Summary
UiPath closed fiscal 2025 with fourth-quarter revenue of $423.65 million, up 4.5% from the prior-year quarter. Full-year revenue was $1.43 billion, up 9.3%. Gross profit in the quarter rose 2.0% to $359.11 million, but gross margin slipped to 84.8% from 86.8%. For the full year, gross margin was 82.7%, down from 85.0%. The quarter produced operating income of $33.61 million, up 122.6%, and an operating margin of 7.9%, up 4.2 percentage points from 3.7%. Net income was $51.79 million, up 52.7%. For the full year, the operating loss narrowed 1.3% to $162.57 million, the net loss narrowed 18.0% to $73.69 million, and diluted loss per share narrowed to -$0.13 from -$0.16.
Cash generation held steady. Operating cash flow was $146.08 million in the quarter, flat against $145.60 million a year earlier. Full-year operating cash flow reached $320.56 million, up 7.2%. Capital expenditures rose 95.3% to $7.39 million in the quarter and 103.3% to $14.92 million for the full year. Deferred revenue stood at $705.31 million as of January 31, 2025, up 8.9% from $647.83 million. Remaining performance obligations were $1.24 billion, up 7.1% from $1.16 billion. ARR was $1.666 billion, up 14%, with $60 million of net new ARR in the quarter and $202 million for the full year. Dollar-based net retention was 110%, down from 119% a year earlier. Non-GAAP operating income was $134 million in the quarter and $241 million for the full year. Non-GAAP adjusted free cash flow was $145 million in the quarter and $328 million for the full year.
UiPath used the quarter to push its agentic automation story. The company launched Agentic Testing solutions into private preview, including Autopilot for testers and Agent Builder. It expanded its partnership with Deloitte by jointly launching an Agentic ERP solution. Its 2025 Agentic AI Report found that 90% of surveyed U.S. IT executives have business processes that would be improved by agentic AI, 37% say they already use agentic AI, and 93% are extremely or very interested in exploring it. UiPath was positioned highest in the Leader category in the inaugural Everest Group Intelligent Automation Platforms PEAK Matrix Assessment 2024. It opened an AI Innovation Hub in London with partners including University College London, Microsoft, SAP, and AWS. It also exhibited at the ViVE 2025 healthcare conference and partnered with the United Arab Emirates AI Office. In a separate release, UiPath announced the acquisition of Peak AI Limited, an AI-native agentic application company focused on retail and manufacturing. Management said the deal will introduce UiPath's first vertically specialized agents. ARR growth was about 21% from new customers and 79% from existing customers. Customers with ARR of at least $1 million totaled 317, up from 288, while customers with ARR of at least $100 thousand totaled 2,292, up from 2,054. The $1 million cohort represented 51% of fiscal year revenue, down from 52%, and the $100 thousand cohort represented 87%, up from 86%.
Guidance points to slower near-term growth and macro caution. For the first quarter of fiscal 2026, UiPath expects revenue of $330 million to $335 million, ARR of $1.686 billion to $1.691 billion as of April 30, 2025, and non-GAAP operating income of approximately $45 million. For the full fiscal year 2026, the company expects revenue of $1.525 billion to $1.530 billion, ARR of $1.816 billion to $1.821 billion as of January 31, 2026, and non-GAAP operating income of approximately $270 million. The CFO cited increasing global macroeconomic uncertainty, particularly in the U.S. public sector, and said this uncertainty is reflected in both the first-quarter and full-year fiscal 2026 outlook. UiPath cannot reconcile the non-GAAP operating income guidance to GAAP without unreasonable efforts because of variability in stock-based compensation and related charges. Other risks include foreign currency swings, interest rate changes, competition, customer adoption, cloud infrastructure reliance, and execution on the agentic roadmap. About 52% of fiscal 2025 revenue and 37% of expenses were denominated in non-U.S. dollar currencies, and a hypothetical 10% change in foreign currency exchange rates would amount to $25.2 million for fiscal 2025. As of January 31, 2025, approximately $507.4 million remained under the $1,000.0 million stock repurchase authorization.
Forecast
Reported figures
GAAP, from SEC filings| Metric | Q4 FY2025 | Q3 FY2025 | QoQ | Q4 FY2024 | YoY |
|---|---|---|---|---|---|
| Revenue | $423.6M | $354.7M | +19.5% | $405.3M | +4.5% |
| Gross profit | $359.1M | $290.9M | +23.5% | $351.9M | +2.0% |
| Gross margin | 84.8% | 82.0% | +2.8 pp | 86.8% | -2.1 pp |
| Research & development | $99.7M | $97.0M | +2.8% | $85.6M | +16.4% |
| Sales & marketing | $176.8M | $187.2M | -5.5% | $191.7M | -7.8% |
| General & administrative | $49.0M | $50.1M | -2.2% | $59.5M | -17.6% |
| Total operating expenses | $325.5M | $334.3M | -2.6% | $336.8M | -3.4% |
| Operating income (loss) | $33.6M | -$43.4M | +177.5% | $15.1M | +122.6% |
| Operating margin | 7.9% | -12.2% | +20.2 pp | 3.7% | +4.2 pp |
| Net income (loss) | $51.8M | -$10.7M | +586.1% | $33.9M | +52.7% |
| Net margin | 12.2% | -3.0% | +15.2 pp | 8.4% | +3.9 pp |
| Diluted EPS | $0.09 | -$0.02 | +$0.11 | $0.06 | +$0.03 |
| Customers | 10,830 | 268,075 | -96.0% | 10,800 | +0.3% |
Risks
UiPath faces intense competition from enterprise platform vendors, RPA providers, and native cloud providers incorporating generative and agentic AI. The filing warns that competitors may respond more quickly or devote more resources, and if customers perceive UiPath's technology is not developing apace with AI, business and growth prospects could be harmed.
Macroeconomic and geopolitical uncertainty, including tariffs, trade barriers, inflation, interest rates, and regional conflicts, could reduce IT spending, delay customer purchasing decisions, and reduce the value and duration of subscription contracts. Sales outside the U.S. accounted for 56% of revenue for fiscal year 2025.
A limited number of customers represent a substantial portion of revenue and ARR, and top 10% customers can disproportionately impact results. Large customers may purchase less, alter purchasing patterns with limited notice, or stop purchasing entirely, which could cause revenue and ARR to decline.
Gross margin was 82.7% for fiscal year 2025 year to date, down 2.3 percentage points from 85.0% in the prior-year year-to-date period, due to higher subscription services costs and a lower proportion of license revenue. UiPath also has non-cancellable multi-year cloud capacity commitments requiring payment irrespective of actual usage.
Enterprise sales involve longer sales cycles, complex customer requirements, substantial upfront costs, and less predictability. As of January 31, 2025, 2,292 customers with ARR of $100,000 or more and 317 customers with ARR of $1 million or more accounted for approximately 87% and 51% of revenue, respectively.
UiPath derives a substantial amount of revenue from channel partners and strategic alliances, and partner agreements are generally non-exclusive. If partners favor competitors, fail to market UiPath products effectively, or if a large partner is lost, sales could be adversely affected.
UiPath depends on CEO and co-founder Daniel Dines and other key employees, and it has experienced senior leadership changes, including Robert Enslin's resignation and Daniel Dines reassuming sole CEO in June 2024. Stock price volatility may make equity awards less attractive for recruiting and retaining personnel.
UiPath derives and expects to continue deriving substantially all revenue from the UiPath Platform. If the platform fails to satisfy customer demands or if third-party software providers reduce its utility through licensing changes, business, financial condition, and growth prospects could be materially harmed.
ARR is based on internal, unaudited data and excludes certain rebates, incentives, and actual or anticipated reductions from non-renewals or cancellations. The dollar-based net retention rate was 110% as of January 31, 2025 compared with 119% as of January 31, 2024, and investors should not place undue reliance on ARR as an indicator of future results.
Evolving AI laws, including the EU AI Act and proposed U.S. state regulations, may require significant resources to modify products or business practices. AI failures such as biased, inaccurate, or hallucinatory outputs could lead to reputational harm, legal liability, and regulatory scrutiny.
SaaS KPIs
All quarters →Dollar-Based Net Retention Rate
Summary, forecast, risks and KPIs are extracted from UiPath, 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.