NiCE's AI and self-service annual recurring revenue rose 52% year over year to $362 million as of June 30, 2026, its Aug. 5 earnings release showed, with cloud sales outpacing companywide growth.
Annual recurring revenue, or ARR, expresses recurring business at an annualized rate. The $362 million therefore does not represent sales recorded during the second quarter. NiCE combines AI and self-service products in that measure and did not disclose how much Cognigy contributed to it.
Cloud revenue increased 12.6% from a year earlier to $609 million in the second quarter, while total revenue grew 7.6% to $782.3 million. NiCE said its Cognigy acquisition accounted for about 2.5 percentage points of cloud growth. Those percentages measure quarterly revenue growth, rather than the change in ARR.
For the 12 months through June 30, 2026, NiCE reported $2.8 billion in recurring revenue out of $3.1 billion in total revenue. Those figures cover revenue reported over a full year, a different measure from the ARR reading at June 30.
GAAP operating income fell to $104 million from $160.6 million a year earlier despite the increase in sales. NiCE also reports results on a non-GAAP basis, so the operating-income comparison uses its standard accounting figures.
NiCE's Sept. 8, 2025, purchase of Cognigy brought conversational AI technology into its customer-service business. The company has integrated Cognigy with CXone, its customer-service platform, and continues to offer Cognigy separately. NiCE says the two offerings give customers a choice in how they use the technology.
The company identified AI adoption and customer expansion as drivers of cloud growth. It also said AI bookings reached a quarterly record. Its combined ARR figure does not show the contribution of each product.
In its Aug. 5 release, NiCE forecast non-GAAP revenue of $780 million to $790 million for the third quarter of 2026. That range is the company's next stated revenue benchmark.
