Revenue Growth
PANW's revenue increased by 14.9% year-over-year to $2.594 billion, driven by strong demand for its cybersecurity solutions.
Source: 10-Q Income Statement
Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
PANW reported strong financial performance in Q2 FY2026 with significant growth in revenue, net income, and operating income, driven by increased demand and improved operational efficiency.
Revenue
$2.59B
+14.93% YoY
EPS (Diluted)
$0.61
+60.53% YoY
Gross Margin
73.6%
+0.1 pts YoY
Operating Income
$397M
+64.73% YoY
Source: SEC XBRL
Palo Alto Networks (PANW) reported Q2 FY2026 revenue of $2.59B, up 14.9% year over year. Operating margin was 15.3%, up 4.6 points from 10.7% a year earlier. PANW's fiscal Q2 FY2026 corresponds to calendar Q1 2026.
Last 4 quarters: 4 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Sep 2026 | 1.02 | 1.00 | Beat +2.4% |
| Jun 2026 | 0.85 | 0.81 | Beat +4.8% |
| Mar 2026This filing | 1.03 | 0.96 | Beat +7.2% |
| Dec 2025 | 0.93 | 0.91 | Beat +2.4% |
Adjusted (non-GAAP) EPS of $1.03 versus the $0.96 analyst consensus — a +7.2% beat for Mar 2026. Analyst consensus is quoted on the adjusted (non-GAAP) basis the street uses. GAAP diluted EPS for this quarter was $0.61.
Compiled by AI from this SEC filing
PANW's revenue increased by 14.9% year-over-year to $2.594 billion, driven by strong demand for its cybersecurity solutions.
Source: 10-Q Income Statement
Operating income rose by 64.7% to $397 million, reflecting improved operational efficiencies and cost management.
Source: 10-Q Income Statement
Operating cash flow increased by 12.5% year-to-date, indicating strong cash generation capabilities.
Source: 10-Q Cash Flow
Compiled by AI from this SEC filing · 1 high, 2 medium, 0 low
As a cybersecurity company, PANW faces high risks from evolving cyber threats that could impact its operations and reputation.
Source: Industry Analysis
The cybersecurity market is highly competitive, which could pressure margins and affect market share.
Source: Industry Analysis
Changes in data protection regulations could require significant adjustments to PANW's products and services.
Source: Industry Analysis
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 2.59 $B | 2.26 $B | +14.93% |
Cost of Revenue $M | 685.00 $M | 599.00 $M | +14.36% |
Gross Profit $B | 1.91 $B | 1.66 $B | +15.14% |
Operating Income $M | 397.00 $M | 241.00 $M | +64.73% |
Net Income $M | 432.00 $M | 267.00 $M | +61.80% |
EPS (Basic) $ | 0.61 $ | 0.41 $ | +48.78% |
EPS (Diluted) $ | 0.61 $ | 0.38 $ | +60.53% |
R&D Expense $M | 511.00 $M | 505.00 $M | +1.19% |
Answers draw on this SEC filing and the data on this page
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