C3.ai Reports 25% Revenue Growth for Fiscal Year 2025

**C3.ai Reports Fiscal Year 2025 Results, Revenue Up 25%**

C3.ai, Inc., the Enterprise AI application software company, released its financial results for the fiscal year ended April 30, 2025, showcasing a significant increase in revenue. The company reported total revenue of $389.1 million, a 25.3% increase compared to the $310.6 million reported in the previous fiscal year. Subscription revenue, which constitutes the majority of the company's earnings, reached $327.6 million, marking an 18% rise from the $278.1 million recorded in fiscal year 2024. Professional services revenue also saw substantial growth, climbing to $61.4 million, an 89% increase from the $32.5 million in the prior year, driven by prioritized engineering services and an increase in consulting and training projects.

Despite the revenue growth, C3.ai continues to operate at a loss. The company reported a net loss of $288.7 million for fiscal year 2025, slightly higher than the $279.7 million loss in the previous year. The loss from operations was $324.4 million, compared to $318.3 million in fiscal year 2024. The company's operating expenses totaled $560.3 million, up from $496.9 million in the prior year, with increases across sales and marketing, research and development, and general and administrative functions. The company attributes the increase in operating expenses to investments in expanding its sales force, product development, and public company infrastructure.

Operationally, C3.ai has focused on expanding its partner ecosystem and adopting a consumption-based pricing model to attract new customers. The company closed 174 initial production deployment agreements in fiscal year 2025, compared to 123 in the previous year. These initial deployments are designed to allow customers to experience the C3 AI Platform and Applications before committing to longer-term subscriptions. The company has also made significant strides in its partnership with Microsoft Azure, establishing itself as a preferred AI application software provider on the platform. This collaboration includes joint sales, go-to-market strategies, and technical integration.

Looking ahead, C3.ai plans to continue investing in research and development, particularly in generative AI technologies, to maintain its competitive edge. The company also aims to expand its direct enterprise sales and service organization, both geographically and across vertical markets. While C3.ai anticipates that operating expenses will continue to increase in the near term, it expects that sales and marketing expenses as a percentage of total revenue will decline over time as the company establishes its brand and scales its business. The company's remaining performance obligations as of April 30, 2025, were $235.1 million, with the majority expected to be recognized as revenue over the next 12 to 48 months.