Sprinklr Earnings: What To Look For From CXM

Customer experience management platform Sprinklr (NYSE:CXM) will be reporting results this Wednesday morning. Here’s what to look for.

Sprinklr beat analysts’ revenue expectations by 1.8% last quarter, reporting revenues of $205.5 million, up 4.9% year on year. It was a very strong quarter for the company, with a solid beat of analysts’ EBITDA estimates and full-year EPS guidance exceeding analysts’ expectations.

Is Sprinklr a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Sprinklr’s revenue to grow 4.2% year on year to $205.4 million, slowing from the 10.5% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.10 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Sprinklr has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 1.6% on average.

Looking at Sprinklr’s peers in the sales and marketing software segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Shopify delivered year-on-year revenue growth of 31.1%, beating analysts’ expectations by 5.2%, and Zeta Global reported revenues up 35.4%, topping estimates by 3.9%. Shopify traded up 18.8% following the results while Zeta Global was also up 27.3%.

Read our full analysis of Shopify’s results here and Zeta Global’s results here.

There has been positive sentiment among investors in the sales and marketing software segment, with share prices up 3.2% on average over the last month. Sprinklr is down 2.3% during the same time and is heading into earnings with an average analyst price target of $10.89 (compared to the current share price of $8.67).

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