PYMNTS Intelligence Alternate Banner June 2024

AI Money: AI Fuels Strong Quarterly Results for Tech Firms

Several tech companies reported strong earnings in the first quarter of 2024, driven by the growing demand for artificial intelligence (AI) products and services.

As the AI revolution continues to gain momentum, businesses across various sectors are embracing AI technologies to enhance their offerings, streamline operations, and gain a competitive edge in the market. Among the notable performers this quarter are, HP and nCino Results Exceed Expectations, an enterprise AI software company, reported strong Q4 results for fiscal year 2024, surpassing its guidance and analysts’ expectations. The company achieved its fifth consecutive quarter of accelerating revenue growth, with subscription revenue increasing 41% year over year (YoY).

CEO Tom Siebel highlighted the success on the earnings call, noting that the company reported revenue of $86.6 million for the quarter, with subscription revenue accounting for 92% of the total. Non-GAAP gross profit was $60.9 million, representing a 70% gross margin. generated a free cash flow of $18.8 million and ended the quarter with $750.4 million in cash, cash equivalents and investments.

This performance comes amid rapid growth and increased attention in the AI industry, especially in generative AI (GenAI). 

HP Reports Solid Earnings, Optimism

HP reported strong Q2 2024 earnings, highlighting its potential to benefit from the AI boom.

HP’s total revenue for the quarter was $12.8 billion, slightly down from last year’s $12.91 billion but surpassing analysts’ expectations of $12.59 billion, according to Visible Alpha. Personal Systems net revenue, which includes PCs and servers, grew 3% YoY to $8.4 billion, while the Printing unit reported an 8% drop to $4.4 billion.

Despite net income of $607 million, or 61 cents per share, missing estimates of $678.9 million and 69 cents per share due to over $200 million in one-time charges, HP’s adjusted profits of $812 million, or 82 cents per share, beat expectations of $803.5 million and 81 cents per share.

“We delivered a solid quarter and first half, and unveiled an innovative portfolio of solutions designed for the AI and hybrid era,” said HP CEO Enrique Lores. “As the market recovers and new AI PCs are introduced, we are well positioned to drive profitable growth across our business.”

HP’s focus on AI and new technology is expected to drive growth in 2025 and beyond. “Initial reaction has been overwhelmingly positive with our next-gen devices being recognized as some of the most premium announced and having beyond cutting-edge hardware,” Lores said on the earnings call.

NCino Posts Record Sales

NCino, a leading provider of cloud banking solutions, announced record-breaking sales for the first quarter of fiscal 2025, driven by robust demand for its single-platform offerings and advanced AI features.

On Wednesday (May 29), the company reported total revenues of $128.1 million for the quarter ending April 30, marking a 13% increase from the same period last year. This performance underscores the appetite among financial institutions for nCino’s software-as-a-service (SaaS) cloud banking solutions.

“The effectiveness of our single platform strategy and the strong demand for intelligent business process products have been key drivers of our success,” said Pierre Naudé, chairman and CEO of nCino, in the earnings release. He also noted that the recent stabilization of interest rates has improved customer engagement and normalized purchasing behavior.

“With enhanced visibility into their financial performance, many financial institutions are now focusing on strategic initiatives aimed at operational improvement, efficiency gains, better client experiences, and competitive positioning,” Naudé stated during the company’s earnings call. “This shift is translating into increased technology investments.”

AI’s Growth Spurt

The performance of, HP, and nCino in Q1 2024 is a testament to the growing importance of AI in driving business success. As enterprises across industries recognize the potential of AI to revolutionize their operations and offerings, the demand for AI-powered solutions is expected to continue its upward trajectory.’s focus on enterprise AI applications and its differentiated GenAI offerings position the company to capitalize on the massive potential of the AI market. Similarly, HP’s emphasis on AI and new technology is expected to drive growth in the coming years as the company introduces innovative AI-powered devices to meet the needs of consumers and businesses.

Meanwhile, nCino’s record-breaking sales underscore financial institutions’ adoption of cloud banking solutions and AI-driven tools. As banks and lenders seek to enhance their operational capabilities, improve customer experiences, and gain a competitive edge, the demand for nCino’s single-platform offerings and advanced AI features will likely continue.