Kinaxis Inc. Reports Record Fourth Quarter 2025 Results

Q4 SaaS revenue grows 19% as record incremental bookings fuels ARR3 growth of 20% and an RPO balance approaching $1 billion Delivered record Q4 profit and adjusted EBITDA2, adjusted EBITDA margin2 up to 26% as operating leverage improves Fiscal 2025 SaaS revenue growth hits 17% and Adjusted EBITDA margin2 rises to 25%, demonstrating ongoing balance between strong growth and profitability Company Website: https://www.kinaxis.com/en OTTAWA, Ontario -- (Business Wire) Kinaxis® (TSX:KXS), a global leader in end-to-end supply chain orchestration, reported record results for its fourth quarter ended December 31, 2025. All amounts are in U.S. dollars. All figures are prepared in accordance with IFRS Accounting Standards (IFRS) unless otherwise indicated. “Our team delivered a record fourth quarter and fiscal 2025. The results demonstrate the growing need for organizations to manage unprecedented levels of volatility in demand and supply with Maestro, our market-leading AI-enabled supply chain planning, decision-making and orchestration platform,” said Razat Gaurav, chief executive officer at Kinaxis. “Our improved focus on large, global organizations that run complex supply chains is paying off, including new wins with leaders in semiconductors, data storage, oil and gas, among others. We also had a record year expanding with our installed base, reflecting enhanced focus and execution in that key go-to-market motion and a much broader set of capabilities in Maestro. Our customers are strategically partnering with Kinaxis to reimagine their supply chain planning, leverage state-of-the-art data and semantic architectures, and rapidly innovate with our composable agentic orchestration capabilities.” Q4 2025 Highlights $ USD thousands, except as otherwise indicated Q4 2025 Q4 2024 Change Total Revenue (constant currency2) 144,235 140,786 123,935 16% 14% SaaS (constant currency2) 97,153 94,974 81,856 19% 16% Subscription term licenses 1,716 1,592 8 % Professional services 39,951 35,092 14 % Maintenance and support 5,415 5,395 —% Gross profit Margin 94,259 65% 75,102 61% 26% Profit (loss) Per diluted share 19,501 $0.68 (16,316) $(0.58) —(1) Adjusted EBITDA2 Margin 37,575 26% 31,462 25% 19% Cash flows from operating activities 29,942 24,117 24%   (1) The Percentage change has been excluded as it is not meaningful. (2) “Adjusted EBITDA” and constant currency metrics are non-IFRS measures that are not a recognized, defined or standardized measure under IFRS. These measures as well as any other non-IFRS financial measures reported by Kinaxis are defined in the “Non-IFRS Measures” section of this news release. FY 2025 Highlights $ USD thousands, except as otherwise indicated FY 2025 FY 2024 Change Total Revenue (constant currency2) 548,030 540,204 483,111 13% 12% SaaS (constant currency2) 362,427 357,501 309,243 17% 16% Adjusted EBITDA2 Margin 138,370 25% 106,085 22% 30% Key Performance Indicators The company’s Annual Recurring Revenue3 (ARR), which includes subscription amounts related to both SaaS and on-premise contracts, rose 20% to $433 million at the end of the quarter (18% growth in constant currency2). $USD millions Q4 2025 Q4 2024 Change Annual recurring revenue3 433 360 20 %   (3) 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 December 31, 2025. $USD millions 2026 2027 2028 and later Total SaaS 374.5 273.0 254.6 902.1 Maintenance and support 20.3 16.4 10.6 47.3 Subscription term licenses 18.1 3.4 0.3 21.8 Total 412.9 292.8 265.5 971.2 Financial Guidance Kinaxis is initiating its fiscal 2026 financial guidance, as follows.   FY 2026 Guidance   Total revenue $620-635 million   SaaS revenue growth 17-19% growth   Adjusted EBITDA2 margin 25-26%   “2025 was an outstanding year for Kinaxis, both from a growth and profitability perspective. We roughly doubled the number of wins with large enterprise customers and saw over 100 software deals above $1 million in total software contract value and more than 20 deals above $1 million in average annual software contract value. We exited the year with ARR growing 18% in constant currency versus 14% last year, which creates an opportunity for momentum in SaaS revenue and Adjusted EBITDA margin in 2026, even as we make important investments in AI and in our high-performing go-to-market organization,” 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 December 31, 2025 are available on Kinaxis’ website and on SEDAR+ at www.sedarplus.ca. Conference Call Kinaxis will host a conference call tomorrow, March 5, 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, March 5, 2026 TIME:   8:30 a.m. Eastern Time WEBCAST   https://events.q4inc.com/attendee/567578009 (available for three months) About Kinaxis Inc. Kinaxis is a global leader in modern supply chain 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, special charges, and restructuring expenses. Adjusted EBITDA represents profit adjusted to exclude our equity compensation plans, special charges, restructuring expenses, 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 December 31,   Year ended December 31,     2025     2024   2025     2024   (In thousands of USD)   (In thousands of USD) Profit (loss)   19,501       (16,316 )   70,699       56   Share-based compensation   9,263       10,228     39,015       39,581   Special charges(1)   —       18,191     —       21,365   Restructuring expenses(2)   —       (71 )   —       7,249   Adjusted profit   28,764       12,032     109,714       68,251   Income tax expense   7,329       17,068     22,187       25,096   Depreciation and amortization   4,586       6,046     19,847       24,928   Foreign exchange gain   (356 )     (927 )   (2,561 )     (682 ) Net finance income   (2,748 )     (2,757 )   (10,817 )     (11,508 )     8,811       19,430     28,656       37,834   Adjusted EBITDA   37,575       31,462     138,370       106,085   Adjusted EBITDA as a percentage of revenue   26 %     25 %   25 %     22 %   Note: (1) Costs associated with business transformation activities. (2) Costs associated with the restructuring initiative We also present certain IFRS measures, SaaS revenue and total revenue, and non-IFRS supplementary measures, ARR, under constant currency. We believe that presenting these measures under constant currency provides a useful framework for assessing estimates of how our business would have performed excluding the effect of foreign currency rate fluctuations. The presentation of financial results under constant currency is considered to be a non-IFRS measure and does not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies (including our peers). For SaaS revenue and total revenue under constant currency, results for entities reporting in currencies other than U.S. Dollars (“USD”) are converted into USD at the average exchange rates in effect during the comparison period, rather than the actual average exchange rates in effect during the current period. For constant currency ARR, we convert all non-USD-denominated recurring subscription amounts at the exchange rates in effect at the end of the comparison period, rather than the exchange rates in effect at the end of the current period. The outlook for constant currency SaaS revenue growth rate is derived by applying the average exchange rates in effect during the comparison period rather than the exchange rates expected during the guidance period. We believe the presentation of the above results and metrics, and applicable related growth rates, adjusted for constant currency facilitates the corresponding year‑over‑year comparisons. 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. 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)     December 31, 2025 December 31, 2024       Assets     Current assets:     Cash and cash equivalents $ 149,614   $ 172,192   Short-term investments   175,095     126,307   Trade and other receivables   165,781     156,394   Prepaid expenses   15,743     18,244       506,233     473,137   Non-current assets:     Unbilled receivables   1,596     1,448   Other receivables   1,047     867   Prepaid expenses   1,558     2,072   Deferred tax assets   18,225     11,016   Contract acquisition costs   37,038     32,005   Property and equipment   28,526     32,486   Right-of-use assets   43,090     46,705   Intangible assets   10,804     12,865   Goodwill   76,597     72,735       218,481     212,199           $ 724,714   $ 685,336         Liabilities and Shareholders’ Equity     Current liabilities:     Trade payables and accrued liabilities $ 90,040   $ 94,913   Deferred revenue   161,060     140,008   Lease obligations   5,938     5,587       257,038     240,508   Non-current liabilities:     Lease obligations   42,065     43,348   Deferred tax liabilities   4,042     5,969       46,107     49,317   Shareholders’ equity:     Share capital   363,246     329,312   Contributed surplus   —     12,078   Accumulated other comprehensive loss   (223 )   (3,847 ) Retained earnings   58,546     57,968       421,569     395,511           $ 724,714   $ 685,336   Kinaxis Inc. Condensed Consolidated Interim Statements of Comprehensive Income (Expressed in thousands of USD, except share and per share data)     Three months ended December 31, Year ended December 31,   2025 2024 2025 2024 Revenue $ 144,235   $ 123,935   $ 548,030 $ 483,111             Cost of revenue   49,976     48,833     193,752   188,528             Gross profit   94,259     75,102     354,278   294,583             Operating expenses:         Selling and marketing   28,216     25,624     115,083   100,531   Research and development   25,648     21,310     94,041   87,653   General and administrative   16,607     31,172     65,672   93,661       70,471     78,106     274,796   281,845                 23,788     (3,004 )   79,482   12,738             Other income:         Foreign exchange gain   356     927     2,561   682   Net finance and other income   2,686     2,829     10,843   11,732       3,042     3,756     13,404   12,414             Profit before income taxes   26,830     752     92,886   25,152             Income tax expense   7,329     17,068     22,187   25,096             Profit (loss)   19,501     (16,316 )   70,699   56             Other comprehensive income (loss):         Items that are or may be reclassified subsequently to profit         Foreign currency translation differences - foreign operations   (1,226 )   (4,660 )   2,285   (3,563 ) Change in valuation of cash flow hedges   479     (1,389 )   1,339   (1,644 )     (747 )   (6,049 )   3,624   (5,207 )           Total comprehensive income (loss) $ 18,754   $ (22,365 ) $ 74,323 $ (5,151 )           Basic earnings (loss) per share $ 0.70   $ (0.58 ) $ 2.51 $ —   Weighted average number of basic Common Shares   28,019,320     28,132,782     28,153,453   28,243,305   Diluted earnings (loss) per share $ 0.68   $ (0.58 ) $ 2.45 $ —   Weighted average number of diluted Common Shares   28,586,942     28,132,782     28,845,750   28,939,759   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, 2023 $ 307,327   $ 44,339   $ 441   $ 919   $ 1,360   $ 101,802   $ 454,828                   Profit   —     —     —     —     —     56     56   Other comprehensive loss   —     —     (1,644 )   (3,563 )   (5,207 )   —     (5,207 ) Total comprehensive income (loss)   —     —     (1,644 )   (3,563 )   (5,207 )   56     (5,151 )                 Share options exercised   28,065     (6,512 )   —     —     —     —     21,553   Restricted share units vested   14,992     (14,992 )   —     —     —     —     —   Deferred share units vested   1,396     (1,396 )   —     —     —     —     —   Performance share units vested   5,533     (5,533 )   —     —     —     —     —   Share-based payments   —     40,723     —     —     —     —     40,723   Shares repurchased   (9,837 )   (44,551 )   —     —     —     (43,890 )   (98,278 ) Obligations related to share repurchases   (18,164 )   —     —     —     —     —     (18,164 ) Total shareholder transactions   21,985     (32,261 )   —     —     —     (43,890 )   (54,166 )                 Balance, December 31, 2024 $ 329,312   $ 12,078   $ (1,203 ) $ (2,644 ) $ (3,847 ) $ 57,968   $ 395,511                   Profit   —     —     —     —     —     70,699     70,699   Other comprehensive income   —     —     1,339     2,285     3,624     —     3,624   Total comprehensive income   —     —     1,339     2,285     3,624     70,699     74,323                   Share options exercised   26,742     (6,390 )   —     —     —     —     20,352   Restricted share units vested   24,937     (24,937 )   —     —     —     —     —   Deferred share units vested   810     (810 )   —     —     —     —     —   Performance share units vested   3,553     (3,553 )   —     —     —     —     —   Share-based payments   —     40,380     —     —     —     —     40,380   Shares repurchased   (10,141 )   (16,768 )   —     —     —     (70,121 )   (97,030 ) Change in obligation for share repurchases   (11,967 )   —     —     —     —     —     (11,967 ) Total shareholder transactions   33,934     (12,078 )   —     —     —     (70,121 )   (48,265 )                 Balance, December 31, 2025 $ 363,246   $ —   $ 136   $ (359 ) $ (223 ) $ 58,546   $ 421,569   Kinaxis Inc. Condensed Consolidated Interim Statements of Cash Flows (Expressed in thousands of USD)   Three months ended December 31, Year ended December 31,   2025 2024 2025 2024           Cash flows from operating activities                   Profit (loss) $ 19,501   $ (16,316 ) $ 70,699   $ 56   Items not affecting cash:         Depreciation of property and equipment and right-of-use assets   3,732     4,726     16,502     19,614   Amortization of intangible assets   854     1,320     3,345     5,314   Impairment loss on intangible assets   —     4,521     —     4,521   Share-based payments   9,263     10,228     39,015     39,581   Net finance income   (2,748 )   (2,757 )   (10,817 )   (11,508 ) Income tax expense   7,329     17,068     22,187     25,096   Investment tax credits recoverable   —     11,271     —     8,362   Change in operating assets and liabilities   (5,922 )   (8,814 )   3,478     900   Interest received   3,651     3,750     13,257     14,137   Interest paid   (554 )   (437 )   (2,004 )   (1,714 ) Income taxes paid   (5,164 )   (443 )   (37,862 )   (5,146 )     29,942     24,117     117,800     99,213   Cash flows from (used in) investing activities                   Purchase of property and equipment   (674 )   (2,268 )   (5,689 )   (4,515 ) Purchase of short-term investments   (164,608 )   (103,316 )   (619,089 )   (342,076 ) Redemption of short-term investments   196,936     87,855     569,684     332,972       31,654     (17,729 )   (55,094 )   (13,619 ) Cash flows used in financing activities                   Payment of lease obligations   (1,471 )   (1,603 )   (5,838 )   (6,963 ) Repurchase of shares   (36,008 )   (19,996 )   (97,030 )   (98,278 ) Proceeds from exercise of stock options   742     7,969     20,352     21,553       (36,737 )   (13,630 )   (82,516 )   (83,688 )           Increase (decrease) in cash and cash equivalents   24,859     (7,242 )   (19,810 )   1,906             Cash and cash equivalents, beginning of year   126,476     183,228     172,192     174,844             Effects of exchange rates on cash and cash equivalents   (1,721 )   (3,794 )   (2,768 )   (4,558 ) Cash and cash equivalents, end of year $ 149,614   $ 172,192   $ 149,614   $ 172,192     View source version on businesswire.com: https://www.businesswire.com/news/home/20260304540878/en/ Contacts: Investor Relations Rick Wadsworth | Kinaxis [email protected] 613-907-7613 Media Relations Vanessa Cohen | Kinaxis [email protected] 647-822-8540 Source: Kinaxis Inc.