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Mar 31
Nice Q1 2025 Earnings Report
NICE reported solid financial results in Q1 2025, driven by strong cloud and AI-driven revenue growth.
Key Takeaways
NICE delivered robust Q1 2025 results with 12% growth in cloud revenue and a 26% increase in GAAP EPS, supported by record operating cash flow and rising AI-driven adoption.
Cloud revenue grew 12% YoY to $526.3M, making up 75% of total revenue
GAAP EPS rose 26% YoY to $2.01, while non-GAAP EPS reached $2.87
Operating cash flow hit a quarterly record of $285.1M
AI and self-service revenue increased 39% YoY, highlighting strong CXone platform demand
Nice
Nice
Nice Revenue by Segment
Forward Guidance
NICE raised its full-year 2025 EPS guidance and reiterated revenue targets, supported by accelerating AI-driven demand and continued cloud momentum.
Positive Outlook
- Full-year 2025 EPS guidance raised to $12.28–$12.48
- Second-quarter EPS expected to grow 13% YoY at midpoint
- Q2 revenue expected to reach up to $719 million
- Full-year revenue guided at $2.918–$2.938 billion
- Strong cash position and share repurchase flexibility
Challenges Ahead
- Services and product revenue declined YoY
- Slight decline in non-GAAP gross margin from 70.9% to 69.9%
- Increase in deferred revenues indicating potential delayed recognitions
- Higher tax expense impacting net income margin
- No geographic revenue breakdown provided
Revenue & Expenses
Visualization of income flow from segment revenue to net income