C3 AI Reports Strong Fiscal Q4 and Full Year 2025 Results
C3 AI, a leader in Enterprise AI application software, has announced its fiscal fourth quarter and full fiscal year 2025 financial results, highlighting substantial revenue growth and strategic partnership expansions.
Key Financial Highlights for Q4 2025
- Total Revenue: $108.7 million, up 26% year-over-year.
- Subscription Revenue: $87.3 million, a 9% increase, accounting for 80% of total revenue.
- Subscription & Prioritized Engineering Services Revenue: $104.4 million, up 22%, making up 96% of total revenue.
- Gross Profit: GAAP gross profit was $67.5 million (62% margin); non-GAAP gross profit was $75.2 million (69% margin).
- Net Loss per Share: GAAP loss of $(0.60); non-GAAP loss of $(0.16).
- Cash Balance: $742.7 million in cash and equivalents.
Full Year Fiscal 2025 Financial Overview
- Total Revenue: $389.1 million, a 25% increase from the previous year.
- Subscription Revenue: $327.6 million, an 18% rise, representing 84% of total revenue.
- Subscription & Prioritized Engineering Services Revenue: $370.7 million, up 22%, comprising 95% of total revenue.
- Gross Profit: GAAP gross profit reached $235.9 million (61% margin); non-GAAP gross profit was $270.6 million (70% margin).
- Net Loss per Share: GAAP loss of $(2.24); non-GAAP loss of $(0.41).
Business Expansion and Strategic Partnerships
C3 AI diversified its industry footprint in FY25, generating revenue across 19 sectors. Notably, non–Oil & Gas revenue surged by 48% year-over-year.
Baker Hughes Partnership Extended
The strategic alliance with Baker Hughes has been renewed and expanded through 2028, emphasizing joint AI solution development and scaled deployments aimed at improving operational efficiency in the energy sector.
Federal Sector Growth
The U.S. Air Force increased C3 AI’s contract ceiling to $450 million to broaden the deployment of the PANDA predictive maintenance platform. PANDA, powered by the C3 Agentic AI Platform, serves as the Air Force’s designated system for predictive maintenance, enhancing fleet readiness across multiple aircraft.
Additional federal engagements include extended use of the Petroleum Logistics Utilization Tool and Optimization (PLUTO) with the Defense Logistics Agency, improving fuel operations visibility and inventory management.
Partner Network and Alliances
- Partner Network: Closed 193 agreements through partners, a 68% increase year-over-year, accounting for 73% of total agreements.
- Microsoft: Jointly closed 28 agreements in Q4, focusing on manufacturing and chemicals, and hosted over 100 joint customer meetings at C3 Transform 2025.
- McKinsey & Company: Closed their first joint customer agreement and conducted multiple training sessions for QuantumBlack engineers.
- PwC: Formed an alliance to accelerate AI adoption in financial services, manufacturing, and utilities.
C3 Generative AI Growth
Revenue from C3 Generative AI doubled in FY25, closing 66 initial production deployment agreements across 16 industries. Recent agreements include organizations such as Signature Aviation, Dow, Chanel, and the U.S. Intelligence Community.
The University of Southern California Shoah Foundation is using C3 Generative AI to transcribe and index over 30,000 survivor testimonies, expected to save over ten years of work and $33 million in costs.
Innovations in C3 Generative AI
- Omni-Modal Parsing: Extracts content from diverse unstructured data formats into a structured knowledge graph for easier analysis.
- Dynamic Planning Agent: Multi-agent collaboration enables automation of complex decision workflows.
- Easy Agent and Tool Authoring: Simplifies rapid AI agent creation without system upgrades.
- On-the-Fly Visualizations: Generates context-specific visual insights from natural language queries.
Looking Ahead: Fiscal 2026 Guidance
C3 AI aims to deepen market penetration, expand into new verticals, and leverage its alliances to capture more market share in generative and agentic AI.
| (in millions) | Q1 Fiscal 2026 Guidance | Full Year Fiscal 2026 Guidance |
|---|---|---|
| Total Revenue | $100.0 - $109.0 | $447.5 - $484.5 |
| Non-GAAP Loss from Operations | $(23.5) - $(33.5) | $(65.0) - $(100.0) |
Note: Non-GAAP guidance reconciliation to GAAP is unavailable due to future expense uncertainties.
About C3 AI
C3 AI (NYSE: AI) offers an integrated suite of enterprise AI software, including the C3 Agentic AI Platform for building AI applications, a portfolio of industry-specific SaaS AI applications, and C3 Generative AI, designed for domain-specific generative AI solutions.
For finance professionals interested in the evolving AI landscape and its impact on enterprise software, exploring courses on AI applications and generative AI can be valuable. More information is available at Complete AI Training.
Your membership also unlocks:
