Mike Cikos's questions to Elastic (ESTC) leadership • Q1 2026
Question
Mike Cikos of Needham & Company asked about the durability of competitive displacements in security given market dynamics and inquired about the net expansion rate assumptions embedded in the guidance for the remainder of the year.
Answer
CEO Ashutosh Kulkarni described the move away from incumbent SIEMs as a long-term secular trend, not a temporary event, and noted that product innovations like EASE are designed to sustain this momentum. CFO Navam Welihinda did not provide a specific net expansion rate guide but indicated that the full-year outlook reflects strong customer commitments and a better macro environment, with an expectation for the metric to perform well.