NICE Q2 Revenue Guidance Misses By $11.4M Despite Q1 EPS Beat
NICE posted first-quarter adjusted EPS of $2.64, beating estimates by $0.12, and revenue rose 9.8% year-over-year to $768.6 million. The company forecast second-quarter revenue of $761–$771 million, missing consensus by $11.4 million and sending shares down over 9%.
1. First-Quarter Financial Results
NICE delivered adjusted earnings per share of $2.64, surpassing the $2.52 estimate, while revenue climbed 9.8% year-over-year to $768.6 million, led by robust demand across its cloud software offerings.
2. Second-Quarter Revenue Guidance and Stock Reaction
The company projected second-quarter revenue between $761 million and $771 million, below the $777.4 million consensus, which triggered a more than 9% drop in premarket trading as investors reacted to the shortfall.
3. Cloud and AI Segment Growth
Cloud revenue increased 14.6% to $603.4 million, and AI annual recurring revenue surged 66% year-over-year, underscoring strong momentum in its AI-native customer experience platform despite the softer overall outlook.
4. Full-Year Outlook and Share Repurchases
NICE maintained full-year revenue guidance at $3.17–3.19 billion and raised adjusted EPS guidance to $10.98–$11.18, while repurchasing approximately $253 million of shares during the quarter to support shareholder returns.