Coveo Reports Q1 Growth and Signs Record-Breaking AI Deal

AI-relevance company Coveo reported total revenue of $38.5 million for its first-quarter fiscal 2027, marking an 8% increase over the previous year. SaaS subscription revenue grew 9% to $37.4 million, a gain attributed entirely to the Coveo core Platform following the removal of the legacy Qubit platform. The company significantly narrowed its net loss to $5.8 million, a 61% improvement from the $15.1 million loss in the prior year's same quarter, while achieving a positive adjusted EBITDA of $0.1 million.

Following the quarter, the company signed its largest transaction to date with a Fortune Global 500 technology leader, resulting in an eight-figure annualized SaaS subscription spend. Coveo also advanced its product offerings with the launch of Merchandising Copilot and the production rollout of Conversational Search for five customers.

Company leadership attributed these results to the increasing enterprise demand for contextual AI. CEO Laurent Simoneau noted that the record deal and pipeline momentum demonstrate a growing need for secure and relevant AI solutions at scale, while Executive Chairman Louis Têtu stated that the market is shifting toward delivering real business outcomes through AI-powered experiences.