Braze Inc (NASDAQ:BRZE) stock rallies 18.42% (As on March 25, 11:20:01 AM UTC-4, Source: Google Finance) after the company posted mixed result for the fourth quarter of FY 26. Subscription revenue in the quarter was $193.5 million compared to $153.9 million in the fourth quarter of the fiscal year ended January 31, 2025, and professional services and other revenue was $11.7 million compared to $6.5 million in the fourth quarter of the fiscal year ended January 31, 2025. Remaining performance obligations as of January 31, 2026 was $1.0 billion, of which $642.1 million is current, which the company defines as less than one year. Dollar-based net retention for all customers for the trailing 12 months ended January 31, 2026 and January 31, 2025 was 109% and 111%, respectively; dollar-based net retention for customers with annual recurring revenue (ARR) of $500,000 or more was 110% compared to 114% in the fiscal year ended January 31, 2025.

Moreover, the total customers increased to 2,609 as of January 31, 2026 from 2,296 as of January 31, 2025; 333 of our customers had ARR of $500,000 or more as of January 31, 2026, compared to 247 customers as of January 31, 2025. Net cash provided by operating activities was $19.4 million compared to net cash provided by operating activities of $17.1 million in the fourth quarter of the fiscal year ended January 31, 2025. Free cash flow was $13.9 million compared to $15.2 million in the fourth quarter of the fiscal year ended January 31, 2025. Total cash and cash equivalents, restricted cash, and marketable securities was $415.9 million as of January 31, 2026 compared to $514.0 million as of the fiscal year ended January 31, 2025. Notable new business wins and existing customer expansions in the quarter included Dis-Chem, Goodnotes, ID.me, King, Life360, Mytheresa, PowerUs, realestate.co.nz, Shell Mobility & Convenience, and ThriftBooks.

BRZE in the fourth quarter of FY 26 has reported the adjusted earnings per share of $0.1, missing the analysts’ estimates for the adjusted earnings per share of $0.14, according to the Zacks Consensus Estimate. The company had reported the adjusted revenue growth of 28 percent to $205.12 million in the fourth quarter of FY 26, beating the analysts’ estimates for revenue by 3.52%. Non-GAAP operating income was $14.5 million compared to $7.9 million in the fourth quarter of the fiscal year ended January 31, 2025.