On Wednesday after the stock market closed, the company specializing in Artificial Intelligence, C3.ai, opened its books and delivered mixed results. While the total revenue for the first quarter of the fiscal year 2024/2025 saw a solid growth of 21 percent with $87.213 million, the subscription revenues fell short of expectations. These important recurring revenues amounted to $73.5 million, significantly below the projected $79.2 million.

Particularly critical is the negative operating result of minus 72.586 million US dollars, which was only slightly better than the previous year. The net loss also remained high at 62.827 million US dollars, raising doubts about the company's long-term profitability. Despite the slight decrease in losses, the operating margin remains under pressure.

However, the cash flow figures stood out positively: The free cash flow turned positive and reached $7.118 million, while the operating cash flow rose to $8.042 million. Nevertheless, cash and cash equivalents decreased to $133.820 million, compared to $167.146 million in the previous quarter.

The Investors Reacted Negatively to Overall Weak Subscription Numbers and Continued Negative Results.