Verint Systems' Q1 Earnings Beat Expectations, Driven by Strong AI Business Growth

Verint Stock Jumps After Q1 Beat, Confident FY26 Guidance - Verint Systems (NASDAQ:VRNT)

Verint Systems Inc. VRNT shares are trading higher on Wednesday after the company posted better-than-expected first-quarter results and reaffirmed full-year guidance above analyst expectations. What To Know: The company reported earnings of 29 cents per share, beating the 22 cents consensus estimate by nearly 32%. Revenue came in at $208.1 million, ahead of the $194.6 million estimate. While both earnings and revenue declined year-over-year, down 51% and 6% respectively, investors are reacting positively to the results being above guidance and to the company's reaffirmed outlook. Verint maintained its full-year adjusted EPS guidance at $2.93, slightly above the consensus of $2.92. It also reaffirmed its revenue outlook between $931 million and $989 million, consistent with its prior range and bracketing analyst expectations of $959 million. A key focus in the report was Verint's AI-powered business. AI annual recurring revenue (ARR) grew 24% year-over-year to $354 million and now represents nearly half of the company's total ARR, which stands at $710 million. The company expects AI ARR to grow more than 20% for the full year and is aiming for total ARR growth of 8%, supported by ongoing demand for its CX automation tools. Management also highlighted strong free cash flow generation, with a 12% increase projected for the year. Verint bought back approximately 2.5 million shares in the first quarter and said buybacks will continue to be a primary use of capital. Investors are responding to the stronger-than-expected quarter, accelerating AI momentum and management's confidence in hitting full-year targets. VRNT Price Action: Verint Systems shares closed up 2.95% at $18.34 at publication on Wednesday; shares were up 16.33% at $21.33 after-hours, according to Benzinga Pro. Read Next: Stocks Stall On Weak Economic Data, Treasuries Eyes Best Rally In 7 Months: What's Driving Markets Wednesday? Photo: Piotr Swat via Shutterstock. VRNTVerint Systems Inc$21.3019.6%Stock Score Locked: Want to See it? Benzinga Rankings give you vital metrics on any stock - anytime. Reveal Full ScoreEdge RankingsMomentum15.07Growth45.89QualityNot AvailableValue39.64Price TrendShortMediumLongOverviewMarket News and Data brought to you by Benzinga APIs

Verint Systems stock surges 9% on revenue beat, AI momentum By Investing.com

NEW YORK - Verint Systems Inc. (NASDAQ:VRNT) shares jumped 9% in after-hours trading Wednesday after the customer experience automation company reported better-than-expected first quarter revenue and highlighted strong momentum in its artificial intelligence business. The company posted Q1 revenue of $208.1 million, surpassing analyst estimates of $195.03 million. However, adjusted earnings per share came in at $0.29, missing the $0.34 consensus forecast. Verint's AI-related annual recurring revenue (ARR) grew 24.1% YoY to $354 million in Q1, now representing nearly 50% of total ARR. Overall subscription ARR increased 6.3% to $710 million. "Behind our strong AI momentum are two key differentiators. First, our ability to transform the latest AI technology into strong, tangible AI business outcomes, delivering customer value better than any other CX vendor. And second, our ability to deploy AI in a hybrid cloud model," said CEO Dan Bodner. For fiscal 2026, Verint expects revenue of $960 million, plus or minus 3%, and adjusted EPS of $2.93 at the midpoint of guidance. The company maintained its outlook for 8% ARR growth and 12% free cash flow growth for the full year, citing a strong Q1 performance and growing pipeline for AI-powered solutions. Verint repurchased approximately 2.5 million shares during the quarter as part of its ongoing buyback program.