Domo, Inc.

Greetings. Welcome to Domo's fourth quarter fiscal 2026 earnings call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. Please note this conference is being recorded. I will now turn the conference over to Corey Edwards, Vice President of Corporate Communications. Thank you. You may begin.

Good afternoon. On the call today, we are joined by Josh James, our founder and CEO, and Todd Crane, our chief financial officer. I'll begin with our safe harbor statement. Our press release was issued after the market closed and is available on the investor relations section of our website. Please note that today's call contains forward-looking statements about our business as defined under federal securities laws. These statements involve risks, uncertainties, and assumptions, including but not limited to statements and projections about our future financial performance, growth prospects, cash position, sales efforts, technology developments, new business opportunities, transactions and initiatives, the potential impact of artificial intelligence and macroeconomic factors on our business. For a detailed discussion of these risks and uncertainties, please refer to our public filings, including today's press release, our most recent annual report on Form 10-K, and our quarterly report on Form 10-Q, all available on the SEC website. These documents outline important risk factors that may cause actual results to differ materially from our forward-looking statements. We will also discuss non-GAAP financial measures during the call, which we use as supplemental indicators of Domo's performance. unless otherwise stated, all results discussed today, other than revenue, are on a non-GAAP basis. These measures should be viewed as complements to, not substitutes for, our GAAP results. A reconciliation of our non-GAAP results to the most directly comparable GAAP measures can be found in today's earnings release and on our investor relations website at domoinvestors.com. With that, I'll turn it over to Josh. Josh?

Thank you, Corey. Hello everyone and thank you for joining us on the call today. As we close out the year, I want to begin by highlighting some important achievements for the fourth quarter. We achieved record quarterly billings, delivered the strongest gross retention in three years, posted the highest operating margin and best EPS in company history, and recorded our best ever full year free cash flow result. Now let me get into the details behind these accomplishments. We achieved our highest quarterly billings ever, totaling $111.2 million, which represents 8% year-over-year growth, the strongest we've seen in three years, and also exceeding our billing guidance for the quarter. This performance was driven by higher retention, accelerating adoption of our consumption model, and expanding partner ecosystem activity. Increasingly, customers are using Domo not just for analytics, but as the operational layer that powers data products and AI-driven workflows across their organizations, which naturally expands consumption over time. We also achieved our highest gross retention rate in over three years, coming in at over 88%. underscoring the durability of our customer relationships, particularly as multi-year consumption contracts continue to deepen. Net retention also improved by over 4 percentage points year over year and is now over 96%, making the sixth straight quarter of sequential improvement in this metric. Notably, the cohort of customers who started on consumption contracts, representing over $24 million in ARR, achieved an impressive net revenue retention of 111% in Q4, highlighting the value our customers are getting from our consumption model. Our operating margin for the quarter was over 10%, reflecting disciplined execution and efficiency improvements that lay the groundwork for durable profitability. Importantly, this translated into an all-time high for quarterly earnings per share. The heart of Domo's opportunity is an innovative cloud data platform which is already driving nearly $300 million in recurring revenue. Our platform is well positioned to benefit from the rapid adoption of AI in the market. While Domo is often viewed as just a dashboarding or reporting tool, to be frank, that is laughable. In reality, Domo is a modern AI-first data platform designed for today's enterprise challenges. Domo's platform was built with AI in mind from day one Our very first product X 15 years ago highlighted machine learning and predictive modeling capabilities in AI-informed apps, the early predecessors to today's AI. This long-term vision has guided our architecture and investment decisions, ensuring we're not just reacting to AI trends, but enabling our customers to harness these powerful technologies at scale. The next wave of enterprise AI will be less about models and more about coordinating data, decisions, and workflows. What makes Domo different is that our platform doesn't stop at insight. It unifies data, provides AI-driven intelligence via our AI service layer, and with Agent Catalyst, enables agentic workflows in a single system, allowing organizations to move from analysis to automated action without stitching together disconnected tools. One innovation I'm particularly excited about is App Catalyst, our AI-powered app builder, that allows customers to quickly create production-ready, governed applications simply by describing what they need in natural language. Unlike early AI tools focused just on rapid code generation, AppCatalyst provides a secure, scalable foundation that connects directly to customers' existing data platforms without duplication. It gives teams true optionality to build, iterate, and extend applications for real-world enterprise use. And it's poised to be a significant driver of increased consumption and deeper adoption. Put simply, Domo is far more than just a BI tool. It's a strategic data and AI platform built for the demands of modern business. The growing need for AI is clear. The topic is coming up on nearly 70% of our calls with current and prospective customers. As companies across industries push to embed AI at the core of their operations, they need a platform that scales, is governed, and stays secure and can grow as their AI ambitions do. We believe Domo is the platform that can deliver on these ambitions, turning complex data into clear, actionable intelligence and making it easy for customers to apply AI across immense amounts of data to quickly generate summaries, sentiment analysis, and many other use cases. That's why we see significant opportunity ahead and why we firmly believe the market has yet to recognize the full value of our platform and ecosystem, our delivery. Our customers aren't just experimenting with AI. They're driving real, large-scale production deployments, and the impact is already visible. Here are 15 examples of AI agents that are actively being deployed in Domo's customer base. This is a small sampling. One, a national restaurant brand worked with Domo to deploy an AI-powered vendor onboarding workflow that automatically scans W9 documents extracts key information from unstructured files, validates vendor records against internal data, and routes approvals via a governed audit trail. This end-to-end automation replaced a fully manual process, drastically reducing administrative hours while enhancing compliance and control. Two, a leading global home improvement retailer, is deploying an AI-powered product sign-off workflow to replace a traditionally manual approval process that took weeks or months. Using Domo, an AI agent analyzes product specifications, customer sentiment, imagery, and testing data to evaluate market readiness. This scalable solution expands product reviews from dozens to thousands annually. accelerating innovation while reducing risks of recalls, rework, and legal exposure. It integrates governed data, external sentiment, and custom apps with a unified platform to operationalize AI at an enterprise scale. Three, a global financial services organization integrates deployed an AI-driven invoice processing workflow to replace a manual email-based system. Using Domo, coordinated AI agents automatically ingest invoices, determine extraction methods, translate content when needed, and extract key financial data. The system routes information into accounting and management review processes, reducing delays, errors, and providing scalable global operational visibility through governed AI orchestration. Four, a global customer experience provider deployed a Domo-hosted AI knowledge assistant that gives employees a single interface to answer operational and platform questions without navigating multiple systems or submitting tickets. The solution searches internal documents and secondary knowledge bases using confidence scoring to ensure accurate responses. By combining documents By combining document retrieval, text generation, and text-to-SQL within DOMA workflows, it delivers faster answers and reduces manual support efforts. Continuous feedback logging ensures ongoing improvement at scale. 5. A global private aviation company is developing an AI-powered executive flight deck. that provides leadership with real-time visibility into sales, lead generation, operational margins, and client experience, eliminating the need for analysts to interpret data. This custom Domo application combines live KPI dashboards with AI-generated insights that explain trends and context dynamically, helping executives quickly understand performance and make informed decisions. Six, a national compliance technology provider is developing an AI-driven reporting system for a state emission inspection program to automate the creation of 17 regulatory appendix reports. Previously, manually compiled into massive static files, the new DOMO-powered ProCode solution uses specialized AI agents to generate interactive report tables and smaller, more easily distributed PDFs. This deployment demonstrates how governed, orchestrated AI agents accelerate production-grade application development while enhancing transparency and efficiency in regulated public sector programs. Seven, a global pharmaceutical company deployed an AI-powered analytics agent that automatically generates monthly insights across marketing spend, brands, and channels. Previously reliant on manual agency reports, the AI agent scans governed marketing data to identify campaign trends and spend allocation enabling faster data-driven decisions and reducing costs. 8. A large industrial manufacturer deployed a double-powered operations app that automates welding job assignments across its production floor. The system analyzes job requirements, worker certifications, and capacity constraints to dynamically schedule tasks, ensuring qualified welders are matched to the right jobs at the right time. This improves production flow and provides supervisors with real-time visibility into workforce capacity and scheduling. Nine, a luxury home goods brand deployed an AI-powered returns categorization engine that automatically classifies 100 to 200 daily product returns, analyzing unstructured customer feedback and mapping issues like size, quality, and comfort into a standardized taxonomy. The AI agent assigns confident scores and routes uncertain cases for human review, continuously improving accuracy. Operating at over 95% validated accuracy, the system delivers scalable insights into product quality and customer sentiment, enabling faster quality alerts and smarter product decisions. 10. A K-12 education technology provider is developing an AI-driven reporting engine that enables educators to generate up to 100 professional student reports at once. Previously constrained by manual, one-at-a-time downloads with inconsistent formatting, this Domo-powered solution integrates student data from Snowflake and delivers well-formatted, consistent reports asynchronously. This scalable workflow improves educator efficiency and strengthens the customer's long-term investment in the platform. A global workforce management platform serving enterprise retailers partnered with Domo to build an automated multi-environment deployment pipeline powered by Domo APIs and agentic AI. What once required multiple engineering sprints was delivered in days through human AI collaboration, enabling automated promotion of code and assets across development, QA, and production with built-in version control and rollback safeguards. The solution accelerates development cycles and maintains enterprise-grade governance, providing a scalable foundation for faster innovation and reduced operational overhead. 12. A national funeral services operator partnered with Domo to replace a manual spreadsheet-based bonus process with a governed enterprise application largely built through agentic AI code generation. The solution provides multi-level approvals, real-time budget controls, payroll exports, and immutable audit trails within a single workflow. By leveraging human-AI collaboration, development time is reduced by an estimated 60% to 70%, resulting in a scalable, compliance-ready application that accelerates time to value. 13. A national behavioral health organization deployed an AI-powered contract intelligence system to replace a manual process for reviewing and tracking hundreds of complex agreements. The AI agent automatically ingests contracts, extracts key data, and monitors critical milestones like renewals and expirations. A conversational interface enables natural language queries, providing faster access to important information, reducing administrative burden and enhancing compliance visibility across the organization. Fourteen, a global accounts receivable firm deployed an AI-powered skip tracing agent to automate the research process that prepares collection agents before contacting debtors. Previously relying on manual searches across business ratings, websites, and regulatory filings, The AI agent now compiles and structures enriched business intelligence from multiple sources based on company identifiers. This solution dramatically reduces research time per account and improves agent preparedness and call effectiveness, transforming a manual bottleneck into a scalable, intelligence-driven workflow. Fifteen, a national wealth management platform is developing a self-learning AI system to automate user provisioning and eliminate manual onboarding delays. The AI agent analyzes job titles from identity management data, classifies users into appropriate access roles with confidence scoring, and continuously refines its logic as data evolves. Low confidence cases and sensitive financial access requests are routed through human approval to ensure compliance. This solution aims to reduce manual provisioning by up to 75%, improving operational efficiency and platform adoption across thousands upon thousands of employees. Clearly, the vision for Domo is coming to fruition, and we're just getting started. Domo has also garnered significant recognition from industry analysts and the media, further validating our leadership position in the data and AI space. Most notably, Domo was recognized by Dresden Advisory Services as a winner in six categories of the 2025 Technology Innovation Awards, including several categories related to agentic AI. In addition, Domo was recognized as an overall leader in ISG's AI Analytics Buyer's Guide 2025 Market Report. Domo announced that it was ranked as a top vendor in Dresdner's Wisdom of the Crowd's Analytical Data Report. This recognition reinforces what we consistently hear from customers, that Domo is delivering a modern, unified platform that bridges data, analytics, AI, and action in a way that drives measurable business impact. Before we move on, I would like to invite all of our customers and strategic partners, current and prospective, to join us at the upcoming Domo Palooza User Conference. It's an excellent chance to connect and explore the latest innovations across the Domo platform. Finally, thank you to our employees whose dedication and passion fuel everything we do. I'm proud of what we're achieving together. And with that, I'll hand the call over to our Chief Financial Officer, Todd Crane.