Grade History
| Quarter | Disclosure Quality | Financial Quality |
|---|---|---|
| Q1'26 → | B+ | B |
| Q2'26 → | B+ | B |
| Q3'26 → | B+ | B- |
| Q4'26 → | B+ | B+ |
Promise Ledger · All Quarters
| Marked | Promise | Status | |
|---|---|---|---|
| Q4'26 | ⏳ | Variable macroeconomic environment requires prudent guidance Still using same cautious language despite improved execution | pending |
| Q4'26 | ✅ | Fiscal 2026 adjusted free cash flow approximately $370 million Achieved $372M for the year | delivered |
| Q4'26 | ✅ | Non-GAAP operating margin approximately 20% long-term target Hit 23% for full year and raised long-term target to 30% | exceeded |
| Q4'26 | ✅ | Federal sector remains dynamic with pockets of strength Now citing 'increased appetite for long-term strategic projects' especially defense | exceeded |
| Q4'26 | ✅ | Continue to be GAAP profitable for full year 2026 Achieved full year GAAP profitability for first time in company history | delivered |
| Q4'26 | ✅ | Don't expect material AI top-line contribution in fiscal 2026 AI product ARR hit nearly $200M, clearly material despite prior conservative guidance | exceeded |
| Q3'26 | ✅ | Government returning to normalized buying behavior Federal business showed strength with major agency wins | delivered |
| Q3'26 | ✅ | Prudent outlook on macroeconomic environment Maintained conservative stance while delivering upside | delivered |
| Q3'26 | ✅ | Raising guidance for progress on operating priorities Raised Q4 and full year guidance across revenue and ARR | delivered |
| Q3'26 | ✅ | Continued focus on operational efficiency and profitability Achieved first GAAP profitable Q3, 21% non-GAAP operating margin | exceeded |
| Q3'26 | ✅ | No material top-line contribution from AgenTiC in fiscal 2026 Reiterated same guidance, managing expectations consistently | delivered |
| Q3'26 | ✅ | We are well-positioned for the second half (Q2 call) Q3 beat across all metrics, federal business performed well | delivered |
| Q2'26 | ⏳ | $370M adjusted free cash flow for fiscal 2026 Maintained guidance despite $45M Q2 vs $117M Q1 performance | pending |
| Q2'26 | ✅ | Continue investing in innovation and product development Launched API workflows, Data Fabric, expanded AgenTic capabilities | delivered |
| Q2'26 | ✅ | Government transition still evolving, remain prudent Acknowledged normalization but maintained prudent guidance approach | delivered |
| Q2'26 | ✅ | Non-GAAP operating income approximately $305M Raised to approximately $340M, $35M improvement | exceeded |
| Q2'26 | ✅ | ARR guidance $1.820-1.825B for full year Raised to $1.834-1.839B, $14M increase at midpoint | exceeded |
| Q2'26 | ⏳ | Don't expect material AgenTic revenue contribution in fiscal 2026 Maintained identical guidance despite 4x agent run growth, consumption pricing active | pending |
| Q1'26 | ✅ | Continue to invest in driving AI and agentic while delivering margin expansion (Q4 2025) 20% operating margin achieved with continued agentic product launches | delivered |
| Q1'26 | ⏳ | Non-GAAP adjusted free cash flow approximately $370M (Q4 2025) Reiterated same $370M target, Q1 delivered $117M (32% of annual target) | pending |
| Q1'26 | ⏳ | More pronounced seasonal pattern in fiscal 2026 with second half being stronger (Q4 2025) Guidance reflects this pattern with favorable Q2/Q3 deal timing mentioned | pending |
| Q1'26 | ✅ | We plan to enter in GA towards the end of April, beginning of May (Q4 2025) AgentBuilder launched in GA as promised, with consumption pricing introduced | delivered |
| Q1'26 | ⏳ | We view fiscal 2026 as a foundational year (Q4 2025) Still positioning 2026 as foundational with revenue impact pushed to 2027 | pending |
| Q1'26 | ✅ | We expect it [federal] to continue for the near future (Q4 2025) Federal issues persisted through Q1 as predicted, though showing signs of stabilization | delivered |
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