UiPath keeps eye on agentic AI prize

Software giant UiPath is focused on developing agentic AI solutions and is working with large enterprises for its mass deployment. 

“Agentic automation is transforming the way businesses operate,” Chief Executive Daniel Dines said during the company’s fiscal 2025 fourth-quarter earnings call on March 12. 

During the fiscal year, which ended Jan. 31, UiPath developed the following products: 

• Autopilot;  

• Agent Builder;  

• Agentic Orchestration; 

• Healing Agent;  

• Intelligent Extraction Processing; and  

• Agentic Testing. 

The New York City-based company is working with Microsoft to add Microsoft Co-Pilot capabilities to UiPath’s agentic AI models, Dines said. UiPath also teamed up with Deloitte to launch “an agentic ERP solution to integrate UiPath agentic automation with industry-leading ERP platforms,” he said. 

THE BIG PICTURE: Fintech giants are developing agentic AI models to make operations simpler for their banking clients. 

UiPath’s Agent Builder model, which can be custom built to perform certain tasks, is being deployed for resolving vendor disputes, processing claims, streamlining sales operations and fraud detection by UiPath clients, Dines said. The agentic model has helped one client improve the efficiency of its documentation process by 50% while increasing the accuracy by 30%, he said. 

Nearly 3,000 agents have been deployed through the agent builder model, Dines said. 

The Agentic Orchestration platform allows organizations to manage multiple agentic AI models across their entire application ecosystem, Dines said. 

Similarly, Fiserv has been training a new chatbot on its consumers’ data to deploy it within its FI customers’ operations to make them more efficient, according to published reports. 

Salesforce also launched its enterprise chatbot Einstein last year to aid efficiency on consumer relationship teams, according to the company’s website. Einstein is able to solve 83% of all consumer inquiries without involving a human and is also being used by The Auto Club Group and Uber Eats. 

BY THE NUMBERS: UiPath reported: 

• Q4 revenue of $423.6 million, up 4.5% year over year; 

• Fiscal year revenue of $1.4 billion, up 9.3% YoY; and 

• Q4 research and development costs of $99.7 million, up 16.4% YoY. 

NOTEWORTHY: UiPath announced the acquisition of Manchester, U.K.-based AI company Peak, according to UiPath’s March 12 release. Peak helps organizations develop AI workflows, process data and provide predictions by connecting their tech to an API and distributing its own AI models within the company. 

“With the acquisition of Peak, we are accelerating our mission to strengthen our vertical AI solutions strategy,” Dines said in the release. “When combined with the UiPath platform, Peak’s exceptional purpose-built AI applications will enhance our ability to provide solutions that optimize industry-specific use cases and deliver incredible value to customers.” 

FORWARD LOOK: UiPath cut its fiscal 2026 guidance amid macroeconomic uncertainty of tariffs and losing many government contracts, Dines said. The transition in the government that began in January affected the timing of deal closures and as a result, the company came in slightly below its expectations for ARR in the fourth quarter, he said. 

“We were talking this week on Monday with a Canadian bank, and they told us that all approvals in the last 90 days are now being re-reviewed,” Dines added. 

While customers are gravitating toward UiPath’s agentic AI solutions, “we expect momentum to build throughout the year, [but] we don’t expect it to be a material contributor to revenue in fiscal year 2026,” Ashim Gupta, chief operating officer and chief financial officer, said during the earnings call. 

MARKET REACTION: UiPath’s stock tumbled over 15% on March 13 and was trading at $9.97 at market close on the heels of lower forecast earnings. 

“Macro pressure in the Federal vertical was cited as the reason for the deceleration, though commentary suggests that pressure is more broad-based, and unlikely to abate soon,” according to Bank of America Securities report, published today. “We believe growing AI budgets are encroaching on UiPath’s RPA end market.” 

The RPA category is fairly limited to financial/accounting use cases to begin with, and with CIOs and CFOs prioritizing agents over bots for AI, Bank of America sees this as an ongoing issue and one that a tougher macroenvironment is likely to exacerbate, according to the report.