Appian Announces Fourth Quarter and Full Year 2025 Financial Results
Rhea-AI Summary
Appian (Nasdaq: APPN) reported fourth quarter and full year 2025 results with broad subscription growth and improved profitability. Full year cloud subscriptions revenue rose 19% to $437.4M and total revenue grew 18% to $726.9M. Adjusted EBITDA reached $76.8M for 2025.
Q4 cloud subscriptions revenue was $117.0M, GAAP net income was $1.2M for the year, and cash, cash equivalents and investments totaled $187.2M as of December 31, 2025.
Positive
- Full year cloud subscriptions revenue +19% to $437.4M
- Total revenue +18% to $726.9M for 2025
- Adjusted EBITDA rose to $76.8M in 2025 from $20.3M
- GAAP net income of $1.2M for full year 2025 (improvement vs loss)
Negative
- Q4 GAAP operating loss of $0.7M
- Net cash from operations down to $1.1M in Q4 2025
- Non-GAAP operating income fell to $17.4M in Q4 from $18.7M
Market Reaction
Following this news, APPN has gained 12.84%, reflecting a significant positive market reaction. Our momentum scanner has triggered 21 alerts so far, indicating elevated trading interest and price volatility. The stock is currently trading at $27.15. This price movement has added approximately $202M to the company's valuation.
Data tracked by StockTitan Argus (15 min delayed). Upgrade to Silver for real-time data.
Key Figures
Market Reality Check
Peers on Argus
APPN’s pre-news gain of 4.43% outpaces peers in Software - Infrastructure, where names like AI, BB, EVCM, EVTC, and PAYO show smaller single-day changes between 0.29 and 2.6, pointing to a company-specific setup.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Nov 06 | Q3 2025 earnings | Positive | +30.8% | Cloud and total revenue up 21% YoY with positive GAAP and non-GAAP profits. |
| Aug 07 | Q2 2025 earnings | Positive | +8.3% | 21% cloud growth and swing to non-GAAP operating income from prior-year loss. |
| May 08 | Q1 2025 earnings | Positive | +5.3% | Double-digit revenue growth with sharply reduced GAAP loss and strong cash flow. |
| Feb 19 | FY/Q4 2024 earnings | Positive | +16.2% | Strong cloud growth, positive Q4 GAAP operating income, and raised 2025 outlook. |
| Nov 07 | Q3 2024 earnings | Positive | +2.6% | 22% cloud growth and move from non-GAAP operating loss to income. |
Earnings releases have historically produced positive reactions, often double-digit moves, when Appian combines cloud growth with profitability improvements.
Over the past year, Appian’s earnings reports consistently highlighted double‑digit cloud subscriptions growth and steady margin improvements. Q1–Q3 2025 each showed rising revenue and a shift from GAAP losses to income, with non‑GAAP profitability and expanding adjusted EBITDA. Prior Q4 2024 results also delivered strong growth. Today’s Q4 and full‑year 2025 report, with higher revenue, positive GAAP and non‑GAAP earnings, and detailed 2026 guidance, continues that trajectory of scaling cloud revenue while improving earnings quality.
Historical Comparison
In the last five earnings releases, APPN’s average 1-day move was 12.64%, typically on strong cloud growth and improving margins. This Q4/FY25 report again pairs double-digit subscription gains with better profitability and formal 2026 guidance.
Earnings updates show a progression from GAAP operating losses in 2024 to sustained GAAP and non-GAAP profitability in 2025, while maintaining high-teens cloud subscriptions growth and rising adjusted EBITDA.
Market Pulse Summary
The stock is surging +12.8% following this news. A strong positive reaction aligns with Appian’s history of earnings-related moves, which averaged 12.64% over the last five reports. The Q4/FY25 release combined $726.9M in revenue, a shift to GAAP profitability, and higher 2026 guidance. However, shares traded below the 200-day MA of 31.79, and prior earnings spikes sometimes faded, so investors have typically weighed growth against valuation and execution risk.
Key Terms
annualized recurring revenue financial
arr financial
non-gaap operating income financial
non-gaap net income financial
adjusted ebitda financial
cloud subscriptions revenue financial
AI-generated analysis. Not financial advice.
Fourth quarter cloud subscriptions revenue increased
Full year cloud subscriptions revenue increased
MCLEAN, Va., Feb. 19, 2026 (GLOBE NEWSWIRE) -- Appian (Nasdaq: APPN) today announced financial results for the fourth quarter and full year ended December 31, 2025.
Fourth Quarter 2025 Financial Highlights:
- Revenue: Cloud subscriptions revenue was
$117.0 million , up18% compared to the fourth quarter of 2024. Total subscriptions revenue, which includes sales of our cloud subscriptions, license subscriptions, and maintenance and support, increased19% year-over-year to$162.3 million . Professional services revenue was$40.6 million , an increase of36% compared to the fourth quarter of 2024. Total revenue was$202.9 million , up22% compared to the fourth quarter of 2024. Cloud net annualized recurring revenue (“ARR”) expansion was114% as of December 31, 2025. - Operating (loss) income and non-GAAP operating income: GAAP operating loss was
$(0.7) million , compared to GAAP operating income of$5.0 million for the fourth quarter of 2024. Non-GAAP operating income was$17.4 million , compared to non-GAAP operating income of$18.7 million for the fourth quarter of 2024. - Net loss and non-GAAP net income (loss): GAAP net loss was
$(5.1) million , compared to$(13.6) million for the fourth quarter of 2024. GAAP net loss per share was$(0.07) for the fourth quarter of 2025, compared to$(0.18) for the fourth quarter of 2024. Non-GAAP net income was$11.1 million , compared to non-GAAP net income of$13.2 million for the fourth quarter of 2024. Non-GAAP net income per share was$0.15 , compared to the$0.18 net income per share for the fourth quarter of 2024. - Adjusted EBITDA: Adjusted EBITDA was
$19.7 million , compared to adjusted EBITDA of$21.2 million for the fourth quarter of 2024. - Cash flows: Net cash provided by operating activities was
$1.1 million for the three months ended December 31, 2025 compared to$13.9 million of net cash provided by operating activities for the same period in 2024.
Full Year 2025 Financial Highlights:
- Revenue: Cloud subscriptions revenue was
$437.4 million for the full year 2025, up19% compared to the full year 2024. Total subscriptions revenue increased18% year-over-year to$576.5 million for the full year 2025. Professional services revenue was$150.5 million for the full year 2025, compared to$126.5 million for the full year 2024. Total revenue was$726.9 million for the full year 2025, up18% compared to the full year 2024. - Operating income (loss) and non-GAAP operating income: GAAP operating income was
$0.6 million for the full year 2025, compared to GAAP operating losses of$(60.9) million for the full year 2024. Non-GAAP operating income was$67.1 million for the full year 2025, compared to non-GAAP operating income$10.2 million for the full year 2024. - Net income (loss) and non-GAAP net income (loss): GAAP net income was
$1.2 million for the full year 2025, compared to GAAP net loss of$(92.3) million for the full year 2024. GAAP basic and diluted net income per share was$0.02 for the full year 2025, compared to$(1.26) net loss per share for the full year 2024. Non-GAAP net income was$45.6 million for the full year 2025, compared to$(9.4) million of non-GAAP net loss for the full year 2024. Non-GAAP net income per diluted share was$0.61 for the full year 2025, compared to the$(0.13) net loss per share for the full year 2024. - Adjusted EBITDA: Adjusted EBITDA was
$76.8 million for the full year 2025, compared to adjusted EBITDA of$20.3 million for the full year 2024. - Balance sheet and cash flows: As of December 31, 2025, Appian had total cash, cash equivalents, and investments of
$187.2 million . Net cash provided by operating activities was$62.9 million for the full year 2025, compared to$6.9 million of net cash provided by operating activities for the full year 2024.
A reconciliation of GAAP to non-GAAP financial measures has been provided in the tables following the financial statements in this press release. An explanation of these measures is also included below under the heading “Non-GAAP Financial Measures.”
Recent Business Highlights:
- US Army Awards Appian Enterprise Agreement to Support AI-Powered Transformation Efforts
- Appian AI Transforms Clinical Workflows for Global Public Health Agencies
- Appian Launches New AI Capabilities to Automate Complex Work & Accelerate App Modernization
- Appian Names 2025 Public Sector Partner Award Winners
- New Zealand Police Use Appian for Case Processing
Financial Outlook:
As of February 19, 2026, guidance for 2026 is as follows:
- First Quarter 2026 Guidance:
-
- Cloud subscriptions revenue is expected to be between
$119.0 million and$121.0 million , representing year-over-year growth of19% to21% . - Total revenue is expected to be between
$189.0 million and$193.0 million , representing a year-over-year increase of14% to16% . - Adjusted EBITDA is expected to be between
$19.0 million and$22.0 million . - Non-GAAP net income per share is expected to be between
$0.16 and$0.20 , assuming weighted average common shares outstanding of 75.1 million.
- Cloud subscriptions revenue is expected to be between
- Full Year 2026 Guidance:
-
- Cloud subscriptions revenue is expected to be between
$502.0 million and$510.0 million , representing year-over-year growth of15% to17% . - Total revenue is expected to be between
$801.0 million and$817.0 million , representing a year-over-year increase of10% to12% . - Adjusted EBITDA is expected to be between
$89.0 million and$99.0 million . - Non-GAAP net income per share is expected to be between
$0.82 and$0.96 , assuming weighted average common shares outstanding of 74.8 million.
- Cloud subscriptions revenue is expected to be between
Conference Call Details:
Appian will host a conference call today, February 19, 2026, at 8:30 a.m. ET to discuss Appian's financial results for the fourth quarter and fiscal year ended December 31, 2025 and business outlook.
To access the call, navigate to the following link(1). Once registered, participants can dial in using their phone with a dial in and PIN, or they can choose the Call Me option for instant dial to their phone. The live webcast of the conference call can also be accessed on the Investor Relations page of our website at https://investors.appian.com.
About Appian
Appian provides process automation technology. We automate complex processes in large enterprises and governments. Our platform is known for its unique reliability and scale. We’ve been automating processes for 25 years and understand enterprise operations like no one else. For more information, visit appian.com. [Nasdaq: APPN]
Non-GAAP Financial Measures
To supplement its consolidated financial statements, which are prepared and presented in accordance with GAAP, Appian provides investors with certain non-GAAP financial performance measures. Appian uses these non-GAAP financial performance measures for financial and operational decision-making and as a means to evaluate period-to-period comparisons. Appian’s management believes these non-GAAP financial measures provide meaningful supplemental information regarding Appian’s performance by excluding certain expenses that may not be indicative of our recurring core business operating results. Appian believes both management and investors benefit from referring to these non-GAAP financial measures in assessing Appian’s performance and when planning, forecasting, and analyzing future periods. These non-GAAP financial measures also facilitate management’s internal comparisons to historical performance as well as comparisons to competitors’ operating results. Appian believes these non-GAAP financial measures are useful to investors both because (1) they allow for greater transparency with respect to measures used by management in its financial and operational decision-making and (2) they are used by institutional investors and the analyst community to help them analyze the health of Appian’s business.
The non-GAAP financial performance measures include the following: non-GAAP subscriptions cost of revenue, non-GAAP professional services cost of revenue, non-GAAP total cost of revenue, non-GAAP total operating expense, non-GAAP operating income (loss), non-GAAP income tax expense, non-GAAP net income (loss), and non-GAAP net income (loss) per share, basic and diluted. These non-GAAP financial performance measures exclude the effect of stock-based compensation expense, unrealized foreign exchange rate gains and losses, certain non-ordinary litigation-related expenses consisting of legal and other professional fees associated with the Pegasystems cases (net of insurance reimbursements), or Litigation Expense, amortization of the judgment preservation insurance policy, or JPI Amortization, severance costs related to involuntary reductions in our workforce, or Severance Costs, lease impairments and lease-related charges associated with actions taken to reduce the footprint of our leased office spaces, or Lease Impairment and Lease-Related Charges, and a short-swing profit disgorgement paid to us by an investor, or Short-Swing Profit Payment. While some of these items may be recurring in nature and should not be disregarded in the evaluation of our earnings performance, it is useful to exclude such items when analyzing current results and trends compared to other periods as these items can vary significantly from period to period depending on specific underlying transactions or events that may occur. Therefore, while we may incur or recognize these types of expenses in the future, we believe removing these items for purposes of calculating our non-GAAP financial measures provides investors with a more focused presentation of our ongoing operating performance.
Appian also discusses adjusted EBITDA, a non-GAAP financial performance measure it believes offers a useful view of the overall operation of its businesses. The Company defines adjusted EBITDA as net (loss) income before (1) other (income) expense, net, (2) interest expense, (3) income tax expense, (4) depreciation expense and amortization of intangible assets, (5) stock-based compensation expense, (6) Litigation Expense, (7) JPI Amortization, (8) Severance Costs, and (9) Lease Impairment and Lease-Related Charges. The most directly comparable GAAP financial measure to adjusted EBITDA is net income (loss). Users should consider the limitations of using adjusted EBITDA, including the fact this measure does not provide a complete depiction of our operating performance. Adjusted EBITDA is not intended to purport to be an alternative to net income (loss) as a measure of operating performance or to cash flows from operating activities as a measure of liquidity.
The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, as a substitute for, or superior to the financial information prepared and presented in accordance with GAAP, and Appian’s non-GAAP measures may be different from non-GAAP measures used by other companies. For more information on these non-GAAP financial measures, see the reconciliation of these non-GAAP financial measures to their nearest comparable GAAP measures at the end of this press release.
Appian provides guidance ranges for non-GAAP net income (loss) per share and adjusted EBITDA; however, we are not able to reconcile these amounts to their comparable GAAP financial measures without unreasonable efforts because certain information necessary to calculate such measures on a GAAP basis is unavailable, subject to high variability, dependent on future events outside of our control, and cannot be predicted. In addition, Appian believes such reconciliations could imply a degree of precision that might be confusing or misleading to investors. The actual effect of the reconciling items that Appian may exclude from these non-GAAP expense numbers, when determined, may be significant to the calculation of the comparable GAAP measures.
Forward-Looking Statements
This press release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release other than statements of historical facts, including statements regarding Appian’s future financial and business performance for the first quarter and full year 2026, future investment by Appian in its go-to-market initiatives, increased demand for the Appian Platform, market opportunity and plans and objectives for future operations, including Appian’s ability to drive continued subscriptions revenue and total revenue growth, are forward-looking statements. The words “anticipate,” “believe,” “continue,” “estimate,” “expect,” “intend,” “may,” “will,” “plan,” and similar expressions are intended to identify forward-looking statements. Appian has based these forward-looking statements on its current expectations and projections about future events and financial trends that Appian believes may affect its financial condition, results of operations, business strategy, short-term and long-term business operations and objectives, and financial needs. These forward-looking statements are subject to a number of risks and uncertainties, including the risks and uncertainties associated with Appian’s market opportunity and the expansion of its core software markets in general, the opportunity and disruptive impact of AI, the effects of increased competition, as well as innovations by new and existing competitors in its market, Appian’s ability to effectively manage or sustain its growth and to maintain profitability Appian’s ability to maintain, or strengthen awareness of, its brand, risks and uncertainties associated with the composition and concentration of Appian’s customer base and their demand for its platform and satisfaction with the services provided by Appian, Appian’s ability to operate in compliance with applicable laws and regulations, Appian’s strategic relationships with third parties, and additional risks and uncertainties set forth in the “Risk Factors” section of Appian’s most recent annual report on Form 10-K, quarterly reports on Form 10-Q, and other filings with the Securities and Exchange Commission. Moreover, Appian operates in a very competitive and rapidly changing environment. New risks emerge from time to time. It is not possible for Appian’s management to predict all risks, nor can Appian assess the impact of all factors on its business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements Appian may make. In light of these risks, uncertainties, and assumptions, Appian cannot guarantee future results, levels of activity, performance, achievements, or events and circumstances reflected in the forward-looking statements will occur. Appian is under no duty to update any of these forward-looking statements after the date of this press release to conform these statements to actual results or revised expectations, except as required by law.
Investor Contact
investors@appian.com
Media Contact
Valerie Miller
Senior Manager, Media Relations North America
pr@appian.com
| APPIAN CORPORATION CONSOLIDATED BALANCE SHEETS (in thousands, except par value and share data) | |||||||
| As of December 31, | |||||||
| 2025 | 2024 | ||||||
| Assets | |||||||
| Current assets | |||||||
| Cash and cash equivalents | $ | 135,810 | $ | 118,552 | |||
| Short-term investments and marketable securities | 51,415 | 41,308 | |||||
| Accounts receivable, net of allowance of | 255,063 | 195,069 | |||||
| Deferred commissions, current | 35,166 | 36,630 | |||||
| Prepaid expenses and other current assets | 41,970 | 43,984 | |||||
| Total current assets | 519,424 | 435,543 | |||||
| Property and equipment, net of accumulated depreciation of | 32,087 | 37,109 | |||||
| Goodwill | 28,811 | 25,555 | |||||
| Intangible assets, net of accumulated amortization of | 1,246 | 2,240 | |||||
| Right-of-use assets for operating leases | 28,075 | 31,081 | |||||
| Deferred commissions, net of current portion | 65,199 | 60,540 | |||||
| Deferred tax assets | 4,850 | 4,129 | |||||
| Other assets | 11,703 | 24,842 | |||||
| Total assets | $ | 691,395 | $ | 621,039 | |||
| Liabilities and Stockholders’ Equity | |||||||
| Current liabilities | |||||||
| Accounts payable | $ | 6,655 | $ | 4,322 | |||
| Accrued expenses | 18,483 | 11,388 | |||||
| Accrued compensation and related benefits | 61,781 | 34,223 | |||||
| Deferred revenue | 341,281 | 281,760 | |||||
| Debt | 9,598 | 9,598 | |||||
| Operating lease liabilities | 13,181 | 12,378 | |||||
| Other current liabilities | 1,128 | 1,087 | |||||
| Total current liabilities | 452,107 | 354,756 | |||||
| Long-term debt | 231,228 | 240,826 | |||||
| Non-current operating lease liabilities | 45,693 | 52,189 | |||||
| Deferred revenue, non-current | 8,962 | 5,477 | |||||
| Other non-current liabilities | 398 | 431 | |||||
| Total liabilities | 738,388 | 653,679 | |||||
| Stockholders’ deficit | |||||||
| Class A common stock—par value | 4 | 4 | |||||
| Class B common stock—par value | 3 | 3 | |||||
| Treasury stock at cost, 542,288 shares as of December 31, 2025 | (16,935 | ) | — | ||||
| Additional paid-in capital | 617,318 | 591,281 | |||||
| Accumulated other comprehensive loss | (36,462 | ) | (11,774 | ) | |||
| Accumulated deficit | (610,921 | ) | (612,154 | ) | |||
| Total stockholders’ deficit | (46,993 | ) | (32,640 | ) | |||
| Total liabilities and stockholders’ deficit | $ | 691,395 | $ | 621,039 | |||
| APPIAN CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except per share data) | |||||||||||||||
| Note: The Company has reclassified certain information technology, cybersecurity and facility operating expenses from general and administrative expenses to cost of revenue, research and development, and sales and marketing expense. Prior year amounts have been reclassified to conform to the current period presentation. | |||||||||||||||
| Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| (unaudited) | |||||||||||||||
| Revenue | |||||||||||||||
| Subscriptions | $ | 162,265 | $ | 136,779 | $ | 576,462 | $ | 490,568 | |||||||
| Professional services | 40,602 | 29,906 | 150,475 | 126,454 | |||||||||||
| Total revenue | 202,867 | 166,685 | 726,937 | 617,022 | |||||||||||
| Cost of revenue | |||||||||||||||
| Subscriptions | 23,093 | 16,774 | 83,988 | 65,680 | |||||||||||
| Professional services | 32,808 | 23,209 | 115,611 | 102,560 | |||||||||||
| Total cost of revenue | 55,901 | 39,983 | 199,599 | 168,240 | |||||||||||
| Gross profit | 146,966 | 126,702 | 527,338 | 448,782 | |||||||||||
| Operating expenses | |||||||||||||||
| Sales and marketing | 69,145 | 57,073 | 241,186 | 238,454 | |||||||||||
| Research and development | 45,142 | 39,193 | 172,188 | 163,400 | |||||||||||
| General and administrative | 33,366 | 25,403 | 113,355 | 107,781 | |||||||||||
| Total operating expenses | 147,653 | 121,669 | 526,729 | 509,635 | |||||||||||
| Operating (loss) income | (687 | ) | 5,033 | 609 | (60,853 | ) | |||||||||
| Other non-operating expense (income) | |||||||||||||||
| Other (income) expense, net | (2,007 | ) | 12,655 | (26,685 | ) | 6,773 | |||||||||
| Interest expense | 4,902 | 5,661 | 20,850 | 23,582 | |||||||||||
| Total other non-operating expense (income) | 2,895 | 18,316 | (5,835 | ) | 30,355 | ||||||||||
| (Loss) income before income taxes | (3,582 | ) | (13,283 | ) | 6,444 | (91,208 | ) | ||||||||
| Income tax expense | 1,521 | 364 | 5,211 | 1,054 | |||||||||||
| Net (loss) income | $ | (5,103 | ) | $ | (13,647 | ) | $ | 1,233 | $ | (92,262 | ) | ||||
| (Loss) earnings per Class A and Class B share: | |||||||||||||||
| Basic | $ | (0.07 | ) | $ | (0.18 | ) | $ | 0.02 | $ | (1.26 | ) | ||||
| Diluted | $ | (0.07 | ) | $ | (0.18 | ) | $ | 0.02 | $ | (1.26 | ) | ||||
| Weighted average common shares outstanding: | |||||||||||||||
| Basic | 73,895 | 73,953 | 74,049 | 72,988 | |||||||||||
| Diluted | 73,895 | 73,953 | 74,649 | 72,988 | |||||||||||
| APPIAN CORPORATION STOCK-BASED COMPENSATION EXPENSE (in thousands) | |||||||||||
| Three Months Ended December 31, | Year Ended December 31, | ||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||
| (unaudited) | |||||||||||
| Cost of revenue | |||||||||||
| Subscriptions | $ | 475 | $ | 395 | $ | 1,810 | $ | 1,638 | |||
| Professional services | 1,483 | 1,362 | 5,787 | 5,925 | |||||||
| Operating expenses | |||||||||||
| Sales and marketing | 2,219 | 1,991 | 8,434 | 8,526 | |||||||
| Research and development | 3,045 | 2,937 | 12,407 | 12,077 | |||||||
| General and administrative | 3,326 | 2,349 | 13,102 | 10,879 | |||||||
| Total stock-based compensation expense | $ | 10,548 | $ | 9,034 | $ | 41,540 | $ | 39,045 | |||
| APPIAN CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands) | |||||||
| Year Ended December 31, | |||||||
| 2025 | 2024 | ||||||
| Cash flows from operating activities: | |||||||
| Net income (loss) | $ | 1,233 | $ | (92,262 | ) | ||
| Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||||||
| Stock-based compensation | 41,540 | 39,045 | |||||
| Depreciation expense and amortization of intangible assets | 9,706 | 10,030 | |||||
| Lease impairment charges | 779 | 5,462 | |||||
| Bad debt expense | 1,232 | 1,760 | |||||
| Amortization of debt issuance costs | 600 | 589 | |||||
| Benefit for deferred income taxes | (349 | ) | (899 | ) | |||
| Foreign currency transaction (gains) losses, net | (21,732 | ) | 16,745 | ||||
| Changes in assets and liabilities: | |||||||
| Accounts receivable | (51,673 | ) | (28,353 | ) | |||
| Prepaid expenses and other assets | 15,316 | 16,551 | |||||
| Deferred commissions | (3,195 | ) | (3,144 | ) | |||
| Accounts payable and accrued expenses | 9,269 | (871 | ) | ||||
| Accrued compensation and related benefits | 19,993 | (2,947 | ) | ||||
| Other current and non-current liabilities | (3,489 | ) | (1,478 | ) | |||
| Deferred revenue | 47,200 | 49,309 | |||||
| Operating lease assets and liabilities | (3,556 | ) | (2,659 | ) | |||
| Net cash provided by operating activities | 62,874 | 6,878 | |||||
| Cash flows from investing activities: | |||||||
| Proceeds from maturities of investments | 52,540 | 20,038 | |||||
| Purchases of investments | (62,048 | ) | (51,630 | ) | |||
| Purchases of property and equipment | (3,318 | ) | (3,798 | ) | |||
| Net cash used by investing activities | (12,826 | ) | (35,390 | ) | |||
| Cash flows from financing activities: | |||||||
| Proceeds from borrowings | — | 50,000 | |||||
| Payments for debt issuance costs | — | (463 | ) | ||||
| Debt repayments | (10,000 | ) | (6,250 | ) | |||
| Repurchase of common stock | (20,000 | ) | (50,019 | ) | |||
| Payments for employee taxes related to the net share settlement of equity awards | (7,396 | ) | (7,987 | ) | |||
| Proceeds from exercise of common stock options | 1,118 | 14,461 | |||||
| Net cash used by financing activities | (36,278 | ) | (258 | ) | |||
| Effect of foreign exchange rate changes on cash, and cash equivalents | 3,488 | (2,029 | ) | ||||
| Net increase (decrease) in cash and cash equivalents | 17,258 | (30,799 | ) | ||||
| Cash and cash equivalents at beginning of period | 118,552 | 149,351 | |||||
| Cash and cash equivalents at end of period | $ | 135,810 | $ | 118,552 | |||
| Supplemental cash flow information: | |||||||
| Cash paid for interest | $ | 19,644 | $ | 22,574 | |||
| Cash paid for income taxes | $ | 5,120 | $ | 3,334 | |||
| Supplemental non-cash investing and financing information: | |||||||
| Accrued capital expenditures | $ | 87 | $ | 155 | |||
| APPIAN CORPORATION RECONCILIATION OF GAAP MEASURES TO NON-GAAP MEASURES (unaudited, in thousands, except per share data) | ||||||||||||||||||||||||||
| GAAP Measure | Stock-Based Compensation | Litigation Expense | JPI Amortization | Lease Impairment and Lease-Related Charges | Unrealized Foreign Exchange Rate Gains and Losses | Non-GAAP Measure | ||||||||||||||||||||
| Three Months Ended December 31, 2025 | ||||||||||||||||||||||||||
| Subscriptions cost of revenue | $ | 23,093 | $ | (475 | ) | $ | — | $ | — | $ | — | $ | — | $ | 22,618 | |||||||||||
| Professional services cost of revenue | 32,808 | (1,483 | ) | — | — | — | — | 31,325 | ||||||||||||||||||
| Total cost of revenue | 55,901 | (1,958 | ) | — | — | — | — | 53,943 | ||||||||||||||||||
| Sales and marketing expense | 69,145 | (2,219 | ) | — | — | — | — | 66,926 | ||||||||||||||||||
| Research and development expense | 45,142 | (3,045 | ) | — | — | — | — | 42,097 | ||||||||||||||||||
| General and administrative expense | 33,366 | (3,326 | ) | (4,083 | ) | (3,153 | ) | (318 | ) | — | 22,486 | |||||||||||||||
| Total operating expense | 147,653 | (8,590 | ) | (4,083 | ) | (3,153 | ) | (318 | ) | — | 131,509 | |||||||||||||||
| Operating (loss) income | (687 | ) | 10,548 | 4,083 | 3,153 | 318 | — | 17,415 | ||||||||||||||||||
| Non-operating expense | 2,895 | — | — | — | — | 1,060 | 3,955 | |||||||||||||||||||
| Income tax impact of above items | 1,521 | 183 | — | — | — | 618 | 2,322 | |||||||||||||||||||
| Net (loss) income | (5,103 | ) | 10,365 | 4,083 | 3,153 | 318 | (1,678 | ) | 11,138 | |||||||||||||||||
| Net (loss) income per share, basic and diluted(a) | $ | (0.07 | ) | $ | 0.14 | $ | 0.05 | $ | 0.04 | $ | — | $ | (0.02 | ) | $ | 0.15 | ||||||||||
| Three Months Ended December 31, 2024 | ||||||||||||||||||||||||||
| Subscriptions cost of revenue | $ | 16,774 | $ | (395 | ) | $ | — | $ | — | $ | — | $ | — | $ | 16,379 | |||||||||||
| Professional services cost of revenue | 23,209 | (1,362 | ) | — | — | — | — | 21,847 | ||||||||||||||||||
| Total cost of revenue | 39,983 | (1,757 | ) | — | — | — | — | 38,226 | ||||||||||||||||||
| Sales and marketing expense | 57,073 | (1,991 | ) | — | — | — | — | 55,082 | ||||||||||||||||||
| Research and development expense | 39,193 | (2,937 | ) | — | — | — | — | 36,256 | ||||||||||||||||||
| General and administrative expense | 25,403 | (2,349 | ) | (1,160 | ) | (3,152 | ) | (318 | ) | — | 18,424 | |||||||||||||||
| Total operating expense | 121,669 | (7,277 | ) | (1,160 | ) | (3,152 | ) | (318 | ) | — | 109,762 | |||||||||||||||
| Operating income | 5,033 | 9,034 | 1,160 | 3,152 | 318 | — | 18,697 | |||||||||||||||||||
| Non-operating expense (income) | 18,316 | — | — | — | — | (13,840 | ) | 4,476 | ||||||||||||||||||
| Income tax impact of above items | 364 | 241 | — | — | — | 398 | 1,003 | |||||||||||||||||||
| Net (loss) income | (13,647 | ) | 8,793 | 1,160 | 3,152 | 318 | 13,442 | 13,218 | ||||||||||||||||||
| Net (loss) income per share, basic and diluted | $ | (0.18 | ) | $ | 0.12 | $ | 0.02 | $ | 0.04 | $ | — | $ | 0.18 | $ | 0.18 | |||||||||||
(a) Per share amounts do not foot due to rounding.
| GAAP Measure | Stock-Based Compensation | Litigation Expense | JPI Amortization | Lease Impairment and Lease-Related Charges | Unrealized Foreign Exchange Rate Gains and Losses | Non-GAAP Measure | ||||||||||||||||||||
| Year Ended December 31, 2025 | ||||||||||||||||||||||||||
| Subscriptions cost of revenue | $ | 83,988 | $ | (1,810 | ) | $ | — | $ | — | $ | — | $ | — | $ | 82,178 | |||||||||||
| Professional services cost of revenue | 115,611 | (5,787 | ) | — | — | — | — | 109,824 | ||||||||||||||||||
| Total cost of revenue | 199,599 | (7,597 | ) | — | — | — | — | 192,002 | ||||||||||||||||||
| Sales and marketing expense | 241,186 | (8,434 | ) | — | — | — | — | 232,752 | ||||||||||||||||||
| Research and development expense | 172,188 | (12,407 | ) | — | — | — | — | 159,781 | ||||||||||||||||||
| General and administrative expense | 113,355 | (13,102 | ) | (10,407 | ) | (12,508 | ) | (2,032 | ) | — | 75,306 | |||||||||||||||
| Total operating expense | 526,729 | (33,943 | ) | (10,407 | ) | (12,508 | ) | (2,032 | ) | — | 467,839 | |||||||||||||||
| Operating income | 609 | 41,540 | 10,407 | 12,508 | 2,032 | — | 67,096 | |||||||||||||||||||
| Non-operating (income) expense | (5,835 | ) | — | — | — | — | 21,939 | 16,104 | ||||||||||||||||||
| Income tax impact of above items | 5,211 | 1,308 | — | — | — | (1,114 | ) | 5,405 | ||||||||||||||||||
| Net income (loss) | 1,233 | 40,232 | 10,407 | 12,508 | 2,032 | (20,825 | ) | 45,587 | ||||||||||||||||||
| Net income (loss) per share, basic | $ | 0.02 | $ | 0.54 | $ | 0.14 | $ | 0.17 | $ | 0.03 | $ | (0.28 | ) | $ | 0.62 | |||||||||||
| Net income (loss) per share, diluted(a),(b) | $ | 0.02 | $ | 0.54 | $ | 0.14 | $ | 0.17 | $ | 0.03 | $ | (0.28 | ) | $ | 0.61 | |||||||||||
(a) Accounts for the impact of 0.6 million shares of dilutive securities.
(b) Per share amounts do not foot due to rounding.
| GAAP Measure | Stock-Based Compensation | Litigation Expense | JPI Amortization | Severance Costs | Lease Impairment and Lease-Related Charges | Short-Swing Profit Payment | Unrealized Foreign Exchange Rate Gains and Losses | Non-GAAP Measure | |||||||||||||||||||||||||||
| Year Ended December 31, 2024 | |||||||||||||||||||||||||||||||||||
| Subscriptions cost of revenue | $ | 65,680 | $ | (1,638 | ) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 64,042 | ||||||||||||||||
| Professional services cost of revenue | 102,560 | (5,925 | ) | — | — | (1,398 | ) | — | — | — | 95,237 | ||||||||||||||||||||||||
| Total cost of revenue | 168,240 | (7,563 | ) | — | — | (1,398 | ) | — | — | — | 159,279 | ||||||||||||||||||||||||
| Sales and marketing expense | 238,454 | (8,526 | ) | — | — | (3,937 | ) | — | — | — | 225,991 | ||||||||||||||||||||||||
| Research and development expense | 163,400 | (12,077 | ) | — | — | (5 | ) | — | — | — | 151,318 | ||||||||||||||||||||||||
| General and administrative expense | 107,781 | (10,879 | ) | (4,602 | ) | (15,795 | ) | (194 | ) | (6,104 | ) | — | — | 70,207 | |||||||||||||||||||||
| Total operating expense | 509,635 | (31,482 | ) | (4,602 | ) | (15,795 | ) | (4,136 | ) | (6,104 | ) | — | — | 447,516 | |||||||||||||||||||||
| Operating (loss) income | (60,853 | ) | 39,045 | 4,602 | 15,795 | 5,534 | 6,104 | — | — | 10,227 | |||||||||||||||||||||||||
| Non-operating expense (income) | 30,355 | — | — | — | — | — | 1,799 | (16,697 | ) | 15,457 | |||||||||||||||||||||||||
| Income tax impact of above items | 1,054 | 1,499 | — | — | 1,096 | — | — | 479 | 4,128 | ||||||||||||||||||||||||||
| Net (loss) income | (92,262 | ) | 37,546 | 4,602 | 15,795 | 4,438 | 6,104 | (1,799 | ) | 16,218 | (9,358 | ) | |||||||||||||||||||||||
| Net (loss) income per share, basic and diluted | $ | (1.26 | ) | $ | 0.51 | $ | 0.06 | $ | 0.22 | $ | 0.06 | $ | 0.08 | $ | (0.02 | ) | $ | 0.22 | $ | (0.13 | ) | ||||||||||||||
| Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Reconciliation of adjusted EBITDA: | |||||||||||||||
| GAAP net (loss) income | $ | (5,103 | ) | $ | (13,647 | ) | $ | 1,233 | $ | (92,262 | ) | ||||
| Other (income) expense, net | (2,007 | ) | 12,655 | (26,685 | ) | 6,773 | |||||||||
| Interest expense | 4,902 | 5,661 | 20,850 | 23,582 | |||||||||||
| Income tax expense | 1,521 | 364 | 5,211 | 1,054 | |||||||||||
| Depreciation expense and amortization of intangible assets | 2,276 | 2,527 | 9,706 | 10,030 | |||||||||||
| Stock-based compensation expense | 10,548 | 9,034 | 41,540 | 39,045 | |||||||||||
| Litigation Expense | 4,083 | 1,160 | 10,407 | 4,602 | |||||||||||
| JPI Amortization | 3,153 | 3,152 | 12,508 | 15,795 | |||||||||||
| Severance Costs | — | — | — | 5,534 | |||||||||||
| Lease Impairment and Lease-Related Charges | 318 | 318 | 2,032 | 6,104 | |||||||||||
| Adjusted EBITDA | $ | 19,691 | $ | 21,224 | $ | 76,802 | $ | 20,257 | |||||||
1 https://register-conf.media-server.com/register/BI615bc1f3042f4951a1f347fb0187d4be
FAQ
What were Appian’s Q4 2025 cloud subscriptions revenue and growth (APPN)?
How did Appian perform financially for full year 2025 (APPN)?
What guidance did Appian provide for full year 2026 cloud subscriptions (APPN)?
What did Appian report about cash and operating cash flow at year-end 2025 (APPN)?
Did Appian report GAAP profitability for 2025 and what were the per‑share results (APPN)?
How did Appian’s Q1 2026 guidance compare to Q1 2025 for cloud subscriptions (APPN)?
