Yext 2026 Q1 Earnings Strong Performance as Net Income Swings 120.2%
Daily EarningsTuesday, Jun 10, 2025 1:02 am ET

Yext(YEXT) reported its fiscal 2026 Q1 earnings on Jun 09th, 2025. The company exceeded market expectations with its revenue and profitability, surpassing previous guidance. reported a record Adjusted EBITDA, showcasing solid execution and growing interest in its expanding platform. The integration of Hearsay Systems boosted revenue, while positive net income per share and a strong Adjusted EBITDA margin further highlighted Yext’s ability to leverage strategic acquisitions effectively. Additionally, Yext raised its full-year Adjusted EBITDA guidance, reflecting confidence in its operational strategies.
Revenue
The total revenue of Yext increased by 14.1% to $109.48 million in 2026 Q1, up from $95.99 million in 2025 Q1.
Earnings/Net Income
Yext returned to profitability with EPS of $0.01 in 2026 Q1, reversing from a loss of $0.03 per share in 2025 Q1 (133.3% positive change). Meanwhile, the company achieved a remarkable turnaround with net income of $770,000 in 2026 Q1, representing a 120.2% positive swing from the net loss of $-3.82 million in 2025 Q1. Remarkably, in 2026 Q1, the company set a new record high for fiscal Q1 net income, the highest in 10 years. The EPS improvement signifies a positive financial trajectory for Yext.
Price Action
The stock price of Yext has edged down 2.34% during the latest trading day, has surged 30.79% during the most recent full trading week, and has surged 35.03% month-to-date.
Post-Earnings Price Action Review
The strategy of buying YEXT when revenue misses and holding for 30 days resulted in poor performance, yielding a return of -12.11%, which significantly underperformed the benchmark return of 93.67%. With a Sharpe ratio of -0.04 and a maximum drawdown of -79.15%, the strategy indicated high risk, underscoring the need for robust risk management in such a volatile market scenario. This performance highlights the challenges of relying solely on revenue miss-based strategies without considering broader market conditions and risk factors. Investors must employ comprehensive risk assessment tools and strategies tailored to volatile stock environments to mitigate potential losses. Despite recent surges in stock price, this historical strategy performance suggests caution for those seeking to adopt similar approaches in the future.
CEO Commentary
Mike Walrath, CEO of Yext, expressed optimism regarding the company's performance, highlighting a 14.06% year-over-year revenue growth to $109.5 million in Q1 of fiscal 2026, driven by strategic investments in expanding the Yext platform. He acknowledged the challenges posed by a competitive digital landscape but emphasized that the company's focus on enhancing customer engagement through AI integration positions Yext well for future growth. Walrath noted the importance of adapting to evolving market conditions and reiterated the commitment to empowering organizations during this digital transformation phase, underscoring a cautiously optimistic outlook for the company's trajectory.
Guidance
Yext expects to achieve fiscal 2026 revenue in the range of $420.3 million to $420.8 million, with an EPS target of approximately $0.01 for Q1. The company aims to maintain strategic investments while navigating market complexities, indicating a focus on enhancing operational efficiency and profitability in the upcoming quarters.
Additional News
Yext has announced the acquisition of Places Scout, enhancing its competitive intelligence and benchmarking capabilities in digital presence management. This strategic move strengthens Yext's offerings by providing real-time, location-based insights that help brands assess performance and optimize visibility across search channels. The integration of Places Scout into Yext's platform follows the recent acquisition of Hearsay Systems, reinforcing Yext's position as a leader in comprehensive digital presence management. Additionally, Yext has secured a $200 million senior secured term loan facility from BlackRock to support its growth initiatives and strategic acquisitions. These actions demonstrate Yext's commitment to expanding its market leadership and enhancing its technological capabilities through strategic acquisitions and financial maneuvering.
Revenue
The total revenue of Yext increased by 14.1% to $109.48 million in 2026 Q1, up from $95.99 million in 2025 Q1.
Earnings/Net Income
Yext returned to profitability with EPS of $0.01 in 2026 Q1, reversing from a loss of $0.03 per share in 2025 Q1 (133.3% positive change). Meanwhile, the company achieved a remarkable turnaround with net income of $770,000 in 2026 Q1, representing a 120.2% positive swing from the net loss of $-3.82 million in 2025 Q1. Remarkably, in 2026 Q1, the company set a new record high for fiscal Q1 net income, the highest in 10 years. The EPS improvement signifies a positive financial trajectory for Yext.
Price Action
The stock price of Yext has edged down 2.34% during the latest trading day, has surged 30.79% during the most recent full trading week, and has surged 35.03% month-to-date.
Post-Earnings Price Action Review
The strategy of buying YEXT when revenue misses and holding for 30 days resulted in poor performance, yielding a return of -12.11%, which significantly underperformed the benchmark return of 93.67%. With a Sharpe ratio of -0.04 and a maximum drawdown of -79.15%, the strategy indicated high risk, underscoring the need for robust risk management in such a volatile market scenario. This performance highlights the challenges of relying solely on revenue miss-based strategies without considering broader market conditions and risk factors. Investors must employ comprehensive risk assessment tools and strategies tailored to volatile stock environments to mitigate potential losses. Despite recent surges in stock price, this historical strategy performance suggests caution for those seeking to adopt similar approaches in the future.
CEO Commentary
Mike Walrath, CEO of Yext, expressed optimism regarding the company's performance, highlighting a 14.06% year-over-year revenue growth to $109.5 million in Q1 of fiscal 2026, driven by strategic investments in expanding the Yext platform. He acknowledged the challenges posed by a competitive digital landscape but emphasized that the company's focus on enhancing customer engagement through AI integration positions Yext well for future growth. Walrath noted the importance of adapting to evolving market conditions and reiterated the commitment to empowering organizations during this digital transformation phase, underscoring a cautiously optimistic outlook for the company's trajectory.
Guidance
Yext expects to achieve fiscal 2026 revenue in the range of $420.3 million to $420.8 million, with an EPS target of approximately $0.01 for Q1. The company aims to maintain strategic investments while navigating market complexities, indicating a focus on enhancing operational efficiency and profitability in the upcoming quarters.
Additional News
Yext has announced the acquisition of Places Scout, enhancing its competitive intelligence and benchmarking capabilities in digital presence management. This strategic move strengthens Yext's offerings by providing real-time, location-based insights that help brands assess performance and optimize visibility across search channels. The integration of Places Scout into Yext's platform follows the recent acquisition of Hearsay Systems, reinforcing Yext's position as a leader in comprehensive digital presence management. Additionally, Yext has secured a $200 million senior secured term loan facility from BlackRock to support its growth initiatives and strategic acquisitions. These actions demonstrate Yext's commitment to expanding its market leadership and enhancing its technological capabilities through strategic acquisitions and financial maneuvering.

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