Overview
- Braze reported fiscal second‑quarter results on Sept. 8 with $227.2 million in revenue, up about 26% year over year, and adjusted EPS of $0.19 that beat analyst estimates.
- Management raised full‑year 2027 revenue guidance to $910 million–$913 million and increased non‑GAAP operating income guidance after the quarter.
- The company gave third‑quarter adjusted EPS guidance of $0.13–$0.14, below consensus, which led to an approximately 11% premarket share drop the next trading day.
- Investors pointed to softer growth in remaining performance obligations, a forward‑looking contracted‑revenue metric, as a key reason the market punished the stock despite stronger cash flow and customer gains.
- Braze is accelerating go‑to‑market investments and expanding AI adoption and a three‑year AWS co‑selling collaboration, and analysts say the market will watch near‑term margin impact and the pace at which AI features convert into durable revenue.