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Highlights

  • Subscription revenue rises to 87% of total revenue, up from 78% in 2023.
  • Net Revenue Retention improves to 101%, showcasing better customer retention.
  • Strategic partnership with Google Cloud enhances AI capabilities and product offerings.

CXApp Inc. (NASDAQ: CXAI) has announced positive financial results for 2024, marking a successful transition to an AI-focused subscription application business. The company’s strategy of shifting to AI-driven products has resulted in notable improvements in its financial performance, customer retention, and operational efficiency.

For the fiscal year 2024, CXApp reported a significant increase in subscription revenue, which now accounts for 87% of total revenue, up from 78% in 2023. This shift reflects the company’s successful pivot to its AI-centric platform. Additionally, CXApp achieved a remarkable 101% Net Revenue Retention (NRR), up from 73% in the previous year, demonstrating strong customer satisfaction and the effectiveness of its subscription-based offerings.

The company’s gross margin also saw an improvement, rising to 82% from 78% in 2023. This growth in margin reflects better operational efficiencies and a higher contribution from its higher-margin subscription services. Operating expenses were reduced by 20%, while EBITDA grew by 30%, underscoring the company's successful cost management efforts.

CXApp’s AI-focused products, including the CXAI Platform, CXAI Kiosk, and CXAI VU, have been central to its growth. These products cater to Return to Office (RTO) and Employee Engagement solutions, addressing the evolving needs of the workplace. One of the key developments in 2024 was the deployment of CXAI 2.0 at a leading financial services customer. Furthermore, the company formed a strategic partnership with Google Cloud, enabling early access to advanced AI models, further enhancing its product offerings.

Looking forward, CXApp plans to host an Investor Day in May 2025, where it will showcase new product offerings and customer case studies, offering insights into the future direction of its AI-driven business.