Clearwater Analytics 2025 Q3 Earnings Net Loss Amid Record Revenue Surge

Clearwater Analytics (CWAN) reported fiscal 2025 Q3 results on Nov 6, 2025, , . While revenue growth outperformed expectations, , . Guidance for Q4 and full-year 2025 remained aligned with prior projections, emphasizing 71–72% YoY revenue growth and 34% Adjusted EBITDA margins.

Revenue

, driven by robust demand for AI-powered solutions and expanded client adoption. The company’s single-instance architecture and Gen AI integration accelerated growth, enabling rapid scalability in automated reconciliation and reporting.

Earnings/Net Income

The company reported a net loss of $10.51 million in Q3 2025, a 320.5% deterioration from a $4.77 million profit in the prior year. , . Despite record revenue, operational costs and investments in AI development contributed to the loss, underscoring strategic priorities over immediate profitability.

Post-Earnings Price Action Review

Following the earnings release, CWAN’s stock edged up 0.12% in the latest trading day but declined 4.31% during the subsequent week, reflecting mixed investor sentiment. The shares have fallen 36.9% year-to-date, underperforming the S&P 500’s 15.1% gain. Analysts noted a Zacks Rank #4 (Sell) due to unfavorable estimate revisions, though the company’s AI-driven growth potential and Q4 guidance of $216–217 million in revenue suggest long-term optimism.

CEO Commentary

. He emphasized AI agents reducing manual reconciliation by 90% and accelerating report generation by 80%, positioning CWAN as a leader in agentic reporting. Strategic priorities include expanding AI integration and leveraging Gen AI to transform investment management efficiency.

Guidance

For Q4 2025, . . The company reaffirmed confidence in margin stability and operational cash flow strengths.

Additional News

Clearwater Analytics announced the global deployment of its CWAN GenAI platform, . The platform, integrated with AWS, enables real-time data processing and enhanced operational efficiency. Additionally, the company partnered with J.P. Morgan Asset Management to launch an automated cash management solution for hedge funds, linking Enfusion and Morgan Money platforms. Oppenheimer maintained a Buy rating with a $36 price target, .