E2open Parent 2025 Q4 Earnings Misses Targets as Net Loss Widens 489.7%

E2open Parent Holdings, Inc. (ETWO) released its fiscal 2025 Q4 earnings report on April 29, 2025. The company posted quarterly earnings of $0.06 per share, surpassing the Zacks Consensus Estimate of $0.05, marking a 20% earnings surprise. However, e2open parent experienced a substantial net loss of $268.50 million, an increase from the previous year's $45.53 million loss. Despite ongoing challenges, E2open's CEO Andrew Appel expressed cautious optimism about future growth, citing client satisfaction improvements. Moving forward, e2open expects FY 2026 subscription revenue to range from $525 million to $535 million, reflecting a potential year-over-year growth rate of negative 1.0% to positive 1.0%.

Revenue

In fiscal 2025 Q4, E2open Parent reported total revenue of $152.68 million, reflecting a 3.6% decline compared to $158.45 million in the previous year’s fourth quarter.

Earnings/Net Income

E2open Parent narrowed its losses to $0.71 per share in 2025 Q4 from a loss of $1.45 per share in 2024 Q4, showing a 51.0% improvement. However, the net loss widened significantly to $268.50 million, indicating ongoing financial challenges. The EPS improvement offers a positive outlook amidst the larger net loss.

Post-Earnings Price Action Review

The earnings report for E2open Parent (ETWO) indicates a negative impact on stock price performance. Historical data shows that the stock tends to perform poorly in the short term following earnings releases. The stock's 3-Day win rate is 50.17% for revenue, 48.81% for net income, and 37.29% for EPS, suggesting a downward trend. The 3-Day return is -0.48%, the 10-Day return is -1.40%, and the 30-Day return is -3.91%, highlighting that the negative impact persists beyond the immediate post-earnings period. With a maximum return of -0.12% during the backtested period, the bearish influence of earnings report metrics on etwo is evident.

CEO Commentary

Andrew Appel, Chief Executive Officer, emphasized E2open's progress in retention and ARR growth. He noted improvements in client satisfaction as key growth drivers and reiterated the company's focus on enhancing client experience and operational discipline. Appel acknowledged challenges but expressed confidence in the strategic focus and execution for sustainable growth.

Guidance

E2open Parent anticipates FY 2026 subscription revenue between $525 million and $535 million, reflecting a year-over-year growth rate of -1.0% to 1.0%. The first quarter of FY 2026 is expected to see subscription revenue from $129 million to $132 million, indicating a potential decline of 1.8% to an increase of 0.5% year-over-year. Total FY 2026 revenue is projected to be between $600 million and $618 million.

Additional News

In recent developments, E2open Parent has been selected by Nutrabolt as a strategic partner for digital supply chain transformation, demonstrating its strong position in the industry. Additionally, E2open was named a leader in Gartner’s Magic Quadrant for Transportation Management Systems for the third consecutive year, reinforcing its market leadership. Furthermore, the company has expanded its multi-enterprise network to 500,000 connected enterprises, enhancing its impact on global supply chains. These developments illustrate E2open's continued progress and influence in the supply chain software sector.

Ask Aime: Earnings surprise for E2open Parent Holdings, Inc., but substantial net loss persists.