Appian Corporation Reports 16.5% Revenue Growth to $170.6 Million in Q2 2025

Appian Corporation reported its financial results for the second quarter of 2025, revealing a total revenue of $170.6 million, a 16.5% increase from $146.5 million in the same period last year. The growth was primarily driven by a 17.4% rise in subscription revenue, which reached $132.7 million, up from $113.0 million. Professional services revenue also saw an increase, totaling $38.0 million compared to $33.5 million in the prior year. Despite the revenue growth, Appian recorded a net loss of $0.3 million for the quarter, a significant improvement from a net loss of $43.6 million in Q2 2024.

In the first half of 2025, Appian's total revenue increased by 13.8% to $337.1 million, compared to $296.3 million in the first half of 2024. Subscription revenue for the six-month period was $267.0 million, up from $230.7 million, while professional services revenue rose to $70.1 million from $65.6 million. The company’s gross profit margin improved to 75.4% for the first half of 2025, compared to 73.9% in the same period last year, reflecting better cost management and increased revenue.

Operationally, Appian reported a decrease in total operating expenses to $266.0 million for the first half of 2025, down from $277.6 million in the previous year. This reduction was attributed to lower sales and marketing expenses, which fell by 7.8% to $115.0 million, as the company streamlined its operations. The headcount in the sales and marketing department decreased by 25% year-over-year, contributing to the cost savings. Research and development expenses remained stable, while general and administrative expenses decreased by 3.4% to $71.2 million.

Appian's customer base continues to expand, with a notable increase in cloud subscriptions revenue, which grew by 20.9% year-over-year. The company reported a cloud subscriptions revenue retention rate of 111% as of June 30, 2025, down from 118% a year earlier, indicating a slight decline in customer retention but still reflecting strong customer loyalty. The company operates in 16 countries, with 38.4% of its revenue generated from international customers, consistent with the previous year.

Looking ahead, Appian remains focused on enhancing its platform and expanding its market presence. The company plans to continue investing in its sales and marketing efforts, particularly in international markets, to drive further growth. Appian's management expressed optimism about the future, citing strong demand for its software solutions and a commitment to improving customer experiences as key drivers of its ongoing success.