--- title: "Q2 | 8-K: FY2026 Q1 Revenue Beats Estimate at USD 216.51 M" type: "News" locale: "en" url: "https://longbridge.com/en/news/284690290.md" datetime: "2026-04-30T04:04:23.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/284690290.md) - [en](https://longbridge.com/en/news/284690290.md) - [zh-HK](https://longbridge.com/zh-HK/news/284690290.md) --- # Q2 | 8-K: FY2026 Q1 Revenue Beats Estimate at USD 216.51 M Revenue: As of FY2026 Q1, the actual value is USD 216.51 M, beating the estimate of USD 214.4 M. EPS: As of FY2026 Q1, the actual value is USD 0.4, beating the estimate of USD 0.2943. #### GAAP Results GAAP gross margin for the first quarter of 2026 was 59.1%, an increase from 53.2% in the prior-year quarter and 55.4% in the fourth quarter of 2025. GAAP net income for the first quarter of 2026 was $26.6 million, significantly up from $4.8 million in the prior-year quarter and $20.4 million in the fourth quarter of 2025. #### Non-GAAP Results Non-GAAP gross margin for Q1 2026 was 62.1%, an increase from 57.9% in the prior-year quarter and 58.6% in the fourth quarter of 2025. Adjusted EBITDA reached $60.0 million, up from $40.7 million in the prior-year quarter and $51.2 million in the fourth quarter of 2025. #### Segment Revenue (Three Months Ended March 31) - **Subscription Revenue:** $179,886 thousand in 2026, compared to $154,289 thousand in 2025. - **Transactional Revenue:** $17,808 thousand in 2026, compared to $18,617 thousand in 2025. - **Services and Other Revenue:** $18,812 thousand in 2026, compared to $16,829 thousand in 2025. #### Operational Metrics (Three Months Ended March 31) - **Cost of Revenues:** $88,592 thousand in 2026, compared to $88,745 thousand in 2025. - **Gross Profit:** $127,914 thousand in 2026, compared to $100,990 thousand in 2025. - **Operating Expenses:** - Sales and marketing: $25,720 thousand in 2026, compared to $26,527 thousand in 2025. - Research and development: $41,880 thousand in 2026, compared to $37,853 thousand in 2025. - General and administrative: $32,187 thousand in 2026, compared to $32,322 thousand in 2025. - Transaction-related costs: $250 thousand in 2026, compared to - in 2025. - Amortization of acquired intangibles: - in 2026, compared to $93 thousand in 2025. - Lease and other restructuring charges: $188 thousand in 2026, compared to $2,006 thousand in 2025. - **Total Operating Expenses:** $100,225 thousand in 2026, compared to $98,801 thousand in 2025. - **Income from Operations:** $27,689 thousand in 2026, compared to $2,189 thousand in 2025. - **Total Other Income, net:** $2,064 thousand in 2026, compared to $3,051 thousand in 2025. - **Income Before Income Taxes:** $29,753 thousand in 2026, compared to $5,240 thousand in 2025. - **Provision for Income Taxes:** - $3,114 thousand in 2026, compared to - $487 thousand in 2025. #### Cash Flow (Three Months Ended March 31) - **Net Cash Provided by Operating Activities:** $56,321 thousand in 2026, compared to $43,531 thousand in 2025. - **Free Cash Flow:** $44,210 thousand in 2026, compared to $37,832 thousand in 2025. #### Unique Metrics \[Q2 控股\] signed nine Enterprise and Tier 1 contracts in the quarter, including a significant expansion agreement and the largest fraud deal in company history. Subscription Annualized Recurring Revenue increased to $802.3 million, marking a 14% year-over-year growth. Remaining Performance Obligations (Backlog) totaled approximately $2.7 billion at quarter-end, representing a 2% sequential growth and 19% year-over-year growth. During the first quarter, \[Q2 控股\] repurchased approximately 1.8 million shares of its common stock for approximately $97.2 million, with $47.8 million remaining on its share repurchase authorization. #### Financial Outlook For the second quarter of 2026, \[Q2 控股\] anticipates total revenue between $214.0 million and $218.0 million, representing 10% to 12% year-over-year growth, and adjusted EBITDA between $57.5 million and $60.5 million. The company updated its full-year 2026 guidance, expecting total revenue of $875.0 million to $882.0 million, reflecting 10% to 11% year-over-year growth, and adjusted EBITDA of $237.0 million to $242.0 million. ### Related Stocks - [QTWO.US](https://longbridge.com/en/quote/QTWO.US.md) ## Related News & Research - [Q2 Holdings, Inc. Announces First Quarter 2026 Financial Results](https://longbridge.com/en/news/284637693.md) - [The Home Depot Announces First Quarter Fiscal 2026 Results; Reaffirms Fiscal 2026 Guidance | HD Stock News](https://longbridge.com/en/news/286890512.md) - [Agilysys Q4 revenue rises on subscription growth](https://longbridge.com/en/news/286814791.md) - [Plex is tripling the price of a lifetime pass to $750 after doubling it last year](https://longbridge.com/en/news/286975868.md) - [LiveRamp Announces Fourth Quarter and Fiscal Year 2026 Results | RAMP Stock News](https://longbridge.com/en/news/286677439.md)