- AI Product ARR Growth AI product ARR reached nearly $200 million, driven by agentic automation, with 25% YoY growth in high-ARR customers (spending 3x more than non-buyers).
- ARR and Revenue Expansion Total ARR hit $1.853 billion (+11% YoY), with $1.2 billion in cloud ARR (+20% YoY), and FY 2026 revenue of $1.611 billion (+13% YoY).
- Customer Retention & Expansion 90% of high-ARR customers ($1M+) use AI products, with dollar-based net retention at 107% and 97% gross retention, plus 357 customers with ARR over $1 million.
- Profitability & Cash Flow FY 2026 GAAP operating income of $57 million and non-GAAP $370 million, with $372 million in adjusted free cash flow and $1.7 billion in cash reserves.
- 2027 Guidance & Strategic Targets FY 2027 revenue guided at $1.754B–$1.759B, ARR at $2.051B–$2.056B, and non-GAAP operating income of $415 million, with a 30% long-term margin target.
AI Product Momentum
AI ARR surged to nearly $200 million this quarter, driven largely by agentic automation. Customers with AI adoption spend three times more than non‑adopters, and the customer base above $100,000 in ARR grew 25% YoY. Daniel Dines highlighted that enterprises are not just buying code but trust and operability, positioning UiPath’s agentic platform as central to large customers’ digital roadmaps.
Customer Expansion & Retention
The installed base now exceeds 10,750 customers, with 90% of those over $1 million in ARR using AI products. Dollar‑based gross retention hit 97%, and net retention adjusted for FX stood at 107%. New enterprise logos—including Enterprise Products Partners and a U.S. construction firm—plan to broaden their use of agentic capabilities across loan origination and mortgage operations.
Margin Outlook
FY27 guidance projects a non‑GAAP gross margin of approximately 84%, with operating income expected to rise to $415 million. The company anticipates a modest 1% headwind from the SaaS shift, but it remains confident that AI and agentic solutions will offset this impact. Ashim Gupta emphasized that the subscription‑based hybrid model will continue to drive margin resilience.
Cash Position & Free Cash Flow
UiPath ended Q4 with $1.7 billion in cash, cash equivalents, and marketable securities, and no debt, providing a free‑cash‑flow yield of 6.34%. Adjusted free cash flow for the year reached $372 million, and FY27 guidance projects $425 million, underscoring the firm’s strong liquidity and investment capacity.
Strategic Focus & Guidance
CEO Daniel Dines reiterated a focus on vertical solutions and process orchestration, while CFO Ashim Gupta highlighted the importance of AI, agentic automation, and a disciplined go‑to‑market cadence. FY27 revenue is projected at $1.754‑$1.759 billion, with ARR of $2.051‑$2.056 billion, marking a significant milestone in the company’s journey toward $2 billion ARR and a 30% non‑GAAP operating margin target within three years.