DOMO, INC.

Red flags

• The company reported net losses of $75.6 million, $81.9 million, and $59.3 million in fiscal 2024-2026, with a $1.55 billion accumulated deficit as of January 31, 2026.
• Only $43.0 million of cash and cash equivalents was available against a fully drawn $125.3 million secured term loan; the facility is secured by substantially all company assets, including intellectual property.
• Debt carries approximately 6.9% cash interest plus 5.0% capitalized interest, and the $7.3 million Second PIK Amendment Fee accrues at 9.5%. Capitalized interest increased to $6.7 million in fiscal 2026 from $4.5 million.
• Potential dilution is meaningful: 2.996 million potentially dilutive securities were excluded from fiscal 2026 EPS, including 1.211 million warrants; the company also has authority to sell up to $150.0 million of Class B shares through its ATM offering.
• The allowance for doubtful accounts reached $5.4 million after $9.2 million of additions and $7.3 million of write-offs in fiscal 2026, signaling elevated collection risk despite no customer exceeding 10% of revenue.