Kinaxis Inc. Reports Record Fourth Quarter 2025 Results

Q4 SaaS revenue grows 19% as record incremental bookings fuels ARR 3 growth of 20% and an RPO balance approaching $1 billion Delivered record Q4 profit and adjusted EBITDA 2 , adjusted EBITDA margin 2 up to 26% as operating leverage improves Fiscal 2025 SaaS revenue growth hits 17% and Adjusted EBITDA margin 2 rises to 25%, demonstrating ongoing balance between strong growth and profitability OTTAWA, Ontario--(BUSINESS WIRE)-- Kinaxis ® (TSX:KXS), a global leader in end-to-end supply chain orchestration, reported record results for its fourth quarter ended December 31, 2025. All amounts are in U.S. dollars. All figures are prepared in accordance with IFRS Accounting Standards (IFRS) unless otherwise indicated. “Our team delivered a record fourth quarter and fiscal 2025. The results demonstrate the growing need for organizations to manage unprecedented levels of volatility in demand and supply with Maestro, our market-leading AI-enabled supply chain planning, decision-making and orchestration platform,” said Razat Gaurav, chief executive officer at Kinaxis. “Our improved focus on large, global organizations that run complex supply chains is paying off, including new wins with leaders in semiconductors, data storage, oil and gas, among others. We also had a record year expanding with our installed base, reflecting enhanced focus and execution in that key go-to-market motion and a much broader set of capabilities in Maestro. Our customers are strategically partnering with Kinaxis to reimagine their supply chain planning, leverage state-of-the-art data and semantic architectures, and rapidly innovate with our composable agentic orchestration capabilities.” Q4 2025 Highlights $ USD thousands, except as otherwise indicated Q4 2025 Q4 2024 Change Total Revenue (constant currency 2 ) 144,235 140,786 123,935 16% 14% SaaS (constant currency 2 ) 97,153 94,974 81,856 19% 16% Subscription term licenses 1,716 1,592 8 % Professional services 39,951 35,092 14 % Maintenance and support 5,415 5,395 —% Gross profit Margin 94,259 65% 75,102 61% 26% Profit (loss) Per diluted share 19,501 $0.68 (16,316) $(0.58) — (1) Adjusted EBITDA 2 Margin 37,575 26% 31,462 25% 19% Cash flows from operating activities 29,942 24,117 24% (1) The Percentage change has been excluded as it is not meaningful. (2) “Adjusted EBITDA” and constant currency metrics are non-IFRS measures that are not a recognized, defined or standardized measure under IFRS. These measures as well as any other non-IFRS financial measures reported by Kinaxis are defined in the “Non-IFRS Measures” section of this news release. FY 2025 Highlights $ USD thousands, except as otherwise indicated FY 2025 FY 2024 Change Total Revenue (constant currency 2 ) 548,030 540,204 483,111 13% 12% SaaS (constant currency 2 ) 362,427 357,501 309,243 17% 16% Adjusted EBITDA 2 Margin 138,370 25% 106,085 22% 30% Key Performance Indicators The company’s Annual Recurring Revenue 3 (ARR), which includes subscription amounts related to both SaaS and on-premise contracts, rose 20% to $433 million at the end of the quarter (18% growth in constant currency 2) . $USD millions Q4 2025 Q4 2024 Change Annual recurring revenue 3 433 360 20 % (3) Annual Recurring Revenue (ARR) is the total annualized value of recurring subscription amounts (ultimately recognized as SaaS, Subscription term licenses and Maintenance and support revenue) of all subscription contracts at a point in time. Annualized subscription amounts are determined solely by reference to the underlying contracts, normalizing for the varying revenue recognition treatments under IFRS 15 for cloud-based versus on-premise subscription amounts. It excludes one-time fees, such as for non-recurring professional services, and assumes that customers will renew the contractual commitments on a periodic basis as those commitments come up for renewal, unless such renewal is known to be unlikely. We believe that this measure provides a more current indication of our performance in the growth of our subscription business than other metrics. The nature of the company’s long-term contracts provides visibility into future, contracted revenue. The following table presents revenue expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) at December 31, 2025. $USD millions 2026 2027 2028 and later Total SaaS 374.5 273.0 254.6 902.1 Maintenance and support 20.3 16.4 10.6 47.3 Subscription term licenses 18.1 3.4 0.3 21.8 Total 412.9 292.8 265.5 971.2 Financial Guidance Kinaxis is initiating its fiscal 2026 financial guidance, as follows. FY 2026 Guidance Total revenue $620-635 million SaaS revenue growth 17-19% growth Adjusted EBITDA 2 margin 25-26% “2025 was an outstanding year for Kinaxis, both from a growth and profitability perspective. We roughly doubled the number of wins with large enterprise customers and saw over 100 software deals above $1 million in total software contract value and more than 20 deals above $1 million in average annual software contract value. We exited the year with ARR growing 18% in constant currency versus 14% last year, which creates an opportunity for momentum in SaaS revenue and Adjusted EBITDA margin in 2026, even as we make important investments in AI and in our high-performing go-to-market organization,” said Blaine Fitzgerald, chief financial officer at Kinaxis. Guidance in this press release is provided to enhance visibility into Kinaxis’ expectations for financial targets for the periods indicated. Please refer to the section regarding forward-looking statements that forms an integral part of this release. This press release along with the financial statements and MD&A for the quarter ended December 31, 2025 are available on Kinaxis’ website and on SEDAR+ at www.sedarplus.ca. Conference Call Kinaxis will host a conference call tomorrow, March 5, 2026, to discuss these results. Razat Gaurav, chief executive officer, and Blaine Fitzgerald, chief financial officer, will host the call starting at 8:30 a.m. Eastern Time. A question and answer session will follow management's presentation. DATE: Thursday, March 5, 2026 TIME: 8:30 a.m. Eastern Time WEBCAST https://events.q4inc.com/attendee/567578009 (available for three months) About Kinaxis Inc. Kinaxis is a global leader in modern supply chain orchestration, powering complex global supply chains and supporting the people who manage them. Our powerful, AI-infused supply chain orchestration platform, Maestro™, combines proprietary technologies and techniques that provide full transparency and agility across the entire supply chain — from multi-year strategic planning to last-mile delivery. We are trusted by renowned global brands to provide the agility and predictability needed to navigate today’s volatility and disruption. For more news and information, please visit kinaxis.com or follow us on LinkedIn. Non-IFRS Measures This press release makes reference to Adjusted Profit and Adjusted EBITDA, which are non-IFRS financial measures, as well as Adjusted EBITDA margin which expresses Adjusted EBITDA as a percentage of revenue. Adjusted Profit, Adjusted EBITDA and Adjusted EBITDA margin are not recognized, defined or standardized measures under IFRS. We use these measures to provide investors with supplemental information on our operating performance and to highlight trends in our core business that may not otherwise be apparent when relying solely on IFRS financial measures. We believe that securities analysts, investors and other interested parties frequently use non-IFRS measures in the evaluation of issuers. Providing these non-IFRS measures provides useful information because they portray the financial results of the Company before certain expenses that do not impact the ongoing operating decisions taken by management. Management also uses non-IFRS measures in order to facilitate operating performance comparisons from period to period, prepare annual operating budgets and assess our ability to meet our capital expenditure and working capital requirements, and to determine components of employee compensation. Adjusted Profit represents profit adjusted to exclude our equity compensation plans, special charges, and restructuring expenses. Adjusted EBITDA represents profit adjusted to exclude our equity compensation plans, special charges, restructuring expenses, income tax expense, depreciation and amortization, foreign exchange loss (gain) and net finance (income) expense. Adjusted EBITDA margin expresses Adjusted EBITDA as a percentage of revenue. Our definitions of Adjusted Profit, Adjusted EBITDA and Adjusted EBITDA margin will likely differ from those used by other companies (including our peers) and therefore comparability may be limited. Non-IFRS measures should not be considered a substitute for or in isolation from measures prepared in accordance with IFRS. Investors are encouraged to review our financial statements and disclosures in their entirety and are cautioned not to put undue reliance on non-IFRS measures and view them in conjunction with the most comparable IFRS financial measures. Kinaxis has reconciled Adjusted Profit and Adjusted EBITDA to the most comparable IFRS financial measure as follows: Three months ended December 31, Year ended December 31, 2025 2024 2025 2024 (In thousands of USD) (In thousands of USD) Profit (loss) 19,501 (16,316 ) 70,699 56 Share-based compensation 9,263 10,228 39,015 39,581 Special charges (1) — 18,191 — 21,365 Restructuring expenses (2) — (71 ) — 7,249 Adjusted profit 28,764 12,032 109,714 68,251 Income tax expense 7,329 17,068 22,187 25,096 Depreciation and amortization 4,586 6,046 19,847 24,928 Foreign exchange gain (356 ) (927 ) (2,561 ) (682 ) Net finance income (2,748 ) (2,757 ) (10,817 ) (11,508 ) 8,811 19,430 28,656 37,834 Adjusted EBITDA 37,575 31,462 138,370 106,085 Adjusted EBITDA as a percentage of revenue 26 % 25 % 25 % 22 % Note: (1) Costs associated with business transformation activities. (2) Costs associated with the restructuring initiative We also present certain IFRS measures, SaaS revenue and total revenue, and non-IFRS supplementary measures, ARR, under constant currency. We believe that presenting these measures under constant currency provides a useful framework for assessing estimates of how our business would have performed excluding the effect of foreign currency rate fluctuations. The presentation of financial results under constant currency is considered to be a non-IFRS measure and does not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies (including our peers). For SaaS revenue and total revenue under constant currency, results for entities reporting in currencies other than U.S. Dollars (“USD”) are converted into USD at the average exchange rates in effect during the comparison period, rather than the actual average exchange rates in effect during the current period. For constant currency ARR, we convert all non-USD-denominated recurring subscription amounts at the exchange rates in effect at the end of the comparison period, rather than the exchange rates in effect at the end of the current period. The outlook for constant currency SaaS revenue growth rate is derived by applying the average exchange rates in effect during the comparison period rather than the exchange rates expected during the guidance period. We believe the presentation of the above results and metrics, and applicable related growth rates, adjusted for constant currency facilitates the corresponding year‑over‑year comparisons. Forward-Looking Statements Certain statements in this release constitute forward-looking statements, future-oriented financial information and financial outlook within the meaning of applicable securities laws. Forward-looking statements, future-oriented financial information and financial outlook include statements as to our expectations for: growth of annual total revenue, annual SaaS revenue growth, and our expectations for Adjusted EBITDA margin achievement, in each case looking forward for our fiscal year ending December 31, 2026; SaaS growth and increased profitability in years beyond 2026; and contracted revenue in future periods, including 2026, 2027 and 2028 and later. This release also includes forward-looking statements as to Kinaxis’ growth opportunities and the potential benefits of, and markets and demand for, Kinaxis’ products and services. These statements are subject to certain assumptions, risks and uncertainties, including our view of the relative position of Kinaxis’ products and services compared to competitive offerings in the industry. In particular, our guidance for 2026 annual total revenue, annual SaaS revenue growth and annual Adjusted EBITDA margin, as well as our comments on our expectations for SaaS growth and increased profitability in years beyond 2026, are subject to certain assumptions and associated risks including: our ability to win business from new customers and expand business from existing customers; the timing of new customer wins and expansion decisions by our existing customers; maintaining our customer retention levels, and specifically, that customers will renew contractual commitments on a periodic basis as those commitments come up for renewal, at rates consistent with our historic experience; anticipated trends, standards and challenges in our business and the markets we operate in; fluctuations in the value of foreign currencies relative to the U.S. Dollar; and with respect to Adjusted EBITDA and profitability, our ability to contain expense levels while expanding our business. Our guidance and commentary for achievement of contracted revenue in future periods, including in 2026, 2027 and 2028 and later, is based on assumptions and associated risks including: our ability to satisfy material unperformed obligations under our long-term contracts; and the continued financial capacity and creditworthiness of our customers under long-term contracts. These and other assumptions, risks and uncertainties may cause Kinaxis’ actual results, performance, achievements and developments to differ materially from the results, performance, achievements or developments expressed or implied by forward-looking statements, future-oriented financial information or financial outlook. Material risks and uncertainties relating to our business are described under the headings “Forward-Looking Statements” and “Risks and Uncertainties” in our annual MD&A dated March 4, 2026, and under the heading “Risk Factors” in our Annual Information Form dated March 4, 2026, which are available at www.sedarplus.ca. Readers are cautioned that the assumptions used in the preparation of forward-looking statements, future-oriented financial information and financial outlook, although considered reasonable at the time of preparation, may prove to be imprecise or inaccurate and, as such, undue reliance should not be placed on such information. Our actual results, performance and achievements could differ materially from those expressed in, or implied by, such forward-looking statements, future-oriented financial information or financial outlook. Forward-looking statements, future-oriented financial information and financial outlook are provided to help readers understand management’s expectations as at the date of this release and may not be suitable for other purposes. Readers are cautioned not to place undue reliance on forward-looking statements. Kinaxis assumes no obligation to update or revise any forward-looking statements, future-oriented financial information or financial outlook whether as a result of new information, future events or otherwise, except as expressly required by law. These and other assumptions, risks and uncertainties may cause Kinaxis’ actual results, performance, achievements and developments to differ materially from the results, performance, achievements or developments expressed or implied by forward-looking statements, future-oriented financial information or financial outlook. Material risks and uncertainties relating to our business are described under the headings “Forward-Looking Statements” and “Risks and Uncertainties” in our annual MD&A dated March 4, 2026, and under the heading “Risk Factors” in our Annual Information Form dated March 4, 2026, which are available at www.sedarplus.ca. Readers are cautioned that the assumptions used in the preparation of forward-looking statements, future-oriented financial information and financial outlook, although considered reasonable at the time of preparation, may prove to be imprecise or inaccurate and, as such, undue reliance should not be placed on such information. Our actual results, performance and achievements could differ materially from those expressed in, or implied by, such forward-looking statements, future-oriented financial information or financial outlook. Forward-looking statements, future-oriented financial information and financial outlook are provided to help readers understand management’s expectations as at the date of this release and may not be suitable for other purposes. Readers are cautioned not to place undue reliance on forward-looking statements. Kinaxis assumes no obligation to update or revise any forward-looking statements, future-oriented financial information or financial outlook whether as a result of new information, future events or otherwise, except as expressly required by law.. SOURCE: Kinaxis Inc. Kinaxis Inc. Condensed Consolidated Interim Statements of Financial Position (Expressed in thousands of USD) December 31, 2025 December 31, 2024 Assets Current assets: Cash and cash equivalents $ 149,614 $ 172,192 Short-term investments 175,095 126,307 Trade and other receivables 165,781 156,394 Prepaid expenses 15,743 18,244 506,233 473,137 Non-current assets: Unbilled receivables 1,596 1,448 Other receivables 1,047 867 Prepaid expenses 1,558 2,072 Deferred tax assets 18,225 11,016 Contract acquisition costs 37,038 32,005 Property and equipment 28,526 32,486 Right-of-use assets 43,090 46,705 Intangible assets 10,804 12,865 Goodwill 76,597 72,735 218,481 212,199 $ 724,714 $ 685,336 Liabilities and Shareholders’ Equity Current liabilities: Trade payables and accrued liabilities $ 90,040 $ 94,913 Deferred revenue 161,060 140,008 Lease obligations 5,938 5,587 257,038 240,508 Non-current liabilities: Lease obligations 42,065 43,348 Deferred tax liabilities 4,042 5,969 46,107 49,317 Shareholders’ equity: Share capital 363,246 329,312 Contributed surplus — 12,078 Accumulated other comprehensive loss (223 ) (3,847 ) Retained earnings 58,546 57,968 421,569 395,511 $ 724,714 $ 685,336 Kinaxis Inc. Condensed Consolidated Interim Statements of Comprehensive Income (Expressed in thousands of USD, except share and per share data) Three months ended December 31, Year ended December 31, 2025 2024 2025 2024 Revenue $ 144,235 $ 123,935 $ 548,030 $ 483,111 Cost of revenue 49,976 48,833 193,752 188,528 Gross profit 94,259 75,102 354,278 294,583 Operating expenses: Selling and marketing 28,216 25,624 115,083 100,531 Research and development 25,648 21,310 94,041 87,653 General and administrative 16,607 31,172 65,672 93,661 70,471 78,106 274,796 281,845 23,788 (3,004 ) 79,482 12,738 Other income: Foreign exchange gain 356 927 2,561 682 Net finance and other income 2,686 2,829 10,843 11,732 3,042 3,756 13,404 12,414 Profit before income taxes 26,830 752 92,886 25,152 Income tax expense 7,329 17,068 22,187 25,096 Profit (loss) 19,501 (16,316 ) 70,699 56 Other comprehensive income (loss): Items that are or may be reclassified subsequently to profit Foreign currency translation differences - foreign operations (1,226 ) (4,660 ) 2,285 (3,563 ) Change in valuation of cash flow hedges 479 (1,389 ) 1,339 (1,644 ) (747 ) (6,049 ) 3,624 (5,207 ) Total comprehensive income (loss) $ 18,754 $ (22,365 ) $ 74,323 $ (5,151 ) Basic earnings (loss) per share $ 0.70 $ (0.58 ) $ 2.51 $ — Weighted average number of basic Common Shares 28,019,320 28,132,782 28,153,453 28,243,305 Diluted earnings (loss) per share $ 0.68 $ (0.58 ) $ 2.45 $ — Weighted average number of diluted Common Shares 28,586,942 28,132,782 28,845,750 28,939,759 Kinaxis Inc. Condensed Consolidated Interim Statements of Changes in Shareholders’ Equity (Expressed in thousands of USD) Accumulated other comprehensive income (loss) Share capital Contributed surplus Cash flow hedges Currency translation adjustments Total Retained earnings Total equity Balance, December 31, 2023 $ 307,327 $ 44,339 $ 441 $ 919 $ 1,360 $ 101,802 $ 454,828 Profit — — — — — 56 56 Other comprehensive loss — — (1,644 ) (3,563 ) (5,207 ) — (5,207 ) Total comprehensive income (loss) — — (1,644 ) (3,563 ) (5,207 ) 56 (5,151 ) Share options exercised 28,065 (6,512 ) — — — — 21,553 Restricted share units vested 14,992 (14,992 ) — — — — — Deferred share units vested 1,396 (1,396 ) — — — — — Performance share units vested 5,533 (5,533 ) — — — — — Share-based payments — 40,723 — — — — 40,723 Shares repurchased (9,837 ) (44,551 ) — — — (43,890 ) (98,278 ) Obligations related to share repurchases (18,164 ) — — — — — (18,164 ) Total shareholder transactions 21,985 (32,261 ) — — — (43,890 ) (54,166 ) Balance, December 31, 2024 $ 329,312 $ 12,078 $ (1,203 ) $ (2,644 ) $ (3,847 ) $ 57,968 $ 395,511 Profit — — — — — 70,699 70,699 Other comprehensive income — — 1,339 2,285 3,624 — 3,624 Total comprehensive income — — 1,339 2,285 3,624 70,699 74,323 Share options exercised 26,742 (6,390 ) — — — — 20,352 Restricted share units vested 24,937 (24,937 ) — — — — — Deferred share units vested 810 (810 ) — — — — — Performance share units vested 3,553 (3,553 ) — — — — — Share-based payments — 40,380 — — — — 40,380 Shares repurchased (10,141 ) (16,768 ) — — — (70,121 ) (97,030 ) Change in obligation for share repurchases (11,967 ) — — — — — (11,967 ) Total shareholder transactions 33,934 (12,078 ) — — — (70,121 ) (48,265 ) Balance, December 31, 2025 $ 363,246 $ — $ 136 $ (359 ) $ (223 ) $ 58,546 $ 421,569 Kinaxis Inc. Condensed Consolidated Interim Statements of Cash Flows (Expressed in thousands of USD) Three months ended December 31, Year ended December 31, 2025 2024 2025 2024 Cash flows from operating activities Profit (loss) $ 19,501 $ (16,316 ) $ 70,699 $ 56 Items not affecting cash: Depreciation of property and equipment and right-of-use assets 3,732 4,726 16,502 19,614 Amortization of intangible assets 854 1,320 3,345 5,314 Impairment loss on intangible assets — 4,521 — 4,521 Share-based payments 9,263 10,228 39,015 39,581 Net finance income (2,748 ) (2,757 ) (10,817 ) (11,508 ) Income tax expense 7,329 17,068 22,187 25,096 Investment tax credits recoverable — 11,271 — 8,362 Change in operating assets and liabilities (5,922 ) (8,814 ) 3,478 900 Interest received 3,651 3,750 13,257 14,137 Interest paid (554 ) (437 ) (2,004 ) (1,714 ) Income taxes paid (5,164 ) (443 ) (37,862 ) (5,146 ) 29,942 24,117 117,800 99,213 Cash flows from (used in) investing activities Purchase of property and equipment (674 ) (2,268 ) (5,689 ) (4,515 ) Purchase of short-term investments (164,608 ) (103,316 ) (619,089 ) (342,076 ) Redemption of short-term investments 196,936 87,855 569,684 332,972 31,654 (17,729 ) (55,094 ) (13,619 ) Cash flows used in financing activities Payment of lease obligations (1,471 ) (1,603 ) (5,838 ) (6,963 ) Repurchase of shares (36,008 ) (19,996 ) (97,030 ) (98,278 ) Proceeds from exercise of stock options 742 7,969 20,352 21,553 (36,737 ) (13,630 ) (82,516 ) (83,688 ) Increase (decrease) in cash and cash equivalents 24,859 (7,242 ) (19,810 ) 1,906 Cash and cash equivalents, beginning of year 126,476 183,228 172,192 174,844 Effects of exchange rates on cash and cash equivalents (1,721 ) (3,794 ) (2,768 ) (4,558 ) Cash and cash equivalents, end of year $ 149,614 $ 172,192 $ 149,614 $ 172,192 Investor Relations Rick Wadsworth | Kinaxis rwadsworth@kinaxis.com 613-907-7613 Media Relations Vanessa Cohen | Kinaxis vcohen@kinaxis.com 647-822-8540 Source: Kinaxis Inc.