Alkami (ALKT) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue grew 28.9% year-over-year to $126.1 million, driven by MANTL acquisition, new client wins, user growth, and higher ARPU, with SaaS subscription services comprising 95.8% of total revenue.

• Registered users increased 12% to 23.0 million, with 6 new digital banking clients signed and 7 implemented, bringing the total to 307.

• Adjusted EBITDA reached $22.3 million, more than doubling year-over-year, reflecting improved scale and operational efficiencies.

• MANTL acquisition contributed $14.9 million in Q1 2026 revenue and significantly to new client wins and platform integration.

• Announced a $100 million share repurchase program to enhance shareholder value.

Financial highlights

• Q1 2026 revenue was $126.1 million, up 28.9% year-over-year; subscription revenue made up 96% of total revenue.

• Adjusted EBITDA reached $22.3 million, with a margin of 17.7%, expanding 540 basis points year-over-year.

• ARR increased 22% to $494 million, with $71 million in backlog pending implementation.

• Revenue per user rose 9% to $21.46, driven by MANTL, cross-sell, and user adoption.

• Ended Q1 with $77.6 million in cash and marketable securities; repaid remaining $15 million revolving loan.

Outlook and guidance

• Q2 2026 revenue expected at $128–$129 million, with adjusted EBITDA of $17.9–$18.7 million.

• Full-year 2026 revenue guidance is $527.1–$530.9 million, adjusted EBITDA $94.9–$97.9 million.

• Non-GAAP gross margin expected at ~65% for 2026, with margin expansion to 19%+ in H2.

• Long-term model targets Rule of 45 by 2030, with non-GAAP gross margin approaching 70% and annual adjusted EBITDA margin expansion of ~300 basis points.

• Digital banking ARR churn for 2026 projected at less than 1%, below the long-term modeled range of 2–3%.