“While we expect to see stock-based compensation expense trend up through the remainder of the year, we remain focused on GAAP net income and operating profitability.”

In context

“count investments in key strategic areas. We remain committed to sustaining GAAP profitability, while at the same time increasing investment in both the U.S. to capture the momentum we are seeing, and in the development of advanced software capabilities, particularly our AI-driven offerings. We believe that artificial intelligence, including large language models, will prove transformational for our business and for enterprises in the government and commercial context. To that end, we are rebalancing our efforts and investment to capitalize on these developments. In the first quarter, we generated income for operations of $4 million, our first-ever quarter of GAAP operating income. This reflects our laser focus on profitable growth and continued management of our stock-based compensation. While we expect to see stock-based compensation expense trend up through the remainder of the year, we remain focused on GAAP net income and operating profitability. Turning to net income. First quarter GAAP net income was $17 million, our second consecutive quarter of GAAP profitability. This was a result of our strong GAAP operating income, as well as interest income from our balance sheet and the narrowing of losses from investments. First quarter adjusted earnings per share was $0.05 and GAAP earnings per share was $0.01, our second consecutive quarter of positive GAAP EPS. We are extremely proud that we are able to continue to deliver GAAP profitability on a consistent basis. Additionally, our combined revenue growth and adjusted operating margin was 42% in the first quarter. We will continue to strive to achieve the Rule 40 throughout 2023 and beyond. Turning to our strong cash flow in the first quarter, we generated $189 million and $187 millio”