# CrowdStrike (CRWD) Q2 2026 Financial Results Summary
CrowdStrike Holdings, Inc. (Nasdaq: CRWD), announced its financial results for the second quarter of fiscal year 2026, ending July 31, 2025, on August 27, 2025.
## Key Financial Metrics
– **Total Revenue**:
– Achieved **$1.17 billion**, a **21% increase** from **$963.9 million** in Q2 FY25.
– **Subscription Revenue** was **$1.10 billion**, up **20%** compared to **$918.3 million** in Q2 FY25.
– **Annual Recurring Revenue (ARR)**:
– Grew **20% year-over-year**, reaching **$4.66 billion**.
– Added **$221 million** in net new ARR during the quarter.
– **Cash Flow**:
– **Cash flow from operations** amounted to **$333 million**, from **$326.6 million** in Q2 FY25.
– **Free cash flow** was **$284 million**, up from **$272.2 million** in Q2 FY25.
– **Subscription Gross Margin**:
– GAAP subscription gross margin decreased to **77%** from **78%** a year earlier.
– Non-GAAP subscription gross margin declined to **80%** from **81%** in Q2 FY25.
– **Income/Loss from Operations**:
– GAAP loss from operations totaled **$113 million**, compared to income of **$13.7 million** in Q2 FY25.
– Non-GAAP income from operations reached a record **$255 million**, up from **$241 million** in the prior year.
– **Net Income/Loss**:
– GAAP net loss attributable to CrowdStrike was **$77.7 million**, compared to a net income of **$47 million** in Q2 FY25.
– GAAP net loss per share was **$0.31**, a decrease from net income per share of **$0.19** in Q2 FY25.
– Non-GAAP net income attributable to CrowdStrike was **$237.4 million**, compared to **$221.6 million** in Q2 FY25, with a diluted net income per share of **$0.93**, up from **$0.88** a year ago.
## Cash and Cash Equivalents
– Increased to **$4.97 billion** as of July 31, 2025.
## Recent Highlights
– **Module Adoption Rates**:
– 48% for six or more modules.
– 33% for seven or more modules.
– 23% for eight or more modules.
– **Acquisition**:
– CrowdStrike announced plans to acquire Onum Technology Inc., focusing on telemetry management.
– **Recognitions**:
– Designated as a leader in several industry assessments including the 2025 Gartner Magic Quadrant™ for Endpoint Protection Platforms for the sixth consecutive time.
## Financial Outlook
– Guidance for Q3 FY26 (ending October 31, 2025):
– **Total revenue**: Expected between **$1.208 billion – $1.218 billion**.
– **Non-GAAP income from operations**: Expected between **$256 million – $262 million**.
– **Non-GAAP net income attributable to CrowdStrike**: Expected between **$238 million – $243 million**.
## Share Repurchase and Dividends
– The company has not declared a quarterly dividend.
– No share repurchase program has been disclosed in the release.
## Summary
CrowdStrike’s financial performance in Q2 FY26 indicates solid revenue growth and operational efficiency while demonstrating challenges with net income, reflecting increasing investments and operational expenses. The company’s strategic focus on enhancing its cybersecurity solutions continues to drive ARR growth alongside significant cash generation.
| Revenue | 2025 | 2024 | 2025 | 2024 |
|---|---|---|---|---|
| Subscription | 1,102,945 | 918,257 | 2,153,713 | 1,790,429 |
| Professional services | 66,007 | 45,615 | 118,673 | 94,479 |
| Total revenue | 1,168,952 | 963,872 | 2,272,386 | 1,884,908 |
| Cost of revenue | ||||
| Subscription(1)(2)(6) | 253,640 | 199,910 | 496,014 | 389,567 |
| Professional services(1)(6) | 56,643 | 37,491 | 103,412 | 72,837 |
| Total cost of revenue | 310,283 | 237,401 | 599,426 | 462,404 |
| Gross profit | 858,669 | 726,471 | 1,672,960 | 1,422,504 |
| Operating expenses | ||||
| Sales and marketing(1)(2)(3)(4)(5)(6) | 447,024 | 355,471 | 886,641 | 705,585 |
| Research and development(1)(3)(4)(5)(6) | 346,668 | 250,908 | 680,797 | 486,157 |
| General and administrative(1)(2)(3)(4)(5)(6) | 177,956 | 106,434 | 343,157 | 210,168 |
| Total operating expenses | 971,648 | 712,813 | 1,910,595 | 1,401,910 |
| Income (loss) from operations | -112,979 | 13,658 | -237,635 | 20,594 |
| Interest expense(7) | -6,823 | -6,549 | -13,538 | -13,060 |
| Interest income | 50,850 | 51,526 | 96,230 | 97,376 |
| Other income (expense), net(8)(9) | -2,722 | -1,031 | -6,618 | 6,625 |
| Income (loss) before provision for income taxes | -71,674 | 57,604 | -161,561 | 111,535 |
| Provision for income taxes | 5,971 | 10,914 | 27,077 | 18,581 |
| Net income (loss) | -77,645 | 46,690 | -188,638 | 92,954 |
| Net income (loss) attributable to | ||||
| non-controlling interest | 30 | -323 | -756 | 3,121 |
| Net income (loss) attributable to | -77,675 | 47,013 | -187,882 | 89,833 |
| CrowdStrike | ||||
| Net income (loss) per share attributable | ||||
| to CrowdStrike common stockholders: | ||||
| Basic | -0.31 | 0.19 | -0.75 | 0.37 |
| Diluted | -0.31 | 0.19 | -0.75 | 0.36 |
| Weighted-average shares used in | ||||
| computing net income (loss) per share | ||||
| attributable to CrowdStrike common | ||||
| stockholders: | ||||
| Basic | 249,909 | 244,091 | 249,182 | 243,249 |
| Diluted | 249,909 | 251,265 | 249,182 | 250,724 |
| Assets | July 31, 2025 | January 31, 2025 |
|---|---|---|
| Current assets: | ||
| Cash and cash equivalents | 4,972,436 | 4,323,295 |
| Accounts receivable, net of allowance | 886,557 | 1,128,564 |
| for credit losses | ||
| Deferred contract acquisition costs, current | 372,543 | 347,042 |
| Prepaid expenses and other current assets | 302,818 | 314,444 |
| Total current assets | 6,534,354 | 6,113,345 |
| Strategic investments | 72,482 | 72,544 |
| Property and equipment, net | 869,240 | 788,640 |
| Operating lease right-of-use assets | 63,399 | 42,763 |
| Deferred contract acquisition costs, noncurrent | 517,088 | 500,908 |
| Goodwill | 913,325 | 912,805 |
| Intangible assets, net | 117,858 | 133,114 |
| Other long-term assets | 201,113 | 137,459 |
| Total assets | 9,288,859 | 8,701,578 |
| Liabilities and Stockholders’ Equity | ||
| Current liabilities: | ||
| Accounts payable | 120,554 | 130,887 |
| Accrued expenses | 210,529 | 191,349 |
| Accrued payroll and benefits | 299,521 | 319,243 |
| Operating lease liabilities, current | 12,860 | 13,811 |
| Deferred revenue | 2,781,196 | 2,733,005 |
| Other current liabilities | 51,278 | 72,755 |
| Total current liabilities | 3,475,938 | 3,461,050 |
| Long-term debt | 744,727 | 743,983 |
| Deferred revenue, noncurrent | 1,053,661 | 995,672 |
| Operating lease liabilities, noncurrent | 52,941 | 31,107 |
| Other liabilities, noncurrent | 166,901 | 150,849 |
| Total liabilities | 5,494,168 | 5,382,661 |
| Commitments and contingencies | ||
| Stockholders’ Equity | ||
| Common stock, Class A and Class B | 125 | 124 |
| Additional paid-in capital | 5,016,544 | 4,367,070 |
| Accumulated deficit | -1,265,989 | -1,078,107 |
| Accumulated other comprehensive income | 6,000 | -9,593 |
| (loss) | ||
| Total CrowdStrike Holdings, Inc. stockholders’ equity | 3,756,680 | 3,279,494 |
| Non-controlling interest | 38,011 | 39,423 |
| Total stockholders’ equity | 3,794,691 | 3,318,917 |
| Total liabilities and stockholders’ equity | 9,288,859 | 8,701,578 |
