Summary
AvePoint closed fiscal 2025 with its strongest revenue quarter of the year. Fourth quarter total revenue was $114.7 million, up 28.6% from the prior-year quarter, and full year revenue was $419.5 million, up 26.9%. SaaS revenue grew 37% in the quarter and 38% for the full year, and it accounted for 76% of full year revenue compared with 70% in 2024. Total ARR at December 31, 2025 was $416.8 million, up 27% year over year, or 26% adjusted for foreign exchange. Management pointed to an 11th straight quarter of double-digit net new ARR growth.
Profitability improved on both a GAAP and non-GAAP basis. Fourth quarter GAAP gross profit was $84.4 million, up 25.5%, while GAAP gross margin slipped to 73.6% from 75.4%. GAAP operating income rose 199.3% to $14.5 million from $4.9 million, and GAAP operating margin widened to 12.7% from 5.4%. Net income for the quarter was $15.6 million, swinging to a profit from a net loss in the prior-year quarter. For the full year, GAAP gross profit was $310.7 million and GAAP gross margin was 74.1% versus 75.0%. Full year GAAP operating income was $33.0 million, up 361.0%, with GAAP operating margin of 7.9% versus 2.2%. Net income for the year was $34.8 million, swinging to a profit, and diluted EPS was $0.15 versus a loss per share in the prior year. Non-GAAP operating income was $22.9 million in the quarter at a 19.9% margin, and $79.2 million for the full year at an 18.9% margin.
Cash generation softened even as forward indicators strengthened. Fourth quarter operating cash flow was $29.7 million, down 9.5%, and full year operating cash flow was $85.3 million, down 4.1%. Capital expenditures were $0.7 million in the quarter, down 5.9%, and $3.7 million for the year, up 21.0%. Deferred revenue reached $201.0 million at December 31, 2025, up 31.1%, and remaining performance obligations were $508.1 million, up 36.1%. Dollar-based gross retention was 88%, and dollar-based net retention was 111%, or 110% adjusted for FX.
Guidance covers the first quarter of 2026 and the full 2026 fiscal year. First quarter total revenue is guided to $115.0 million to $117.0 million, or 25% year-over-year growth at the midpoint and 20% on a constant currency basis, with non-GAAP operating income of $19.5 million to $20.5 million. Full year 2026 guidance calls for total ARR of $525.1 million to $531.1 million, 27% growth at the midpoint and 26% adjusted for FX, total revenue of $509.4 million to $517.4 million, 22% growth at the midpoint and 20% on a constant currency basis, and non-GAAP operating income of $92.6 million to $96.6 million. Management said the 2026 ARR outlook represents an acceleration from 2025 once the Ydentic acquisition is excluded, and that continued management of stock-based compensation should drive GAAP operating margin expansion while go-to-market investment increases.
Legacy lines keep shrinking. MD&A notes an expected decrease in both term license and support revenue and maintenance revenue, and says maintenance is tied to perpetual licenses the company no longer sells to new customers while existing customers move to SaaS and term licenses. Services revenue is not recurring and will swing with project timing. Gross margin has compressed as SaaS hosting and services costs scale, and management expects those costs to rise in absolute dollars. The release also cites competition, changes in laws and regulations, and global macroeconomic and geopolitical conditions that could raise costs or slow demand. Adjusted results exclude stock-based compensation, amortization of acquired intangibles, and one-time costs tied to the SGX-ST secondary listing and the discontinuation of a growth equity fund, so GAAP and non-GAAP profitability remain far apart. The company carried no borrowings on a $30.0 million revolving credit facility and said operations and borrowing capacity should cover its needs for at least the next twelve months.
Forecast
Reported figures
GAAP, from SEC filings| Metric | Q4 FY2025 | Q3 FY2025 | QoQ | Q4 FY2024 | YoY |
|---|---|---|---|---|---|
| Revenue | $114.7M | $109.7M | +4.5% | $89.2M | +28.6% |
| Gross profit | $84.4M | $81.6M | +3.5% | $67.3M | +25.5% |
| Gross margin | 73.6% | 74.3% | -0.8 pp | 75.4% | -1.8 pp |
| Research & development | $13.0M | $13.9M | -6.7% | $12.9M | +1.0% |
| Sales & marketing | $38.1M | $35.6M | +7.2% | $32.4M | +17.7% |
| General & administrative | $18.7M | $23.9M | -21.6% | $17.1M | +9.5% |
| Total operating expenses | $69.9M | $73.5M | -4.9% | $62.4M | +12.0% |
| Operating income (loss) | $14.5M | $8.1M | +78.7% | $4.9M | +199.3% |
| Operating margin | 12.7% | 7.4% | +5.3 pp | 5.4% | +7.2 pp |
| Net income (loss) | $15.6M | $13.0M | +20.2% | -$17.2M | +191.1% |
| Net margin | 13.6% | 11.9% | +1.8 pp | -19.3% | +32.9 pp |
| Diluted EPS | $0.07 | $0.06 | +$0.01 | -$0.09 | +$0.16 |
Risks
A portion of AvePoint technology works interactively with major software providers, and the majority of customers integrate their products with third-party solutions. Changes, disruptions, performance issues, or cybersecurity incidents at these providers, or failure to retain the relationships, could harm customer relationships and results of operations.
The AvePoint Confidence Platform is delivered through GCP, Azure, and AWS, and a significant portion of operating costs are third-party data hosting and transmission services. Cost increases from vendor consolidation, regulation, or contract renegotiation, or provider outages, could compress margins or reduce demand.
The market is characterized by rapid technological advances, evolving industry standards, and changing customer needs, including AI-driven data governance requirements. Failure to adapt products and features to these changes could make offerings less competitive, and MD&A notes that infrastructure, research and development, marketing, and geographic expansion investments may decrease operating margins.
SMB customer acquisition depends on resale and distribution partnerships, and sales to partners are expected to be a substantial portion of revenue. Partner agreements are generally non-exclusive, so partners may prioritize their own or competing products and a loss of major partners could slow revenue growth.
New tariffs, sanctions, and trade barriers, along with global macroeconomic and geopolitical uncertainty, could indirectly raise SaaS costs or push customers into expense-reducing behavior that reduces renewals. MD&A also cites multiple ongoing conflicts and geopolitical shifts that could adversely affect global trade and demand.
While most offerings are currently licensed based on customer headcount, increased use of consumption-based pricing may make revenue less predictable and could cause customers to limit usage or lower their total cost over time. This may reduce overall revenue or make competing in the market more difficult.
Customers have no obligation to renew after the initial or renewed subscription period and may renew for fewer products, shorter periods, or lower pricing. Acquisitions of customers may also lead to cancellation of existing contracts, so renewal rates could decline or fluctuate and revenue may decline.
MD&A states success is highly dependent on attracting and retaining qualified employees, and growth depends on recruiting, integrating, training, and motivating new sales, technical solutions, customer success, and engineering staff while retaining existing employees and corporate culture. Failure to do so could impair execution and future growth.
Common stock trades on both Nasdaq and the SGX-ST, with cross-border transfers, different currencies, time zones, trading days, and potential arbitrage activity. Transfer delays or fees could adversely affect liquidity and the trading price, and MD&A notes $2.9 million of costs related to the secondary listing on the SGX-ST.
AvePoint may pursue acquisitions or investments that create integration difficulties, divert management attention, and pose risks of losing key personnel or acquired customers. MD&A shows $14.9 million paid in a business acquisition and $12.1 million to repurchase the noncontrolling interest in MaivenPoint Pte. Ltd. during FY2025.
As a data protection provider, AvePoint is subject to privacy and data security laws including the GDPR, EU Data Act, and EU AI Act. Failure to comply could lead to significant fines, customer claims, remediation costs, and reputational harm.
AvePoint has experienced strong recent growth, including total revenue up 26.9% for FY2025, but those recent growth rates may not be indicative of future growth. Managing growth requires significant investments in sales, marketing, research and development, internal controls, and operational infrastructure, and failure to scale effectively could harm results.
SaaS KPIs
All quarters →Non-GAAP operating margin
Total ARR
Dollar-based net retention rate
Total customers
Dollar-based gross retention rate
Dollar-Based Net Retention Rate (FX-adjusted)
Summary, forecast, risks and KPIs are extracted from AvePoint, Inc.'s SEC filings for Q4 FY2025 (10-Q / 10-K and the 8-K earnings release); GAAP figures in the summary are checked against the reported XBRL data. They can contain errors; the filings are authoritative. Processed Oct 2, 2026.