Amplitude, Inc.

Good afternoon, everyone, and welcome to Amplitude's first quarter 2026 earnings conference call. I'm John Streppa, head of investor relations, and joining me today are Spencer States, CEO and co-founder of Amplitude, and Andrew Casey, our chief financial officer. During today's call, management will make forward-looking statements, including statements regarding our financial outlook for the second quarter and full year 2026, the expected performance of our products, our expected quarterly and long-term growth, investments, and our overall future prospects. These forward-looking statements are based on current information, assumptions, and expectations and are subject to risks and uncertainties, some of which are beyond our control, that could cause actual results that differ materially from those described in these statements. Further information on the risks that could cause actual results that differ is included in our filings with the Securities and Exchange Commission. We are cautioned not to place undue reliance on these forward-looking statements, and we assume no obligation to update these statements after today's call, except as required by law. Certain financial measures used on today's call are expressed on a non-GAAP basis. We use these non-GAAP financial measures internally to facilitate analysis of our financial and business trends and for internal planning and forecasting purposes. These non-GAAP financial measures have limitations and should not be used in isolation from or as a substitute for financial information prepared in accordance with GAAPs. Additional information regarding these non-GAAP financial measures and a reconciliation between these GAAP and non-GAAP financial measures are included in our earnings press release and the supplemental financial information, which can be found on our investor relations website at investors.amplitude.com. With that, I hand the call over to Spencer.

Good afternoon, everyone, and welcome to Amplitude's first quarter 2026 earnings call. Today, I'll cover three things. First, our Q1 results. Second, how AI is reshaping the software development lifecycle. And third, a deep dive into our latest AI products and the customers putting them to work. Let me start with the numbers. Q1 revenue was $94 million, up 17% year over year. Annual recurring revenue was $374 million, up 17% year over year, and up $9 million from last quarter. Non-GAAP operating loss was 3.1 million. Customers with more than 100K in ARR grew to 727, an increase of 18% year-over-year. Our progress in expanding the enterprise and growing our multi-product footprint continued in the first quarter. Dollar-based net expansion improved sequentially to 106%. This reflects continued strength in our core business as we expand the capabilities of our platform to help the next generation of builders understand, improve, and grow their digital products. I am focused on aggressively transforming Amplitude into an AI company. In Q1, we made broader changes to the leadership within go-to-market to remove layers and become a more technical team. Nate Crook is now our chief commercial officer overseeing sales, customer success, revenue operations, and enablement. Nate and the team now own the entire path from landing a customer to ensuring they succeed long-term. We restructured customer success and marketing to match customer buying trends. Customer success now has fewer handoffs and deep technical coverage with forward-deployed engineers. Marketing is now oriented around AI-native storytelling. We welcome Gab Menachem as Chief Product Officer of last month. Gab is a serial founder who built Loom Systems, an AI ops company acquired by ServiceNow. Loom Systems analyzed log data across cloud and on-prem, similar to what Amplitude does for behavioral data. Gab then spent six years scaling ServiceNow's IT operations management business to more than a billion dollars in revenue. I'm excited about that combination of founder DNA and enterprise experience at scale. Gab is part of a growing group of founders we brought into Amplitude over the past 18 months to lead our AI transformation. A few weeks ago, we ran AI Week at Amplitude. We paused normal work across the entire company so that every function could build and shift AI-powered workflows to reimagine their daily jobs and functions. It is much more important for Amplitude's talent to be AI native over the next year than any short-term initiative in the business. The team shipped hundreds of amazing demos, including automatically creating custom demo websites per customer, automating part of the quarter close process, and automating how we create new creative assets in marketing. Yesterday, we announced a strategic partnership with Stats Inc. Amplitude, As part of this partnership, Amplitude will take on Statsig's brand and customers. We will also maintain and develop the current Statsig platform across the cloud and data warehouse, including support for all existing Statsig customers. Amplitude will also begin building a more integrated roadmap for the future of Amplitude and Statsig platforms together. We will work closely with the Statsig team at OpenAI during this transition. As context for the move, AI has dramatically lowered the barrier to building and shipping software, boosting productivity for experienced engineers and enabling nontraditional roles to become AI builders. While teams can generate more code than ever before, the software development lifecycle remains bottlenecked in many other places. AI builders are generating code faster than they can understand its impact. The challenge is now evaluating code before it's released, tracking what's working after release, knowing when you need to roll things back, and turning behavioral signals into what to build next. Amplitude is the market leader and is focused on giving the best behavioral insights to product managers. Statsig has reinvented experimentation and feature management and done an amazing job with data leaders with its warehouse-native capabilities. Together, we can accelerate the software development lifecycle. We now offer organizations access to the same capabilities that the world's most advanced AI companies use today. Initial customer feedback has been promising. Many of our existing customers have already expressed interest in the Satsing product. The pace at which Amplitude builds and ships products continues to accelerate. Over 90% of the code our team ships today is written by AI. I want to show you four quick demos today, each one reflecting a different dimension of what it means to close the product development loop. I want to start with agent analytics. Everyone building agents has one big question. Are they working? With agent analytics, customers get complete visibility into every agent interaction. see every conversation's full thread. What the user asked, what the agent responded, which model was used, how many tokens it burned, and how long it took to complete. Once a conversation completes, evaluators automatically run and judge your agent's performance across dimensions like user satisfaction, agent confusion, response quality, and task completion. This happens on every conversation and is fully customizable so you can build evaluators specific to your use case. Then you can put all your agent analytics data together with your customer data. You can see how your agent's performance directly connects to real customer events, like what impact an original agent interaction can have on a customer later completing a purchase. We have been shipping faster around our amplitude agents. We've added productivity updates to our global agent, including voice-to-text input for natural language prompting, image upload for providing deeper context, searchable chat history, and conversation history across projects. In addition to that, we've also added memory, so agents now monitor when they're corrected or directed in specific ways and save that for the future. For example, a weekly active user in Amplitude is a user who saves a chart, not someone who simply logs in. The agent After telling the agent this, it remembers it for future analysis instead of needing to be corrected every time. 90% of these memories are automatically created as people use agents, so agents get smarter and better the more people use them. We also have MCP connectors built directly into agents. Agents are incredible at analysis, but the connection to action is broken. A human still needed to file the linear ticket, do the write-up in Notion, or read the Slack channel for context. Not anymore with MCP connectors. All of these actions can be triggered automatically. Non-event data can now be paired with Amplitude's data, connect financial information from BigQuery, and quantify the real cost-benefit of an experiment. Or with GitHub and Amplitude, retroactively track how specific releases affect error rates, session length, or feature adoption. Now our agents can run and connect to all your data sources to surface insights and deliver the context wherever it's needed. This is exactly what one of our large financial institution customers experienced. They had agents running on Amplitude surface insights for a new interface rollout they were planning. One of those agents surfaced pages that were indexed incorrectly before they went live without being instructed to find the inaccuracies. That helped the team avoid serving incorrect data to customers without even being asked. That is what it looks like when the loop closes on the right side automatically. People don't check dashboard. The system catches the problem before it becomes one. We're also building new AI products to expand our platform for customers. Our most recent launch was AI Assistant. AI Assistant is a chatbot that answers customers' questions in real time like Intercom Fin. It's tied into Amplitude so it can know who users are, where they've been previously, and where they are right now. If users want to know how to accomplish a task, instead of giving text instructions, it can create a visually guided tour that walks users through the interface. Here I'm asking how to integrate with Slack and it's triggering a guide that helps me do so. It shows me where to click on the screen and guides me through the process. This is live for customers to purchase today and is a great way to highlight how we're using AI to infuse context and understanding of the user for our customers. The last demo I want to show you today is our command line interface wizard. AI builders need an automated installation of Amplitude. That is why we built the CLI wizard. Setting up amplitude used to be a sticking point for some users in the past. Now with our CLI wizard, it's one line of code in the terminal. The rest is done for them. The CLI wizard package runs against any code base, any programming language, and it instruments amplitude for you. It adds SDKs, creates the taxonomy, and instruments all events and configures MCP. It will even create an initial dashboard for you. What used to take weeks now takes a few minutes. All initial setup into one action Dead simple install for humans. After this, we're going to give the ability for agents to install Amplitude automatically in the cloud. There is now no barrier to installing Amplitude. Let me tell you about a few customers who are putting this to work. Granola is one of the fastest-growing AI companies out there. They came to Amplitude before they had even launched because they wanted to understand from day one whether what they were shipping was actually working for users. Today, more than half the company uses Amplitude every day. And actually, I think everyone at Amplitude is a Granola user. They ship new features fast and rely on real-time behavioral signals to decide what to do next. They have grown with us horizontally and use the full platform. Granola is what a next-generation software company looks like. No separate analytics team, no weekly reporting cycle. The loop from ship to learn runs continuously, and Amplitude is the infrastructure that makes it possible. Smartsheet is an intelligent work management platform that helps enterprises unite people, data, and AI to turn strategy into results. As Smartsheet accelerated its push into AI-driven experiences, the team faced a real bottleneck. Their product managers were entirely dependent on the BI team for every single insight. A question as basic as, how many people used this feature last month, and what does this mean for retention, could take weeks to answer. Today, with Amplitude Analytics, feature experimentation, and guides and surveys, Smartsheet's product managers, engineers, designers, and researchers have that answer instantly. They've used those insights to identify and fix drop-off in their onboarding funnel with a direct measurable impact and retention. As Smartsheet invests in AI, Amplitude gives them the velocity to understand whether new experiences are working at the speed their ambitions demand. Astrotech shows Amplitude as its partner to support Bottom and Bottom Money's evolution into an AI-native fintech super app for over 150 million users across 150 countries. Bottom uses insights from Amplitude to optimize fintech entry points, pinpoint critical journey drop-offs, and establish clear engagement baselines for Bottom AI across user segments, usage patterns, and downstream actions. With cross-functional teams in growth, design, tech, using those insights to steer a completely revamped bottom to reposition itself as a fintech-led communications platform. I'm very excited to share the business impact we had with them. The revamp across services, including international transfer, local transfer, ad funds, and gold, Astrotech increased fintech service entries by 4%, lifted engagement from top offers and for you by up to 3%, and grew fintech transacting users by three times. That happened all within a span of nine months of working with Amplitude. I want to note that the companies on the bleeding edge of the tech industry are Amplitude customers. That's because the faster you build, the more you need to know what to build next. AI natives understand that better than anyone. This underscores the long-term case for Amplitude. AI makes what we do more critical than ever. We are set up to close the right side of the product development loop, and we have the platform, the customers, the leadership, and the conviction to see it through. I'm extraordinarily excited for what's next. Now, over to Andrew to walk you through the financials.

Thank you, Spencer, and good afternoon, everyone. The first quarter was solid, with incremental improvement on our dollar-based net retention to 106%, multi-product accounts for more than 77% of our ARR, and our ARR growth was 17%. We beat our guidance on both top and bottom line, and we are combining the best of Satsig with Amplitude. Reflecting on Q1, there are many changes in our go-to-market team. We've introduced a number of new AI products, and Amplitude has been implementing a host of new AI-based workflows to drive efficiency. We are in a moment of transformation. We are transforming the value our customers receive, we are transforming how we deliver value, and we are transforming our organization from the ground up. We've done this. while continuing to execute on our core business. We are leveraging AI at scale across our organization and helping customers unlock incremental value faster. No longer is a good piece of code with a friendly UI good enough. We must deliver customer-valued outcomes. We are focused on becoming a true partner with our customers to understand how to apply the technology in the most effective ways. We are building on a decade of understanding, context, but delivering this knowledge through our services, our platform, and our know-how. The speed of change is accelerating, and we're leaning into that moment. We're seeing increased usage of our AI agents, along with data ingested into our platform. This has created some headwinds in our cost to serve, but it's also aligned to our monetization strategy. Adapting quickly and delivering greater value to our customers will be the advantage of the next generation of winners in software, which is why we've made changes to our products, pricing, and internal operations. Taking on the stat-type business is another great example of our ability to be flexible and act quickly. By combining StatSig's industry-leading warehouse-native experimentation with Amplitude's best-in-class analytics platform, we're expanding our total addressable market and meeting customers where their data needs are. We will build this business to be incremental and accretive to our core business. Spencer highlighted some of the changes our team has undergone, and we're instrumenting the business for long-term scale and efficiency so that driving business growth continues to result in greater leverage. That being said, our goals as a business remain steady. We want to grow our enterprise business, expand our multi-product footprint, and deliver great value for our customers. This focus has enabled us to drive consolidation in the market through our platform approach. Now having over 77% of our ARR coming from customers with more than two products, up three points from last quarter. Customers with five or more products now account for 24% of our ARR, up from 20% last quarter. We believe that as customers continue to adopt our AI products, they will naturally expand their use cases into the full suite of our platform and drive incremental upsell opportunities. Turning to our first quarter and full year results, as a reminder, all financial results I will be discussing, with the exception of revenue, are non-GAAP. Our GAAP financial results, along with reconciliation between GAAP and non-GAAP, can be found in our earnings press release and supplemental financials on the investor relations page of our website. First quarter revenue was $93.5 million, up 17% year-over-year, versus 10% in the first quarter of 2025. Total ARR increased to $374 million exiting the first quarter, an increase of 17% year-over-year and $9 million sequentially. Total remaining performance obligations grew 31% year-over-year to $427 million compared to 30% growth in Q1 2025. Current RPO was up 20% year-over-year compared to 18% in Q1 of last year. Long-term RPO was up 60% year-over-year compared to 72% from the first quarter of last year. We had a strong quarter for both new and expansion deals in the enterprise. Platform sales were also particularly strong. 47% of our customers now have multiple products, with 77% coming from that cohort. We have made great progress on expanding our multi-product footprint within our customer base compared to a year ago when only 30% of our customers had multi-products and accounted for only 64% of our ARR. The number of customers representing 100,000 or more of ARR in Q1 grew to 727, an increase of 18% year-over-year and up 29 customers since the last quarter. In-period net dollar retention increased to 106% from 105% last quarter, led by cross-sell expansions across our customer base. We expect net dollar retention to improve over the long term as we continue to see customers adopt multi-products. However, it may not be in a linear fashion. Gross margin was 75% for the first quarter, down two points from the first quarter of last year. This was largely driven by growth in inference costs as adoption of our AI tools by our customers outpaced our expectations. We now expect this adoption trend to continue, given the feedback we received from our customers. In the short term, this will cause gross margin compression, but we believe this will help us to drive greater data ingestion and monetization of our core platform over time. Sales and marketing expenses were 45% of revenues. in line with the first quarter from last year. Some of the increase in costs included severance costs related to organizational changes and other activities like our go-to-market kickoff that occurred in the first quarter. We have focused our entire go-to-market team on driving value for our customers, increasing adoption organization-wide, and improving our internal processes, coverage, and expanding the buyer personas that we can sell to. These changes will take time to manifest in net new ARR, but ultimately they will increase the health of our customer base and drive greater opportunity to grow our net dollar base retention. R&D was 20% of revenue at one point in the same period last year. We will be adding to the team to scale the Static opportunity and continue to support those customers. G&A was 13% of revenue, down two points from the first quarter of 2025, and we expect G&A to improve as a percentage of revenue over time. Total operating expenses were $73 million, or 78% of revenue, down one point from the same period a year ago. Operating loss was $3.1 million, or 3.3% of revenue. Net loss per share was $0.02 based on 133.3 million basic shares, compared to a net loss per share of $0.00 with 129.7 million shares a year ago. Free cash flow in the quarter was a negative $13.2 million, or negative 14% of revenue compared to a negative 9.2 million or negative 12% of revenue during the same period last year. We continue to be active in the open market last quarter, retiring shares against our open buyback. We have conviction in the long-term value of our platform and have used and will use our cash to minimize the impacts of dilution while our share price continues to not align with the value we believe we're creating. Our balance sheet position remains strong and allows us the opportunity to be more aggressive and our M&A strategy to accelerate our R&D roadmap when appropriate. In Q2, we will also take into consideration bringing the StatSig customers and technology over to Amplitude as of the beginning of May. To start, we will record an additional $16 million in incremental ARR from the StatSig customer base, aligning that business to our definition of ARR. As we take on the StatSig business, we will also be investing in a transition team as a ramp and internal team to continue to provide the best support for the StatSig customers. Over time, we will scale our internal teams to continue to develop the warehouse-native and cloud aspects of StatSig. Additionally, there will be some pressure on gross margins for the remainder of the year as we integrate and optimize our hosting environment. Now, turning to our outlook. As a reminder, the philosophy of how we set guidance is through the lens of execution. We are pleased with our progression on driving adoption of our core platform, our different AI technologies, and multi-product adoptions. Our new pricing and packaging rollout is progressing very well, and in the first quarter, 25% of total ARR contracted, both new business and renewals, was on our new pricing and packaging. We will continue to increase this percentage as we make it easier for our sellers to quote and make it easier for our customers to understand the path to platform adoption. We are already seeing early signs of willingness to test new features and products on the platform, giving the easier on-ramp from a contract view. This will also lend itself to allow an easier adoption of our AI agents as we continue to iterate and shift. So, for the second quarter of 2026, we expect revenue to be between $96.9 and $99.1 million, representing an annual growth rate of 18% at the midpoint. We expect non-GAAP operating income to be between negative $3.6 million and negative $1.6 million. We expect non-GAAP net income per share to be between negative $0.02 and negative $0.01, pursuing basic weighted average shares outstanding of approximately $134 million. For the full year of 2026, we expect full year revenue to be between $397 and $403 million, an annual growth rate of 17% to midpoint. This assumes a $5 to $7 million contribution from the static business, taking into account the assumption of the customer contracts and the impacts to deferred revenue. We expect our full-year non-GAAP operating income to be between $2.5 million and $6.5 million. This reflects incremental investment we'll need to incorporate the static business. We expect non-GAAP net income per share to be between $0.03 and $0.06, assuming weighted average shares outstanding of approximately $145.1 million is measured on a fully diluted basis. In closing, we are accelerating our pace of innovation, and we're growing the value that we can deliver to our customers. We have confidence in our ability to scale a durable and growing business while also bringing energetic analytics to the world. With that, we'll open it up for Q&A. Over to you, John.