Coveo Affirms Guidance Amid CFO Change, Betting on AI Momentum

MONTREAL, QC – December 09, 2025 – In a carefully orchestrated move that speaks volumes about its corporate strategy, AI-Relevance leader Coveo (TSX: CVO) announced the impending departure of its Chief Financial Officer, Brandon Nussey, while simultaneously and forcefully affirming its financial guidance for the third quarter and full fiscal year 2026. The dual announcement is a classic case of managing investor perception, pairing news of a significant leadership change with a strong dose of financial confidence. It signals that while the C-suite may be in transition, the company's underlying business engine—powered by surging demand for its enterprise AI solutions—is running at full throttle.

For investors and analysts, the move presents a critical question: is this a moment of potential instability, or a demonstration of profound operational resilience? A closer look at the details suggests Coveo is making a deliberate statement that its future is defined not by the names on its executive roster, but by the strength and market traction of its technology.

A Test of Leadership Continuity

The departure of a CFO is always a significant event, and Brandon Nussey is not just any finance chief. Having joined Coveo in May 2023, he brought with him a high-profile track record, including steering Lightspeed Commerce through its successful IPO and NYSE listing. His tenure at Coveo, though less than three years, was described by CEO Laurent Simoneau as instrumental in fueling the company's growth and leaving it on "solid footing."

Nussey is stepping down for a "career opportunity outside the public markets," a detail that may subtly assuage investor fears. This phrasing suggests a personal career pivot rather than a departure prompted by internal turmoil or a lack of faith in Coveo’s trajectory. His transition will conclude on February 2, 2026, providing a stable runway through the upcoming Q3 earnings report.

In his place, Coveo has appointed Karine Hamel as Interim CFO. This is where the company's succession planning shines. Hamel is a deeply entrenched company veteran, having led Coveo's finance department since 2018 and been with the organization since 2017. Her nearly decade-long experience provides an invaluable layer of continuity. As the former Senior Vice President of Finance, she possesses an intimate understanding of the company's financial architecture, strategic priorities, and operational nuances. This internal promotion ensures that the financial stewardship of the company remains in capable, experienced hands, minimizing disruption and signaling stability to both internal teams and the wider market. The company has initiated a formal search for a permanent replacement, considering both internal and external candidates, with Hamel now positioned as a formidable internal contender.

The Engine of Growth: AI-Relevance in High Demand

While the leadership shuffle captures headlines, the real story for investors lies in the second half of the announcement: the unequivocal affirmation of financial guidance. This is not merely a boilerplate statement of confidence; it is a direct message that the business fundamentals driving Coveo’s performance are stronger than ever. The company explicitly cited "encouraging customer demand for its AI-powered solutions and corresponding new business bookings momentum" as the basis for its steady outlook.

This momentum is not new, but its acceleration is notable. The affirmed guidance for Q3 and Fiscal Year 2026, originally detailed in the October 30 earnings release, is underpinned by the explosive growth of Coveo's generative AI offerings. In its last reported quarter, these advanced solutions accounted for over 35% of total new business bookings. This figure is a powerful indicator that Coveo is successfully capitalizing on the enterprise world's urgent push to deploy practical, ROI-driven artificial intelligence. The growth is quantifiable, with revenue from these solutions increasing by approximately 2.5 times compared to the prior year.

The company’s strategy focuses on what it terms "AI-Relevance," moving beyond generic, persona-based targeting to deliver hyper-personalized content and recommendations tailored to an individual's specific context and intent. This is proving particularly potent in e-commerce, which remains Coveo's fastest-growing segment, significantly bolstered by its strategic partnership with enterprise software giant SAP.

Navigating a Competitive AI Landscape

Coveo's confidence is particularly noteworthy given the fiercely competitive landscape for enterprise AI. The company vies for market share against a diverse field of players, from dedicated enterprise search platforms like Elastic and Glean to the AI-infused offerings of tech titans such as Microsoft and Salesforce. In this crowded arena, differentiation is paramount.

Coveo's competitive edge lies in its unified platform architecture. It is designed to create a cohesive 'Experience Intelligence' layer that connects disparate data sources across an enterprise—from service and commerce platforms to internal workplace applications. This allows its AI to deliver what is known as Retrieval-Augmented Generation (RAG), where generative AI responses are grounded in the company's own verified, trustworthy data. This capability is a critical differentiator for enterprises concerned with the accuracy, security, and relevance of AI-generated content.

This strategic positioning has earned Coveo significant industry recognition. For the second consecutive year, it was named a Leader in the 2025 Gartner® Magic Quadrant™ for Search and Product Discovery. Such accolades reinforce the company's narrative that it provides an enterprise-grade, AI-native platform ready to power the next generation of digital experiences, helping it stand out against competitors and build a defensible market position.

Balancing Investor Confidence and Future Strategy

Ultimately, Coveo's December 9th announcement was a masterclass in strategic capital markets communication. By bundling the news of a key executive's departure with a robust confirmation of its financial health, the company proactively addressed the uncertainty that typically follows such changes. It effectively told the market to focus on the business, not the boardroom.

The message is clear: the demand for Coveo's AI-Relevance platform is the primary driver of value, and that demand remains exceptionally strong. The smooth succession plan to an experienced internal leader provides the operational stability needed to continue executing on its strategy without missing a beat. As Coveo proceeds with its search for a permanent CFO, it does so from a position of strength, anchored by powerful product-market fit and sustained customer momentum in the most dynamic sector of the modern economy.