Summary
Sprinklr closed fiscal 2024 with fourth-quarter revenue of $194.2 million, up 17.5% from the prior-year quarter. Full-year revenue reached $732.4 million, up 18.5%. Gross profit was $146.7 million in the quarter, up 16.4%, while full-year gross profit was $553.0 million, up 21.7%. The quarter's gross margin was 75.5%, down 0.7 percentage points from the prior-year quarter. Full-year gross margin was also 75.5%, up 2.0 percentage points.
The profit picture improved sharply. Fourth-quarter operating income was $18.5 million, up from a loss in the prior-year quarter. Net income was $21.1 million, up from a loss. For the full year, operating income was $33.9 million and net income was $51.4 million, both up from losses. Diluted EPS for the full year was $0.18, up from a loss per share. Operating margin was 9.5% in the quarter, up 10.6 percentage points, and 4.6% for the full year, up 12.9 percentage points. Non-GAAP operating income was $32.4 million in the quarter and $92.0 million for the full year, compared with $14.3 million and $6.0 million a year earlier.
Cash generation was mixed. Fourth-quarter operating cash flow was $17.3 million, down 21.6% from the prior-year quarter. Full-year operating cash flow was $71.5 million, up 168.1%. Capital expenditures were $2.05 million in the quarter, down 35.2%, and $8.55 million for the full year, up 40.3%. Free cash flow, a non-GAAP measure, was $12.3 million in the quarter and $51.1 million for the full year. Deferred revenue ended the year at $374.6 million, up 15.6%. Remaining performance obligations were $966.6 million, up 34.3%.
Operational metrics showed healthy expansion but some softness in retention. Sprinklr ended fiscal 2024 with 1,735 customers, up from 1,428 a year earlier, and 126 large customers, up from 108. Current RPO was $587.0 million, compared with $485.2 million a year earlier. Net dollar expansion rate was 117.7%, down from 123.9%. Management attributed the decline to elevated churn and the macroeconomic environment. More than 60% of the Fortune 100 are customers.
Guidance points to continued non-GAAP profitability. For the first fiscal quarter ending April 30, 2024, the company guided non-GAAP operating income to $19.5 million to $20.5 million and non-GAAP net income per share to about $0.07, assuming 289 million diluted weighted-average shares outstanding. For the full fiscal year ending January 31, 2025, it guided non-GAAP operating income to $104 million to $105 million and non-GAAP net income per share to $0.38 to $0.39, assuming 291 million diluted weighted-average shares outstanding.
Risks remain. Macroeconomic uncertainty, rising inflation, higher interest rates, and geopolitical conflicts could slow enterprise spending on information technology. The company faces execution risks around maintaining profitability, managing growth and organizational change, attracting and retaining customers, and driving subscription renewals and expansion. It depends on third-party data centers and cloud providers, must protect data privacy and security, and often faces long and unpredictable sales cycles with large enterprise and international clients. Customer concentration also matters because a significant portion of revenue comes from a relatively small number of large enterprises. In March 2024, the board authorized an incremental $100 million for the stock buyback program, following $29.6 million of repurchases in fiscal 2024 and an additional 2,041,729 shares bought for $26.0 million between February 1, 2024 and March 22, 2024.
Forecast
Reported figures
GAAP, from SEC filings| Metric | Q4 FY2024 | Q3 FY2024 | QoQ | Q4 FY2023 | YoY |
|---|---|---|---|---|---|
| Revenue | $194.2M | $186.3M | +4.2% | $165.3M | +17.5% |
| Gross profit | $146.7M | $139.9M | +4.8% | $126.0M | +16.4% |
| Gross margin | 75.5% | 75.1% | +0.5 pp | 76.2% | -0.7 pp |
| Research & development | $23.1M | $23.1M | -0.4% | $20.1M | +14.6% |
| Sales & marketing | $77.1M | $75.4M | +2.2% | $83.3M | -7.5% |
| General & administrative | $28.1M | $28.1M | -0.2% | $24.4M | +15.0% |
| Total operating expenses | $128.2M | $126.7M | +1.2% | $127.8M | +0.3% |
| Operating income (loss) | $18.5M | $13.2M | +40.0% | -$1.8M | +1115.4% |
| Operating margin | 9.5% | 7.1% | +2.4 pp | -1.1% | +10.6 pp |
| Net income (loss) | $21.1M | $17.0M | +24.6% | -$667.0K | +3269.9% |
| Net margin | 10.9% | 9.1% | +1.8 pp | -0.4% | +11.3 pp |
| Diluted EPS | $0.07 | $0.06 | +$0.01 | $0.00 | +$0.07 |
| Customers | 1,735 | — | — | 1,428 | +21.5% |
Risks
Net dollar expansion rate decreased to 117.7% for the 12-month period ended January 31, 2024 from 123.9% for the 12-month period ended January 31, 2023, which the company attributes to elevated churn exacerbated by the macroeconomic environment. The filing states customers are not obligated to renew and may reduce subscription scope, which would harm revenue and financial condition.
MD&A states unfavorable economic conditions, including inflation, higher interest rates, bank closures, and the Russia-Ukraine and Israel-Hamas wars, may cause businesses to slow information technology spending. It adds the effect may not be fully reflected in results until future periods and could harm business, financial condition, and results of operations.
The company uses third-party Generative AI, including from OpenAI or alternative large language model providers, in products and operations. The filing warns of flawed, biased, or inaccurate outputs, leakage of sensitive data, regulatory fines, and competitive disadvantage if deployment is unsuccessful or competitors integrate Generative AI more effectively.
The company relies on negotiated agreements with social media networks and data providers, including X (formerly Twitter), whose agreement expires on February 28, 2025. If the X agreement is not renewed on the same or similar terms or is terminated, the company may not provide the same level of Unified-CXM insights and results could be materially and adversely affected.
General and administrative expense increased for fiscal year ended January 31, 2024 partly due to $5.9 million in bad debt expense largely related to one customer, as well as an overall increase in accounts receivable. This indicates customer credit and collection exposure.
Professional services gross margin decreased by 11 percentage points as the company increased investment in CCaaS service delivery personnel in fiscal 2024 to support future growth. If revenue mix or delivery costs fluctuate, overall gross margin may vary.
MD&A notes historical seasonality, with a large percentage of customers purchasing in the fourth quarter and paying in the first quarter of the subsequent fiscal year. Revenue is recognized ratably over one to three year contract terms, so declines in new or renewed subscriptions may not be immediately reflected but will negatively affect future quarters.
SaaS KPIs
All quarters →Free Cash Flow
Non-GAAP Operating Margin
RPO
cRPO
Total customers
Summary, forecast, risks and KPIs are extracted from Sprinklr, Inc.'s SEC filings for Q4 FY2024 (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 1, 2026.