Reported results
- Q2 FY2027 total revenue of $508.4 million, representing 30% year-over-year growth (29% in constant currency)
- Q2 FY2027 net new ARR of $134.1 million, representing 28% year-over-year growth in both actual and constant currency
- Ending ARR of $2.125 billion (or $2,124.7 million), representing 30% year-over-year growth
- GAAP net income per share (basic and diluted) of $0.03 for Q2 FY2027, representing the fourth consecutive quarter of GAAP profitability
- Non-GAAP operating margin of 21% for Q2 FY2027 vs. 15% in Q2 FY2026, a 6 percentage point increase
- Free cash flow of $64.7 million for Q2 FY2027 with a free cash flow margin of 13%
Guidance
- Q3 FY2027 total revenue guidance of $514 million to $516 million
- Q3 FY2027 year-over-year revenue growth guidance of 24% (23%-24% in constant currency)
- Q3 FY2027 non-GAAP operating margin guidance of 21%
- Q3 FY2027 non-GAAP net income per share (diluted) guidance of $0.18 to $0.19
- Q3 FY2027 GAAP net income per share (diluted) guidance of GAAP Profitable
- FY2027 total revenue guidance of $2.043 billion to $2.047 billion
- FY2027 year-over-year revenue growth guidance of 26%
- FY2027 non-GAAP operating margin guidance of 21%
- FY2027 non-GAAP net income per share (diluted) guidance of $0.76 to $0.78
- FY2027 GAAP net income per share (diluted) guidance of GAAP Profitable
Notes
The company recognized a legal gain from arbitration award of $30.3 million during the six months ended August 1, 2026, which is excluded from non-GAAP net income calculations. Constant currency impact to revenue guidance is $2 million for Q3 FY2027 and $10 million for FY2027. A reconciliation of non-GAAP guidance financial measures to corresponding GAAP guidance measures is not available on a forward-looking basis due to uncertainty in potential variability of expenses such as stock-based compensation.
Price and volatility reaction
The stock moved +3.7% on the print. No front-expiry chain was on file, so there is no straddle expected move. 30-day ATM implied volatility moved -22.5 vol points across the event (constant-maturity series — not the front-week crush).
| Measure | Value | Basis |
|---|---|---|
| Close before release | 38.75 | 2026-09-03 |
| Close after release | 40.2 | 2026-09-04 |
| Realised move | +3.7% | close to close |
| 30d ATM IV change | -22.5 vol pts | constant-maturity series, not the front expiry |
Source
The figures above come from the earnings release the company filed with the SEC on 2026-09-03 (8-K, Item 2.02). Read the original filing on sec.gov.