C3.ai AI 2026Q1 Earnings Preview Upside Ahead on Federal Growth

Forward-Looking Analysis
Analysts forecast C3.ai's revenue to grow at a 13.1% annual rate through 2026, with Q1 2026 expected to reflect continued strength in its federal government business. Earnings per share, however, remain under pressure, with long-term EPS expected to grow by just 0.2% annually. The company’s full-year 2025 guidance exceeded expectations, driven by robust federal contracts. For Q1 2026, while specific EPS estimates are not disclosed, the positive trend in revenue and strategic advancements from prior quarters suggest a potential earnings beat, especially with gross profit expected to remain stable.

Historical Performance Review
In Q4 2025, C3.ai reported total revenue of $108.72 million, a significant increase from prior periods. However, the company posted a net loss of $79.70 million, or $0.60 per share, reflecting ongoing investment in growth initiatives. Gross profit stood at $67.51 million, indicating strong product margins despite elevated operating expenses.

Additional News
C3.ai has not officially confirmed the Q1 2026 earnings date, but based on prior reporting schedules, it is expected to be September 3, 2025. The company has maintained strategic momentum, with management emphasizing significant growth and advancements in its AI platform. In Q3 2025, C3.ai delivered strong performance and updated guidance, highlighting continued demand for its enterprise AI solutions. Analysts remain cautious on near-term profitability but optimistic about long-term revenue expansion, particularly in the public sector.

Summary & Outlook
C3.ai’s financial health shows mixed signals, with robust revenue growth and improving gross margins, but ongoing net losses remain a challenge. The key catalyst for 2026Q1 is the company’s expanding federal business and strategic AI platform advancements, which should drive higher revenue. While profitability remains elusive, the long-term revenue growth trajectory and improving operational efficiency suggest a cautiously bullish outlook. Investors should monitor the balance between investment and returns, as the company continues to prioritize expansion over near-term earnings.