CS Disco Reports Accelerating Revenue Growth and Improved Profitability in Q1 2026
Summary
CS Disco reported Q1 2026 financial results with 14% year-over-year revenue growth and improved profitability, alongside providing Q2 and full-year 2026 guidance.
Key Events
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Accelerated Revenue Growth
Total revenue for Q1 2026 reached $41.9 million, marking a 14% increase year-over-year, an acceleration from the 8% growth reported in fiscal year 2025.
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Improved Profitability Metrics
GAAP net loss improved to $(9.6) million from $(11.4) million in Q1 2025, and Adjusted EBITDA improved by 32% to $(3.5) million from $(5.1) million in Q1 2025.
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Customer Base Expansion
The company grew its base of customers with over $100,000 in revenue to 347, a 9% increase compared to the prior year.
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Financial Outlook Provided
CS Disco issued guidance for Q2 2026, projecting total revenue between $41.5 million and $43.5 million, and for the full fiscal year 2026, expecting total revenue between $169.25 million and $178.75 million.
Analysis
CS Disco, Inc. announced strong first-quarter results for 2026, demonstrating accelerating revenue growth and significant progress towards profitability. Total revenue increased by 14% year-over-year, an acceleration from the 8% growth reported in the previous fiscal year. The company also substantially reduced its GAAP net loss and improved Adjusted EBITDA, indicating effective cost management and operational efficiency. The increase in large customers further supports the company's growth trajectory. This positive financial update, coupled with forward guidance, provides a clearer path for investors regarding the company's performance and future outlook.
At the time of this filing, LAW was trading at $4.46 on NYSE in the Technology sector, with a market capitalization of approximately $293.2M. The 52-week trading range was $2.45 to $9.11. This filing was assessed with positive market sentiment and an importance score of 7 out of 10.