CS Disco (LAW) Q4 2025 Earnings Call Transcript
CS Disco reported Q4 2025 revenue of $41.2 million, up 11% year-over-year, and announced a new pricing model including all Cecilia AI features.Summary
CS Disco’s Q4 2025 earnings call revealed total revenue of $41.2 million, an 11% increase year-over-year, with software revenue rising 14% to $35.1 million. The company highlighted a third consecutive quarter of accelerating software and total revenue growth, driven by large multi-terabyte matters and generative AI adoption. Adjusted EBITDA improved to a negative $2.2 million (negative 5% margin) compared to negative 12% in the prior year. A key announcement was a new pricing model that includes all Cecilia AI features with a per-gigabyte rate, aiming to boost win rates and margins.
Management emphasized the company’s AI-native technology stack and its focus on the litigation market, differentiating itself from general-purpose AI tools. They reported strong customer engagement with generative AI, with 41% of customers attributing usage to these features. The company is focused on expanding wallet share with existing large customers and increasing adoption of multi-product solutions.
Looking ahead, CS Disco provided Q1 2026 guidance of $39.0-$41.5 million in total revenue and full-year 2026 guidance of $167.0-$177.0 million. They anticipate continued revenue acceleration and progression towards adjusted EBITDA breakeven, underpinned by AI-driven transformation and expanded customer engagement.
(Source：Fool)