Gloo (NASDAQ:GLOO) Announces Quarterly Earnings Results, Misses Expectations By $0.47 EPS

Key Points

• Gloo reported an EPS miss of ($0.78) versus a ($0.31) consensus (a $0.47 miss) but delivered strong Q4 revenue of $33.6M (up 418% YoY) and guided $36M for Q1 and $190M for FY2026 while targeting Adjusted EBITDA profitability in Q4 2026.
• The company is expanding via tuck‑ins—acquiring Enterprise MarketDesk and closing the Westfall/WDMarketdesk deal—to boost Workday services and cross‑sell, and is pushing applied AI (Gloo AI Studio) to accelerate larger deals and efficiency, though the acquisitions will involve new share issuance and raise dilution risk.
• Operationally Adjusted EBITDA is improving (Q4 -$18.6M; Q1 guide -$12M) with a cash balance of $57.3M; the stock saw a modest jump and analysts’ ratings range from Sell to Buy with a consensus target of $17.

Gloo (NASDAQ:GLOO - Get Free Report) announced its quarterly earnings results on Tuesday. The company reported ($0.78) earnings per share for the quarter, missing the consensus estimate of ($0.31) by ($0.47), Zacks reports.

Here are the key takeaways from Gloo's conference call:

• Q4 revenue was $33.6 million (up 418% YoY); management guided Q1 revenue of $36M and full‑year 2026 revenue of $190M, and expects Adjusted EBITDA profitability in Q4 2026 (approaching in Q3).
• Announced acquisition of Enterprise MarketDesk (EMD) and completed the Westfall Group deal—both described as accretive and expected to expand Workday services, donor‑fundraising capabilities, and cross‑sell synergies across Gloo 360 and Masterworks.
• Management is emphasizing applied, agentic AI across the platform (including the new Gloo AI Studio) as a demand driver and margin/efficiency lever that is already accelerating larger deals and internal productivity gains.
• Strong customer momentum with two accounts nearing $10M ARR, several >$1M agreements, and strategic partnerships (InterVarsity, Jessup University, YouVersion Brazil), supporting a replicable land‑and‑expand sales motion.
• Adjusted EBITDA is improving (Q4 -$18.6M; Q1 guide -$12M) and cost of revenue improved to 76.5%, but GAAP net income was pressured by non‑cash IPO‑related share‑based compensation and fair‑value derivative losses; cash position was $57.3M.

Gloo Stock Performance

Shares of Gloo stock traded up $0.17 on Wednesday, reaching $6.33. 213,579 shares of the company were exchanged, compared to its average volume of 78,799. The stock's 50 day moving average is $5.60. Gloo has a 1-year low of $4.63 and a 1-year high of $9.98.

Analysts Set New Price Targets

GLOO has been the subject of a number of recent analyst reports. Wall Street Zen upgraded shares of Gloo from a "sell" rating to a "hold" rating in a research report on Saturday, February 21st. Weiss Ratings began coverage on shares of Gloo in a research note on Thursday, February 12th. They issued a "sell (e-)" rating on the stock. Finally, Roth Mkm restated a "buy" rating on shares of Gloo in a report on Thursday, January 29th. One analyst has rated the stock with a Buy rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $17.00.

Key Headlines Impacting Gloo

Here are the key news stories impacting Gloo this week:

• Positive Sentiment: Gloo reported a Q4 revenue beat that topped analyst expectations, a primary catalyst for the pre-market jump. Business Wire: Q4 Results
• Positive Sentiment: The company raised FY2026 revenue guidance to $190 million (well above consensus ~$129.8M), a materially higher top‑line outlook that improves growth expectations. Seeking Alpha: Guidance
• Positive Sentiment: Gloo is acquiring Enterprisemarketdesk (EMD), adding AI-enabled Workday consulting, implementation and support capabilities for nonprofit and mid-market customers — a strategic tuck-in to expand service revenue and cross-sell potential. Business Wire: EMD Acquisition
• Positive Sentiment: Top-line momentum is notable: the company reported very strong YoY revenue growth in the quarter (reported as a large percentage increase), underscoring execution on growth initiatives. Yahoo Finance: Q4 Highlights
• Neutral Sentiment: Management reiterated near-term guidance (Q1 and Adjusted EBITDA guidance) while providing the raised revenue outlook; full impact depends on margin trajectory and integration of acquisitions. Benzinga: Summary
• Negative Sentiment: The company will issue new shares as part of the WDMarketdesk/EMD acquisition, which raises dilution risk for existing holders and can weigh on near-term per‑share metrics. TipRanks: Share Issuance

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the business. Jane Street Group LLC acquired a new stake in shares of Gloo during the fourth quarter valued at $82,000. Beacon Pointe Advisors LLC purchased a new position in Gloo during the fourth quarter worth about $142,000. Marshall Wace LLP acquired a new stake in Gloo during the 4th quarter valued at approximately $173,000. HRT Financial LP acquired a new stake in Gloo during the 4th quarter valued at approximately $179,000. Finally, Millennium Management LLC acquired a new stake in Gloo during the 4th quarter valued at approximately $402,000.

Gloo Company Profile

Gloo's mission is to build the leading vertical technology platform for the faith and flourishing ecosystem, which we believe is one of the largest, oldest and least-digitized ecosystems in the world. Our purpose is to shape technology as a force for good, so people can flourish and communities can thrive. This is grounded in our belief that relationships catalyze growth, and when technology is used to serve relationships, it transforms lives. The faith and flourishing ecosystem is vast and, we believe, a technologically underserved vertical that includes traditional Christian (primarily Protestant and Catholic) churches and a diverse network of ministries, nonprofits and service providers.

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