September 9, 2026
Oliver Roll
Chief Marketing & Communications Officer
Scott Beck
Chief Executive Officer, Co-Founder
Paul Seamon
Chief Financial Officer
Pat Gelsinger
Head of Technology, Executive Chair
Oliver Roll - Introduction
Thank you operator. And thank you to all of you for joining our fiscal second quarter earnings conference
call. We will be discussing Gloo’s performance for the second quarter ended July 31st, 2026, as well as
providing guidance for our Q3 and full year 2026.
Joining me on today’s call are CEO and co-founder Scott Beck, and CFO Paul Seamon. Our Executive
Board Chair and Head of Technology, Pat Gelsinger will also join the Q&A session.
Before we begin, please be reminded that this call will contain forward-looking statements, including
statements related to our business, future growth, strategic initiatives, key priorities and our financial
outlook for Q3 and fiscal year 2026. These statements are based on Gloo’s current expectations, but are
subject to risks and uncertainties relating to future events and/or the future financial performance of Gloo.
Gloo assumes no obligation to update or revise them, whether as a result of new developments or
otherwise.
Actual results could differ materially from those anticipated in these forward-looking statements. A
discussion of some of the risks that could cause actual results to differ materially from our forward-looking
statements can be found in today’s press release, and are disclosed under the caption “Risk Factors” and
elsewhere in our filings with the Securities and Exchange Commission, including our annual report on Form
10-K for the fiscal year ended January 31, 2026 and in our subsequent quarterly reports on Form 10-Q.
Our SEC filings are also available on Gloo’s investor relations website at investors.gloo.com and the SEC’s
website.
In addition, during today's call, we will discuss certain non-GAAP financial measures, including Adjusted
EBITDAs. We use non-GAAP measures in some of our financial discussions, as we believe they provide
valuable insights on our operational performance and underlying operating results. These non-GAAP
financial measures should be considered in addition to, not as a substitute for or in isolation from, our
GAAP results. Reconciliations of these non-GAAP metrics to the most directly comparable GAAP metrics,
as well as the definitions of each measure, their limitations and our rationale for using them, are included in
today’s press release and will be included in our Form 10-Q to be filed for the quarter ended July 31, 2026.
And now, I will turn the call over to Scott.
Scott Beck - Q2 2026 Earnings Overview
Thank you Oliver, and thank you for joining us today.
Q2 was another solid quarter, with revenue increasing 188% year-over-year to $46.6 million Since
becoming a public company, we’ve been able to improve our financial performance every quarter. We
have met or exceeded guidance each time and are raising our full year revenue guidance once again. Our
progress continues to demonstrate that our strategy and our execution is on track.
One of the key drivers is our leadership in Applied AI for the faith and flourishing ecosystem. This
strengthens every layer of our platform—from trusted AI capabilities like Gloo AI Studio, to AI-powered
solutions like Gloo 360, to helping customers transform their organizations through agentic workflows.
Our approach to Applied AI reflects a broader shift in how AI-native companies are creating value. We are
increasingly delivering the work and the outcomes our customers need, rather than simply providing a
better tool. As AI models improve, that work becomes faster and more efficient to deliver, creating greater
value for customers and expanding operating margins for Gloo. That makes continued advancements in
the frontier models a powerful tailwind to our overall strategy and growth. When the models get better, we
get better.
We are seeing that in our customer momentum. Customers are trusting Gloo with more of their technology
and growth needs. They are engaging with more solutions across our platform, as well as adopting
capabilities that we have added through acquisitions. All of this is translating into strong topline growth
while we continue to operate with cost discipline and make meaningful progress toward Adjusted EBITDA
profitability.
Since becoming a public company, we’ve improved Adjusted EBITDA every quarter, and continue to
approach break-even in Q3 and are committed to achieving Adjusted EBITDA profitability in Q4. Our
full-year guidance more than doubles revenue in 2026 year-over-year, while holding operating expenses
approximately flat in absolute dollars. To support that growth and profitability trajectory, we completed
meaningful cost actions in Q2, building on the actions that we took last year. We are demonstrating that
we can integrate new capabilities, meet significantly greater customer demand and grow revenue without
building a proportionately larger cost base.
Powering Tech, Powering Reach with Applied AI
Behind these results is a large, growing, fragmented and underserved market. According to Kentley
Insights, faith-based organizations generated over $265 billion in revenue in 2025, that’s up 8.2% from
$245 billion in revenue in 2024, roughly double the pace of U.S. GDP growth. At the same time,
organizations are under increased pressure to modernize technology, operate more efficiently, strengthen
donor development and scale their missions.
Our customer needs align directly with our strategy to Power Technology and to Power Reach with Applied
AI. Powering Technology helps organizations modernize their systems, data and workflows so they can
spend more time focusing on their mission. Powering Reach helps organizations strengthen marketing and
engagement, expand awareness and build the donor relationships that fund their missions so they can
increase their impact in the world. Underpinning both is our leadership in Applied AI for the faith and
flourishing ecosystem. Organizations are choosing us because they want a trusted partner that can deliver
better outcomes with the resources they already have. That is exactly where Gloo is positioned to add
value.
Customer Momentum
The people and organizations that we serve are amazing. They are changing lives for good and
transforming communities in thousands of different ways around the country and around the world. These
strategic customer relationships matter. We are closing larger, more strategic relationships that expand
both the value we deliver and the markets we serve.
We now have more than 30 customers representing over $1 million each in annual contract value.
In Q2, we reached another important milestone with our first customer exceeding $10 million in annual
contract value. In addition, with the acquisition of Cedarstone, we have added over 250+ net new mid
market NCPs or customers who are well positioned for cross selling.
We have also expanded further into social-service and youth-serving organizations, where our technology,
engagement and donor-development capabilities lift the technological burdens and help them scale.
There are many people and youth in this country who are struggling, and these organizations are making
an enormous difference in their lives and are better able to serve them in partnership with Gloo.
These relationships create significant long-term growth opportunities as customers adopt more of the
Gloo platform.
Universities continue to emerge as a strong growth vertical, with over forty universities in our current client
portfolio. Universities face many of the same challenges we see across the broader ecosystem:
they have complex technology environments and fragmented data, they have pressure to operate more
efficiently, they need to increase enrollment and they need to strengthen donor development. Those needs
align very well with our platform capabilities. We’ve added and expanded several university relationships
during the quarter and have a strong pipeline of additional opportunities ahead.
We are not only adding customers. We are also deepening the relationships we already have. In this
market, trusted relationships are non-negotiable. Each Capital Partner we add to our platform brings its
own deep, trusted customer relationships into Gloo. This creates an increasingly powerful ripple effect
within our customers and within segments.
This supports our overall strategy that we call land-expand-expand. This means once we land with a
customer, we not only expand with that specific customer, but we expand across the segment as well. For
example, we already have many of our million-dollar-plus customers adopting solutions from multiple Gloo
business units and Capital Partners. This is an important indicator of the opportunity that lies ahead.
Applied AI
AI is another strong tailwind for Gloo. More organizations are turning to us to apply AI in practical ways
that advance their mission, grow their revenue and make their operations more efficient. We are bringing
the power of agentic workflows to organizations in areas like donor engagement, help-desk automation,
project management and many more. These are tangible applications of AI that also give customers
better insights into their enterprises, while reducing repetitive administrative work and allowing them to
focus more on their mission-aligned outcomes.
Importantly, as we increasingly deliver the work itself, we rapidly embrace the AI model improvements to
even more efficiently deliver the work. Through our forward-deployed engineering model, we work
alongside customers to solve specific operational challenges and then we turn what works into capabilities
that can scale across the ecosystem.
On September 8, the company announced Gloo Code, a new agentic building capability within Gloo AI
Studio that helps developers get more from their tokens by pairing purpose-built agents with the right
models for each task. Developers will have the opportunity to use Gloo Code at our annual Gloo AI
Hackathon in October, when we expect hundreds of developers to build new applications for the faith and
flourishing ecosystem.
Acquisitions
Our acquisition strategy is a core part of building a stronger, more durable company. Since becoming a
public company, we have completed five additional acquisitions: Westfall Gold, XRI, Enterprise Marketdesk
(EMD), our remaining ownership stake in Midwestern Interactive and Cedarstone—with EMD closing in Q2
and Midwestern and Cedarstone, which closed in Q3.
Cedarstone is a good example of the cross-sell opportunity we discussed earlier, with Masterworks
providing a natural channel to bring Cedarstone’s capabilities to more customers. Each one adds
capabilities, expertise, customer relationships or market access that strengthens the broader Gloo
platform. As we integrate them, we create new growth opportunities and reduce duplication as we
integrate their operations.
Our acquisition synergies are working. They improve revenue, financials and expand what we can do for
customers while driving synergies across our platform. This is a powerful flywheel that will ultimately drive
meaningful profitability for Gloo.
When I look at Q2, I see significant momentum. Our market is massive, growing and technologically
under-served. Our largest relationships are getting bigger and broader. New verticals are opening up.
Applied AI is moving into meaningful operational workflows. The capabilities we have added across Gloo
are increasingly working together as one platform. We still have a lot of work ahead of us, but we believe
the direction of the business is clear and strong.
We are building the leading technology platform, including our capital partners and business units, for the
faith and flourishing ecosystem and we are demonstrating that we can grow that platform with increasing
operating leverage. We will remain focused on execution through the second half of the year and
delivering on our commitment to achieving Adjusted EBITDA profitability in Q4.
With that, I’ll turn it over to Paul to walk through our financial results in more detail.
Paul Seamon - Financial Review
Thank you Scott.
Q2 2026 Financial Results
Our momentum continued in the second quarter as we exceeded both revenue and Adjusted EBITDA
guidance, with strong year-over-year growth from both our Powering Tech and Powering Reach
businesses.
Q2 revenue was $46.6 million, up 188% from the same period last year, and 12% sequentially from Q1. Year
over year growth was driven by Gloo 360 and Workspace, as well as acquisitions including Masterworks,
Westfall and EMD. As we continue to strengthen our platform with new capabilities, we are seeing strong
cross-sell momentum across our products and solutions.
Our leadership in Applied AI enables us to deliver essential business outcomes to our customers. We are
delivering the work, rather than just a software tool they have to manage. In fact, our Platform Solutions
are helping customers reduce the number of software tools they have to license and pay for. This is driving
strong revenue growth in Platform Solutions, at $22.9 million in Q2 2026, up 209% from $7.4 million in Q2
of last year. This was driven by Masterworks, Westfall Group and EMD. Platform revenue totaled $23.6
million in Q2 2026, an increase of 170% from $8.7 million in Q2 of last year. This was driven by Gloo 360,
Masterworks and Workspace.
Cost of revenue in the quarter was 64.0% of total revenue, an improvement of 10.8 percentage points from
74.8% in the prior year period. This significant improvement was driven by increased scale across our
businesses as well as a favorable shift in mix from our acquisitions over the past year. We expect
incremental improvement to continue.
Adjusted EBITDA improved $3.2 million sequentially to negative $8.3 million. This improvement reflects
revenue growth across our businesses, along with cost restructuring actions we completed in the quarter to
integrate our acquisitions and streamline our corporate services.
Also note that general and administrative expenses in Q2 included an impact from the Cederstone
acquisition, which closed in August. As we’ve previously stated, we do not adjust for these costs in our
non-GAAP results.
In the quarter, we took a $4.4 million restructuring charge primarily for severance costs related to the
integration of our business lines. While we will always seek opportunities to improve our cost structure, we
believe the business is in a strong position to continue our focus on growth. We are investing in adding sales
people to drive our topline in the coming quarters.
In the quarter, we completed a successful follow-on offering raising $23.7 million of additional capital net of
underwriting fees, commissions and offering expenses. As of July 31th, 2026, we had $39.3 million of cash
and cash equivalents. Last week, we extended the term of our senior secured loan of $13.2 million by one
year to April 2028, providing us additional flexibility in 2027.
2026 Outlook
I'd like to now turn to our full year 2026 and Q3 outlook. We are increasing our full-year 2026 revenue
outlook by $5 million to $200 million, inclusive of the Cedarstone acquisition. We expect revenue to be $55
million in the third quarter and Adjusted EBITDA to narrow to negative $3.5 million, a nearly $5 million
improvement over the second quarter.
We expect the third quarter to provide a significant step up in our performance as it is the strongest
advertising and fundraising season for Masterworks and Westfall Group. We continue to expect Adjusted
EBITDA to reach profitability in Q4 2026 as we maintain cost discipline. One other item to note, for Q3, we
expect a weighted average share count of approximately 90 million shares.
With that, I’ll turn it back to the operator to take your questions.
Scott Beck - Closing
Thanks everybody for joining in today's call. I just want to make a few final comments before we close.
First, I’m super pleased with the progress that we're making across the board—the maturity of the
organization, the organizations that we've been able to acquire—I'm just super pleased with the progress.
As a reminder, this is such a large, fragmented market and as I said earlier, it remains significantly
underserved by technology.
Our existing customers are growing and our verticals are continuing to expand. The universities are a great
example—we're up to 40+ that we're serving. A lot of the expansion is being accelerated by the great
Capital Partners that we've got. We couldn't be more proud of the Capital Partners and their
organizations. We named quite a few today, but there's fifteen more that are also doing a great job. They
bring great expertise and trusted relationships.
From a business standpoint, the opportunity in front of us is really significant. But there's another bottom
line that matters to us as well—the missional impact the organizations we work with are serving and helping
every day. These organizations that we serve, they're changing lives every day and it's an honor to serve
them. I can't say enough about the work that they do.
In fact, if you look at it, faith-aligned organizations are estimated to provide about 40% of the vital human
services across large U. S. cities. A few examples of the organizations that we serve: The rescue missions
that served over 10 million meals last year alone. We serve some of the largest rescue missions in the
United States. In addition, those same rescue missions are helping people escape from human
trafficking—these are real stories of life change based on the organizations that we see serve.
The campus ministries that we serve are active on thousands of campuses throughout the United States
and they're reaching hundreds of thousands of students each year.
The churches that we're serving are active in their communities as well. It's not well known, but there's over
a hundred thousand churches in the United States that have embedded recovery programs helping people
find freedom from addiction all across the board.
That's why I'm so excited about both of the bottom lines: We have an opportunity to build a powerful,
durable, economic enterprise that creates great long-term value for our shareholders. At the same time,
we get to strengthen organizations that are transforming lives and making changes in communities every
day.
That's ultimately what Gloo is about—building a strong economic enterprise that helps people flourish and
helps organizations thrive so that they can do more of what they're uniquely called to do.
Thanks for taking time to join us today. May God bless you. May God bless the people that we serve, the
organizations we serve, and also the work ahead of us.
Thank you for joining us today and thank you, Operator.
