kneat.com (TSE:KSI) said its first quarter of 2026 was in line with expectations, with management highlighting year-over-year revenue growth, higher annual recurring revenue and a stronger cash position, while cautioning that customer expansion timing can vary.
Chief Executive Officer Eddie Ryan said the quarter brought the company “a step closer” to its strategic goals
He said revenue increased 22% year over year and annual recurring revenue rose 20%. Ryan said customer transitions to full digital validation “take time,” but added that management remains confident in the company’s strategy and market positioning. “Customers recognize the value Kneat delivers, and they want to build on this,” Ryan said. He noted that two significant expansions the company had expected to close in the first quarter instead closed in early April.
ARR rises as management points to expansion activity Chief Financial Officer Dave O’Reilly said annual recurring revenue reached CAD 76.1 million, up 20% from the prior year. He said most of the ARR growth came from existing customers expanding their use of Kneat, with new customers contributing the balance. O’Reilly said foreign exchange had a mixed impact on ARR.