SailPoint, Inc.

Thank you for standing by, and welcome to CellPoint's fourth quarter fiscal and full year 2026 earnings conference call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 1-1 on your telephone. To remove yourself from the queue, you may press star 1-1 again. I would now like to hand the call over to Scott Smith, VP of Investor Relations. Please go ahead.

Good morning, and thank you for joining us today to discuss SailPoint's fiscal fourth quarter and full year 2026 financial results. Joining me today are SailPoint's founder and CEO, Mark McClain, and our Chief Financial Officer, Brian Carolin. For the Q&A portion of today's call, we will also be joined by our President, Matt Mills. Please note that today's call will include forward-looking statements, and because these statements are based on a company's current intent, expectations, and projections, they are not guarantees of future performance, and a variety of factors could cause actual results to differ materially. This call will also include references to non-GAAP results, which exclude certain items that do not reflect our underlying business performance. Please reference this morning's press release and our supplemental earnings presentation posted on investors.salepoint.com for further information regarding our forward-looking statements and non-GAAP financial measures, including reconciliations of such financial measures to the nearest comparable GAAP financial measures. And with that, I'd like to turn the call over to Mark.

Thank you, Scott. Good morning, everyone, and thank you for joining us today. We just completed fiscal year 2026 with outstanding results that underscore our ability to deliver growth at scale. This has been a remarkable year for SailPoint as we continue to perform at an exceptionally high level. Our performance puts us at a level that we believe few companies in software and cybersecurity can claim. To back that up, let's look at the key metrics for fiscal year 2026. We crossed the $1 billion ARR threshold. We delivered 28% overall ARR growth and a consistently strong 38% SAS ARR growth. These are incredible results. To put this in perspective, our ARR growth of 28% year over year plus our adjusted operating margin of 18% gives us a rule of 46. This places us in a rare stratum of high performing companies at greater than $1 billion in scale. Our journey to this point is the result of relentless innovation and unwavering execution. These efforts have enabled us to effectively meet the increasing demand for modern adaptive identity solutions. The combination of visionary product development and operational excellence has positioned SailPoint as a leader in the market, driving our continued success and instilling confidence in our ability to deliver value to our customers well into the future. This past year was also defined by a rapid pace of product advancement. We believe we've pushed our industry forward. making identity security more adaptive, more real-time, and more integrated within security operations. At a time when organizations are being pressure tested due to the extraordinary rise of agentic AI, we believe we are delivering the modern security foundation they need. Our 38% year-over-year SaaS ARR growth is a powerful indicator of both new and existing customers actively choosing to modernize with SailPoint. Our SaaS customer count grew by 16% year-over-year, and our ARR per SaaS customer accelerated to 19% year-over-year growth in fiscal 26. Our recently introduced flexible pricing model and new AI-fueled innovations are turning customer interest into tangible growth and reinforcing the clear momentum in our SaaS business. The second piece of context for our performance is the topic at the top of everyone's mind, AI. Now, there is a very active debate happening in the market right now about what AI means for the future of software. I want to address this head on, because from our perspective, the answer is clear. The more autonomous and agentic software becomes, the more essential enterprise identity security becomes. This isn't just about human users anymore. defined by an expansive non-human workforce. Armies of AI agents are being built by business users operating at machine speed and creating an explosion of identities and access points that legacy static security models simply cannot handle. But while the scale of this agentic workforce is new, the core challenge of securing non-human identities is not new to us. We have been governing service accounts, bots, and other machine identities for years. For us, securing this new army of AI agents isn't a reactive pivot, but a natural evolution for a platform architected for this very complexity. In this new world, you cannot secure what you cannot see, and you cannot govern what you cannot define. The fundamental question of who or now what has access to what doesn't go away. It becomes exponentially more critical and complex. For SailPoint, this isn't a disruption to be managed. We believe it is the single greatest market expansion driver we have ever seen. And that solidifies our position as a foundational security control plane for the modern AI-powered enterprise. Because now, enterprise security is identity security, and we believe no one is better positioned than SailPoint to help customers navigate into this new world. That is why we believe SailPoint is a significant beneficiary of the AI revolution. Our confidence rests on four deep, compounding advantages that we believe are unique to us. First, experience. on solving the most complex identity challenges for many of the world's largest organizations. It's a deeply vertical and horizontal challenge that cannot be solved by general purpose AI alone. Second, data and context. Our experience has allowed us to build a strategic mode through our use of data and context to deliver unparalleled precision and intelligence. Third, ecosystem. We are the control plane for its enterprise security, deeply woven into our customers' operations with thousands of entitlement-level integrations. New AI agents don't replace this. They must plug into it, making our platform the essential foundation. And finally, all of this culminates in our most valuable asset, trust. Many of the world's most complex organizations choose us because we are proven and battle tested. This trust is our currency in a market that cannot afford to risk its enterprise on unproven technology. We believe AI, coupled with our extensive domain knowledge built over decades, will prove itself a true game changer in the coming years. Today, our solution for solving the AI identity challenge integrates AIS, MIS, and DAS solutions with more capabilities coming. We've packaged these for easier adoption as part of our digital identity flex pricing package. This approach is rooted in our longstanding philosophy of securing every identity, not just counting seats. It aligns our business model directly with the explosion of both human and non-human identities, helping to ensure we grow and benefit as our customers' agentic workforce expands. Therefore, when you think about our role as an AI beneficiary, it's critical that you look beyond a single product line. The right mental picture is to see how the vast majority of our portfolio is built with AI to secure the AI movement. From our extensive connectivity framework to our entire AI-enabled platform, we believe that all that we've developed has prepared us to be the guardrails for the agentic future. We believe we are built for this new world. And our customers are validating this strategy with their investments. In total, we closed more than 500 transactions directly tied to our new innovations. In Q4 alone, our AI solutions have seen remarkably fast uptake with numerous Fortune 1000 companies among the early customers. In fact, non-human identities accounted for approximately 25% of our SaaS identity growth in Q4 and now represent 11% of our SaaS identities under governance. In parallel, our Navigator's select pricing model also continues to gain traction, helping to accelerate adoption of our new offerings. And finally, let me share two examples from the quarter around how our customers are adopting our latest innovations to tackle these emerging identity challenges. First, take the example of a global semiconductor leader. As they undertake a massive modernization initiative, debt, they face a critical challenge, securing their highly automated environments. They chose SailPoint to govern their explosion of AI agents, service accounts, and machine identities at scale. In addition to modernization as a main driver, their decision hinged on a desire to innovate at full speed, knowing that every identity, human and non-human, is secure and under control. And second, a major technology infrastructure provider chose SailPoint's agent and machine identity security solutions to meet a mandate centered around preventing over-permissive access between human users and AI agents while enhancing compliance with regulatory requirements such as SOX and GDPR. These proof points support our belief that our strategic advantage is real. So now let's pivot to how we plan to capitalize on this momentum and convert our unique position into even greater scale. Looking ahead, we expect FY27 will be the year of AI adoption. This is a reality being shaped by a market that is rapidly evolving and a platform built for this exact moment. For us, this isn't a single motion, First, we plan to deepen our footprint within our existing customer base. As customers accelerate their shift to SaaS and confront the explosion of AI identities, we believe we are the right partner to help them navigate this shift. Our adoption of a flex pricing model and our AI-powered platform are designed to help our customers expand their programs and modernize with us. Second, we believe our platform's power and clarity of vision make us more attractive to new customers than ever before. We are seeing increasing demand from organizations that want to build their security program on the right foundation from day one. The same advantages that make us essential to many of the world's largest companies are creating a clear opportunity for SailPoint in the era of AI. Our ability to drive both of these motions is enabled by our platform's true moat, our governance foundation. In a world of AI agents operating at machine speed, static, periodic governance is no longer sufficient. We are defining the new standard of adaptive identity, a standard that ultimately drives toward real-time governance. For us, that means enabling two critical states least privilege access, and wherever possible, zero standing privilege. This is made possible by our differentiated ability to link users, machines, agents, applications, and pieces of data in a single correlated data model. And the power of that foundation creates what we call identity context. This comes to life in two critical dimensions, visibility and intelligence. We provide the visibility to extend the governance across the entire universe of identities, confronting application sprawl and securing every entitlement. We've recently extended this visibility to help customers explore the depth of AI usage across their enterprise with our just-announced SailPoint Shadow AI Remediation solution. But visibility is just noise without context. That's why we also deliver the deep intelligence to understand the meaning behind that access, moving beyond who has access to answer what they can do, when, and at what risk level. This identity context combination of visibility and deep intelligence is our most significant advantage. It's what enables our customers to move from simply asking who has access confidently being able to answer whether that access is appropriate, safe, and being used correctly right now. Competitors may offer a fraction of one or the other. We deliver both with the granularity and depth that have always been the hallmark of SailPoint. This is such an exciting moment for the company. We believe we have the right strategy, the platform, and the team to continue defining the market through our leadership for years to come. Now, to walk you through the financial details of this outstanding year, I'll hand it over to Brian, our CFO.