Braze shares tumble after-hours despite earnings beat as profit outlook weighs

  • Braze shares fell more than 13% after fiscal second-quarter results beat analyst expectations.
  • Braze forecast third-quarter adjusted EPS of $0.13 to $0.14, below the $0.16 consensus.
  • Braze raised fiscal 2027 revenue guidance to $910 million-$913 million.

Braze reported fiscal second-quarter revenue of $227.2 million and adjusted earnings of $0.19 per share, exceeding the $220.3 million and $0.15 analyst estimates cited in the latest results. Revenue increased 26% year over year, while net loss narrowed to $18.9 million. Shares fell more than 13% in after-hours trading as third-quarter adjusted EPS guidance of $0.13 to $0.14 came in below the $0.16 consensus, overshadowing revenue guidance of $229 million to $230 million. Braze lifted fiscal 2027 revenue guidance to $910 million-$913 million and adjusted EPS guidance to $0.64-$0.65. Customer growth, AI adoption and record free cash flow supported the quarter, while premium messaging costs, new hiring and near-term event expenses pressured margins.

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