Verint's Q4 2025: Navigating Contradictions in Customer Confidence, Revenue Growth, and AI Adoption

These are the key contradictions discussed in Verint Systems Inc.'s latest 2025Q4 earnings call, specifically including: Customer Confidence and AI Adoption, Channel Revenue and Growth Expectations, Customer Confidence and Deferred Revenue, and Slipped Deals and Their Impact on Revenue:



AI-Driven Revenue and ARR Growth:
- Verint Systems Inc. reported an ARR growth of 5% in Q4, ahead of its guidance of 4%, with a projected ARR outlook of $768 million for fiscal 2026.
- The growth was driven by strong AI momentum, as customers expanded their AI deployments, accelerated AI adoption at scale, and recognized the strong AI business outcomes delivered by Verint.

Strong AI Business Outcomes:
- Customers reported tangible AI business outcomes, such as a 30-second reduction in average call time for a healthcare insurer and a 5% increase in agent productivity for a telecom company.
- Verint's ability to deliver these outcomes faster and without disrupting customer operations, particularly through its hybrid cloud approach, differentiated it from competitors.

Record Bookings and Customer Wins:
- Verint achieved record SaaS ACV bookings from new deals, increasing 30% year-over-year to $32 million.
- This was due to customers sharing success stories and recognizing the proven AI business outcomes, leading to increased adoption of Verint's solutions.

Cash Generation and Free Cash Flow:
- The company reported fiscal 2025 cash generation $8 million ahead of guidance and a free cash flow increase of 4% year-over-year.
- This improvement was attributed to growing adoption of Verint's AI solutions and effective management of expenses.