C3 AI stock surges after earnings and revenue exceed expectations

Shares in C3.ai Inc. shot up more than 12% in late trading today after the artificial intelligence software maker impressed investors with earnings and revenue beats in its fiscal year 2025 fourth quarter and gave a forecast ahead of expectations.

For the quarter ended April 30, C3 AI reported an adjusted loss of 16 cents, up from a loss of 11 cents per share in the same quarter in 2024, on revenue of $108.7 million, up 26% year-over-year. Both figures were ahead of a loss of 20 cents per share and revenue of $108.53 million expected by analysts.

C3 AI saw subscription revenue in the quarter of $87.3 million, up 9% year-over-year, while subscription and prioritized engineering services revenue combined was $104.4 million, 22% year-over-year.

Business highlights in the quarter included the renewal and expansion of C3 AI’s joint venture with Baker Hughes Co. through June 2028. The strategic alliance focuses on developing and marketing enterprise AI solutions for the oil and gas and chemical industries, which have generated more than a half-billion dollars in revenue since the partnership’s inception in 2019. The renewed agreement is aimed at increasing market activities and deepening collaboration across the energy and industrial sectors.

C3 AI also strengthened its strategic partnership with Microsoft Corp., jointly closing 28 agreements during the quarter. The two companies conducted more than 100 joint customer meetings at the C3 Transform 2025 event and co-hosted 16 events, including industry conferences and executive roundtables. Additionally, C3 AI and McKinsey & Co. closed their first customer agreement during the quarter.

For its full fiscal year 2025, C3 AI reported an adjusted earnings per share loss of 41 cents, down from a 47 cents per share loss in the previous fiscal year, on revenue of $389.1 million, up 25% year-over-year.

“This was a momentum-building year for C3 AI, achieving 25% revenue growth year-over-year,” Chairman and Chief Executive Thomas M. Siebel said in the company’s earnings release. “We delivered breakthrough innovations in agentic AI and dramatically expanded our strategic alliances, including with Microsoft, AWS, Google Cloud [and] McKinsey QuantumBlack.”

For its fiscal 2026 first quarter, C3 AI expects revenue of $100 million to $109 million and for the full year, revenue of $447.5 million to $484.5 million.

Image: C3 AI