By Connor Hart

SailPoint narrowed its net loss as revenue climbed in its fiscal fourth quarter, but the company's outlook for the year underwhelmed investors.

The identity-security company posted a loss of $36.2 million, or 6 cents a share, for its three months ended Jan. 31, compared with a loss of $80.1 million, or $4.29 a share, a year earlier.

Stripping out one-time items, SailPoint notched adjusted earnings of 8 cents a share, in line with analyst expectations, according to FactSet.

Total revenue climbed 23% to $294.6 million, ahead of Wall Street models for $292.7 million.

Chief Executive Mark McClain said the company stands to benefit from booming demand for artificial intelligence.

"The more automated and agentic the enterprise becomes, the more essential a foundational identity control plane becomes," he said, adding the company's platform is uniquely positioned to secure every type of identity--from human to machine to AI agent.

For the current quarter, SailPoint guided for adjusted earnings of 4 cents to 5 cents a share on total revenue of $273 million to $277 million. Analysts are looking for adjusted earnings of 6 cents a share on revenue of $283.5 million.

For the year, the company expects adjusted earnings of 30 cents a share to 34 cents a share, the midpoint of which is in line with Wall Street models. Revenue is projected to come in between $1.26 billion and $1.27 billion, just under analyst views for $1.28 billion.

Shares fell 14%, to $12.66, in premarket trading.

Write to Connor Hart at connor.hart@wsj.com

(END) Dow Jones Newswires

March 18, 2026 07:46 ET (11:46 GMT)

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