Skip to content
Optionomics Free · No account needed

Earnings analysis · 10-Q

TENB earnings analysis

Filed August 4, 2026 · Our reading of the company's report

The latest report

Tenable delivered Q2 revenue of $268.508 million, up 9% year over year, while GAAP operating income improved by $19.816 million to $12.368 million and GAAP diluted EPS turned positive at $0.03. Gross margin remained…

Read full summary

Tenable delivered Q2 revenue of $268.508 million, up 9% year over year, while GAAP operating income improved by $19.816 million to $12.368 million and GAAP diluted EPS turned positive at $0.03. Gross margin remained approximately stable at 78%, and cash generation was healthy, with $132.687 million of six-month operating cash flow. Offsetting factors include a $2.1 million decline in revenue from new customers, elevated cloud costs, and the expiration of the $50.0 million revolver without replacement.

Read the original on SEC.gov

Gross and operating margin

How much of each revenue dollar the business keeps.

78% Gross margin Operating margin Aug 2023 Aug 2026

One point per quarterly or annual filing. Both margins are shares of that report's revenue.

From revenue to operating profit

Where each $100 of revenue went in this report.

Of every $100 of revenue Cost of sales $22 Operating expenses $73 Left as operating profit $5

Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.

Where revenue came from

The business segments reported by the company.

Subscription revenue 92.5% Professional services and other revenue 3.9% Perpetual license and maintenance revenue 3.7%

Shares of the segments disclosed in this filing, largest first.

How we read each report

Our analysis across the last few reports.

Read as bullish Read as bearish Aug 2023 Aug 2026

Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.

Reported figures

Earnings per share
$0.03

What stood out

  • Revenue growth remained solid

    Q2 revenue rose 9% year over year to $268.508 million from $247.295 million, and was approximately 2.5% above Q1 2026 revenue of $262 million. Subscription revenue increased 9% to $248.261 million.

  • Profitability inflected positive

    GAAP operating income improved to $12.368 million from a $7.448 million operating loss a year earlier, lifting operating margin to 4.6% from negative 3.0%. GAAP diluted EPS turned positive at $0.03 versus a $0.12 loss.

  • Gross margin held near 78%

    Gross profit increased $15.314 million to $208.175 million. Gross margin was 78% in both Q2 2026 and Q2 2025, despite a $3.2 million increase in cloud-infrastructure costs.

  • International and enterprise base expanded

    International revenue increased $13.9 million, or 12%, while U.S. revenue increased $7.3 million, or 6%. Customers with at least $100,000 in annual contract value rose 6% to 2,236.

  • Cash generation remained strong

    Six-month operating cash flow rose to $132.687 million from $129.870 million; Q2 free cash flow was approximately $39.165 million after $1.373 million of property-and-equipment purchases and $4.178 million of capitalized software development.

  • Large repurchase deployment

    The company repurchased 5.2 million shares for $100.0 million in Q2, with $107.621 million remaining under the authorization at June 30, 2026.

What to watch

  • New-customer contribution declined

    Revenue from new customers declined $2.1 million in Q2, partly offsetting a $23.3 million increase from existing customers. Dollar-based net expansion rate also eased to 106% from 107%.

  • AI regulation and liability exposure

    The updated AI risk factor notes that non-compliance with the EU AI Act can result in administrative fines of up to €35 million or 7% of prior-year worldwide annual turnover, whichever is higher.

  • Cloud-provider concentration risk

    The updated infrastructure risk factor states AWS can terminate its agreement with two years' written notice and can, in certain circumstances, temporarily restrict hosting access without prior notice. Tenable One is hosted on AWS.

  • Debt maturity and revolver expiry

    The Term Loan's final $350.6 million payment is due July 7, 2028, while the $50.0 million revolving credit facility expired July 7, 2026 and was not replaced.

  • Restructuring costs emerged

    Q2 restructuring expense was $0.651 million, and six-month restructuring expense was $3.082 million, reflecting non-ordinary-course severance and employee-related benefits.

Management's outlook

The 10-Q contains no explicit quantitative revenue or EPS guidance. Management expects operating expenses to increase in absolute dollars but decline as a percentage of revenue, and believes $125.4 million of cash and cash equivalents plus $172.9 million of short-term investments are sufficient for at least the next 12 months.

Earlier filings 4

10-Q · May 5, 2026

Tenable reported Q1 2026 results showing a revenue increase of 10% year-over-year to $262.1 million, exceeding analyst expectations of $258.9 million. The company posted earnings of $0.01 per share, significantly better…

10-K · February 27, 2026

Tenable positions itself as a leader in exposure management with an AI-powered platform (Tenable One) that unifies visibility across IT, cloud, identity, OT and AI assets. Business momentum is visible in a material…

10-Q · May 6, 2025

Tenable reported Q1 revenue of $239.137 million, up from $215.961 million a year earlier, with gross profit of $186.677 million (gross margin ~78.1%). Operating loss widened to $(17.711) million (operating margin -7.4%)…

10-Q · August 6, 2024

Tenable reported Q2 revenue of $221,241,000 (three months ended June 30, 2024), up from $195,036,000 a year earlier, with gross profit of $172,443,000 and gross margin ~77.9%. Operating loss narrowed to $(8,818,000)…

This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.