CRWD earnings analysis
What we found in CRWD's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
CrowdStrike delivered $1.471 billion of revenue, $0.31 of EPS and $377.4 million of free cash flow, with revenue and EPS above consensus and revenue continuing to grow rapidly. The filing confirms effective disclosure controls, but does not provide extracted GAAP gross-margin, operating-margin, balance-sheet or segment disclosures needed for a complete quarterly trend assessment. The principal risks remain the continuing July 19 Incident litigation and remediation exposure, $750.0 million of debt, product-reliability issues and increasing regulatory complexity around AI, privacy and international operations.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue growth and consensus beat
- Revenue was $1.471 billion, up approximately 5.8% from the preceding $1.39 billion quarter and approximately 25.7% from $1.17 billion in the comparable prior-year quarter. Revenue also exceeded the $1.4387 billion consensus estimate by approximately $32.3 million.
- EPS exceeded expectations
- Reported EPS was $0.31 versus the $0.24 consensus estimate, a $0.07 beat. The supplied quarterly history shows diluted EPS improving from $0.03 in the preceding quarter, although the filing extract does not provide GAAP margin detail.
- Strong free cash flow
- Free cash flow was $377.4 million, supporting continued investment and liquidity despite the company’s ongoing incident-related legal and operating exposure.
- Controls assessed effective
- Management concluded that disclosure controls were effective as of July 31, 2026, and reported no change in internal control over financial reporting that materially affected, or was reasonably likely to materially affect, those controls.
- International contribution remains significant
- International customers represented approximately 35% of total revenue for the six months ended July 31, 2026, highlighting the scale of the company’s global opportunity.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Continuing July 19 Incident exposure
- The July 19 Incident remains a material overhang: the company states it has incurred, and expects to continue incurring, significant costs and expenses, while facing securities litigation, derivative litigation, putative consumer class actions and governmental inquiries. The incident occurred on July 19, 2024, and insurance may not cover all resulting costs or liabilities.
- Debt and liquidity obligations
- CrowdStrike had $750.0 million of principal indebtedness outstanding as of July 31, 2026. The filing warns that insufficient operating cash flow could require reduced investments or capital expenditures, asset sales, additional financing, or restructuring/refinancing of the debt.
- International and regulatory exposure
- The company’s international exposure increased the importance of currency, regulatory and trade risks: international customers contributed approximately 35% of total revenue for the six months ended July 31, 2026, while a hypothetical 10% U.S. dollar appreciation against relevant foreign currencies would not have had a material impact on results or cash flows as of July 31, 2026.
- Product vulnerability and reliability risk
- The filing identifies a recent LogScale path-traversal vulnerability affecting certain versions and states that CrowdStrike released a security fix and published a security advisory in April 2026. Future defects, errors or vulnerabilities could further damage customer confidence and increase legal or remediation costs.
- Repurchase program uses liquidity
- The company’s share-repurchase authorization totals $1.5 billion, comprising the original $1.0 billion authorization and an additional $500 million approved on April 6, 2026. Repurchases reduce cash available for working capital, debt repayment, capital expenditures and acquisitions, and may not enhance long-term stockholder value.
- Insider selling-plan overhang
- Six directors and officers adopted Rule 10b5-1 trading arrangements during the quarter covering up to 1,195,516 shares in aggregate, including the CFO’s plan for up to 480,000 shares. As of August 20, 2026, the company had 1,023,934,842 shares outstanding, creating a potential supply and sentiment overhang.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.31
What they said about what is next.
The filing does not provide new numeric guidance in the extracted MD&A. The prior company outlook, reported with the earnings release, was FY27 revenue of $5.9911 billion-$6.0111 billion, non-GAAP diluted EPS of $1.25-$1.26, and FY27 net new ARR growth of 34% at the midpoint; Q3 FY27 outlook was revenue of $1.5232 billion-$1.5292 billion and non-GAAP diluted EPS of $0.31.
The filing reads better than the one before it.
What came before.
- 10-Q · June 4, 2026
- CrowdStrike reported a strong Q1 2026 earnings, with revenue reaching $1.385 billion, marking a 26% year-over-year increase. The company reported an EPS of $1.1, exceeding estimates, while generating significant cash…
- 10-K · March 5, 2026
- CrowdStrike positions itself as an AI-native, cloud-first cybersecurity platform (the Falcon platform and Security Cloud) with a data-driven network effect and 33 cloud modules. Financials show strong top-line momentum…
- 10-Q · December 3, 2025
- CrowdStrike reported strong top-line growth for the quarter ended October 31, 2025 with total revenue of $1,234,244,000 (up $224,066,000 or 22.2% YoY) driven by subscription revenue of $1,168,705,000 (up $205,970,000 or…
- 10-Q · August 29, 2024
- CrowdStrike reported strong top-line growth in the quarter with total revenue of $963,872,000 (up from $731,626,000 year-over-year) and subscription revenue of $918,257,000. Gross profit was $726,471,000 (≈75.4% margin)…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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