AvePoint (AVPT) Q2 FY26 earnings call: guidance and Q&A

How much of the pipeline uplift is directly attributable to AgentPulse, and how is stand-alone adoption versus bundle adoption progressing?

TJ stated that AgentPulse deals are 2x to 3x larger in dollar value, and customers are managing over 5,000 AI agents on average, with that number doubling every quarter. Jim added that it's still early, with most demand in the pipeline, and the stand-alone SKU was just launched in July.

“the average with the AgentPulse in the dollar value of those deals are 2x to 3x larger. And also, given the latest data, we also see that on average, an AgentPulse customer are managing well over 5,000 agents, AI agents. And what's remarkable is that the number of those agents are growing, doubling every quarter, every 3 months.”

asked by Shrenik Kothari · answered by Tianyi Jiang

Why is NRR remaining around 110% despite the expansion from Control and AgentPulse, and what should be expected next?

Jim explained that it's still very early for AgentPulse to significantly impact NRR, as most of the demand is still in the pipeline. He expressed confidence in the current 110% NRR and the long-term target of 115%, expecting it to move towards that goal over time.

“I do think overtime here, we're going to see our continue moving forward toward that $115 million. So again, I feel good about the pipeline we've created and that the longer-term target that, that will help us achieve the NRR goals that we've set.”

asked by Shrenik Kothari · answered by James Caci

Does AvePoint have the desired brand awareness in the market for its governance solutions, and is the incremental OpEx spend directed towards this, potentially driving net-new logos?

TJ confirmed strong brand presence within the Microsoft Cloud ecosystem and stated that the company is increasing go-to-market and branding investments to expand awareness. He affirmed that these efforts are intended to drive net-new logos, leveraging the demand for their solutions.

“Now in terms of branding outside of our ecosystem, we're definitely going to do more. Jim actually mentioned specifically on this topic around we're going to increase -- we are increasing some of the work on go-to-market, on branding.”

asked by Joseph Gallo · answered by Tianyi Jiang

How does AvePoint position itself against Microsoft's Agent 365, especially considering its inclusion in the E7 bundle, and what are the differentiators?

TJ explained that AvePoint works alongside Agent 365 but goes deeper, offering delegate administration, cross-cloud capabilities, and agent ROI tracking. He highlighted that AvePoint's multi-cloud approach and affordable rates differentiate it from hyperscaler native tools, especially for customers with mixed license types.

“And here, we actually -- our delegate administration model, our cross-cloud capabilities and also agent ROIs and be able to track the cost. So all those things we go beyond what the hyperscaler themselves offer and more importantly, is this multi-cloud flavor.”

asked by Jason Ader · answered by Tianyi Jiang

Is AgentPulse priced on a per-agent or per-user basis for the stand-alone offering?

Jim clarified that AgentPulse is priced on a per-seat or per-user basis, not per agent. This approach simplifies pricing and provides certainty for customers, as many struggle to accurately track the number of agents running in their environments.

“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.”

asked by Erik Suppiger · answered by James Caci

What are the demand trends for the Resilience business, and how is AI influencing it, both in terms of capabilities and growth opportunities?

TJ stated that the Resilience business is growing robustly, with AI risks driving a heightened need for machine-speed recovery capabilities. He noted that new products leverage AI for continuous classification and prioritization of restore capabilities, addressing the increasing speed of damage from AI-driven attacks.

“So, AI risk is real. So, the damage is happening at machine speed. So, 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, very quickly in minutes.”

asked by Todd Weller · answered by Tianyi Jiang

What AI adoption trends are observed across AvePoint's customer base, particularly regarding SMBs versus larger enterprises?

TJ indicated that AI agent proliferation is rapid across all segments, including SMBs, noting that the ability to deploy and launch agents has changed significantly. He emphasized that the current focus is on cost control and outcome-based AI deployment, making AI trust crucial for all customer sizes.

“I don't think it's true that SMBs are not deploying AI faster than enterprise. It's the ability to deploy and launch agents. That's very different this year versus last year, everyone is focused on how many Office Copilot people are deploying.”

asked by William Vandrick · answered by Tianyi Jiang

Does AvePoint agree that new LLM ecosystems like Anthropic and OpenAI have been born, and if so, how is the company developing products and go-to-market mechanisms for them?

TJ stated that AvePoint is model provider agnostic, focusing on the foundational data that these models rely on. He explained that the company curates data, adds context, and manages its lifecycle, ensuring better outcomes regardless of the specific LLM provider. He confirmed support for backing up agents and their associated data (memories, models, skills).

“Fundamentally, though, everything these models ground on, especially for the enterprise are the data. So, 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 the recertification of that.”

asked by Nehal Chokshi · answered by Tianyi Jiang