Appian Announces First Quarter 2026 Financial Results

Appian Announces First Quarter 2026 Financial Results Appian Announces First Quarter 2026 Financial Results Cloud subscriptions revenue increased 25% year-over-year to $124.5 million, while cash flow provided by operations totaled $48.8 million GlobeNewswire May 07, 2026

MCLEAN, Va., May 07, 2026 (GLOBE NEWSWIRE) -- Appian (Nasdaq: APPN) today announced financial results for the first quarter ended March 31, 2026.

First Quarter 2026 Financial Highlights:

A reconciliation of GAAP to non-GAAP financial measures has been provided in the tables following the financial statements in this press release. An explanation of these measures is also included below under the heading “Non-GAAP Financial Measures.”

Financial Outlook:

As of May 7, 2026, guidance for 2026 is as follows:

Conference Call Details:

Appian will host a conference call today, May 7, 2026, at 8:30 a.m. ET to discuss Appian's financial results for the first quarter ended March 31, 2026 and business outlook.

To access the call, navigate to the following link(1). Once registered, participants can dial in using their phone with a dial in and PIN, or they can choose the Call Me option for instant dial to their phone. The live webcast of the conference call can also be accessed on the Investor Relations page of our website at https://investors.appian.com.

About Appian

Appian provides process automation technology. We automate complex processes in large enterprises and governments. Our platform is known for its unique reliability and scale. We’ve been automating processes for 25 years and understand enterprise operations like no one else. For more information, visit appian.com. [Nasdaq: APPN]

Non-GAAP Financial Measures

To supplement its consolidated financial statements, which are prepared and presented in accordance with GAAP, Appian provides investors with certain non-GAAP financial performance measures. Appian uses these non-GAAP financial performance measures for financial and operational decision-making and as a means to evaluate period-to-period comparisons. Appian’s management believes these non-GAAP financial measures provide meaningful supplemental information regarding Appian’s performance by excluding certain expenses that may not be indicative of our recurring core business operating results. Appian believes both management and investors benefit from referring to these non-GAAP financial measures in assessing Appian’s performance and when planning, forecasting, and analyzing future periods. These non-GAAP financial measures also facilitate management’s internal comparisons to historical performance as well as comparisons to competitors’ operating results. Appian believes these non-GAAP financial measures are useful to investors both because (1) they allow for greater transparency with respect to measures used by management in its financial and operational decision-making and (2) they are used by institutional investors and the analyst community to help them analyze the health of Appian’s business.

The non-GAAP financial performance measures include the following: non-GAAP subscriptions cost of revenue, non-GAAP professional services cost of revenue, non-GAAP total cost of revenue, non-GAAP total operating expense, non-GAAP operating income, non-GAAP income tax expense, non-GAAP net income, and non-GAAP net income per share, basic and diluted. These non-GAAP financial performance measures exclude the effect of stock-based compensation expense, unrealized foreign exchange rate gains and losses, certain non-ordinary litigation-related expenses consisting of legal and other professional fees associated with the Pegasystems cases (net of insurance reimbursements), or Litigation Expense, amortization of the judgment preservation insurance policy, or JPI Amortization, and lease impairments and lease-related charges associated with actions taken to reduce the footprint of our leased office spaces, or Lease Impairment and Lease-Related Charges. While some of these items may be recurring in nature and should not be disregarded in the evaluation of our earnings performance, it is useful to exclude such items when analyzing current results and trends compared to other periods as these items can vary significantly from period to period depending on specific underlying transactions or events that may occur. Therefore, while we may incur or recognize these types of expenses in the future, we believe removing these items for purposes of calculating our non-GAAP financial measures provides investors with a more focused presentation of our ongoing operating performance.

Appian also discusses adjusted EBITDA, a non-GAAP financial performance measure it believes offers a useful view of the overall operation of its businesses. Appian defines adjusted EBITDA as net loss before (1) other income, net, (2) interest expense, (3) income tax expense, (4) depreciation expense and amortization of intangible assets, (5) stock-based compensation expense, (6) Litigation Expense, (7) JPI Amortization, and (8) Lease Impairment and Lease-Related Charges. The most directly comparable GAAP financial measure to adjusted EBITDA is net loss. Users should consider the limitations of using adjusted EBITDA, including the fact this measure does not provide a complete depiction of our operating performance. Adjusted EBITDA is not intended to purport to be an alternative to net loss as a measure of operating performance or to cash flows from operating activities as a measure of liquidity.

The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, as a substitute for, or superior to the financial information prepared and presented in accordance with GAAP, and Appian’s non-GAAP measures may be different from non-GAAP measures used by other companies. For more information on these non-GAAP financial measures, see the reconciliation of these non-GAAP financial measures to their nearest comparable GAAP measures at the end of this press release.

Appian provides guidance ranges for non-GAAP net income (loss) per share and adjusted EBITDA; however, we are not able to reconcile these amounts to their comparable GAAP financial measures without unreasonable efforts because certain information necessary to calculate such measures on a GAAP basis is unavailable, subject to high variability, dependent on future events outside of our control, and cannot be predicted. In addition, Appian believes such reconciliations could imply a degree of precision that might be confusing or misleading to investors. The actual effect of the reconciling items that Appian may exclude from these non-GAAP expense numbers, when determined, may be significant to the calculation of the comparable GAAP measures.

Forward-Looking Statements

This press release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release other than statements of historical facts, including statements regarding Appian’s future financial and business performance for the second quarter and full year 2026, future investment by Appian in its go-to-market initiatives, increased demand for the Appian Platform, market opportunity and plans and objectives for future operations, including Appian’s ability to drive continued subscriptions revenue and total revenue growth, are forward-looking statements. The words “anticipate,” “believe,” “continue,” “estimate,” “expect,” “intend,” “may,” “will,” “plan,” and similar expressions are intended to identify forward-looking statements. Appian has based these forward-looking statements on its current expectations and projections about future events and financial trends that Appian believes may affect its financial condition, results of operations, business strategy, short-term and long-term business operations and objectives, and financial needs. These forward-looking statements are subject to a number of risks and uncertainties, including the risks and uncertainties associated with Appian’s market opportunity and the expansion of its core software markets in general, the opportunity and disruptive impact of AI, the effects of increased competition, as well as innovations by new and existing competitors in its market, Appian’s ability to effectively manage or sustain its growth and to maintain profitability, Appian’s ability to maintain, or strengthen awareness of, its brand, risks and uncertainties associated with the composition and concentration of Appian’s customer base and their demand for its platform and satisfaction with the services provided by Appian, Appian’s ability to operate in compliance with applicable laws and regulations, Appian’s strategic relationships with third parties, and additional risks and uncertainties set forth in the “Risk Factors” section of Appian’s most recent annual report on Form 10-K, quarterly reports on Form 10-Q, and other filings with the Securities and Exchange Commission. Moreover, Appian operates in a very competitive and rapidly changing environment. New risks emerge from time to time. It is not possible for Appian’s management to predict all risks, nor can Appian assess the impact of all factors on its business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements Appian may make. In light of these risks, uncertainties, and assumptions, Appian cannot guarantee future results, levels of activity, performance, achievements, or events and circumstances reflected in the forward-looking statements will occur. Appian is under no duty to update any of these forward-looking statements after the date of this press release to conform these statements to actual results or revised expectations, except as required by law.

Investor Contact
investors@appian.com

Media Contact
Valerie Miller
Senior Manager, Media Relations North America
pr@appian.com

APPIAN CORPORATION
CONSOLIDATED BALANCE SHEETS
(in thousands, except par value and share data)
 
 As of
 March 31, 2026 December 31, 2025
Assets(unaudited)  
Current assets   
Cash and cash equivalents$150,025  $135,810 
Short-term investments and marketable securities 55,963   51,415 
Accounts receivable, net of allowance of $3,107 and $3,362, respectively 173,874   255,063 
Deferred commissions, current 35,459   35,166 
Prepaid expenses and other current assets 38,632   41,970 
Total current assets 453,953   519,424 
Property and equipment, net of accumulated depreciation of $41,662 and $40,747, respectively 30,279   32,087 
Goodwill 28,145   28,811 
Intangible assets, net of accumulated amortization of $7,444 and $7,301, respectively 904   1,246 
Right-of-use assets for operating leases 26,992   28,075 
Deferred commissions, net of current portion 64,199   65,199 
Deferred tax assets 4,874   4,850 
Other assets 14,017   11,703 
Total assets$623,363  $691,395 
Liabilities and Stockholders’ Deficit   
Current liabilities   
Accounts payable$4,136  $6,655 
Accrued expenses 21,661   18,483 
Accrued compensation and related benefits 32,354   61,781 
Deferred revenue 320,401   341,281 
Debt 9,598   9,598 
Operating lease liabilities 13,201   13,181 
Other current liabilities 1,312   1,128 
Total current liabilities 402,663   452,107 
Long-term debt 228,828   231,228 
Non-current operating lease liabilities 43,585   45,693 
Deferred revenue, non-current 6,913   8,962 
Other non-current liabilities 341   398 
Total liabilities 682,330   738,388 
Stockholders’ deficit   
Class A common stock—par value $0.0001; 500,000,000 shares authorized as of March 31, 2026 and December 31, 2025 and 43,474,509 and 43,408,828 shares issued as of March 31, 2026 and December 31, 2025, respectively 4   4 
Class B common stock—par value $0.0001; 100,000,000 shares authorized as March 31, 2026 and December 31, 2025 and 31,087,485 and 31,088,085 shares issued as of March 31, 2026 and December 31, 2025, respectively 3   3 
Treasury stock at cost, 1,048,812 and 542,288 shares as of March 31, 2026 and December 31, 2025, respectively (29,152)  (16,935)
Additional paid-in capital 618,798   617,318 
Accumulated other comprehensive loss (36,174)  (36,462)
Accumulated deficit (612,446)  (610,921)
Total stockholders’ deficit (58,967)  (46,993)
Total liabilities and stockholders’ deficit$623,363  $691,395 
        


APPIAN CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
  
 Three Months Ended March 31,
  2026   2025 
 (unaudited)
Revenue   
Subscriptions$160,311  $134,352 
Professional services 41,869   32,074 
Total revenue 202,180   166,426 
Cost of revenue   
Subscriptions 22,904   18,521 
Professional services 31,507   25,519 
Total cost of revenue 54,411   44,040 
Gross profit 147,769   122,386 
Operating expenses   
Sales and marketing 64,619   56,310 
Research and development 46,324   41,830 
General and administrative 33,670   25,080 
Total operating expenses 144,613   123,220 
Operating income (loss) 3,156   (834)
Other non-operating expense (income)   
Other income, net (84)  (5,716)
Interest expense 4,172   5,318 
Total other non-operating expense (income) 4,088   (398)
Loss before income taxes (932)  (436)
Income tax expense 593   741 
Net loss$(1,525) $(1,177)
Net loss per Class A and Class B share:   
Basic and diluted$(0.02) $(0.02)
Weighted average common shares outstanding:   
Basic and diluted 73,820   74,094 
        


APPIAN CORPORATION
STOCK-BASED COMPENSATION EXPENSE
(in thousands)
 
   
 Three months ended March 31, 
  2026  2025 
 (unaudited) 
Cost of revenue    
Subscriptions$559 $498 
Professional services 1,638  1,456 
Operating expenses    
Sales and marketing 2,403  2,246 
Research and development 3,735  3,014 
General and administrative 3,554  2,825 
Total stock-based compensation expense$11,889 $10,039 
       


APPIAN CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited, in thousands)
  
 Three Months Ended March 31,
  2026   2025 
Cash flows from operating activities   
Net loss$(1,525) $(1,177)
Adjustments to reconcile net loss to net cash provided by operating activities:   
Stock-based compensation 11,889   10,039 
Depreciation expense and amortization of intangible assets 2,273   2,446 
Bad debt expense (194)  (125)
Amortization of debt issuance costs 150   150 
Benefit for deferred income taxes (74)  (163)
Foreign currency transaction losses (gains), net 1,119   (3,989)
Changes in assets and liabilities   
Accounts receivable 81,353   60,259 
Prepaid expenses and other assets 1,333   6,107 
Deferred commissions 707   3,855 
Accounts payable and accrued expenses 637   4,755 
Accrued compensation and related benefits (25,569)  (9,306)
Other current and non-current liabilities (468)  507 
Deferred revenue (21,799)  (27,554)
Operating lease assets and liabilities, net (1,005)  (838)
Net cash provided by operating activities 48,827   44,966 
Cash flows from investing activities   
Proceeds from maturities of investments 39,771   13,611 
Purchases of investments (44,866)  (37,037)
Purchases of property and equipment (188)  (651)
Net cash used by investing activities (5,283)  (24,077)
Cash flows from financing activities   
Debt repayments (2,500)  (2,500)
Repurchase of common stock (21,808)  — 
Payments for employee taxes related to the net share settlement of equity awards (5,117)  (3,199)
Proceeds from exercise of common stock options 630   190 
Net cash used by financing activities (28,795)  (5,509)
Effect of foreign exchange rate changes on cash and cash equivalents (534)  1,050 
Net increase in cash and cash equivalents 14,215   16,430 
Cash and cash equivalents at beginning of period 135,810   118,552 
Cash and cash equivalents at end of period$150,025  $134,982 
    
Supplemental disclosure of cash flow information:   
Cash paid for interest$3,803  $5,018 
Cash paid for income taxes$1,426  $798 
Supplemental disclosure of non-cash investing and financing information:   
Accrued capital expenditures$37  $784 

APPIAN CORPORATION
RECONCILIATION OF GAAP MEASURES TO NON-GAAP MEASURES
(unaudited, in thousands, except per share data)

 GAAP Measure Stock-Based Compensation Litigation Expense JPI Amortization Lease Impairment and Lease-Related Charges Unrealized Foreign Exchange Rate Gains and Losses Non-GAAP Measure
Three Months Ended March 31, 2026
Subscriptions cost of revenue$22,904  $(559) $—  $—  $—  $—  $22,345 
Professional services cost of revenue 31,507   (1,638)  —   —   —   —   29,869 
Total cost of revenue 54,411   (2,197)  —   —   —   —   52,214 
Sales and marketing expense 64,619   (2,403)  —   —   —   —   62,216 
Research and development expense 46,324   (3,735)  —   —   —   —   42,589 
General and administrative expense 33,670   (3,554)  (6,948)  (2,055)  (302)  —   20,811 
Total operating expense 144,613   (9,692)  (6,948)  (2,055)  (302)  —   125,616 
Operating income 3,156   11,889   6,948   2,055   302   —   24,350 
Non-operating income (84)  —   —   —   —   (848)  (932)
Income tax impact of above items 593   507   —   —   —   199   1,299 
Net (loss) income (1,525)  11,382   6,948   2,055   302   649   19,811 
Net (loss) income per share, basic(c)$(0.02) $0.15  $0.09  $0.03  $—  $0.01  $0.27 
Net (loss) income per share, diluted(a,c)$(0.02) $0.15  $0.09  $0.03  $—  $0.01  $0.27 
              
Three Months Ended March 31, 2025      
Subscriptions cost of revenue$18,521  $(498) $—  $—  $—  $—  $18,023 
Professional services cost of revenue 25,519   (1,456)  —   —   —   —   24,063 
Total cost of revenue 44,040   (1,954)  —   —   —   —   42,086 
Sales and marketing expense 56,310   (2,246)  —   —   —   —   54,064 
Research and development expense 41,830   (3,014)  —   —   —   —   38,816 
General and administrative expense 25,080   (2,825)  (1,712)  (3,084)  (312)  —   17,147 
Total operating expense 123,220   (8,085)  (1,712)  (3,084)  (312)  —   110,027 
Operating (loss) income (834)  10,039   1,712   3,084   312   —   14,313 
Non-operating (income) expense (5,716)  —   —   —   —   4,016   (1,700)
Income tax impact of above items 741   455   —   —   —   (267)  929 
Net (loss) income (1,177)  9,584   1,712   3,084   312   (3,749)  9,766 
Net (loss) income per share, basic(c)$(0.02) $0.13  $0.02  $0.04  $—  $(0.05) $0.13 
Net (loss) income per share, diluted(b,c)$(0.02) $0.13  $0.02  $0.04  $—  $(0.05) $0.13 
                            
(a)Accounts for the impact of 0.6 million shares of dilutive securities.
(b)Accounts for the impact of 0.4 million shares of dilutive securities.
(c)Per share amounts do not foot due to rounding.
 


 Three months ended March 31,
  2026   2025 
Reconciliation of adjusted EBITDA:   
GAAP net loss$(1,525) $(1,177)
Other income, net (84)  (5,716)
Interest expense 4,172   5,318 
Income tax expense 593   741 
Depreciation expense and amortization of intangible assets 2,273   2,446 
Stock-based compensation expense 11,889   10,039 
Litigation Expense 6,948   1,712 
JPI Amortization 2,055   3,084 
Lease Impairment and Lease-Related Charges 302   312 
Adjusted EBITDA$26,623  $16,759 
        

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