VRNT Earnings Prediction
The chart below shows how VRNT performed 10 days before and after its earnings report, based on data from the past quarters. Typically, VRNT sees a +0.74% change in stock price 10 days leading up to the earnings, and a -1.15% change 10 days following the report. On the earnings day itself, the stock moves by +0.53%. This data can give you a slight idea of what to expect for the next quarter's release.
VRNT Key Earning Data
VRNT Earnings Analysis
Positive
Q4 ARR Growth Exceeds Guidance: ARR growth of 5% in Q4 2025, exceeding guidance of 4%.
Accelerated ARR Growth: ARR growth accelerated every quarter last year, indicating strong customer adoption of AI deployments.
Q4 2026 ARR Increase: Raised ARR outlook for Q4 2026 from $760 million to $768 million, reflecting 8% growth.
AI Business Performance Advantage: Verint's AI business outcomes are reported to be stronger and faster than competitors, enhancing customer satisfaction.
Agent Capacity and Productivity Gains: Successful customer examples include a healthcare insurer reporting $70 million in agent capacity savings and a telecom company achieving a $45 million increase in agent productivity.
SaaS ACV Bookings Surge: Record SaaS ACV bookings for new deals increased by 30% year-over-year, indicating strong demand for Verint's solutions.
SaaS Revenue Acceleration: Bundled SaaS revenue grew 17% year-over-year, with acceleration from 9% growth in Q1 to 23% in Q4.
Cash Generation Exceeds Guidance: Fiscal 2025 cash generation exceeded guidance by $8 million, with cash contribution coming in $16 million ahead of guidance.
AI Adoption and Customer Satisfaction: Verint's hybrid cloud model allows customers to adopt AI without disruption, leading to increased customer confidence and satisfaction.
Strong Financial Position: Strong financial position with net debt under 1 times last 12-month EBITDA, supported by robust cash flow.
Negative
Revenue Shortfall Analysis: In Q4, revenue came in at $254 million versus our guidance of $277 million, indicating a shortfall in expected revenue.
Revenue Shortfall Analysis: The entire revenue shortfall was due to bookings of a few new deals in the unbundled SaaS model that did not materialize in the quarter, which could indicate potential issues in customer acquisition or retention.
Cloud Transition Challenges: Customer conversions from on-premise applications to the Verint Cloud were minimal in fiscal 2025, suggesting a slow transition to cloud services that may hinder growth.
Minimal Conversion Bookings Expected: We expect minimal conversion bookings in fiscal 2026 as customers continue to take advantage of our hybrid model, indicating a lack of urgency in moving to the cloud.
SaaS Revenue Prediction Challenges: The mix of unbundled and bundled SaaS bookings does not change the ARR view, which is ratable for all deals, but it complicates revenue predictions and could lead to volatility in revenue reporting.
Revenue Guidance Uncertainty: The unbundled booking mix will also be difficult to predict in fiscal 2026, leading to a wider range in revenue guidance, which may create uncertainty for investors.
SaaS Revenue Challenges: Despite record bookings in Q4, the bookings mix drove unbundled SaaS revenue below expectations, highlighting potential weaknesses in the sales strategy or market conditions.
VRNT FAQs
How does VRNT typically perform around its earnings report dates?
VRNT's stock performance around earnings reports can vary, but historical data shows specific patterns, such as a +0.74% change leading up to the report and a -1.15% change in the 10 days following the release.
Is Verint Systems Inc (VRNT) Q4 2025 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
VRNT Earning Call Sentiment
Verint Systems Inc. (VRNT) Q4 2025 Earnings Call Transcript
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