Shares of Cognyte Software Ltd. (NASDAQ: CGNT) surged 13.50% in pre-market trading on Wednesday following the release of its fourth quarter fiscal year 2025 financial results and optimistic outlook for fiscal year 2026.

The investigative analytics software company reported impressive Q4 numbers, with revenue reaching $94.5 million, up approximately 13% compared to the same period last year. Cognyte's GAAP operating income for the quarter stood at $0.7 million, a significant improvement from an operating loss of $2.9 million in the prior year period. Notably, the company's Adjusted EBITDA more than doubled to $9.3 million, showcasing substantial progress in profitability.

Investors were particularly encouraged by Cognyte's positive guidance for fiscal year 2026. The company projects revenue of approximately $392 million at the midpoint, representing a 12% year-over-year growth. Additionally, Cognyte expects a significant increase in profitability, with Adjusted EBITDA forecasted at around $43 million for the upcoming fiscal year. Elad Sharon, Cognyte's CEO, expressed confidence in the company's long-term growth prospects, citing the value of their innovative solutions and strong customer relationships in the field of investigative analytics software.