Domo 2026 Q3 Ganancias 44.6% Reducción de la pérdida neta a pesar de declive de los ingresos

Domo reported fiscal 2026 Q3 results showing a 0.5% revenue decline to $79.40 million and a 44.6% reduction in net loss to $10.39 million. The company adjusted full-year 2026 revenue guidance downward, reflecting softer demand and extended sales cycles, while maintaining margin improvement.

Revenue

Domo’s total revenue fell slightly to $79.40 million in Q3 2026, a 0.5% decrease from $79.76 million in the prior year. Subscription revenue, the company’s core offering, accounted for $71.88 million, while professional services and other segments contributed $7.52 million. The modest revenue contraction underscores ongoing challenges in sustaining growth amid competitive pressures and evolving customer preferences.

Earnings/Net Income

The company narrowed its net loss to $10.39 million in Q3 2026, a 44.6% improvement from $18.76 million in the same period last year. Earnings per share (EPS) improved from a loss of $0.48 to $0.25, reflecting disciplined cost management. However, the company remains unprofitable, with losses persisting for nine consecutive years in the quarter.

Price Action

DOMO shares declined 0.79% on the latest trading day, 20.81% over the past week, and 29.25% month-to-date, reflecting investor skepticism despite improved financial metrics.

Post-Earnings Price Action Review

A post-earnings trading strategy—buying DOMO when earnings beat and holding for 30 days—returned -75.92%, significantly underperforming the benchmark by 164.22%. The strategy exhibited a Sharpe ratio of -0.36, indicating high risk despite relatively low volatility of 68.97%. Maximum drawdown was reported at 0%.

CEO Commentary

CEO Joshua G. James emphasized progress in margin improvement and AI adoption during the earnings call, stating, “We’re seeing traction in consumption-based contracts and ecosystem partnerships, which will drive long-term value.” However, he acknowledged challenges in sales cycles and partner-driven growth, noting, “The shift to consumption-based models requires patience as we balance near-term revenue with sustainable profitability.” The tone remained cautiously optimistic, with leadership expressing confidence in operational efficiency while acknowledging execution risks.

Guidance

Domo guided to Q4 2026 revenue of $78.0–79.0 million and full-year revenue of $317.5–318.5 million, below prior expectations. The company expects continued cost discipline and margin expansion but cautioned that near-term revenue growth will remain constrained by extended sales cycles and the transition to consumption-based pricing.

Additional News

Domo announced leadership changes, with founder-CEO Joshua James reducing duties for health reasons and CTO Daren Thayne appointed as Interim Principal Executive Officer. The company also disclosed a strategic shift toward AI-driven solutions and consumption-based contracts to align with market trends. Separately, Daren Thayne highlighted efforts to streamline operations and accelerate margin improvement in the earnings call.