,000: 911, representing 26% growth. Share Repurchases: Spent approximately $50 million to repurchase 4.9 million shares in Q2. Warning! GuruFocus has detected 2 Warning Sign with AVPT. Is AVPT fairly valued? Test your thesis with our free DCF calculator. Release Date: August 06, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. AvePoint Inc (NASDAQ:AVPT) delivered strong Q2 results, outperforming all guided metrics with total revenue growth of 22% year-over-year and record net new ARR of $29.9 million, up 35% year-over-year. The company saw accelerating demand for its new AgentPulse product, which drove a doubling of Control package customers quarter-over-quarter and deals that are 2-3 times larger in value. AvePoint Inc (NASDAQ:AVPT) achieved record customer cohort growth, with customers over $250K, $500K, and $1M ARR each growing at or above 30%, and added a record number of new SMB logos. The company reported its eighth straight quarter of GAAP operating profitability, with GAAP operating margins expanding to 8.2% and free cash flow surpassing $100 million on a trailing twelve-month basis. AvePoint Inc (NASDAQ:AVPT) raised its full-year ARR guidance and continues to see strong momentum across all regions, with EMEA ARR growing 34% and all three regions now exceeding $100 million in ARR. AvePoint Inc (NASDAQ:AVPT) faces incremental FX headwinds that are offsetting some of its operational outperformance, with a $5.6 million impact on full-year revenue guidance. The company's net revenue retention (NRR) remains at 110%, below its long-term target of 115%, as the impact of AgentPulse and Control bundle sales has not yet fully translated into expansion metrics. Gross margin declined year-over-year to 73.7% from 74.8%, driven by lower services gross margins, although software product margins remained stable at 83%. AvePoint Inc (NASDAQ:AVPT) is increasing its expense plans for the second half of the year, which will temper near-term operating margin expansion despite the strong demand environment. The company's migration products continue to act as a two-point headwind to gross retention rates (GRR), which remained at 89% in the quarter. Q: How much of the pipeline uplift today is directly attributable to AgentPulse, and how are you thinking about standalone adoption versus using it to pull customers into the broader Control Plus deployments? A: Tianyi Jiang (CEO): We're very pleased with the reception of AgentPulse. It is definitely driving customer conversations and interest in the bundles, which is why we launched it as a standalone SKU in July. The number of Control packages customers roughly doubled in Q2 versus the prior quarter. While the percentage of pipeline from Control bundles is similar to last quarter, the average dollar value of those deals is two to three times larger when AgentPulse is included. On average, AgentPulse customers are managing well over 5,000 AI agents, and that number is doubling every quarter. Q: The NRR remains around 110% and has not yet moved towards the 115% target. Why aren't the larger expansions, including Control and AgentPulse, translating into stronger expansion? A: Jim Caci (CFO): It's still very early for AgentPulse. It was introduced midway through Q1, and while we've seen great pipeline creation and demand, most of that is still in the pipeline. We saw nice bookings in Q2, but the standalone SKU was only introduced in July and had no impact on Q2 numbers. We feel good about the current 110% NRR and still have the long-term target of 115%. We expect the strong pipeline to help us achieve that goal over time. Q: Do you think you have the brand awareness in the market where you want it? Is that where the incremental OpEx spend is going, and can this be a net new logo driver? A: Tianyi Jiang (CEO): Within the Microsoft Cloud ecosystem, we have a strong brand. We are increasingly framing our Confidence Platform as the "trust layer for AI," which resonates with customers. We are investing in go-to-market and branding to expand awareness outside our core ecosystem because we see the demand. You will see more product announcements as we build out this AI trust layer across data infrastructure and AI agents. Q: How is U.S. Fed demand and the pipeline looking for the second half? Is that what gives you confidence in the further acceleration in ARR growth? A: Jim Caci (CFO): We definitely see pipeline creation accelerating, which gives us confidence. Our ARR is following a trend where Q2 accelerated over Q1, and historically, the second half accelerates from the first half. AgentPulse is a tailwind pushing that forward. This is part of the reason we are doubling down and increasing investment in the second half of the year. Q: How are you positioning versus Agent 365 from Microsoft, and how should we think about potential headwinds from the E7 bundle where Agent 365 is included? A: Tianyi Jiang (CEO): We can work hand-in-hand with Agent 365, but we go one level deeper. Our delegate administration model, cross-cloud capabilities, and ability to track Agent ROI and costs go beyond what the hyperscalers offer. Since Agent 365 requires an upgrade to the $99 per user E7 bundle, and many customers have mixed license types, there is a lot of opportunity for us to provide multi-cloud management at an affordable rate. Q: Could you remind us of the pricing for AgentPulse? A: Jim Caci (CFO): There are two flavors. In the bundle, it's embedded in the Control Suite pricing. For the standalone, there is a base flavor providing visibility and observability, and a more advanced tier that allows customers to take action and govern. Both are competitively priced to attract new customers and help existing ones expand. Early indications are very positive. Q: Do you see the incremental investments as making investments to meet the ARR guidance for this year, or are they intended to drive sustained growth in 2027 and beyond? A: Jim Caci (CFO): Both investments have more future impact than current quarter. The go-to-market motions are intended to capitalize on market demand but will have a longer-term impact. The technology investments are driving efficiency gains in engineering, and we want to continue that transformation. We think of it as a longer-term impact, with a slight impact on current operating income, but giving us more confidence in hitting our longer-term operating income targets. Q: What is the foundation for the standalone AgentPulse pricing, and are you still targeting the 25%-30% operating margin in fiscal 2029? A: Jim Caci (CFO): We priced AgentPulse on a per-seat or per-user basis, not per agent, to make it easy for customers who often don't know how many agents they have. It's structured like the Microsoft licensing model for the whole enterprise. We haven't changed our long-term operating margin targets. The trajectory won't be completely linear, but we expect improvements over the years. We are even more focused on GAAP profitability, and the investments we're making today give us more confidence to achieve those longer-term targets. Q: Could you hit on the resilience business and talk about the demand trends and drivers, and how AI is impacting that business? A: Tianyi Jiang (CEO): The resilience side is growing robustly. Our State of AI report found that 88% of companies had an AI security incident in the last 12 months. AI risk is real and damage happens at machine speed, highlighting the need for robust resilience. We are leveraging AI for kinetic classification to continuously evaluate data sensitivity and prioritize restores. We also back up AI agents themselves, which are running in compute clouds like Azure, GCP, or AWS, and can restore them to different locations for failover. Q: We're seeing an acceleration in how quickly large enterprises are adopting AI. What trends are you seeing in your customer base, and is it taking longer for smaller customers to adopt? A: Tianyi Jiang (CEO): On average, AgentPulse customers discover at least 5,000 agents, and that number doubles every three months. We have customers managing hundreds of thousands of agents, far exceeding the number of employees. Adoption is not just for enterprises; we added a record number of SMB new logos in Q2. This year is very focused on cost control and outcome-based AI deployment, which is why the AI trust layer is so important. Q: Can you talk about the traction with the AvePoint Elements platform and how big For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Second quarter SaaS revenue of $98.5 million, representing 27% year-over-year growth, 26% on a constant currency basisSecond quarter Total revenue of $124.5 million, representing 22% year-over-year growth, 21% on a constant currency basisTotal ARR of $465.1 million, representing 27% year-over-year growth, 24% adjusted for FX JERSEY CITY, N.J., Aug. 06, 2026 (GLOBE NEWSWIRE) -- AvePoint (Nasdaq: AVPT, SGX: AVP), the unifying Trust Layer for AI, today announced financial results for the second quarter ended June 30, 2026. “Our excellent second quarter results reflect the growing demand for trusted AI, as we accelerated topline growth, outperformed all guided metrics, and delivered record net new ARR,” said Dr. Tianyi Jiang (TJ), CEO and Co-Founder, AvePoint. “As organizations rapidly integrate and rely on agentic AI, their need for visibility, governance, and security — for trust in this technology — has only intensified. Because trust is the foundational layer of enterprise AI, AvePoint is uniquely positioned to help organizations deploy intelligent systems with confidence, maximizing business value while minimizing risk. Our continued momentum underscores the strength of our platform and strategy as we capture the significant opportunity ahead.” Second Quarter 2026 Financial Highlights Revenue: Total revenue was $124.5 million, up 22% from the second quarter of 2025. Within total revenue, SaaS revenue was $98.5 million, up 27% from the second quarter of 2025. Gross Profit: GAAP gross profit was $91.0 million, compared to $75.5 million for the second quarter of 2025. GAAP gross margin was 73.1%, compared to 74.0% for the second quarter of 2025. Non-GAAP gross profit was $91.7 million, compared to $76.3 million for the second quarter of 2025. Non-GAAP gross margin was 73.7%, compared to 74.8% for the second quarter of 2025. Operating Income: GAAP operating income was $10.2 million, compared to $7.1 million for the second quarter of 2025. GAAP operating margin was 8.2%, compared to 7.0% for the second quarter of 2025. Non-GAAP operating income was $20.3 million, compared to $18.8 million for the second quarter of 2025. Non-GAAP operating margin was 16.3%, compared to 18.4% for the second quarter of 2025. Cash and cash equivalents: $417.3 million as of June 30, 2026. Cash from operations: For the six months ended June 30, 2026, the Company generated $40.2 million of cash from operations, compared to $20.8 million in the prior year period. Second Quarter 2026 Key Performance Indicators and Recent Business Highlights ARR as of June 30, 2026 was $465.1 million, up 27% year-over-year. Adjusted for FX, ARR grew 24%. Dollar-based gross retention rate was 89% on a reported and FX-adjusted basis, while dollar-based net retention rate was 111% on a reported basis and 110% when adjusted for FX. The Company released its third annual State of AI report, finding that organizations lack the trust layer required to scale AI safely, as governance gaps, deployment delays, and AI-generated data are compounding the challenge. The Company announced new advancements to the AvePoint Confidence Platform that extend the trust layer — the connected layer of governance, security, recovery, and backup controls that sits across an organization’s data — to agentic AI, new enterprise applications, and new multicloud infrastructure. Financial Outlook The Company is again raising its full-year guidance for annual recurring revenue, and the Company’s updated full-year guidance for revenue and non-GAAP operating income includes the respective second quarter outperformance relative to guidance. Second, the Company is increasing its expense plans for the second half of the year, given the rapidly growing market opportunity and demand for its platform and services. Lastly, the Company’s updated financial guidance reflects the current expected headwind from the fluctuation in foreign exchange rates for all metrics, which more than offset the raise in ARR and the second quarter outperformance for revenue and non-GAAP operating income. For the third quarter of 2026, the Company expects: Total revenues of $128.2 million to $130.2 million, or year-over-year growth of 18% at the midpoint. On a constant currency basis, the Company expects revenue growth of 19% at the midpoint. Non-GAAP operating income of $21.0 million to $22.0 million. For the full year 2026, the Company now expects: Total ARR of $522.1 million to $528.1 million, or year-over-year growth of 26% at the midpoint. Adjusted for FX, the Company continues to expect ARR growth of 26% at the midpoint. Total revenues of $508.5 million to $512.5 million, or year-over-year growth of 22% at the midpoint. On a constant currency basis, the Company now expects revenue growth of 21% at the midpoint. Non-GAAP operating income of $86.4 million to $88.4 million. Quarterly Conference Call AvePoint will host a conference call today, August 06, 2026, to review its second quarter financial results and to discuss its financial outlook. The call is scheduled to begin at 4:30pm ET. You may access the call and register with a live operator by dialing 1 (833) 816-1428 for US participants and 1 (412) 317-0520 for outside the US. The passcode for the call is 2808027. Investors can also join the webcast here. The webcast will be available live, and a replay will be available following the completion of the live broadcast for approximately 90 days. About AvePoint AvePoint is the unifying Trust Layer for AI. AvePoint enables more than 28,000 organizations and 6,000 channel partners to protect, secure, and govern their entire AI estate across data, infrastructure, AI and agents for Microsoft, Google, Salesforce, and other leading cloud environments — so that enterprises can deploy AI with confidence and scale innovation without scaling risk. To learn more, visit www.avepoint.com. Non-GAAP Financial Measures and Other Key Metrics To supplement AvePoint’s consolidated financial statements presented in accordance with GAAP, the Company uses non-GAAP measures of certain components of financial performance. These non-GAAP measures include non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses (including percentage of revenue figures), non-GAAP operating income and non-GAAP operating margin, and key metrics include annual recurring revenue, dollar-based gross retention rate, and dollar-based net retention rate. The Company has included a reconciliation of GAAP to non-GAAP financial measures at the end of this press release. These reconciliations adjust the related GAAP financial measures to exclude stock-based compensation expense, the amortization of acquired intangible assets and expenses related to the secondary listing on the SGX-ST and the Company’s decision to discontinue its participation in a growth equity fund. The Company believes the presentation of its non-GAAP financial measures provides a better representation as to its overall operating performance. The presentation of AvePoint’s non-GAAP financial measures is not meant to be considered in isolation or as a substitute for its financial results prepared in accordance with GAAP, and AvePoint’s non-GAAP measures may be different from non-GAAP measures used by other companies. Annual Recurring Revenue. This metric is calculated as the annualized sum of contractually obligated Annual Contract Value (“ACV”) from SaaS and term license and support revenue sources from all active customers at the end of a reporting period. ARR should be viewed independently of revenue and deferred revenue and is not intended to be combined with or replace these items. ARR is not a forecast of future revenue, and the active contracts used in calculating ARR may or may not be extended or renewed by our customers. The Company believes this metric further enables measurement of its business performance, is an important metric for financial forecasting and better enables strategic decision making. Because this metric does not have the effect of providing a numerical measure that is different from any comparable GAAP measure, the Company does not consider it a non-GAAP measure. Dollar-based Gross Retention Rate. This metric is calculated by starting with the ARR from all active customers as of 12 months prior to such period end, or Prior Period ARR. The Company then calculates ARR from these same customers as of the current period end, or Current Period ARR. Current Period ARR includes net contraction or attrition over the last 12 months but excludes ARR from new customers in the current period. The Company then divides the total Current Period ARR by the total Prior Period ARR to arrive at the dollar-based gross retention rate. The Company uses this metric as a measure of its ability to retain existing customers, and believes it is useful to investors for the same reason. Because this metric does not have the effect of providing a numerical measure that is different from any comparable GAAP measure, the Company does not consider it a non-GAAP measure. Dollar-based Net Retention Rate. This metric is calculated by starting with the ARR from all active customers as of 12 months prior to such period end, or Prior Period ARR. The Company then calculates ARR from these same customers as of the current period end, or Current Period ARR. Current Period ARR includes net expansion over the last 12 months but excludes ARR from new customers in the current period. The Company then divides the total Current Period ARR by the total Prior Period ARR to arrive at the dollar-based net retention rate. The Company uses this metric as a measure of its ability to expand business with existing customers, and believes it is useful to investors for the same reason. Because this metric does not have the effect of providing a numerical measure that is different from any comparable GAAP measure, the Company does not consider it a non-GAAP measure. Guidance for non-GAAP financial measures excludes, as applicable, share-based compensation expense and the amortization of intangible assets related to acquisitions. A reconciliation of the guidance for non-GAAP financial measures to the corresponding GAAP measures is not available on a forward-looking basis due to the uncertainty regarding, and the potential variability and significance of, the amounts of share-based compensation expense and amortization of intangible assets related to acquisitions that are excluded from the guidance, as well as changes in interest rates and foreign exchange rates, which impact other GAAP performance metrics. Accordingly, a reconciliation of the non-GAAP financial measures guidance to the corresponding GAAP measures for future periods is not available without unreasonable effort. Forward-Looking StatementsThis press release contains certain forward-looking statements within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995 and other federal securities laws including statements regarding the future performance of and market opportunities for AvePoint. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including but not limited to: changes in the competitive and regulated industries in which AvePoint operates, variations in operating performance across competitors, changes in laws and regulations affecting AvePoint’s business and changes in AvePoint’s ability to implement business plans, forecasts, and ability to identify and realize additional opportunities, and the risk of downturns in the market and the technology industry. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of AvePoint’s most recent Annual Report on Form 10-K. Copies of this and other documents filed by AvePoint from time to time are available on the SEC's website, www.sec.gov. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and AvePoint does not assume any obligation and does not intend to update or revise these forward-looking statements after the date of this release, whether as a result of new information, future events, or otherwise, except as required by law. AvePoint does not give any assurance that it will achieve its expectations. Unless the context otherwise indicates, references in this press release to the terms “AvePoint,” “the Company,” “we,” “our” and “us” refer to AvePoint, Inc. and its subsidiaries. Disclosure Information AvePoint uses the https://www.avepoint.com/ir website as a means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD. Investor Contact AvePoint Jamie Arestia [email protected] (551) 220-5654 Media Contact AvePoint Nicole Caci [email protected] (201) 201-8143 (1)  Includes an income tax benefit of $19.9 million related to the release of a previously recorded valuation allowance on certain deferred tax assets.

Interested in AvePoint, Inc.? Here are five stocks we like better. Strong Q2 performance: Revenue rose 22% year over year to $124.5 million, while ARR increased 27% to $465.1 million. SaaS revenue grew 27% and represented 79% of total revenue. AI governance is gaining traction: AvePoint said sales of its Control packages roughly doubled sequentially, with AgentPulse-related deals carrying average values two to three times larger than other deals. The company is positioning the product to help enterprises manage the security, permissions and costs of expanding AI-agent deployments. Outlook and shareholder returns improved: AvePoint raised its full-year ARR forecast to $522.1 million-$528.1 million and repurchased approximately $50 million of stock during the quarter. Free cash flow exceeded $100 million on a trailing-12-month basis, although the company plans to increase second-half investments in growth initiatives. AvePoint (NASDAQ:AVPT) reported second-quarter 2026 revenue and annual recurring revenue growth that exceeded its guidance, as the company highlighted rising demand for governance, security and recovery tools tied to enterprise adoption of artificial intelligence. Total revenue rose 22% year over year to $124.5 million, above the high end of the company’s outlook. On a constant-currency basis, revenue grew 21%. SaaS revenue increased 27% to $98.5 million and accounted for 79% of total revenue. → 3 Drone Stocks That Should Soar After the Summer Slump Chief Financial Officer Jim Caci said total annual recurring revenue, or ARR, reached $465.1 million at the end of the quarter, up 27% year over year, or 24% adjusted for foreign exchange. Net new ARR was a record $29.9 million, representing 35% year-over-year growth. All three regions surpassed $100 million in ARR after the company’s APAC business reached that threshold during the quarter. Chief Executive Officer Tianyi Jiang said customers are increasingly confronting what he described as AI-agent sprawl, as autonomous agents are deployed across Microsoft 365, Google Workspace, Salesforce, Copilot Studio and custom environments. → Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth Jiang said AvePoint’s research of 750 global IT leaders found that 88% of respondents reported at least one security incident tied to AI agents during the prior year. Nearly 20% of organizations did not know whether employees were using unsanctioned tools to build AI agents, according to the company’s survey. “Trust will become the essential unifying layer for AI,” Jiang said, positioning AvePoint’s Confidence Platform as a governance and control layer for enterprise AI deployments. → Jersey Mike's Serves Fresh Gains After IPO Stumble The company’s AgentPulse product became generally available during the first quarter as part of the Control suite’s bundled offerings, and AvePoint introduced a standalone version in July. AgentPulse is designed to provide visibility into AI agents, including their ownership, permissions, data access, usage and costs, while allowing organizations to enforce governance policies and retire unused agents. During the question-and-answer session, Jiang said the number of Control packages sold roughly doubled in the second quarter from the first quarter. He added that deals involving AgentPulse had an average dollar value two to three times larger than other deals. AvePoint said its average AgentPulse customer is managing more than 5,000 AI agents, with that figure doubling every three months. Caci said AgentPulse has so far generated pipeline and bookings momentum, but the product remains early in its rollout and had limited effect on second-quarter retention metrics. The company maintained its long-term target of reaching 115% net revenue retention. AvePoint ended the quarter with 911 customers generating more than $100,000 in ARR, an increase of 26% from a year earlier. Caci said growth in the company’s customer cohorts above $250,000, $500,000 and $1 million in ARR was at least 30%. The company cited several customer wins and expansions involving AI governance, data protection and records management. A large U.S. retailer selected AgentPulse through the Control Plus bundle to inventory and govern more than 10,000 agents after opening AI agent development to 36,000 employees, according to Jiang. The expansion moved that customer into AvePoint’s $1 million ARR cohort. AvePoint also said a U.S. dental insurance provider selected AgentPulse and transitioned from à la carte licensing to the Control Plus bundle. Separately, a financial-services company in Canada used AvePoint in a proof of concept after its new chief information security officer paused a planned Copilot deployment because of concerns about sensitive information. Channel sales continued to play a larger role in the business. At the end of the second quarter, 59% of total ARR came through the channel, up from 56% a year earlier, while two-thirds of incremental ARR during the quarter came through channel partners. Jiang said the company’s managed service provider business remains one of its fastest-growing areas. Foreign-exchange-adjusted gross retention was 89% and net retention was 110%, both unchanged from the first quarter. Caci noted that the company’s migration products created a two-point headwind to gross retention because of their naturally lower retention rates. Second-quarter gross profit totaled $91.7 million, producing a gross margin of 73.7%, compared with 74.8% in the prior-year period. The decline reflected lower services margins, while software gross margin was 83%, in line with the prior quarter and prior year, Caci said. Non-GAAP operating income was $20.3 million, or a 16.3% operating margin, exceeding the high end of guidance. GAAP operating margin was 8.2%, expanding nearly 130 basis points year over year. The company said stock-based compensation declined to 8% of revenue from 11% a year ago. For the first six months of 2026, operating cash flow was $40.2 million and free cash flow was $37.7 million, compared with $20.8 million and $18.3 million, respectively, in the same period last year. Trailing-12-month free cash flow exceeded $100 million, representing a 22% margin. AvePoint spent approximately $50 million during the second quarter to repurchase 4.9 million shares. Including purchases made after quarter-end, the company had spent $121.5 million on buybacks in 2026 and had about $108.6 million remaining under its authorization. The company raised its full-year ARR outlook to a range of $522.1 million to $528.1 million, representing 26% growth at the midpoint. The guidance includes a $1 million increase from the prior outlook, offset by a $2 million foreign-exchange headwind. For the third quarter, AvePoint forecast revenue of $128.2 million to $130.2 million, representing 18% growth at the midpoint, and non-GAAP operating income of $21 million to $22 million. For the full year, the company expects revenue of $508.5 million to $512.5 million, or 22% growth at the midpoint, and non-GAAP operating income of $86.4 million to $88.4 million. Caci said the company is increasing second-half investments in technology, sales capacity, partner enablement and brand awareness, with the expected benefits intended primarily to support longer-term growth and operational efficiency. AvePoint, Inc (NASDAQ:AVPT) is a leading software provider specializing in data management, governance, and compliance solutions for Microsoft 365 and related cloud platforms. Founded in 2001 and headquartered in Jersey City, New Jersey, the company offers a comprehensive suite of cloud-based and on-premises tools designed to help organizations migrate, manage, and protect their collaboration data. AvePoint's flagship Cloud Platform delivers backup, governance, reporting, and migration services for SharePoint, Teams, Exchange, OneDrive, and Salesforce environments. With a customer base spanning thousands of organizations across more than 100 countries, AvePoint serves enterprises, government agencies, and educational institutions seeking to ensure data security, regulatory compliance, and operational resilience. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "AvePoint Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

AvePoint, Inc. (AVPT) came out with quarterly earnings of $0.15 per share, beating the Zacks Consensus Estimate of $0.08 per share. This compares to earnings of $0.06 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +87.50%. A quarter ago, it was expected that this company would post earnings of $0.08 per share when it actually produced earnings of $0.1, delivering a surprise of +25%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. AvePoint, which belongs to the Zacks Internet - Software industry, posted revenues of $124.5 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 2.54%. This compares to year-ago revenues of $102.02 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. AvePoint shares have lost about 3.5% since the beginning of the year versus the S&P 500's gain of 12.8%. While AvePoint has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for AvePoint was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.10 on $134.07 million in revenues for the coming quarter and $0.39 on $512.98 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Software is currently in the top 44% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. uCloudlink Group Inc. Sponsored ADR (UCL), another stock in the same industry, has yet to report results for the quarter ended June 2026. This company is expected to post quarterly loss of $0.05 per share in its upcoming report, which represents a year-over-year change of -350%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. uCloudlink Group Inc. Sponsored ADR's revenues are expected to be $20 million, up 3.2% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report AvePoint, Inc. (AVPT) : Free Stock Analysis Report uCloudlink Group Inc. Sponsored ADR (UCL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

JERSEY CITY, N.J., July 13, 2026 (GLOBE NEWSWIRE) -- AvePoint (Nasdaq: AVPT; SGX: AVP), the global leader in AI data protection, unifying data security, governance, and resilience, will report its second quarter 2026 financial results after the US financial markets close on Thursday, August 6, 2026. The Company will host a conference call at 4:30pm ET on Thursday, August 6. CEO and Co-Founder Dr. Tianyi Jiang (TJ) and CFO Jim Caci will provide an overview of Q2 2026 results, discuss current business trends, and conduct a question-and-answer session. You may access the call and register with a live operator by dialing 1 (833) 816-1428 for US participants and 1 (412) 317-0520 outside the US. The passcode for the call is 2808027. A live webcast will be available on AvePoint’s Investor Relations website. A replay of the webcast will be available for approximately 90 calendar days. About AvePoint AvePoint is the global leader in data protection, unifying data security, governance, and resilience to provide a trusted foundation for AI. More than 28,000 customers rely on the AvePoint Confidence Platform to secure, govern, and rapidly recover data across Microsoft, Google, Salesforce, and other cloud environments. With a single platform for lifecycle control, multicloud governance, and rapid recovery paired with clear ownership across the business, we prevent overexposure and sprawl, modernize legacy and fragmented data, and minimize data loss and interruption. Our global partner ecosystem includes approximately 6,000 MSPs, VARs, and SIs, and our solutions are available in over 100 cloud marketplaces. To learn more, visit www.avepoint.com. Forward-Looking Statements: This press release contains certain forward-looking statements within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995 and other federal securities laws including statements regarding the future performance of and market opportunities for AvePoint. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including but not limited to: changes in the competitive and regulated industries in which AvePoint operates, variations in operating performance across competitors, changes in laws and regulations affecting AvePoint’s business and changes in AvePoint’s ability to implement business plans, forecasts, and ability to identify and realize additional opportunities, and the risk of downturns in the market and the technology industry. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of AvePoint’s most recent Annual Report on Form 10-K. Copies of this and other documents filed by AvePoint from time to time are available on the SEC's website, www.sec.gov. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and AvePoint does not assume any obligation and does not intend to update or revise these forward-looking statements after the date of this release, whether as a result of new information, future events, or otherwise, except as required by law. AvePoint does not give any assurance that it will achieve its expectations. Unless the context otherwise indicates, references in this press release to the terms “AvePoint,” “the Company,” “we,” “our” and “us” refer to AvePoint, Inc. and its subsidiaries. Disclosure Information AvePoint uses the https://www.avepoint.com/ir website as a means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD. Investor ContactAvePointJamie [email protected](551) 220-5654 Media ContactAvePointNicole [email protected](201) 201-8143

First quarter SaaS revenue of $93.4 million, representing 35% year-over-year growth, 29% on a constant currency basis First quarter Total revenue of $117.2 million, representing 26% year-over-year growth, 20% on a constant currency basis Total ARR of $435.2 million, representing 26% year-over-year growth, 23% adjusted for FX JERSEY CITY, N.J., May 07, 2026 (GLOBE NEWSWIRE) -- AvePoint (Nasdaq: AVPT, SGX: AVP), the global leader in AI data protection, unifying data security, governance and resilience, today announced financial results for the first quarter ended March 31, 2026. “Our first quarter results mark a strong start to the year, as our leading position at the intersection of data protection and security, coupled with the demand for secure, automated, and AI-ready solutions, enabled us to outperform our guidance on the top and bottom line, secure our twelfth straight quarter of double-digit growth in organic net new ARR, and deliver more than 700 basis points of GAAP operating margin expansion,” said Dr. Tianyi Jiang (TJ), CEO and Co-Founder, AvePoint. “Our unique ability to provide real-time visibility, automated governance, and granular recovery across the data estate is rapidly transforming AI risk into a manageable variable for our customers, and this competitive advantage ensures a durable opportunity for AvePoint to support organizations around the world.” First Quarter 2026 Financial Highlights Revenue: Total revenue was $117.2 million, up 26% from the first quarter of 2025. Within total revenue, SaaS revenue was $93.4 million, up 35% from the first quarter of 2025. Gross Profit: GAAP gross profit was $85.4 million, compared to $69.2 million for the first quarter of 2025. GAAP gross margin was 72.8%, compared to 74.3% for the first quarter of 2025. Non-GAAP gross profit was $86.1 million, compared to $69.8 million for the first quarter of 2025. Non-GAAP gross margin was 73.4%, compared to 75.0% for the first quarter of 2025. Operating Income: GAAP operating income was $12.7 million, compared to $3.3 million for the first quarter of 2025. GAAP operating margin was 10.9%, compared to 3.5% for the first quarter of 2025. Non-GAAP operating income was $20.5 million, compared to $13.4 million for the first quarter of 2025. Non-GAAP operating margin was 17.5%, compared to 14.4% for the first quarter of 2025. Cash and cash equivalents: $444.1 million as of March 31, 2026. Cash from operations: For the three months ended March 31, 2026, the Company generated $24.3 million of cash from operations, compared to $0.5 million in the prior year period. First Quarter 2026 Key Performance Indicators and Recent Business Highlights ARR as of March 31, 2026 was $435.2 million, up 26% year-over-year. Adjusted for FX, ARR grew 23%. Dollar-based gross retention rate was 89% on a reported and FX-adjusted basis, while dollar-based net retention rate was 111% on a reported basis and 110% when adjusted for FX. Announced the general availability of its AgentPulse Command Center, which provides unified monitoring, governance, and cost control for AI agents across Microsoft 365 and Google Cloud environments, and helps organizations manage shadow AI and data exposure. Announced major upgrades to the AvePoint Confidence Platform, adding agentic AI governance, rapid multicloud recovery focused on restoring core business operations, and scalable automation tools to strengthen data security and resilience. Renewed the existing Share Repurchase Program for an additional three years, providing the authority to buy up to $150.0 million of the Company’s common stock. Financial Outlook The Company is raising its full-year guidance for annual recurring revenue, and the Company’s updated full-year guidance for revenue and non-GAAP operating income includes the respective first quarter outperformance relative to guidance. Additionally, the Company’s updated financial guidance reflects the current expected headwind from the fluctuation in foreign exchange rates for all metrics, which more than offset the raise in ARR and the first quarter outperformance for revenue and non-GAAP operating income. For the second quarter of 2026, the Company expects: Total revenues of $120.3 million to $122.3 million, or year-over-year growth of 19% at the midpoint. On a constant currency basis, the Company expects revenue growth of 18% at the midpoint. Non-GAAP operating income of $18.7 million to $19.7 million. For the full year 2026, the Company now expects: Total ARR of $523.4 million to $529.4 million, or year-over-year growth of 26% at the midpoint. Adjusted for FX, the Company continues to expect ARR growth of 26% at the midpoint. Total revenues of $509.4 million to $515.4 million, or year-over-year growth of 22% at the midpoint. On a constant currency basis, the Company expects revenue growth of 20% at the midpoint. Non-GAAP operating income of $91.5 million to $94.5 million. Quarterly Conference Call AvePoint will host a conference call today, May 07, 2026, to review its first quarter financial results and to discuss its financial outlook. The call is scheduled to begin at 4:30pm ET. You may access the call and register with a live operator by dialing 1 (833) 816-1428 for US participants and 1 (412) 317-0520 for outside the US. The passcode for the call is 9387509. Investors can also join the webcast here. The webcast will be available live, and a replay will be available following the completion of the live broadcast for approximately 90 days. About AvePoint AvePoint is the global leader in data protection, unifying data security, governance, and resilience to provide a trusted foundation for AI. More than 28,000 customers rely on the AvePoint Confidence Platform to secure, govern, and rapidly recover data across Microsoft, Google, Salesforce, and other cloud environments. With a single platform for lifecycle control, multicloud governance, and rapid recovery paired with clear ownership across the business, we prevent overexposure and sprawl, modernize legacy and fragmented data, and minimize data loss and interruption. Our global partner ecosystem includes approximately 6,000 MSPs, VARs, and SIs, and our solutions are available in over 100 cloud marketplaces. To learn more, visit www.avepoint.com. Non-GAAP Financial Measures and Other Key Metrics To supplement AvePoint’s consolidated financial statements presented in accordance with GAAP, the Company uses non-GAAP measures of certain components of financial performance. These non-GAAP measures include non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses (including percentage of revenue figures), non-GAAP operating income and non-GAAP operating margin, and key metrics include annual recurring revenue, dollar-based gross retention rate, and dollar-based net retention rate. The Company has included a reconciliation of GAAP to non-GAAP financial measures at the end of this press release. These reconciliations adjust the related GAAP financial measures to exclude stock-based compensation expense, the amortization of acquired intangible assets and expenses related to the secondary listing on the SGX-ST and the Company’s decision to discontinue its participation in a growth equity fund. The Company believes the presentation of its non-GAAP financial measures provides a better representation as to its overall operating performance. The presentation of AvePoint’s non-GAAP financial measures is not meant to be considered in isolation or as a substitute for its financial results prepared in accordance with GAAP, and AvePoint’s non-GAAP measures may be different from non-GAAP measures used by other companies. Annual Recurring Revenue. This metric is calculated as the annualized sum of contractually obligated Annual Contract Value (“ACV”) from SaaS and term license and support revenue sources from all active customers at the end of a reporting period. ARR should be viewed independently of revenue and deferred revenue and is not intended to be combined with or replace these items. ARR is not a forecast of future revenue, and the active contracts used in calculating ARR may or may not be extended or renewed by our customers. The Company believes this metric further enables measurement of its business performance, is an important metric for financial forecasting and better enables strategic decision making. Because this metric does not have the effect of providing a numerical measure that is different from any comparable GAAP measure, the Company does not consider it a non-GAAP measure. Dollar-based Gross Retention Rate. This metric is calculated by starting with the ARR from all active customers as of 12 months prior to such period end, or Prior Period ARR. The Company then calculates ARR from these same customers as of the current period end, or Current Period ARR. Current Period ARR includes net contraction or attrition over the last 12 months but excludes ARR from new customers in the current period. The Company then divides the total Current Period ARR by the total Prior Period ARR to arrive at the dollar-based gross retention rate. The Company uses this metric as a measure of its ability to retain existing customers, and believes it is useful to investors for the same reason. Because this metric does not have the effect of providing a numerical measure that is different from any comparable GAAP measure, the Company does not consider it a non-GAAP measure. Dollar-based Net Retention Rate. This metric is calculated by starting with the ARR from all active customers as of 12 months prior to such period end, or Prior Period ARR. The Company then calculates ARR from these same customers as of the current period end, or Current Period ARR. Current Period ARR includes net expansion over the last 12 months but excludes ARR from new customers in the current period. The Company then divides the total Current Period ARR by the total Prior Period ARR to arrive at the dollar-based net retention rate. The Company uses this metric as a measure of its ability to expand business with existing customers, and believes it is useful to investors for the same reason. Because this metric does not have the effect of providing a numerical measure that is different from any comparable GAAP measure, the Company does not consider it a non-GAAP measure. Guidance for non-GAAP financial measures excludes, as applicable, share-based compensation expense and the amortization of intangible assets related to acquisitions. A reconciliation of the guidance for non-GAAP financial measures to the corresponding GAAP measures is not available on a forward-looking basis due to the uncertainty regarding, and the potential variability and significance of, the amounts of share-based compensation expense and amortization of intangible assets related to acquisitions that are excluded from the guidance, as well as changes in interest rates and foreign exchange rates, which impact other GAAP performance metrics. Accordingly, a reconciliation of the non-GAAP financial measures guidance to the corresponding GAAP measures for future periods is not available without unreasonable effort. Forward-Looking Statements This press release contains certain forward-looking statements within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995 and other federal securities laws including statements regarding the future performance of and market opportunities for AvePoint. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including but not limited to: changes in the competitive and regulated industries in which AvePoint operates, variations in operating performance across competitors, changes in laws and regulations affecting AvePoint’s business and changes in AvePoint’s ability to implement business plans, forecasts, and ability to identify and realize additional opportunities, and the risk of downturns in the market and the technology industry. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of AvePoint’s most recent Annual Report on Form 10-K. Copies of this and other documents filed by AvePoint from time to time are available on the SEC's website, www.sec.gov. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and AvePoint does not assume any obligation and does not intend to update or revise these forward-looking statements after the date of this release, whether as a result of new information, future events, or otherwise, except as required by law. AvePoint does not give any assurance that it will achieve its expectations. Unless the context otherwise indicates, references in this press release to the terms “AvePoint,” “the Company,” “we,” “our” and “us” refer to AvePoint, Inc. and its subsidiaries. Disclosure Information AvePoint uses the https://www.avepoint.com/ir website as a means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD. Investor Contact AvePoint Jamie Arestia [email protected] (551) 220-5654 Media Contact AvePoint Nicole Caci [email protected] (201) 201-8143

Interested in AvePoint, Inc.? Here are five stocks we like better. Beat guidance: AvePoint reported Q1 revenue of $117.2 million (+26% YoY) and ARR of $435.2 million (+26% YoY), with SaaS revenue of $93.4 million (+35%), improved margins and operating/free cash flow of $24.3M/$23M. Management is positioning the platform as an AI “trust layer”—adding unified AI agent visibility, a new AI-agent risk definition, granular automated recovery, and expanded backup sources (including Google Cloud, Okta, Confluence, Jira, GitHub). Raised full‑year ARR guidance: new ARR target $523.4M–$529.4M, continued aggressive buybacks (≈$78.5M repurchased YTD and board replenished program to $150M), and management expects free cash flow north of $100M for the year. AvePoint (NASDAQ:AVPT) reported first-quarter 2026 results that management said exceeded guidance on both the top and bottom line, as the company positioned its platform around data governance, protection, and “AI-ready” capabilities. On the call, CEO Dr. TJ Jiang emphasized what he described as a broad shift in enterprise AI conversations away from productivity benefits and toward “enterprise trust” and governance as AI tools evolve from assistants into autonomous agents. Jiang said data governance has become central as AI agents increase data access and operate more autonomously across productivity applications that were originally designed for humans. “The question is no longer, ‘What can AI do for my organization?’ Rather, ‘Can I trust, govern, and operate AI safely and at scale?’” he said. → Berkshire Hathaway’s Record Cash Hoard: Why and What's Next? Jiang described AvePoint’s approach as building a “trust layer” for AI across three priorities: controlling what AI can access, governing and auditing AI actions, and enabling rapid recovery when issues occur. He said this layer must operate continuously while maintaining data lineage across unstructured and structured sources, which he described as a differentiator versus “legacy point solutions and backup-first vendors.” Jiang also pointed to Gartner commentary that he said cited AvePoint’s “comprehensive set of capabilities and platform strategy” as superior to native offerings such as Microsoft’s Agent 365. → A Prada Payday: Is AMC Back in Style? Jiang highlighted several platform enhancements discussed during the quarter, including updates tied to AI agent monitoring and governance. He said AvePoint now provides unified visibility into AI agent activity and data access patterns, and that organizations can see “across their entire agent stack, including Copilot Studio, Microsoft Foundry, SharePoint Agents, and Gemini Enterprise, all within one screen in Agent Pulse.” On governance, Jiang said AvePoint launched a “new risk definition for AI agents” aimed at helping organizations assess agent security and correct issues automatically, noting the potential for unmanaged agents to cause “runaway costs” or expose sensitive data. On recovery, he said the company can provide “granular automated recovery” for incidents ranging from ransomware to AI-driven activity, and that it can “often recover several petabytes of data per hour.” → Insider Sales: Top AST SpaceMobile Insider Cuts Postion Over 30% He also said AvePoint made “significant investments into Google Cloud protection” and added multi-SaaS backup sources including Okta, Confluence, Jira, DocuSign, monday.com, GitHub, and Smartsheet. Jiang cited a new U.S. pharmacy benefits manager customer that wanted to deploy Copilot but faced “data sprawl” across 500 terabytes of unclassified data. He said the customer purchased AvePoint’s highest-tier control bundle along with Opus from the Resilience Suite, and planned to use Modernization Suite for future consolidation and retirement of on-premises infrastructure. He also described a transportation and logistics conglomerate that initially engaged AvePoint during the pandemic to migrate about 50 terabytes of file share data to Microsoft 365 while preserving permissions, retention, and governance. Jiang said the relationship expanded over time to broader governance and protection and later supported a planned shift from Microsoft 365 to Google Workspace, with AvePoint assisting with classification, policy management, insights, and cleanup. He said the customer awarded AvePoint a Q4 2025 data transformation services engagement tied to that move and described the relationship as an example of the company’s “land and expand strategy.” On go-to-market, Jiang reiterated a “channel-first strategy,” particularly for small and mid-sized customers, and said the company maintains a “comp neutral philosophy” so direct sales teams can work with partners as “a force multiplier.” He also said AvePoint’s sales and marketing costs have improved since going public, attributing much of that to “channel efficiency,” and noted partner feedback that managed service providers can generate service opportunities around AvePoint deployments. CFO Jim Caci reported total revenue of $117.2 million, up 26% year-over-year and above the high end of guidance. On a constant currency basis, revenue grew 20% year-over-year. SaaS revenue was $93.4 million, up 35% year-over-year and representing 80% of total revenue. Services revenue rose 33% to $14.5 million and represented 12% of revenue, while term license and support revenue declined 29% and represented 8%. Caci said 88% of Q1 revenue was recurring. He also noted a reporting change: beginning this quarter, AvePoint is including “legacy maintenance revenues” in the term license and support line item for all periods presented because maintenance is now immaterial. By region, Caci reported year-over-year total revenue growth of 21% in North America, 30% in EMEA, and 28% in APAC. He said total ARR ended at $435.2 million, up 26% year-over-year (23% adjusted for FX). Net new ARR was $18.4 million, which Caci said represented 17% growth year-over-year after excluding $2.8 million of ARR acquired in the year-ago quarter. Caci and Jiang both noted this was the company’s 12th consecutive quarter of double-digit growth in organic net new ARR. Channel contribution increased, with 58% of ARR coming through the channel versus 55% a year ago. AvePoint ended the quarter with 863 customers with over $100,000 in ARR, up 25% year-over-year. Retention metrics included FX-adjusted gross retention rate of 89% and net retention rate of 110%; Caci said migration products remained a headwind to gross retention due to “naturally lower retention rates.” Gross margin was 73.4% versus 75% a year ago, which Caci attributed primarily to lower gross margins on services revenue. Non-GAAP operating income was $20.5 million, or a 17.5% margin, reflecting 310 basis points of year-over-year expansion. GAAP operating margin was “just under 11%,” expanding more than 730 basis points year-over-year, which Caci tied in part to “ongoing management of stock-based compensation,” which he said was 6% of Q1 revenue. Cash and cash equivalents were $444 million at quarter end. Operating cash flow was $24.3 million (21% margin) and free cash flow was $23 million (20% margin), compared with $500,000 of operating cash flow and negative $1 million of free cash flow a year ago. AvePoint continued an accelerated repurchase pace. Caci said the company bought back 5.4 million shares for about $60.8 million in Q1, compared with about $50 million in repurchases for all of 2025. He added that through the close of trading the prior Friday, the company repurchased another 1.8 million shares for about $17.7 million. The board authorized replenishing the repurchase program back to $150 million. For guidance, Caci said the company raised full-year ARR guidance, but that updated full-year revenue and non-GAAP operating income outlook “only includes the Q1 outperformance” as the company accounts for a higher SaaS mix and increased foreign exchange headwinds. He explained that a shift toward SaaS versus term license impacts revenue recognition timing because SaaS revenue is recognized ratably, while term licenses recognize a larger portion upfront. Q2 revenue: $120.3 million to $122.3 million (19% growth at midpoint; 18% constant currency growth at midpoint) Q2 non-GAAP operating income: $18.7 million to $19.7 million Full-year ARR: $523.4 million to $529.4 million (26% growth at midpoint), including a $2.2 million FX headwind; on an FX-adjusted basis, the company continues to expect 26% ARR growth at midpoint Full-year revenue: $509.4 million to $515.4 million (22% growth at midpoint), including the Q1 beat of $1.8 million offset by a $2.9 million FX headwind; constant currency growth expected to be 20% at midpoint Full-year non-GAAP operating income: $91.5 million to $94.5 million, including the Q1 beat of $700,000 offset by a $2.2 million FX headwind In response to analyst questions, Caci said the company’s pathway to accelerating from 23% FX-adjusted ARR growth in Q1 to 26% for the full year is supported by improving traction in U.S. public sector, where AvePoint saw softness last year, and he said pipeline is growing. Jiang added that AI adoption tailwinds are showing up broadly across deployments such as Copilot Studio and Google Gemini, rather than being driven solely by Microsoft 365 Copilot seat adds. On free cash flow expectations, Caci said he would “expect us to be generating free cash flow north of $100 million for the year,” though he noted the company does not specifically guide to free cash flow. He also outlined three drivers behind Q1’s cash flow improvement versus the prior year: higher net income, the absence of about $7 million in one-time tax-related payments that occurred in Q1 2025, and about $6 million of customer payments received in Q1 that in prior years would have been received in Q4. Closing the call, Jiang said the company was “proud of our first quarter results and raised outlook for the year,” citing demand for “secure, automated, and AI-ready solutions,” and reiterated AvePoint’s conviction in its longer-term goal of reaching $1 billion in ARR. AvePoint, Inc (NASDAQ:AVPT) is a leading software provider specializing in data management, governance, and compliance solutions for Microsoft 365 and related cloud platforms. Founded in 2001 and headquartered in Jersey City, New Jersey, the company offers a comprehensive suite of cloud-based and on-premises tools designed to help organizations migrate, manage, and protect their collaboration data. AvePoint's flagship Cloud Platform delivers backup, governance, reporting, and migration services for SharePoint, Teams, Exchange, OneDrive, and Salesforce environments. With a customer base spanning thousands of organizations across more than 100 countries, AvePoint serves enterprises, government agencies, and educational institutions seeking to ensure data security, regulatory compliance, and operational resilience. The article "AvePoint Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management identifies a market shift where AI conversations have pivoted from simple productivity gains to 'enterprise trust,' focusing on the ability to govern and operate autonomous agents safely. The company is positioning its platform as the 'trust layer' for AI, arguing that existing productivity tools like Microsoft 365 were designed for human use rather than autonomous AI execution. Performance attribution is centered on the 'See, Govern, Recover' framework, which addresses data sprawl and unmanaged agents that can lead to runaway costs and security risks. Strategic differentiation was highlighted by Gartner, citing AvePoint's platform strategy as superior to native offerings like Microsoft's Agent 365 for comprehensive data governance. The 'land and expand' strategy is being driven by multi-cloud demand, with customers increasingly requiring consistent governance across Microsoft 365, Google Workspace, and Salesforce environments. Growth in the enterprise segment accelerated, with customers over $100,000 in ARR growing 25% year-over-year, driven by complex organizations seeking single-platform vendors. Full-year ARR guidance was raised to $523.4M–$529.4M, reflecting healthy demand despite a $2.2 million headwind from a strengthening U.S. dollar. Management expects an acceleration in constant currency ARR growth from 23% to 26% by year-end, primarily driven by a recovery in the U.S. public sector and federal pipeline. Revenue guidance assumes a continued shift toward SaaS mix over term licenses, which creates a short-term headwind to reported revenue due to ratable recognition versus upfront recognition. The company reiterated its long-term strategic goal of reaching $1 billion in ARR by 2029, supported by the relentless growth of unstructured data and AI deployment needs. Future capital allocation will prioritize a three-pillar approach: internal investment, M&A opportunities, and an aggressive share repurchase program recently replenished to $150 million. Foreign exchange fluctuations remain a significant headwind, with the strengthening dollar offsetting the operational outperformance in the updated full-year guidance. Migration products continue to act as a 2-point headwind to gross retention rates (GRR) due to their naturally lower retention profile compared to core platform products. The company reported its 12th consecutive quarter of double-digit organic net new ARR growth while expanding GAAP operating margins by over 730 basis points. A significant investment was made in Google Cloud Protection and multi-SaaS backup sources including Okta, Slack, and GitHub to expand the platform's addressable data estate. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management noted that last year's softness in the U.S. public sector has reversed, with a growing pipeline and increased traction in the federal space providing a clear pathway to acceleration. The second half of the year is expected to be particularly strong as these public sector deals move toward closure. A higher-than-expected shift toward SaaS over term licenses in Q1 resulted in less revenue being recognized upfront, leading to a conservative stance on full-year revenue guidance despite the ARR raise. Management views this as a long-term positive that increases revenue predictability and aligns with their ratable growth model. Nearly half of the current sales pipeline is now driven by the Control Suite, as customers prioritize auditing 'shadow AI' and managing the costs of autonomous agents. The demand is particularly high in regulated industries where data curation and management are prerequisites for AI deployment. The channel-first strategy has successfully reduced sales and marketing costs from 41% of revenue at the time of the IPO to approximately 31% currently. The model is built on a 'comp-neutral' philosophy where direct sales teams are encouraged to use partners as force multipliers for scaling into SMB and regional markets.

AvePoint, Inc. (AVPT) came out with quarterly earnings of $0.1 per share, beating the Zacks Consensus Estimate of $0.08 per share. This compares to earnings of $0.06 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +30.38%. A quarter ago, it was expected that this company would post earnings of $0.09 per share when it actually produced earnings of $0.1, delivering a surprise of +11.11%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. AvePoint, which belongs to the Zacks Internet - Software industry, posted revenues of $117.24 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 0.89%. This compares to year-ago revenues of $93.06 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. AvePoint shares have lost about 26.1% since the beginning of the year versus the S&P 500's gain of 7.6%. While AvePoint has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for AvePoint was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.08 on $124.94 million in revenues for the coming quarter and $0.36 on $514.41 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Software is currently in the top 38% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, UiPath (PATH), is yet to report results for the quarter ended April 2026. The results are expected to be released on May 28. This enterprise automation software developer is expected to post quarterly earnings of $0.15 per share in its upcoming report, which represents a year-over-year change of +36.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. UiPath's revenues are expected to be $397.43 million, up 11.4% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report AvePoint, Inc. (AVPT) : Free Stock Analysis Report UiPath, Inc. (PATH) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research