SentinelOne, Inc. Q4 FY2026 earnings call

Fiscal 26 was transformational with scaling past billion dollar revenue and achieving full year operating profitability. Q4 had strong results driven by new logo acquisition and expansion. Gaining traction in AI for security and security for AI. PRPL adoption outpacing expectations. Prompt Security ARR doubling sequentially. Data solutions growing and new AI-native DSPM launched. Cloud security expanding. Endpoint growing double digits. Wayfinder threat services crossing $100 million. CenterOne Flex driving platform adoption. Securing major enterprise logos like Cloudflare. Expanding partner ecosystem with MSSP partners growing ACV. Achieving GovRamp authorization in public sector.

Fiscal 26 was a landmark year for SentinelOne with revenue scaling past a billion dollars, growing 22% year over year. In Q4, revenue grew 20% year over year to $271 million, international markets grew 30% and represented 40% of total revenue. Total ARR grew 22% in Q4 with a record 64 million net new ARR added. Non-endpoint solutions surpassed half of total annual bookings in fiscal 26. Enterprise customers using three or more solutions increased to 65% in fiscal 26. PRPL had a record attach rate of over 50% in Q4. ARR from Prompt Security more than doubled sequentially in Q4. Data solutions surpassed $130 million in ARR with growth accelerating. Cloud security solution surpassed $160 million in ARR in Q4. Endpoint achieved double-digit ARR growth in Q4. Wayfinder threat services crossed $100 million in ARR in Q4.

For full fiscal year 2027, expect revenue between $1.195 and $1.205 billion (20% year-over-year growth at midpoint). Q1 2027 revenue expected between $276 and $278 million (21% year-over-year growth at midpoint). Operating income for fiscal 2027 expected between $110 and $120 million (10% operating margin at midpoint). EPS for full fiscal 2027 expected between $0.32 and $0.38 per share. Adjusted free cash flow margin to closely track operating margin outlook for fiscal 2027.

Evolving macroeconomic environment and geopolitical uncertainties can influence deal timing and sales cycles. Non-GAAP financial measures not in accordance with GAAP, actual results may differ from forward-looking statements.

Q: Brian Essex at JP Morgan asked about growth dynamics, partner-led deals, hiring and productivity.

A: Tomer Weingarten said record net new ARR, no big change between partner and end customer business, focus on optimizing, not significant headcount growth, improved sales productivity, continued upmarket trajectory and focus on partner base.

Q: John DeFucci at Guggenheim asked about bottom line margins.

A: Barry Padgett said comfortable with cash collection, but can be lumpy with larger deals.

Q: Metta Marshall at Morgan Stanley asked about customer adoption of new products.

A: Tomer Weingarten said stable NRR, driving new logo business and customer base expansion with future expansion opportunity.

Q: Brad Zelnick at Deutsche Bank asked about endpoint progress and competitive landscape.

A: Tomer Weingarten said endpoint is strong growth driver, gaining share, AI security success tied to endpoint deployment.

Q: Srinath Kathari at Baird asked about priorities for Sonali as new CFO.

A: Tomer Weingarten said durable growth, acceleration in go-to-market, optimizing cash flow, focusing on improved profitability.

Q: Patrick Colville at Scotiabank asked about new ARR improvement in fiscal 2027.

A: Tomer Weingarten said improved net new ARR, seasonality change to roughly 50-50, endpoint traction and other businesses contributing.

Q: Richard Poland at Wells Fargo asked about gross margin stability.

A: Tomer Weingarten said gross margins stable, best in industry, at high end of long-term targets.

Q: Mike Kikos at Needham asked about Cloudflare deal.

A: Tomer Weingarten said combination of unique capabilities, efficacy, ease of deployment, coverage, and like-minded partner approach.

Q: Shal Ayal at TD Cohen asked about operating leverage and margin for fiscal 2027.

A: Barry Padgett said focusing on highest yielding go-to-market opportunities, integrating AI for productivity gains, Tomer Weingarten said narrowing focus on high yield areas, using AI in R&D for productivity.

Q: Roger Boyd at UBS asked about Purple attach rate with new customers.

A: Tomer Weingarten said balanced uptake from new and existing customers, new bundle creating differentiator, Purple uptake due to faster outcomes and user experience.

Q: Joe Gallo at Jefferies asked about data business sustainability and SIM evolution.

A: Tomer Weingarten said data business growing, SAM evolving with direct application of Purple Suite agentic operations, some customers wanting legacy experience, others wanting automation with LLMs.

Q: Eric Heath at KeyBank asked about quarter linearity.

A: Barry Padgett said Q4 a bit back-end loaded, collections a bit later, changing seasonality.

Q: Adam Tindall at Raymond James asked about net new ARR and seasonality.

A: Tomer Weingarten said slight improvement in net new ARR, solid start for the year, consistency expected.

Q: Jonathan Ho at William Blair asked about Wayfinder enhancements.

A: Tomer Weingarten said Wayfinder shifting MDR to supervision layer, providing human plus AI capabilities for trust and scalable managed supervision.

Q: Etai Kidron at Oppenheimer & Co. asked about sales comp plan and guidance philosophy.

A: Tomer Weingarten said comp plan aligning with emerging products reflecting market demand, Barry Padgett said comfortable with 2027 guidance, solid pipeline and strategic partnerships supporting.