Key Highlights Q2 revenue reached $427.3 million, reflecting a 38% year-over-year increase Company swung to adjusted earnings of 20 cents per share versus a 3-cent loss last year Subscription
Rubrik delivered second-quarter financial results that exceeded analyst projections on all major metrics, yet shares experienced a significant decline in Friday’s premarket session. The stock plunged over 8% even as management increased its full-year guidance.
The cybersecurity firm generated $427.3 million in revenue during the quarter that concluded on July 31, representing a 38% jump from the $309.9 million recorded in the comparable period twelve months earlier.
On an adjusted basis, diluted earnings per share reached 20 cents, marking a dramatic improvement from the 3-cent loss reported in the prior-year quarter.
RUBRIK $RBRK Q2’27 EARNINGS HIGHLIGHTS
Revenue: $427.3M (Est. $396M)
; +38% YoY
Raises FY27 Guide:
— Wall St Engine (@wallstengine) August 27, 2026
The company’s subscription annual recurring revenue expanded 32.6% to reach $1.66 billion in the quarter. This figure exceeded Rubrik’s internal projection of $1.64 billion and outpaced Wall Street consensus expecting 31% growth.
The growth rate also edged slightly higher than the 32.5% expansion seen in the previous quarter, suggesting a modest reacceleration trend.
Net new subscription ARR totaled $96 million, marking a 35% year-over-year gain. This handily surpassed the $75.9 million analysts had anticipated.
Looking ahead to the third quarter, Rubrik projects revenue between $429 million and $431 million, with adjusted earnings per share ranging from 7 cents to 9 cents.
For the complete fiscal 2027 period, management increased its revenue projection to a range of $1.685 billion to $1.693 billion, while adjusted EPS is now forecast between 47 cents and 53 cents.
The company also boosted the midpoint of its fiscal 2027 ARR forecast to $1.88 billion, which implies 28.8% growth. This represents an increase from the previous midpoint of $1.86 billion, which had suggested 27.1% growth.
The enhanced midpoint incorporates the $20 million outperformance relative to guidance, along with an incremental $4.5 million increase for the latter half of fiscal 2027.
Wall Street expectations were elevated entering the earnings announcement. Industry peers including CrowdStrike and Okta had already delivered robust quarterly reports, boosting optimism throughout the cybersecurity space.
BTIG’s Gray Powell noted that he believes the results “should have cleared expectations across all key targets,” though heightened anticipation may have created a more challenging environment for positive surprises.
Shares had already surged nearly 40% year-to-date prior to the earnings release, establishing a demanding benchmark for the company to exceed.
Lingering concerns persist regarding the company’s financial position. Rubrik continues to report negative shareholder equity and maintains elevated debt obligations, while also posting GAAP losses.
Jefferies had scheduled an analyst conference call for August 28 to provide deeper analysis of the quarterly performance, potentially offering additional insights into the stock’s trajectory.
Prior to the post-earnings decline, the stock had appreciated approximately 25.69% year-to-date based on the most recent available figures, with daily trading volume averaging around 3.6 million shares.
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