PagerDuty has set its sights on a revenue target between $493 million to $499 million for fiscal year 2026. This ambitious goal is part of a broader strategic shift involving enhancements to its enterprise sales model and the integration of artificial intelligence (AI) technologies.
In the fiscal year 2025, PagerDuty achieved a revenue of $467.5 million, which represented an 8.5% increase compared to the previous year. The company has introduced Agentic Artificial Intelligence within its Operations Cloud, aiming to improve both operational efficiency and customer experience. According to Investing.com, PagerDuty is also transitioning to a more flexible pricing and contracting model to better meet the needs of enterprise customers.
PagerDuty's strategies also focus on expanding its customer base, as evidenced by a 6% increase in customers generating at least $100,000 in annual recurring revenue, reaching a total of 849 by January 31, 2025. Additionally, the company's Board of Directors has authorized a new $150 million share repurchase program, demonstrating confidence in its long-term growth strategy. These initiatives highlight PagerDuty's proactive measures to leverage advanced technologies and reshape its business model for sustained success.