Intapp outlines $570.7M revenue target for fiscal 2026 as cloud ARR grows 29% and AI adoption accelerates

Earnings Call Insights: Intapp, Inc. (INTA) Q4 2025

MANAGEMENT VIEW

* John T. Hall, Chairman & CEO, opened by highlighting "strong quarterly results as well as a strong year across the business." He reported Cloud ARR grew 29% year-over-year to $383 million, with cloud now representing 79% of total ARR. SaaS revenue reached $90 million, up 27% year-over-year, and total revenue was $135 million, up 18% year-over-year. He noted a 49% increase in clients with ARR of more than $1 million, now totaling 109.
* Hall emphasized the expansion of AI capabilities tailored for regulated markets and described the addition of notable new logos, strategic acquisitions, international footprint growth, and deepening partner relationships, especially with Microsoft. He stated, "Going into fiscal year 2026, we feel optimism and confidence that our Applied AI strategy, vertical SaaS platform, enterprise go-to-market strategy and unique competitive position for these highly regulated firms provides a strong foundation for sustained growth and execution in this large addressable market."
* Hall detailed recent AI product launches, including Intapp DealCloud Activator, new Intapp Assist features, and Intapp Walls for AI. He shared examples of AI-driven client wins, partnership expansions (notably with Snowflake and MSCI), and recapped the TermSheet acquisition to strengthen the real assets vertical.
* David H. Morton, CFO, stated, "We scaled our $1 million-plus annual recurring revenue or ARR client base into triple digits with both the number of clients and corresponding ARR more than doubling compared to FY '23. We grew our cloud business through land, expand and migration motions with nearly 80% of total ARR now in the cloud. We surpassed the $0.5 billion mark in annual revenue and we generated well over $100 million of free cash flow."

OUTLOOK

* For Q1 fiscal 2026, Morton provided guidance of SaaS revenue between $95.7 million and $96.7 million and total revenue in the range of $134.8 million to $135.8 million. Non-GAAP operating income is expected between $16 million and $17 million, and non-GAAP EPS between $0.18 and $0.20.
* For the full fiscal year 2026, the company projects SaaS revenue between $411.4 million and $415.4 million, total revenue in the range of $566.7 million to $570.7 million, non-GAAP operating income between $96 million and $100 million, and non-GAAP EPS between $1.09 and $1.13. Morton said this outlook assumes professional services revenue mix consistent with fiscal 2025, at approximately 10% of total revenue, and "reflects a more material participation in our cloud migration efforts."

FINANCIAL RESULTS

* SaaS revenue in Q4 was $90.2 million, up 27% year-over-year. License revenue totaled $31.8 million, up 5%. Professional services revenue was $13 million, down 2%. Total revenue reached $135 million, up 18% year-over-year. Non-GAAP gross margin was 78%, up from 76.1% a year ago. Non-GAAP operating income was $21.3 million, up from $13.5 million, and non-GAAP diluted EPS was $0.27 compared to $0.15 in the prior year period. Free cash flow for the quarter was $37.5 million. Cloud net revenue retention rate was 120% at the end of fiscal 2025.
* For the full year, SaaS revenue was $331.9 million (up 28%), license revenue $120 million (up 2%), professional services revenue $52.1 million (down 3%), and total revenue $504.1 million (up 17%). Non-GAAP operating income was $75.6 million, non-GAAP EPS $0.94, and free cash flow $121.9 million.

Q&A

* Kevin Damien McVeigh, UBS: Asked about the 120% NRR and assumptions in 2026 guidance. Morton responded that "the 120% obviously has continued to be contributed by low churn...as we continue to go further upstream into the enterprise, those expands get even more material...we've taken a very conservative number going into FY '26."
* McVeigh asked about incremental margins and the enterprise mix. Morton answered, "We've continued to drive efficiency both in our model and our product offering...enterprise, mid market, those items are moderated, and, obviously, we're selling the value of that end prop versus...a simple solution set."
* Koji Ikeda, BofA Securities: Inquired about RPO growth and license renewal seasonality. Morton indicated no material changes in contract value or duration and promised transparency on any quarterly fluctuations.
* Unidentified Analyst, JPMorgan: Asked about the Snowflake collaboration and QC 1000 accounting change. Hall explained the importance of Snowflake for enterprise integration and described regulatory changes as an opportunity, stating compliance is "a centerpiece of our differentiation."
* Parker Lane, Stifel: Probed the maturity of the partner co-sell relationship and AI adoption trends. Hall said, "We've really reached a very important stage...more than half of our clients are working with us and Microsoft together at the large end of the market." He characterized AI demand as broad-based, with strong vertical solution appeal.
* Alexander James Sklar, Raymond James: Sought a breakdown of bookings improvement and TermSheet's ARR contribution. Hall attributed success to both macro demand and enterprise sales organizational changes. Morton said TermSheet's impact on ARR was less than 5% of the Q3-Q4 delta.
* Terrell Frederick Tillman, Truist Securities: Asked about investments in enterprise sales and DealCloud penetration in legal. Hall confirmed increased investment in enterprise sales and said "DealCloud as their business development system" is gaining traction in law firms, with Intapp Assist being "taken up very positively."
* Steven Lester Enders, Citi: Followed up on TermSheet's ARR impact and Microsoft partnership. Morton confirmed less than 5% of incremental ARR and described improved alignment and success stories with Microsoft.
* Saket Kalia, Barclays: Asked about the long-term opportunity with TermSheet and ARR seasonality. Hall described TermSheet as key to the real assets strategy and projected it would be a "big part of our business over time." Morton discussed expected seasonal strength in FQ2 and FQ4.
* Patrick Malcolm Moley, Piper Sandler: Asked about capital allocation and share repurchases. Hall confirmed a $150 million authorization and said the company will "continue to invest in ourselves" while deploying capital for strategic opportunities.

SENTIMENT ANALYSIS

* Analysts expressed a positive and inquisitive tone, with most questions focused on growth drivers, margin leverage, and the impact of partnerships and recent acquisitions. Several analysts offered praise for the results and sought clarification on specific metrics, with little skepticism evident.
* Management maintained a confident and optimistic tone throughout, especially when discussing AI product adoption, partnerships, and growth outlook. Hall and Morton provided detailed, direct responses, emphasizing operational efficiency, recurring revenue strength, and strategic initiatives. Phrases such as "we feel optimism and confidence" and "we are very excited" reinforced this sentiment.
* The tone in the current quarter was slightly more confident compared to the previous quarter, with management offering more specifics on forward guidance, acquisitions, and the Microsoft partnership. Analyst questions were similarly constructive, with less focus on risk or uncertainty.

QUARTER-OVER-QUARTER COMPARISON

* Guidance for fiscal 2026 is higher, with revenue targets up to $570.7 million compared to the prior full-year 2025 guidance of up to $501.6 million. SaaS revenue guidance also increased for the next fiscal year.
* Cloud ARR growth accelerated from $352 million in Q3 (up 28% year-over-year) to $383 million in Q4 (up 29%). The proportion of cloud in total ARR rose from 77% to 79% quarter-over-quarter.
* The number of $1 million-plus ARR clients expanded from 73 to 109, reflecting a sharper focus on enterprise accounts. Cloud net revenue retention improved from 119% to 120%.
* Management's tone became more assertive about the impact of AI and the partner ecosystem, especially the Microsoft collaboration. Analysts shifted from questions about integration and early-stage growth to inquiries about scaling, margin leverage, and capital allocation.
* Strategic focus sharpened around enterprise sales, AI-driven product differentiation, and expanding through partnerships and acquisitions.

RISKS AND CONCERNS

* Management acknowledged potential quarterly volatility related to license renewals and the pace of client migration to the cloud, but stated, "there may be some puts and takes between Q2 and Q3. But clearly, for the year, we have our work kind of identified."
* Questions were raised about RPO growth and seasonality, but Morton clarified there were no material changes in contract value or duration.
* Regulatory changes, such as QC 1000 and international compliance requirements, were identified as both challenges and opportunities. Hall stated the ability to deliver compliant AI solutions remains a key differentiator.
* The company plans to continue investing in growth initiatives and strategic acquisitions, while maintaining optionality for share repurchases.

FINAL TAKEAWAY

Intapp's fourth quarter and full-year 2025 results highlight accelerating cloud and AI adoption, a sharp increase in large enterprise clients, and deepening strategic partnerships, especially with Microsoft. With fiscal 2026 guidance targeting total revenue up to $570.7 million and SaaS revenue reaching as high as $415.4 million, management projects continued growth through vertical SaaS innovation, AI-driven compliance solutions, and expanded go-to-market initiatives. The company underscores a strong balance sheet, robust free cash flow, and a commitment to investing in product, partnerships, and share repurchases, while navigating potential risks related to client migrations and evolving regulatory environments.

Read the full Earnings Call Transcript [https://seekingalpha.com/symbol/inta/earnings/transcripts]

MORE ON INTAPP

* Intapp, Inc. (INTA) Q4 2025 Earnings Call Transcript [https://seekingalpha.com/article/4812917-intapp-inc-inta-q4-2025-earnings-call-transcript]
* Intapp: Remaining Bullish Despite Weak Stock Action [https://seekingalpha.com/article/4800094-intapp-remaining-bullish-despite-weak-stock-action]
* Intapp: The Market Is Voting, But The Weighing Machine Shows Value [https://seekingalpha.com/article/4798534-intapp-the-market-is-voting-but-the-weighing-machine-shows-value]
* Intapp outlines $566.7M–$570.7M revenue target for fiscal 2026 while advancing AI and cloud strategy [https://seekingalpha.com/news/4484381-intapp-outlines-566_7m-570_7m-revenue-target-for-fiscal-2026-while-advancing-ai-and-cloud]
* Intapp Non-GAAP EPS of $0.27 beats by $0.04, revenue of $135.04M beats by $2.97M [https://seekingalpha.com/news/4484136-intapp-non-gaap-eps-of-0_27-beats-by-0_04-revenue-of-135_04m-beats-by-2_97m]