Amplitude (AMPL) Q3 2026 Earnings Call Transcript

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DATE

Wed, Nov. 4, 2026

CALL PARTICIPANTS

• Investor Relations – John Streppa
• Co-founder and Chief Executive Officer – Spenser Skates
• Chief Financial Officer – Andrew Casey

TAKEAWAYS

• Revenue — $110.6 million, up 25% year over year, reflecting strong execution in the enterprise segment and platform expansion.
• Annual Recurring Revenue — $431 million, a 24% year-over-year increase, driven by core product growth and the integration of Statsig.
• Net New ARR — $21 million sequentially, comprising $15 million from Amplitude and $6 million from the Statsig business.
• Non-GAAP Operating Income — $5.7 million, representing a 5% margin, which is the highest quarterly profitability in the company’s history.
• Enterprise Customer Count — 855 customers with over $100,000 in ARR, up 31% year over year.
• Remaining Performance Obligations — $497 million, an increase of 27% year over year.
• Current RPO — Up 28% year over year, indicating strong near-term revenue visibility.
• Non-GAAP Gross Margin — 69.6%, down from 75.9% in the prior year, due to increased data ingestion rates and inference costs associated with AI tools.
• Net Dollar Retention — 105% on a pro forma basis, supported by cross-sell expansions across the combined Amplitude and Statsig customer base.
• Free Cash Flow — $5.8 million, or 5% of revenue, an increase from $3.4 million in the third quarter of 2025.
• Multi-product Adoption — 50% of customers utilize multiple products, with this cohort contributing 81% of total ARR.
• Five-product Cohort — 29% of ARR is generated by customers using five or more products.
• Sales and Marketing Expenses — 34% of revenue, down from 43% year over year, reflecting ongoing efforts to drive sales productivity.
• G&A Expenses — 11% of revenue, a decrease from 13% in the prior year, due to improved organizational efficiency.
• R&D Expenses — 20% of revenue, up one percentage point year over year, as the company prioritized AI product innovation.
• Pricing and Packaging — 38% of total ARR has migrated to the new pricing model, which accounted for 90% of third-quarter transactions.
• Data Ingestion — Utilization rates reached 90% versus contract entitlement, positioning the company for potential future upsells.
• Agent Analytics Adoption — Over 125 customers began using the product within one month of its August launch.
• Cash and Marketable Securities — $155 million at the end of the quarter.
• Q4 2026 Guidance — Revenue is expected between $110.8 million to $113.2 million, representing 23% growth at the midpoint.
• Full Year 2026 Guidance — Revenue is projected between $415.8 million to $418.2 million, an annual growth rate of 21% at the midpoint.
• Non-GAAP Net Income Per Share — $0.04 per diluted share, up from $0.02 in the third quarter of 2025.

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RISKS

• Casey noted that the cost to serve has increased as demand for AI services has occurred ahead of potential monetization.
• Skates indicated that the rise of sophisticated AI models has led to more complex third-party security threats, stating, “I think it’s just a wake-up call for all of us now that these models are sophisticated enough where you can have an individual that can run a bunch of rogue swarms of agents to attack a company.”
• Casey acknowledged that the Statsig hosting environment was initially unoptimized following the acquisition, requiring a new long-term contract with Google to stabilize costs.

SUMMARY

Amplitude, Inc. (AMPL -3.43%) reported record quarterly non-GAAP profitability and 25% revenue growth as the company transitioned toward an AI-native platform strategy. Management reported that the integration of Statsig and the launch of new AI-focused products like Agent Analytics are driving significant enterprise interest and multi-product adoption. The company achieved its highest operating margin to date at 5%, while also migrating 38% of its total ARR to a new pricing and packaging model. Management stated that the focus remains on consolidating legacy point solutions into its unified platform and assisting large organizations through their AI maturity transformations.

• The company is launching Wave, an agentic product team that automatically identifies improvement opportunities and proposes code changes based on user behavior data, next week.
• Vijaye Raji, the founder of Statsig and current CTO of applications at OpenAI, has joined the company’s board of directors following the successful integration of Statsig’s experimentation tools.
• CEO Skates noted that the amount of code being generated is growing sixfold per year, while the length of tasks handled by AI is growing sevenfold per year.
• Management highlighted a success case with HYBRD, an AI fitness coach, which used Agent Analytics to find that users engaging with its AI agent retained four times higher than those who did not.
• CFO Casey indicated that the company is currently evaluating adding sales capacity in key markets for fiscal 2027 where demand is currently outstripping existing investment.
• The company used its own Agent Analytics to test an open-weight model for its global agent, matching the quality of leading frontier models at approximately one third of the cost.

INDUSTRY GLOSSARY

• Agent Analytics: A tool that scores and analyzes AI agent conversations to identify failure patterns and connect performance to business outcomes.
• ARR: Annual Recurring Revenue, the value of subscription agreements at a point in time.
• Headless Amplitude: A developer-focused offering that brings user context directly into AI tools and large language models.
• MCP: Model Context Protocol, an open standard allowing AI models to access and utilize external data sets.
• NRR: Net Dollar Retention, a measure of revenue growth or contraction from an existing customer cohort over 12 months.
• RPO: Remaining Performance Obligations, representing the total contracted revenue not yet recognized.
• Statsig: An experimentation and A/B testing platform acquired by Amplitude to enhance its product optimization capabilities.
• Wave: An AI-driven product context layer that proactively surfaces opportunities and measures the impact of product changes.

Full Conference Call Transcript

John Streppa: With that, I will hand the call over to Spenser.

Spenser Skates: Thank you, John. Good afternoon, everyone. Welcome to Amplitude’s third quarter 2026 earnings call. Today, I will cover three things. First, our Q3 results. Second, how we have transformed Amplitude into an AI company and why every company I talk to now wants to learn how they can do the same. Third, a look at our product and a spotlight on our customers. Let me start with the numbers. Q3 revenue was $111 million, up

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