FIVN · Five9, Inc.

Five9's Q1 2026 results reflect accelerating subscription revenue growth at 13% year-over-year, comprising 82% of total revenue per supplemental metrics, driving overall revenue to $305.3 million despite a modest 9% increase. Gross margins expanded with GAAP at 55.9% and adjusted at 63.6%, signaling improved cost efficiencies. Profitability strengthened markedly, with GAAP net income of $18.4 million versus $0.6 million last year, and non-GAAP net income rising to $58.6 million. Adjusted EBITDA hit $74.5 million or 24.4% margin, up from 18.8%, supported by operating cash flow of $63.9 million. CEO Amit Mathradas highlighted a performance-driven culture shift and organizational optimization as key to translating strategy into results, with LTM subscription dollar-based retention at 107% and combined subscription/telecom at 105%. Business highlights include appointing Jay Lee as Chief Marketing and Growth Officer and launching a Joint Enterprise Customer Experience AI Solution with Google Cloud. Capital return actions underscore confidence: a $90 million accelerated share repurchase completes the prior $150 million program from November 2025, alongside a fresh $200 million authorization. Guidance projects full-year revenue of $1.254-$1.266 billion and Q2 at $303-$309 million, with non-GAAP EPS ranges indicating sustained profitability amid macroeconomic caution.