AvePoint lifts guidance after strong first quarter
Fri, 8th May 2026 (Today)
AvePoint reported first-quarter 2026 revenue of USD $117.2 million, with SaaS revenue rising to USD $93.4 million.
Annual recurring revenue reached USD $435.2 million at the end of the quarter.
The quarter showed revenue growth across the business alongside stronger profitability. Total revenue increased 26% from a year earlier, while SaaS revenue rose 35%. Annual recurring revenue grew 26% year on year, or 23% after adjusting for foreign exchange effects.
GAAP gross profit rose to USD $85.4 million from USD $69.2 million a year earlier, while GAAP gross margin fell to 72.8% from 74.3%. On a non-GAAP basis, gross profit increased to USD $86.1 million from USD $69.8 million, and gross margin edged down to 73.4% from 75.0%.
Operating income improved more sharply. GAAP operating income rose to USD $12.7 million from USD $3.3 million, lifting GAAP operating margin to 10.9% from 3.5%. Non-GAAP operating income increased to USD $20.5 million from USD $13.4 million, with margin rising to 17.5% from 14.4%.
Cash generation also strengthened during the quarter. Cash from operations was USD $24.3 million, up from USD $0.5 million in the prior-year period. Cash and cash equivalents stood at USD $444.1 million at quarter's end.
Retention measures were broadly stable. Dollar-based gross retention rate was 89% on both a reported and foreign exchange-adjusted basis. Dollar-based net retention rate was 111% as reported and 110% when adjusted for foreign exchange.
Product updates
Alongside the financial results, AvePoint highlighted product launches and updates focused on data oversight and recovery. AgentPulse Command Centre is now generally available, providing monitoring, governance and cost controls for AI agents across Microsoft 365 and Google Cloud environments.
AvePoint also announced updates to its Confidence Platform, including governance tools for agentic AI, recovery features designed to restore core business operations across multiple clouds, and additional automation tools for data security and resilience.
The company renewed its share repurchase programme for another three years. The authorisation allows it to buy back up to USD $150.0 million of common stock.
Outlook
AvePoint raised its full-year guidance for annual recurring revenue. Its revised outlook for revenue and non-GAAP operating income reflects stronger first-quarter performance, although foreign exchange movements remain a headwind.
For the second quarter, AvePoint expects total revenue of USD $120.3 million to USD $122.3 million. At the midpoint, that would represent year-on-year growth of 19%, or 18% on a constant-currency basis. It forecast non-GAAP operating income of USD $18.7 million to USD $19.7 million.
For the full year, AvePoint now expects annual recurring revenue of USD $523.4 million to USD $529.4 million. At the midpoint, that would represent 26% year-on-year growth, unchanged on a foreign exchange-adjusted basis. Full-year revenue is expected to be between USD $509.4 million and USD $515.4 million, representing 22% growth at the midpoint, or 20% on a constant-currency basis. AvePoint forecasts non-GAAP operating income of USD $91.5 million to USD $94.5 million.
Chief Executive Officer and Co-Founder Dr Tianyi Jiang said the company exceeded its own expectations in the quarter.
"Our first quarter results mark a strong start to the year, as our leading position at the intersection of data protection and security, coupled with the demand for secure, automated, and AI-ready solutions, enabled us to outperform our guidance on the top and bottom line, secure our twelfth straight quarter of double-digit growth in organic net new ARR, and deliver more than 700 basis points of GAAP operating margin expansion," said Dr. Tianyi Jiang, Chief Executive Officer and Co-Founder, AvePoint.
He also pointed to customer demand for AI oversight and data recovery.
"Our unique ability to provide real time visibility, automated governance, and granular recovery across the data estate is rapidly transforming AI risk into a manageable variable for our customers, and this competitive advantage ensures a durable opportunity for AvePoint to support organizations around the world," Jiang said.
AvePoint said more than 28,000 customers use its platform across Microsoft, Google, Salesforce and other cloud environments. Its products are supported by a partner network of about 6,000 managed service providers, value-added resellers and systems integrators, and are available in more than 100 cloud marketplaces.