DOMO Q1 FY27 earnings call DOMO

CEO Josh James reiterated the comprehensive review of strategic alternatives announced in February. Management engaged multiple partners with outside financial and legal advisors, and the board concluded that pursuing a strategic transaction is the best path forward. Domo has entered advanced negotiations regarding a potential transaction, with the goal of announcing a final deal in the near term. Because of the advanced stage, the company withheld financial guidance and held no Q&A session.

CFO Todd Crane addressed the balance sheet directly. Per the 10-Q filed the same day, the existing debt facility is classified as current as of Q1 because the minimum ARR covenant was not met, which under GAAP requires current classification. Domo signed a forbearance agreement under which the lender agreed not to accelerate repayment or exercise remedies, providing runway to complete the strategic transaction. Management characterized the lender relationship as cooperative and constructive. Quarter-end cash stood at $39.1M.

Total revenue was $79.4M. Subscription revenue was $69.8M, down 2% YoY, primarily on variability in overage-related revenue recognition; professional services revenue was $9.6M, up from $8.7M, on higher deployment activity and Domopalooza sponsorship revenue. Subscription gross margin was 81.5% and total gross margin 75.3% (a higher services mix). Non-GAAP operating income was ~$4.4M (5.6% margin) and non-GAAP net loss per share was $0.02 on ~43.4M weighted-average diluted shares.

Gross retention reached 86.7%, up 240 bps YoY, and NRR was 95.5%, up 150 bps YoY. The cohort of customers that started on consumption pricing continues to outperform, with 92% gross retention and 108% net retention for the quarter. Management framed this cohort as a compounding tailwind to both gross and net retention as it grows as a percentage of the renewal base, driven by consumption pricing, multi-year contracts and the forward-deployed engineering motion.

Current subscription RPO was $222.2M and total subscription RPO was $412.9M. Management said RPO growth has been modest but the size and duration of the committed base — underpinned by multi-year and consumption agreements that have become the cornerstone of its go-to-market — provide meaningful revenue visibility. Billings of $60.4M were down from $63.9M a year ago, attributed to timing as Q4 FY26 benefited from renewals that historically closed in Q1; new ACV was similar to Q1 last year.

Domo expanded its forward-deployed engineering team, embedding engineers inside customer environments to build applications, agents and workflows on governed data, often deploying solutions in as little as 24–48 hours. Management cited multiple production deployments: AI agents monitoring live-event fan experience for a major media/entertainment company at 15-minute intervals; a conversational AI assistant for a global commodities trader; Zendesk-trained support assistants for a sports/media organization; a pharma-marketing compliance-review assistant expected to cut review costs ~80%; an intermodal terminal-operations command center cutting investigation from 30–60 minutes to near real time; and a real-estate commission scenario-modeling app.

Management highlighted momentum with data-platform partners at Google Next and Snowflake Summit, with Databricks Data and AI Summit that week. Several joint wins pair Domo with Snowflake as the enterprise data foundation while Domo delivers self-serve analytics, AI insights and workflow automation — including a leading payments provider, a nonprofit workforce-development organization, and a loyalty/engagement solutions provider, each replacing legacy analytics environments. Management framed these as 'winning together' with Snowflake, Google Cloud and Databricks.

Domo was named a leader in Nucleus Research's 2026 BI analytics technology value matrix; recognized by Dresner Advisory Services as an experienced/credibility leader, ranked the #1 self-service BI vendor for the seventh consecutive year and top cloud BI vendor for the tenth consecutive year; and cited in Dresner's inaugural Agentic AI-assisted analytics report and its first semantic layer / data virtualization study.