CrowdStrike (CRWD) Q3 2026 Financial Results Summary

2025-12-03 · Stocks · QuoteReporter

CrowdStrike Holdings, Inc. (CRWD) Q3 2026 Financial Results Summary

CrowdStrike Holdings, Inc. (Nasdaq: CRWD) announced its financial results for the third quarter of Fiscal Year 2026 on December 2, 2025. The report highlights strong growth in annual recurring revenue (ARR), cash flow, and numerous strategic developments.

Third Quarter Fiscal 2026 Financial Highlights

Total Revenue:
Reached $1.23 billion, up 22% compared to $1.01 billion in Q3 FY 2025.
Subscription Revenue:
Amounted to $1.17 billion, marking a 21% increase from $962.7 million in the same quarter last year.
Annual Recurring Revenue (ARR):
Closed at $4.92 billion, showing a 23% growth year-over-year.
Added $265 million in net new ARR in Q3, reflecting a significant 73% growth compared to the previous year.
Cash Flow:
Generated record cash flow from operations of $398 million.
Achieved free cash flow of $296 million.
Subscription Gross Margin:
GAAP subscription gross margin held steady at 78% for both Q3 FY 2026 and Q3 FY 2025.
Non-GAAP subscription gross margin improved to 81%, compared to 80% in Q3 FY 2025.
Loss from Operations:
GAAP loss from operations was $69.4 million, compared to $55.7 million in the prior year’s quarter.
Non-GAAP income from operations reached a record $264.6 million, compared to $200.7 million in Q3 FY 2025.
Net Income:
GAAP net loss attributable to CrowdStrike totaled $34 million, a decrease compared to a loss of $16.8 million in the same quarter the prior year.
Non-GAAP net income attributable to CrowdStrike came in at a record $245.4 million, up from $190.9 million year-over-year.
Non-GAAP net income per share was $0.96, increasing from $0.76 in Q3 FY 2025.
Cash and Cash Equivalents:
Amounted to $4.80 billion as of October 31, 2025.

Recent Highlights

Product Innovations: Launched new offerings, including Falcon Next-Gen Identity Security and Falcon Data Protection during the Fal.Con cybersecurity conferences.
Partnerships: Entered into marquee partnerships with AWS, EY, CoreWeave, and Kroll.
Module Adoption Rates: Increased to 49% for customers using six or more modules, 34% for seven or more, and 24% for eight or more, as of October 31, 2025.
Acquisitions: Acquired Pangea, a leader in AI security.

Financial Outlook

CrowdStrike has updated its guidance for the fourth quarter of fiscal 2026:

Total Revenue Guidance: Expected to be between $1.29 billion and $1.30 billion.
Non-GAAP Income from Operations Guidance: Projected at $315.4 million to $319.4 million for Q4 FY 2026.
Non-GAAP Net Income per Share Guidance: Estimated between $1.09 and $1.11.

Dividend and Share Repurchase

There was no mention of a quarterly dividend or share repurchase program in the report.

Conclusion

CrowdStrike’s financial performance in Q3 FY 2026 demonstrates strong growth across its revenue streams and operational efficiency, significantly increasing its cash flow and ARR. The company’s strategic advancements and partnerships continue to reinforce its position as a market leader in cybersecurity.

	Three Months Ended October 31,		Nine Months Ended October 31,
	2025	2024	2025	2024
Revenue
Subscription	1,168,705	962,735	3,322,418	2,753,164
Professional services	65,539	47,443	184,212	141,922
Total revenue	1,234,244	1,010,178	3,506,630	2,895,086
Cost of revenue
Subscription(1)(2)(6)	257,915	216,301	753,929	605,868
Professional services(1)(6)	49,890	38,786	153,302	111,623
Total cost of revenue	307,805	255,087	907,231	717,491
Gross profit	926,439	755,091	2,599,399	2,177,595
Operating expenses
Sales and marketing(1)(2)(3)(4)(5)(6)	481,032	408,267	1,367,673	1,113,852
Research and development(1)(3)(4)(5)(6)	347,564	275,602	1,028,361	761,759
General and administrative(1)(2)(3)(4)(5)(6)	167,286	126,945	510,443	337,113
Total operating expenses	995,882	810,814	2,906,477	2,212,724
Loss from operations	-69,443	-55,723	-307,078	-35,129
Interest expense(7)	-6,931	-6,587	-20,469	-19,647
Interest income	50,883	52,201	147,113	149,577
Other income (expense), net(8)(9)	2,223	-429	-4,395	6,196
Income (loss) before provision for	-23,268	-10,538	-184,829	100,997
income taxes
Provision for income taxes	10,720	6,281	37,797	24,862
Net income (loss)	-33,988	-16,819	-222,626	76,135
Net income (loss) attributable to	9	3	-747	3,124
non-controlling interest
Net income (loss) attributable to	-33,997	-16,822	-221,879	73,011
CrowdStrike
Net income (loss) per share attributable
to CrowdStrike common stockholders:
Basic	-0.14	-0.07	-0.89	0.30
Diluted	-0.14	-0.07	-0.89	0.29
Weighted-average shares used in
computing net income (loss) per share
attributable to CrowdStrike common
stockholders:
Basic	251,326	245,536	249,905	244,017
Diluted	251,326	245,536	249,905	250,747

	October 31, 2025	January 31, 2025
Assets
Current assets:
Cash and cash equivalents	4,801,083	4,323,295
Accounts receivable, net of allowance	1,013,116	1,128,564
for credit losses
Deferred contract acquisition costs, current	398,708	347,042
Prepaid expenses and other current assets	306,375	314,444
Total current assets	6,519,282	6,113,345
Strategic investments	81,332	72,544
Property and equipment, net	926,963	788,640
Operating lease right-of-use assets	67,359	42,763
Deferred contract acquisition costs, noncurrent	556,221	500,908
Goodwill	1,352,927	912,805
Intangible assets, net	144,405	133,114
Other long-term assets	316,858	137,459
Total assets	9,965,347	8,701,578
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable	131,596	130,887
Accrued expenses	190,009	191,349
Accrued payroll and benefits	357,653	319,243
Operating lease liabilities, current	15,929	13,811
Deferred revenue	2,851,488	2,733,005
Other current liabilities	53,220	72,755
Total current liabilities	3,599,895	3,461,050
Long-term debt	745,099	743,983
Deferred revenue, noncurrent	1,211,762	995,672
Operating lease liabilities, noncurrent	57,018	31,107
Other liabilities, noncurrent	292,556	150,849
Total liabilities	5,906,330	5,382,661
Commitments and contingencies
Stockholders’ Equity
Common stock, Class A and Class B	126	124
Additional paid-in capital	5,314,820	4,367,070
Accumulated deficit	-1,299,986	-1,078,107
Accumulated other comprehensive income (loss)	1,537	-9,593
Total CrowdStrike Holdings, Inc. stockholders’ equity	4,016,497	3,279,494
Non-controlling interest	42,520	39,423
Total stockholders’ equity	4,059,017	3,318,917
Total liabilities and stockholders’ equity	9,965,347	8,701,578