C3.ai Q1 Earnings: Revenue Miss, EPS Miss, CEO Transition — ‘Completely Unacceptable’ – C3.ai (NYSE:AI)

C3.ai Inc AI reported first-quarter financial results after the market close on Wednesday. Here’s a rundown of the report.

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Q1 Highlights: C3.ai reported first-quarter revenue of $70.26 million, missing analyst estimates of $94.58 million, according to Benzinga Pro. The company reported a first-quarter adjusted loss of 37 cents per share, missing analyst estimates for a loss of 20 cents per share.

C3.ai ended the quarter with $711.9 million in cash, cash equivalents and marketable securities.

“The good news is we have completely restructured the sales and services organization, including new and highly experienced leadership across the board to ensure a return to accelerating growth and increased customer success at C3.ai, and even better, we have appointed an exceptionally talented new CEO to take the company to the next level and realize the full potential of the business. The bad news is that financial performance in Q1 was completely unacceptable,” said Thomas Siebel, chairman of C3.ai.

In connection with earnings, C3.ai announced that it appointed Stephen Ehikian as CEO, effective Sept. 1. Siebel will continue to serve as executive chairman of the company.

Outlook: C3.ai expects second-quarter revenue of $72 million to $80 million versus estimates of $100.71 million. The company did not provide guidance for fiscal-year 2026.

C3.ai executives will further discuss the quarter on an earnings call with investors and analysts at 5 p.m. ET.

AI Price Action: C3.ai reported preliminary results for the first quarter last month, which has driven continued selling pressure in the names. The stock was down about 28% over the past month heading into the report. C3.ai shares were down 11.03% in after-hours, trading at $14.84 at the time of publication on Wednesday, according to Benzinga Pro.

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