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Here are a few analogies to describe Braze:

• Salesforce Marketing Cloud, but focused on real-time, multi-channel customer engagement.
• Mailchimp for enterprise brands, across all digital channels.
• Twilio, but focused on orchestrating intelligent customer journeys, not just sending messages.

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• Braze Customer Engagement Platform: A comprehensive software-as-a-service (SaaS) platform designed to help brands personalize and automate customer communications across multiple digital channels.
• Real-time Data and Audience Segmentation: This service enables brands to ingest and process customer data instantly to create dynamic, highly targeted audience segments.
• Omnichannel Messaging: A service allowing businesses to deliver personalized messages through various digital channels, including email, push notifications, in-app messages, SMS, and webhooks.
• Customer Journey Orchestration (Canvas): A visual workflow builder service for designing, automating, and optimizing multi-step customer journeys based on user behavior and preferences.
• Analytics and Insights: This service provides tools and dashboards to track campaign performance, understand customer behavior, and gain actionable insights for marketing optimization.

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Braze (BRZE) primarily sells its customer engagement platform and related services to **other companies** (Business-to-Business or B2B), rather than directly to individuals. These companies use Braze's software to engage with their own customers across various channels like email, push notifications, in-app messages, and SMS.

While Braze does not typically disclose a definitive list of "major customers" in terms of revenue contribution due to the diverse and extensive nature of its client base, it frequently highlights prominent examples of companies that utilize its platform for engaging with their own customers. These examples span various industries including media, entertainment, food and beverage, retail, e-commerce, and sports.

Here are some of Braze's notable customer companies, along with their symbols if they are publicly traded:

• Domino's Pizza, Inc. (NYSE: DPZ)
• Warner Bros. Discovery, Inc. (NASDAQ: WBD) - Parent company for streaming services like Max (formerly HBO Max) and Discovery+
• Shopify Inc. (NYSE: SHOP)
• DraftKings Inc. (NASDAQ: DKNG)
• Peloton Interactive, Inc. (NASDAQ: PTON)

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• Amazon Web Services (AWS) - AMZN

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Bill Magnuson, Chief Executive Officer and Cofounder

Bill Magnuson began his professional career at Google, working on App Inventor for Android, and later joined Bridgewater Associates. In 2011, he co-founded Braze (originally Appboy) with Jon Hyman after winning the TechCrunch Disrupt Hackathon. He served as Braze's Chief Technology Officer from July 2011 to December 2016 before becoming Chief Executive Officer in January 2017. Braze became a publicly traded company in November 2021.

Isabelle Winkles, Chief Financial Officer

Isabelle Winkles joined Braze as Chief Financial Officer in January 2020. Prior to Braze, she served as Vice President of Finance at Cognizant Technology Solutions Corp. from April 2018 to January 2020, and as Managing Director at Morgan Stanley & Co. from January 2016 to April 2018. She spent 18 years at Morgan Stanley, where she held various roles in investment banking and equity research, and also established and led new finance teams. She also served as Chief of Staff to the CFO at Cognizant.

Jon Hyman, Cofounder and Chief Technology Officer

Jon Hyman co-founded Braze (originally Appboy) in 2011 with Bill Magnuson. Before co-founding Braze, he worked as a lead engineer at Bridgewater Associates. He served as Braze's Chief Information Officer from July 2011 to December 2016 before transitioning to Chief Technology Officer in January 2017.

Myles Kleeger, President and Chief Commercial Officer

Myles Kleeger brings over 20 years of experience to his role at Braze.

Astha Malik, Chief Business Officer

Astha Malik joined Braze in June 2022 as Chief Marketing Officer and later became Chief Business Officer. She has over 20 years of experience in brand building, driving innovation, and accelerating revenue growth. Her previous roles include Chief Operating Officer at VTEX and leadership positions at other technology companies such as Zendesk, Citrix, Sumo Logic, and PagerDuty.

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Key Risks to Braze (BRZE)

1. Intense Competition and Cyclical Marketing Spend: Braze operates in a highly competitive customer engagement platform (CEP) and multichannel marketing hub (MMH) market. It competes with established giants like Salesforce Marketing Cloud and Adobe, as well as numerous specialized providers. The rapid pace of technological change within the software industry intensifies these competitive pressures. Furthermore, marketing software spending can be cyclical, meaning that a prolonged economic downturn could lead to budget cuts for marketing solutions, potentially impacting Braze's revenue, even though its offerings are considered sticky due to their high return on investment and revenue generation capabilities. The emergence of large language model (LLM) providers and tech behemoths like OpenAI, Google, and Microsoft expanding their AI capabilities in automated customer engagement also presents a potential threat to Braze's competitive edge.
2. Maintaining Profitability Despite Growth: Despite consistent strong revenue growth, Braze has a history of generating GAAP net losses and has not yet achieved sustained GAAP profitability. While the company has prioritized market share expansion over immediate GAAP net income, a prolonged economic downturn could place significant pressure on its cash reserves and overall valuation. The company's operating and total profit margins remain negative, and while analysts anticipate profitability in 2025, Braze recorded substantial net losses on a trailing twelve-month basis. Heavy investments in AI-driven product innovation, while strategic, also contribute to these ongoing losses.
3. Customer Churn and Net Retention: Customer churn and down-sell activity remain a significant risk for Braze, even as recent trends show signs of improvement. Historically, lower net retention metrics have been a concern, and a reversal to negative trends in customer retention could adversely affect the company's stock performance and valuation. The ability to continuously attract new customers and successfully renew existing customer contracts is an ongoing challenge in its competitive environment.

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Braze (BRZE) operates within several significant addressable markets for its customer engagement platform and related services.

• The total addressable market (TAM) for the marketing software industry, in which Braze operates, is valued at $16 billion. This market is expected to grow at a rate of nearly 10% annually for several years. While not explicitly stated as global, the context implies a broad market.
• The global customer engagement solutions market is expected to be worth $32.2 billion by 2027.
• More specifically, the customer engagement industry was valued at $19.3 billion and is projected to reach $32.2 billion by 2027, growing at a compound annual growth rate (CAGR) of 10.8%. This market is understood to be global.
• For the global Mobile Marketing Automation Service market, where Braze is a key player, it is projected to reach approximately $6.808 billion (USD 6,808 million) by 2025, with an anticipated CAGR of 18.5% during the forecast period of 2025-2033.

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• Expansion of Customer Base: Braze continues to prioritize acquiring new customers across various industries and geographic regions. In Q4 fiscal year 2025, Braze added 85 net new customers, bringing its total to 2,296, a 252 year-over-year increase. The company also saw its total customer count rise to 2,422 by Q2 fiscal year 2026. This growth in new customer acquisitions, alongside strong execution by its global teams, is a consistent driver of revenue.
• Upselling and Cross-selling to Existing Customers: A significant portion of Braze's revenue growth comes from expanding its relationships with current clients. This includes contract extensions, renewals, and upsells to existing clients. The dollar-based net retention rate, particularly for large customers (those spending over $500,000 annually), remains a key indicator of this expansion, standing at 111% for customers over $500,000 in annual recurring revenue in Q2 fiscal year 2026.
• Strategic AI-Driven Product Innovation and Acquisition (OfferFit): Braze is heavily investing in and deploying new AI solutions to enhance its customer engagement platform. The acquisition of OfferFit, an AI decisioning platform, is a strategic move expected to significantly contribute to revenue growth. OfferFit is projected to contribute approximately 2% to Braze's total revenue growth in fiscal year 2026 and enable increased deal sizes by offering distinctive reinforcement learning products and services. This acquisition is designed to structurally enhance Braze's AI product suite, create cross-sell potential, and differentiate the platform with a broad range of AI-driven optimization capabilities.
• Global Market Expansion: Braze is actively pursuing global expansion, with revenue generated outside the U.S. contributing a growing percentage to its total revenue. In Q1 fiscal year 2026, 46% of total revenue came from outside the U.S., up from 44% in the prior year quarter. Investments to support overall company growth and global expansion are mentioned as drivers for increased non-GAAP G&A expenses.
• Leveraging Legacy Vendor Replacement and Vendor Consolidation Trends: Braze benefits from ongoing trends where businesses replace older, legacy marketing cloud solutions and consolidate multiple point solutions onto a single, comprehensive platform like Braze. This competitive win rate against legacy systems is highlighted as a driver for new business and expansion.

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Share Repurchases

No information available regarding significant share repurchases or authorizations over the last 3-5 years.

Share Issuance

• Braze completed an Initial Public Offering (IPO), offering 8,000,000 shares for $520,000,000.
• The weighted average shares outstanding have consistently increased, indicating ongoing share issuance, with diluted weighted average shares outstanding at 97.9 million in Q3 FY2024 and increasing to 106.8 million in Q3 FY2025. Forecasts for Q3 FY2026 anticipate approximately 113.5 million diluted weighted average shares outstanding.
• As of March 20, 2025, there were 10,591,122 shares available for future issuance under stockholder-approved equity compensation plans.

Inbound Investments

No information available regarding large inbound investments made in the company by third-parties over the last 3-5 years.

Outbound Investments

• Braze announced its intent to acquire OfferFit, an AI decisioning company, during fiscal year 2025, aiming to integrate its sophisticated AI technology to enhance personalized customer engagement.
• The OfferFit acquisition is expected to contribute approximately $12 million to remaining performance obligations (RPO) and $10.5 million to current remaining performance obligations (CRPO).
• In September 2021, Braze established Braze KK in Japan through investment, organization, management, and operation, with the objective of expanding its business in the Japanese market.

Capital Expenditures

• In the first quarter of fiscal year 2025, capital expenditures included $5.8 million primarily for the opening of the company's new New York headquarters.
• Free cash flow has seen fluctuations, being negative in several periods, such as -$3.5 million in Q4 FY2024 and -$14.2 million in Q3 FY2025, partly influenced by capital expenditures.
• Braze continues to make meaningful investments in its product, ecosystem, and go-to-market motion, specifically highlighting advancements in AI and machine learning capabilities.