Sprinklr Inc-A (NYSE:CXM) Surpasses Q3 2026 Estimates, Stock Rises on Strong Earnings Beat

Sprinklr Inc-A (NYSE:CXM), a provider of a unified customer experience management platform, reported financial results for its third fiscal quarter of 2026 that surpassed analyst expectations, prompting a significant positive reaction in pre-market trading.

Earnings and Revenue Beat

The company’s performance for the quarter ended October 31, 2025, exceeded Wall Street’s forecasts on both the top and bottom lines. Total revenue reached $219.1 million, a 9% increase year-over-year and above the analyst consensus estimate of approximately $211.3 million. The core subscription revenue grew 5% to $190.3 million.

On a profitability basis, the non-GAAP earnings per share (EPS) result was particularly strong.

• Reported Non-GAAP EPS: $0.12
• Analyst Estimate: $0.0919 This represents a beat of approximately 32%, indicating more efficient operations and cost management than anticipated.

Market Reaction and Forward Guidance

The market responded favorably to the earnings beat and the company's outlook. In pre-market trading following the report, Sprinklr’s stock was up approximately 7.3%. This positive price action suggests investors were encouraged by the results and the company's trajectory.

Management provided guidance for the upcoming fourth quarter and full fiscal year 2026. For Q4, Sprinklr anticipates total revenue between $216.5 million and $217.5 million, with a midpoint of $217 million. This outlook exceeds the analyst sales estimate of $213.04 million for the quarter. The company also expects Q4 non-GAAP EPS between $0.09 and $0.10.

For the full fiscal year 2026, Sprinklr guided for total revenue between $853 million and $854 million, which aligns closely with the analyst consensus estimate of $845.05 million.

Key Financial and Operational Highlights

Beyond the headline beats, the earnings release highlighted several important financial trends:

• Profitability Improvement: Both GAAP and non-GAAP operating income increased year-over-year. The non-GAAP operating margin expanded to 15%, up from 11% in the same quarter last year.
• Strong Balance Sheet: The company ended the quarter with a robust cash position of $480.3 million in cash, cash equivalents, and marketable securities.
• Management Commentary: CEO Rory Read stated the results reflect "continued progress in our transformation" and an "improving quality of customer engagements," with a focus on closing the fiscal year with momentum.

Conclusion

Sprinklr’s third-quarter results demonstrate an acceleration in revenue growth and a significant expansion in profitability, both of which came in ahead of market expectations. The combination of an earnings and revenue beat, coupled with forward guidance that meets or exceeds estimates for the next quarter, has driven a positive near-term market reaction. The company appears to be executing on its plan to improve operational efficiency while continuing to grow its subscription business.

For a detailed look at Sprinklr's historical earnings, future estimates, and analyst projections, you can review the data here.

Disclaimer: This article is for informational purposes only and is not intended as investment advice. The analysis is based on publicly available data and earnings reports. Investors should conduct their own research and consider their individual financial circumstances before making any investment decisions.