Braze Stock Surges on Strong Earnings Report

Customer engagement solutions provider Braze (BRZE) saw its stock surge over 13% on Friday, sharply outperforming the S&P 500's slight decline. The rally followed a robust quarterly earnings report that exceeded analyst expectations across key metrics.

Second-quarter revenue reached $180 million, marking a 24% year-over-year increase. Subscription revenue, accounting for nearly 95% of the total, grew 23% to $172 million. The company's adjusted net income skyrocketed 85% to $16.9 million ($0.15 per share), crushing the $0.03 consensus estimate.

Braze attributes its outperformance to successful client acquisition, expansion with existing customers, and strong demand for its AI-powered platform. The company also issued updated guidance for fiscal 2026, though details were not disclosed in the excerpt.