Domo, Inc. Initiates Strategic Alternatives Review and Reaffirms FY2026 Guidance

Key Points:

• Domo, Inc.’s Board of Directors has announced the initiation of a formal process to explore strategic alternatives aimed at maximizing shareholder value.
• The announcement comes as the company highlights significant progress in its product platform and expansion of AI capabilities.
• Domo has reaffirmed its previously issued guidance for Fiscal Year 2026, covering revenue and non-GAAP net loss per share.
• Jefferies LLC has been engaged as financial advisor, and Goodwin Procter LLP as legal advisor for the process.

Article

Domo, Inc. (NASDAQ: DOMO), a leading cloud-based data platform company, has announced that its Board of Directors is commencing a formal evaluation of strategic alternatives. This process is explicitly intended to unlock and maximize shareholder value, according to a press release issued by the company on February 19, 2026.

While Domo has not specified what these strategic alternatives may include, such processes typically range from mergers, acquisitions, sale of the company, divestitures, capital structure changes, or other potential corporate actions. The company has stated that it will not comment further on developments unless it determines that additional disclosure is appropriate or required.

Josh James, Founder & CEO of Domo, emphasized the timing of the review: “Domo has made significant progress in strengthening our product platform and expanding our AI capabilities, and we believe this is an appropriate time to evaluate opportunities that may further drive our growth strategy and maximize shareholder value. As we undertake this process, we remain focused on serving our customers who rely on Domo every day, supporting our employees, and growing our business.”

Reaffirmed Guidance for Fiscal Year 2026:

• Revenue: Expected to be between \$317.5 million and \$318.5 million.
• Non-GAAP Net Loss Per Share: Basic and diluted expected to be between \$0.07 and \$0.11, based on 41.0 million weighted-average shares outstanding.

This guidance was initially provided on December 4, 2025, and is now reaffirmed as part of the company’s announcement.

Domo also confirmed that both management and investors benefit from the use of non-GAAP financial measures in assessing company performance. The non-GAAP net income (loss) per share excludes stock-based compensation expense, amortization of certain intangible assets, executive officer severance, and remeasurement of warrant liability. Domo is not providing a quantitative reconciliation due to insufficient data for accurate estimation, which is common practice in such forecasts.

Potential Impact for Shareholders:

• The launch of a strategic alternatives review is a significant and potentially price-sensitive event. Such reviews often precede major corporate transactions that can materially affect stock price.
• Confirmation of revenue and loss guidance provides clarity and stability for investors, helping set expectations for the fiscal year.
• The engagement of reputable advisors (Jefferies LLC and Goodwin Procter LLP) signals seriousness and professionalism in the process.

Status of Emerging Growth Company: Domo has indicated it is not an emerging growth company for SEC purposes, which may affect its reporting requirements and investor perceptions.

Security Information:

• Domo’s Class B Common Stock, par value \$0.001 per share, trades under the symbol DOMO on the Nasdaq Global Market.

Forward-Looking Statements & Use of Non-GAAP Financial Measures

This article contains forward-looking information. Actual results may differ materially from those projected due to risks and uncertainties, including those detailed in Domo’s SEC filings. The company undertakes no duty to update forward-looking statements unless required by law.

For more information, investors can contact Domo’s media and investor relations representatives, Cory Edwards ([email protected]) and Cameron Janke ([email protected]).

Disclaimer

This article is based on information provided in Domo, Inc.’s SEC filings and press releases. It should not be construed as investment advice. Investors are encouraged to review the company’s official filings and consult with professional advisors before making investment decisions. The author and publisher are not responsible for any actions taken based on this information.

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