C3.ai Revenue Surges 26% on Generative AI Demand

C3.ai, a prominent artificial intelligence software company, reported strong financial results for the fourth quarter of its fiscal year 2025, driven by surging demand for its generative AI products. The company's adjusted loss per share was $0.16, and revenue grew by 26% to $108.7 million, surpassing analyst estimates of a $0.19 loss per share and $107.9 million in revenue.

The company's subscription and engineering service revenues combined grew by 22%, accounting for 96% of total revenue. Subscription revenue increased by 9% to $87.3 million, while engineering service revenue soared by 196% to $17 million. C3.ai highlighted that its generative AI business revenue more than doubled for the fiscal year.

In addition to its financial performance, C3.ai announced the renewal and expansion of its strategic partnership with Baker Hughes, a leading oilfield services provider. The multi-year agreement focuses on enhancing joint sales efforts, co-investing in AI solutions, and scaling the deployment of joint solutions that have been proven to improve production efficiency, reduce downtime, and enhance asset operational visibility for the world's largest oil and gas companies.

Despite the 26% surge in stock price on Thursday, C3.ai's stock has declined by more than 15% year-to-date. The strong financial results and strategic partnership renewal reflect the company's robust growth trajectory and its ability to capitalize on the increasing demand for AI solutions across various industries.