Start here if you're new
what it is
C3.ai sells software that helps companies build and run AI apps without stitching together every tool themselves.
how it gets paid
FY2025 revenue was $389.1M. Subscription revenue was $327.6M (84% of total); subscription plus prioritized engineering services combined was $370.7M (95% of total per the release).
why it's growing
Revenue grew 25% year over year to $389.1M. Q4 FY2025 revenue was $108.7M (+26% YoY)—do not proxy quarters as FY÷4 when the company gives the actual quarter.
what just happened
Latest detailed print in our chain: Q4 FY2025 GAAP net loss $(0.60)/share on $108.7M revenue; full‑year GAAP $(2.24)/share—always pair segment lines with the same fiscal period.
At a glance
B+ balance sheet — decent shape, but not bulletproof
80/100 earnings predictability — you can trust these numbers
FY2025 GAAP net loss $(2.24)/share (actual FY2025 print)
FY2025 revenue $389.1M (+25% YoY)
GAAP still loss-making at net income—opex/partner scale matters
xvary composite: 45/100 — below average
What they do
C3.ai sells software that helps companies build and run AI apps without stitching together every tool themselves.
C3 packages the platform and applications so teams are not stitching data, models, and deployment tools from five vendors. FY2025 GAAP gross margin was ~61% ($235.9M gross profit on $389.1M revenue), but GAAP net loss was still $(2.24)/share for the year—so the product story is real while the income statement still shows investment and scale costs.
How they make money
$389.1M
FY2025 revenue · +25% vs. prior year (ended Apr. 30, 2025)
Subscription revenue
$327.6M
+18%
All other revenue (incl. services & remainder)
$61.5M
The products that matter
subscription software (FY2025 anchor)
Subscription revenue
$327.6M · 84% of FY2025 revenue
This is the core recurring line management highlights: $327.6M in FY2025, up 18% year over year and 84% of total revenue—pair it with cash R&D/sales spend when you ask whether growth is buying scale or just buying time.
primary engine
latest quarter scale
Q4 FY2025 revenue
$108.7M · +26% YoY
Q4 revenue was $108.7M; subscription revenue was $87.3M and was 80% of Q4 revenue. Subscription plus prioritized engineering combined was $104.4M (96% of Q4 revenue) per the same release.
momentum quarter
gen AI + public sector demand
C3 Generative AI / Federal
Gen AI revenue >100% YoY in FY2025 (company commentary)
FY2025 closed 51 federal agreements (20% of bookings) and Q4 partner-supported bookings grew 419% year over year—high growth rates here still have to compound into durable subscription dollars.
pipeline leverage
Key numbers
$389.1M
FY2025 revenue
FY2025 total revenue was $389.1M per the May 28, 2025 release—large enough to matter, still loss-making on GAAP.
$(2.24)
FY2025 GAAP EPS
Full-year GAAP net loss was $(2.24) per diluted share for FY2025—revenue growth still has not cleared total GAAP costs.
61%
FY2025 GAAP gross margin
GAAP gross profit was $235.9M on $389.1M revenue (~61%)—strong for software, but opex and investment still drive GAAP losses.
2
beta
The stock has roughly twice the market’s bounce. Your portfolio feels that when the story changes.
Financial health
B+
strength
- balance sheet grade B+ — solid but not elite
- risk rank 4 — safer than 20% of stocks
- price stability 5 / 100
B+ — functional but not a standout on the balance sheet.
Total return vs. market
Return history isn't available for AI right now.
source: institutional data · return history unavailable
What just happened
FY2025 print
FY2025 revenue $389.1M (+25% YoY); Q4 FY2025 revenue $108.7M (+26% YoY).
May 28, 2025 release (fiscal year ended Apr. 30, 2025): subscription revenue $327.6M (+18% YoY, 84% of revenue); subscription + prioritized engineering $370.7M (95% of revenue); GAAP gross margin 61%; GAAP net loss $(2.24)/share FY and $(0.60)/share in Q4; Q4 subscription revenue $87.3M (80% of Q4 revenue).
$389.1M
FY2025 revenue
$(2.24)
FY GAAP EPS
61%
FY GAAP gross margin
the number that mattered
Subscription revenue at 84% of FY2025 sales is the mix fact that matters—everything else is commentary until GAAP net income turns.
sources: Business Wire (May 28, 2025) · Nasdaq (PR mirror)
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What could go wrong
The top risk is growth spend and competition preventing GAAP profits even though subscription revenue is already most of sales—valuation still has to reconcile with $(2.24) FY2025 GAAP EPS.
med
losses persist despite healthy gross margin
FY2025 GAAP gross margin was ~61%, yet GAAP net loss was still $(2.24)/share—meaning opex, R&D, and G&A (plus stock comp) are still the swing factors.
If revenue growth slows before the cost base bends, GAAP losses can widen again even with a subscription-heavy mix.
med
subscription dollars must keep compounding
Subscription revenue was $327.6M in FY2025 (+18% YoY) and 84% of revenue—the risk is not “tiny subscription”; it is whether that line keeps growing fast enough to cover an aggressive cost base.
If subscription growth decelerates while opex stays elevated, the GAAP loss line gets harder to defend.
med
competition keeps commoditizing the pitch
Microsoft, AWS, Google Cloud, and others compete for enterprise AI budgets; C3 leans on alliances, but hyperscalers can bundle AI into broader relationships.
Pricing and procurement leverage can compress wins even when GAAP gross margin looks software-like (~61% FY2025).
Three risks matter most: GAAP losses need a credible path lower while revenue keeps growing, subscription dollars need to keep compounding (not just stable mix %), and competitive bundling cannot choke deal quality. Miss those and the equity story reverts to “growth with a leaky GAAP bottom line.”
source: institutional data · regulatory filings · risk analysis
Pay attention to
metric
subscription revenue as a share of sales
It was 84% of FY2025 revenue ($327.6M of $389.1M). Track the dollar growth rate, not just the percentage—mix can look “good” while growth slows.
trend
gross margin recovery
FY2025 GAAP gross margin was ~61% with a 70% non-GAAP gross margin cited in the release—watch whether GAAP holds as mix shifts and whether non-GAAP adds exclude durable costs.
calendar
next GAAP loss trajectory
After a FY2025 print of $(2.24)/share, the next few quarters test whether revenue growth plus discipline narrows GAAP losses without hiding behind adjusted metrics.
risk
federal bookings follow-through
Q4 FY2025 partner-supported bookings grew 419% year over year (company disclosure)—track whether that converts to durable subscription revenue and federal renewals.
Analyst rankings
earnings predictability
80 / 100
The reported numbers tend to land where expectations are set. In human-speak, analysts are not shocked by the math — they are just not thrilled by what the math says.
balance sheet
B+
Solid enough to keep funding a fix. Not strong enough for you to ignore repeated operating misses.
price stability
5 / 100
This stock moves like a narrative trade, not a utility. Expect sharp swings when each quarter lands.
source: institutional data
Institutional activity
institutional ownership data for AI is being compiled.
source: institutional data
Price targets
3-5 year target range
n/a
n/a
$14
current price
n/a
target midpoint · n/a from current
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