Revenue growth has decelerated to 11.7% as of 2026Q1, though structural improvements have expanded gross margins from 52.5% in 2023Q4 to 60.9%.
| Sales/Revenue | 149.89M | 145.84M | 127.63M | 102.02M | 85.16M | 67.48M | 53.78M | 40.75M |
| Revenue Growth % | 13.32% | 14.27% | 25.1% | 19.8% | 26.19% | 25.46% | 31.99% | - |
| Cost of Goods Sold | 56.82M | 57.04M | 58.28M | 52.16M | 41.29M | 33.14M | 25.8M | 20.13M |
| COGS % of Revenue | - | 39.11% | 45.67% | 51.13% | 48.49% | 49.11% | 47.97% | 49.39% |
| Gross Profit | 93.07M | 88.79M | 69.34M | 49.86M | 43.86M | 34.34M | 27.98M | 20.62M |
| Gross Margin % | 62.09% | 60.89% | 54.33% | 48.87% | 51.51% | 50.89% | 52.03% | 50.61% |
| Gross Profit Growth % | - | 28.05% | 39.08% | 13.67% | 27.73% | 22.72% | 35.7% | - |
| Operating Expenses | 113.12M | 108.95M | 115.63M | 107.76M | 91.98M | 53.13M | 31.71M | 19.67M |
| OpEx % of Revenue | - | 74.71% | 90.6% | 105.63% | 108.01% | 78.74% | 58.97% | 48.28% |
| Selling, General & Admin | 67.58M | 66.31M | 73.53M | 68.23M | 58.87M | 32.6M | 18.65M | 11.24M |
| SG&A % of Revenue | - | 45.47% | 57.62% | 66.88% | 69.13% | 48.31% | 34.67% | 27.57% |
| Research & Development | 45.54M | 46.11M | 42.1M | 39.53M | 33.11M | 20.54M | 13.07M | 8.44M |
| R&D % of Revenue | - | 31.62% | 32.98% | 38.74% | 38.88% | 30.43% | 24.3% | 20.7% |
| Other Operating Expenses | 0 | -3.47M | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -20.06M | -20.15M | -46.29M | -57.91M | -48.11M | -18.79M | -3.73M | 949K |
| Operating Margin % | -13.38% | -13.82% | -36.27% | -56.76% | -56.5% | -27.85% | -6.94% | 2.33% |
| Operating Income Growth % | - | 56.46% | 20.06% | -20.35% | -156% | -403.59% | -493.26% | - |
| EBITDA | 4.41M | 5.34M | -17.96M | -32.99M | -27.96M | -2.47M | 9.22M | 10.27M |
| EBITDA Margin % | 2.94% | 3.66% | -14.07% | -32.34% | -32.84% | -3.66% | 17.14% | 25.2% |
| EBITDA Growth % | 128.32% | 129.73% | 45.56% | -17.99% | -1031.15% | -126.81% | -10.21% | - |
| D&A (Non-Cash Add-back) | 24.47M | 25.49M | 28.33M | 24.91M | 20.15M | 16.32M | 12.95M | 9.32M |
| EBIT | -18.18M | -21.66M | -44.87M | -55.92M | -47.15M | -17.93M | -3.73M | 949K |
| Net Interest Income | -3.29M | -1.91M | -3.66M | -3.79M | -4.29M | -3.68M | -2.89M | -1.93M |
| Interest Income | 928K | 1.96M | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 4.22M | 3.87M | 3.66M | 3.79M | 4.29M | 3.68M | 2.89M | 1.93M |
| Other Income/Expense | -2.35M | -5.37M | -2.24M | -1.81M | -3.32M | -2.81M | -2.89M | -1.93M |
| Pretax Income | -22.41M | -25.53M | -48.52M | -59.71M | -51.44M | -21.61M | -6.62M | -980K |
| Pretax Margin % | -14.95% | -17.5% | -38.02% | -58.53% | -60.4% | -32.02% | -12.3% | -2.4% |
| Income Tax | 28K | 84K | 6K | 0 | -39K | 96K | 5K | 16K |
| Effective Tax Rate % | -0.12% | -0.33% | -0.01% | 0% | 0.08% | -0.44% | -0.08% | -1.63% |
| Net Income | -22.43M | -25.61M | -48.53M | -59.71M | -51.4M | -21.7M | -6.62M | -996K |
| Net Margin % | -14.97% | -17.56% | -38.03% | -58.53% | -60.36% | -32.16% | -12.31% | -2.44% |
| Net Income Growth % | 52.06% | 47.23% | 18.73% | -16.18% | -136.81% | -227.71% | -564.96% | - |
| Net Income (Continuing) | -22.43M | -25.61M | -48.53M | -59.71M | -51.4M | -21.7M | -6.62M | -996K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.38 | -0.46 | -1.11 | -1.66 | -1.63 | -0.71 | -0.22 | -0.05 |
| EPS Growth % | 61.39% | 58.56% | 33.13% | -1.84% | -129.58% | -222.73% | -311.22% | - |
| EPS (Basic) | - | -0.46 | -1.11 | -1.66 | -1.63 | -0.71 | -0.22 | -0.05 |
| Diluted Shares Outstanding | 59.29M | 56.21M | 43.54M | 36.01M | 31.66M | 30.38M | 30.3M | 18.6M |
| Basic Shares Outstanding | 59.29M | 56.21M | 43.54M | 36.01M | 31.66M | 30.38M | 30.3M | 18.6M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
High Operating Leverage Sensitivity
As reported in financial statements, Backblaze's year-over-year revenue growth has decelerated from 28.8% in 2024Q3 to 11.7% in 2026Q1, suggesting that the initial rapid expansion phase of its B2 cloud storage segment may be encountering market saturation or increased competitive pressure within its core SMB customer base.
The consistent decline in quarterly growth rates indicates that the company is struggling to maintain its previous momentum as it scales. Investors should monitor whether this deceleration reflects a structural shift in demand or merely a transition toward a more mature, albeit slower, growth trajectory.
Based on recent SEC filings, Backblaze has successfully expanded its gross margin from 52.5% in 2023Q4 to 60.9% in 2026Q1, indicating that the company is beginning to realize the benefits of its proprietary software-defined storage architecture and improved hardware utilization efficiency over time.
This margin improvement is a critical indicator of the company's ability to scale its infrastructure without a linear increase in costs. However, maintaining these levels will likely require continued discipline in managing data center power and hardware depreciation expenses as the business grows.
According to the provided income statement data, operating losses have narrowed from $13.8 million in 2024Q4 to $5.4 million in 2026Q1, demonstrating that the company is slowly achieving better operating leverage as revenue growth begins to outpace the growth of its core operating expenses.
While the trend is positive, the persistent negative operating margin suggests that the company remains in a high-investment phase. The ability to reach break-even will depend on the company's capacity to control SG&A costs while simultaneously driving top-line growth in the competitive IaaS market.
As evidenced by the quarterly data, Backblaze's net losses are frequently exacerbated by significant stock-based compensation, which reached $6.9 million in 2026Q1, highlighting a reliance on equity-based incentives that may mask the true cash-based operational performance of the business for potential investors.
The volatility in SBC expenses suggests that reported net income figures should be viewed with caution, as they do not fully capture the economic cost of talent acquisition. Analysts should focus on cash-based metrics to better understand the underlying sustainability of the company's current business model.
Quick answers to the most common questions about buying BLZE stock.
For fiscal year 2025, Backblaze, Inc. (BLZE) reported total revenue of $145.8M. This represents a 257.9% increase compared to $40.7M in 2019.
Backblaze, Inc. (BLZE) reported a net loss of $25.6M for the fiscal year ending 2025.
Backblaze, Inc. (BLZE) reported an operating income of $-20.2M, resulting in an operating profit margin of -13.8%. This margin reflects the operational efficiency of the business before interest and taxes.
Backblaze, Inc. (BLZE) generated $88.8M in gross profit for the year, representing a gross profit margin of 60.9%. This demonstrates the company's core pricing power and production efficiency.