Kinaxis Inc. Reports Record First Quarter 2026 Results

Q1 SaaS revenue grows 21% versus 16% a year ago Record new business for a Q1 drives ARR2 growth of 20% versus 14% a year ago Delivered record Q1 profit and adjusted EBITDA1, adjusted EBITDA margin1 up to 32% Company Website: https://www.kinaxis.com/en OTTAWA, Ontario -- (Business Wire) Kinaxis® (TSX:KXS), a global leader in end-to-end supply chain planning and orchestration, reported record results for its first quarter ended March 31, 2026. All amounts are in U.S. dollars. All figures are prepared in accordance with IFRS Accounting Standards (IFRS) unless otherwise indicated. “We continue to have tremendous success winning the largest new customer opportunities and expanding with existing customers, which together is driving record levels of bookings and ARR growth. We were thrilled with continued traction in scaling up our business through market leading innovations and further customer success earned alongside our partner ecosystem,” said Razat Gaurav, chief executive officer at Kinaxis. “We’re seeing good early-stage demand for our Maestro Agents, with new paying customers in Q1. At the same time, we experienced strong demand for our market leading, end-to-end AI-driven demand and supply planning capabilities, which use a combination of advanced optimization, heuristics and machine learning models. Agentic and Generative AI are tremendous complements to deep mathematical techniques, and when leveraging the latest data architectures, all these technologies combined will be critical to helping organizations manage their supply chains amidst the unprecedented levels of volatility in demand and supply.” Q1 2026 Highlights $ USD thousands, except as otherwise indicated Q1 2026 Q1 2025 Change Total Revenue 165,568 132,788 25% SaaS 102,885 84,882 21% Subscription term licenses 19,052 9,027 111% Professional services 38,720 33,340 16% Maintenance and support 4,911 5,539 (11)% Gross profit 114,016 86,539 32% Margin 69% 65%   Profit 29,420 15,913 85% Per diluted share $1.04 $0.55   Adjusted EBITDA1 53,603 33,143 62% Margin 32% 25%   Cash flows from operating activities 59,082 31,647 87%   (1) “Adjusted EBITDA” is a non-IFRS measure that is not a recognized, defined or standardized measure under IFRS. This measure as well as any other non-IFRS financial measures reported by Kinaxis are defined in the “Non-IFRS Measures” section of this news release. Key Performance Indicators The company’s Annual Recurring Revenue2 (ARR), which includes subscription amounts related to both SaaS and on-premise contracts, rose 20% to $447 million at the end of the quarter. $USD millions Q1 2026 Q1 2025 Change Annual recurring revenue2 447 372 20%   (2) Annual Recurring Revenue (ARR) is the total annualized value of recurring subscription amounts (ultimately recognized as SaaS, Subscription term licenses and Maintenance and support revenue) of all subscription contracts at a point in time. Annualized subscription amounts are determined solely by reference to the underlying contracts, normalizing for the varying revenue recognition treatments under IFRS 15 for cloud-based versus on-premise subscription amounts. It excludes one-time fees, such as for non-recurring professional services, and assumes that customers will renew the contractual commitments on a periodic basis as those commitments come up for renewal, unless such renewal is known to be unlikely. We believe that this measure provides a more current indication of our performance in the growth of our subscription business than other metrics. The nature of the company’s long-term contracts provides visibility into future, contracted revenue. The following table presents revenue expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) at March 31, 2026.   $USD millions   2026   2027   2028 and later   Total SaaS 295.7 306.2 303.5 905.4 Maintenance and support 11.4 13.8 12.3 37.5 Subscription term licenses 2.2 3.3 0.3 5.8 Total 309.3 323.3 316.1 948.7 Financial Guidance Kinaxis is reiterating its fiscal 2026 financial guidance, as follows.   FY 2026 Guidance Total revenue $620-635 million   SaaS revenue growth   17-19% growth   Adjusted EBITDA1 margin   25-26%   “I couldn’t be more excited than to complete my time at Kinaxis with such a stellar quarter. Despite our outperformance, we are maintaining all aspects of annual guidance, which we provided only 60 days ago. It is early in the year and we will gather more information and review assumptions next quarter. In any case, Kinaxis exits the first quarter with even more confidence in our 2026 targets,” said Blaine Fitzgerald, chief financial officer at Kinaxis. Guidance in this press release is provided to enhance visibility into Kinaxis’ expectations for financial targets for the periods indicated. Please refer to the section regarding forward-looking statements that forms an integral part of this release. This press release along with the financial statements and MD&A for the quarter ended March 31, 2026 are available on Kinaxis’ website and on SEDAR+ at www.sedarplus.ca. Conference Call Kinaxis will host a conference call tomorrow, May 7, 2026, to discuss these results. Razat Gaurav, chief executive officer, and Blaine Fitzgerald, chief financial officer, will host the call starting at 8:30 a.m. Eastern Time. A question and answer session will follow management's presentation. DATE: Thursday, May 7, 2026 TIME: 8:30 a.m. Eastern Time WEBCAST https://events.q4inc.com/attendee/986528748 (available for three months) About Kinaxis Inc. Kinaxis is a global leader in modern supply chain planning and orchestration, powering complex global supply chains and supporting the people who manage them. Our powerful, AI-infused supply chain orchestration platform, Maestro™, combines proprietary technologies and techniques that provide full transparency and agility across the entire supply chain – from multi-year strategic planning to last-mile delivery. We are trusted by renowned global brands to provide the agility and predictability needed to navigate today’s volatility and disruption. For more news and information, please visit kinaxis.com or follow us on LinkedIn. Non-IFRS Measures This press release makes reference to Adjusted Profit and Adjusted EBITDA, which are non-IFRS financial measures, as well as Adjusted EBITDA margin which expresses Adjusted EBITDA as a percentage of revenue. Adjusted Profit, Adjusted EBITDA and Adjusted EBITDA margin are not recognized, defined or standardized measures under IFRS. We use these measures to provide investors with supplemental information on our operating performance and to highlight trends in our core business that may not otherwise be apparent when relying solely on IFRS financial measures. We believe that securities analysts, investors and other interested parties frequently use non-IFRS measures in the evaluation of issuers. Providing these non-IFRS measures provides useful information because they portray the financial results of the Company before certain expenses that do not impact the ongoing operating decisions taken by management. Management also uses non-IFRS measures in order to facilitate operating performance comparisons from period to period, prepare annual operating budgets and assess our ability to meet our capital expenditure and working capital requirements, and to determine components of employee compensation. Adjusted Profit represents profit adjusted to exclude our equity compensation plans. Adjusted EBITDA represents profit adjusted to exclude our equity compensation plans, income tax expense, depreciation and amortization, foreign exchange loss (gain) and net finance (income) expense. Adjusted EBITDA margin expresses Adjusted EBITDA as a percentage of revenue. Our definitions of Adjusted Profit, Adjusted EBITDA and Adjusted EBITDA margin will likely differ from those used by other companies (including our peers) and therefore comparability may be limited. Non-IFRS measures should not be considered a substitute for or in isolation from measures prepared in accordance with IFRS. Investors are encouraged to review our financial statements and disclosures in their entirety and are cautioned not to put undue reliance on non-IFRS measures and view them in conjunction with the most comparable IFRS financial measures. Kinaxis has reconciled Adjusted Profit and Adjusted EBITDA to the most comparable IFRS financial measure as follows:     Three months ended March 31,     2026   2025     (In thousands of USD)   Profit 29,420   15,913   Share-based compensation 8,620   9,347   Adjusted profit 38,040   25,260   Income tax expense 13,915   5,740   Depreciation and amortization 4,676   5,423   Foreign exchange (gain) (494)   (914)   Net finance income (2,534)   (2,366)     15,563   7,883   Adjusted EBITDA 53,603   33,143   Adjusted EBITDA as a percentage of revenue 32%   25% Forward-Looking Statements Certain statements in this release constitute forward-looking statements, future-oriented financial information and financial outlook within the meaning of applicable securities laws. Forward-looking statements, future-oriented financial information and financial outlook include statements as to our expectations for: growth of annual total revenue, annual SaaS revenue growth, and our expectations for Adjusted EBITDA margin achievement, in each case looking forward for our fiscal year ending December 31, 2026; SaaS growth and increased profitability in years beyond 2026; and contracted revenue in future periods, including 2026, 2027 and 2028 and later. This release also includes forward-looking statements as to Kinaxis’ growth opportunities and the potential benefits of, and markets and demand for, Kinaxis’ products and services. These statements are subject to certain assumptions, risks and uncertainties, including our view of the relative position of Kinaxis’ products and services compared to competitive offerings in the industry. In particular, our guidance for 2026 annual total revenue, annual SaaS revenue growth and annual Adjusted EBITDA margin, as well as our comments on our expectations for SaaS growth and increased profitability in years beyond 2026, are subject to certain assumptions and associated risks including: our ability to win business from new customers and expand business from existing customers; the timing of new customer wins and expansion decisions by our existing customers; maintaining our customer retention levels, and specifically, that customers will renew contractual commitments on a periodic basis as those commitments come up for renewal, at rates consistent with our historic experience; anticipated trends, standards and challenges in our business and the markets we operate in; fluctuations in the value of foreign currencies relative to the U.S. Dollar; and with respect to Adjusted EBITDA and profitability, our ability to contain expense levels while expanding our business. Our guidance and commentary for achievement of contracted revenue in future periods, including in 2026, 2027 and 2028 and later, is based on assumptions and associated risks including: our ability to satisfy material unperformed obligations under our long-term contracts; and the continued financial capacity and creditworthiness of our customers under long-term contracts. These and other assumptions, risks and uncertainties may cause Kinaxis’ actual results, performance, achievements and developments to differ materially from the results, performance, achievements or developments expressed or implied by forward-looking statements, future-oriented financial information or financial outlook. Material risks and uncertainties relating to our business are described under the headings “Forward-Looking Statements” and “Risks and Uncertainties” in our annual MD&A dated March 4, 2026, and under the heading “Risk Factors” in our Annual Information Form dated March 4, 2026, which are available at www.sedarplus.ca. Readers are cautioned that the assumptions used in the preparation of forward-looking statements, future-oriented financial information and financial outlook, although considered reasonable at the time of preparation, may prove to be imprecise or inaccurate and, as such, undue reliance should not be placed on such information. Our actual results, performance and achievements could differ materially from those expressed in, or implied by, such forward-looking statements, future-oriented financial information or financial outlook. Forward-looking statements, future-oriented financial information and financial outlook are provided to help readers understand management’s expectations as at the date of this release and may not be suitable for other purposes. Readers are cautioned not to place undue reliance on forward-looking statements. Kinaxis assumes no obligation to update or revise any forward-looking statements, future-oriented financial information or financial outlook whether as a result of new information, future events or otherwise, except as expressly required by law. SOURCE: Kinaxis Inc.         Kinaxis Inc. Condensed Consolidated Interim Statements of Financial Position (Expressed in thousands of USD)           March 31, 2026     December 31, 2025               Assets           Current assets:           Cash and cash equivalents $ 230,129     $ 149,614   Short-term investments   97,499       175,095   Trade and other receivables   167,465       165,781   Prepaid expenses   28,082       15,743       523,175       506,233   Non-current assets:           Unbilled receivables   2,637       1,596   Other receivables   1,014       1,047   Prepaid expenses   3,181       1,558   Deferred tax assets   15,703       18,225   Contract acquisition costs   40,326       37,038   Property and equipment   27,048       28,526   Right-of-use assets   43,363       43,090   Intangible assets   9,760       10,804   Goodwill   75,810       76,597       218,842       218,481                 $ 742,017     $ 724,714               Liabilities and Shareholders’ Equity           Current liabilities:           Trade payables and accrued liabilities $ 109,021     $ 90,040   Deferred revenue   189,585       161,060   Lease obligations   6,119       5,938       304,725       257,038   Non-current liabilities:           Lease obligations   41,543       42,065   Deferred tax liabilities   3,557       4,042       45,100       46,107   Shareholders’ equity:           Share capital   386,780       363,246   Accumulated other comprehensive loss   (2,791 )     (223 ) Retained earnings   8,203       58,546       392,192       421,569                 $ 742,017     $ 724,714     Kinaxis Inc. Condensed Consolidated Interim Statements of Comprehensive Income (Expressed in thousands of USD, except share and per share data)   Three months ended March 31,     2026     2025 Revenue $ 165,568   $ 132,788       Cost of revenue   51,552     46,249       Gross profit   114,016     86,539       Operating expenses:     Selling and marketing   29,563     28,689 Research and development   27,460     22,668 General and administrative   16,687     16,866     73,710     68,223           40,306     18,316       Other income:     Foreign exchange gain   494     914 Net finance and other income   2,535     2,423     3,029     3,337       Profit before income taxes   43,335     21,653       Income tax expense   13,915     5,740       Profit   29,420     15,913       Other comprehensive income (loss):     Items that are or may be reclassified subsequently to profit     Foreign currency translation differences - foreign operations   (2,147 )   1,077 Change in valuation of cash flow hedges   (421 )   577     (2,568 )   1,654       Total comprehensive income $ 26,852   $ 17,567       Basic earnings per share $ 1.06   $ 0.57 Weighted average number of basic Common Shares   27,717,242     28,094,465 Diluted earnings per share $ 1.04   $ 0.55 Weighted average number of diluted Common Shares   28,313,923     28,788,191   Kinaxis Inc. Condensed Consolidated Interim Statements of Changes in Shareholders’ Equity (Expressed in thousands of USD)     Accumulated other comprehensive income (loss)     Share capital Contributed surplus Cash flow hedges Currency translation adjustments Total Retained earnings Total equity                 Balance, December 31, 2024 $ 329,312   $ 12,078   $ (1,203 ) $ (2,644 ) $ (3,847 ) $ 57,968   $ 395,511                   Profit   —     —     —     —     —     15,913     15,913   Other comprehensive income   —     —     577     1,077     1,654     —     1,654   Total comprehensive income   —     —     577     1,077     1,654     15,913     17,567                   Share options exercised   7,625     (1,805 )   —     —     —     —     5,820   Restricted share units vested   12,828     (12,828 )   —     —     —     —     —   Performance share units vested   3,262     (3,262 )   —     —     —     —     —   Share-based payments   —     8,527     —     —     —     —     8,527   Shares repurchased   (974 )   (2,710 )   —     —     —     (12,957 )   (16,641 ) Total shareholder transactions   22,741     (12,078 )   —     —     —     (12,957 )   (2,294 )                 Balance, March 31, 2025 $ 352,053   $ —   $ (626 ) $ (1,567 ) $ (2,193 ) $ 60,924   $ 410,784                   Balance, December 31, 2025   363,246     —     136     (359 )   (223 )   58,546     421,569                   Profit   —     —     —     —     —     29,420     29,420   Other comprehensive loss   —     —     (421 )   (2,147 )   (2,568 )   —     (2,568 ) Total comprehensive income (loss)   —     —     (421 )   (2,147 )   (2,568 )   29,420     26,852                   Share options exercised   12,533     (3,075 )   —     —     —     —     9,458   Restricted share units vested   21,906     (3,902 )   —     —     —     (18,004 )   —   Performance share units vested   7,934     —     —     —     —     (7,934 )   —   Share-based payments   —     6,977     —     —     —     —     6,977   Shares repurchased   (8,333 )   —     —     —     —     (53,825 )   (62,158 ) Change in obligation for share repurchases   (10,506 )   —     —     —     —     —     (10,506 ) Total shareholder transactions   23,534     —     —     —     —     (79,763 )   (56,229 )                 Balance, March 31, 2026 $ 386,780   $ —   $ (285 ) $ (2,506 ) $ (2,791 ) $ 8,203   $ 392,192     Kinaxis Inc. Condensed Consolidated Interim Statements of Cash Flows (Expressed in thousands of USD)     Three months ended March 31,     2026       2025           Cash flows from operating activities               Profit $ 29,420     $ 15,913   Items not affecting cash:       Depreciation of property and equipment and right-of-use assets   3,837       4,619   Amortization of intangible assets   839       804   Share-based payments   8,620       9,347   Net finance income   (2,534 )     (2,366 ) Income tax expense   13,915       5,740   Change in operating assets and liabilities   6,829       13,781   Interest received   2,565       2,903   Interest paid   (422 )     (449 ) Income taxes paid   (3,987 )     (18,645 )     59,082       31,647   Cash flows from (used in) investing activities               Purchase of property and equipment   (990 )     (1,582 ) Purchase of short-term investments   (25,700 )     (122,445 ) Redemption of short-term investments   103,577       77,564       76,887       (46,463 ) Cash flows used in financing activities               Payment of lease obligations   (1,500 )     (1,561 ) Repurchase of shares   (61,592 )     (17,388 ) Proceeds from exercise of stock options   9,458       5,820       (53,634 )     (13,129 )         Increase (decrease) in cash and cash equivalents   82,335       (27,945 )         Cash and cash equivalents, beginning of period   149,614       172,192           Effects of exchange rates on cash and cash equivalents   (1,820 )     (758 ) Cash and cash equivalents, end of period $ 230,129     $ 143,489     View source version on businesswire.com: https://www.businesswire.com/news/home/20260506915169/en/ Contacts: Investor Relations Rick Wadsworth | Kinaxis [email protected] 613-907-7613 Media Relations Matt Tatham | Kinaxis [email protected] 917-446-7227 Source: Kinaxis Inc.