TYL earnings analysis
What we found in TYL'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
Tyler Technologies' Q1 2026 results showed a healthy revenue growth of 9%, reaching $613.5 million, surpassing estimates. The company reported an EPS of $1.88 and highlighted significant increases in SaaS and subscription-based revenues, while also noting a 10% rise in annualized recurring revenues to $2.15 billion.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Total Revenue Exceeded Estimates
- Q1 2026 revenue reached $613.5 million, surpassing the estimate of $609.2 million.
- EPS Beat Expectations
- Reported diluted EPS was $1.88, exceeding the estimated EPS of $2.88.
- Strong SaaS Revenue Growth
- SaaS fees grew 23% to $222.4 million compared to $180 million in Q1 2025.
- Increased Annualized Recurring Revenues
- ARR increased 10% to $2.15 billion, up from $1.95 billion in Q1 2025.
- Improved Overall Gross Margin
- Gross margin improved to 48.3%, up from 47.3% in the prior year.
- Substantial Free Cash Flow
- Free cash flow for the quarter was $250.1 million.
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.
- Cybersecurity Risks Persist
- The potential for disruptions due to cyber-attacks remains a significant risk affecting operational stability.
- Pressure from Regulatory Changes
- Changes in the regulatory environment could negatively impact clients' IT spending.
- Integration Risks from Acquisitions
- Challenges in achieving synergies from past acquisitions may affect operational efficiency.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $1.88
- Gross margin
- 48.3%
- Operating margin
- 16.3%
- Segment
- Enterprise Software
- Segment
- Platform Technologies
What they said about what is next.
2026 revenue guidance updated following recent acquisition.
The filing reads better than the one before it.
What came before.
- 10-K · February 18, 2026
- Tyler Technologies reports continued SaaS migration and recurring revenue growth: ARR rose to $2.06 billion in 2025 (from $1.86 billion in 2024) and subscription-based revenues reached $1.6 billion in 2025. Total FY2025…
- 10-Q · October 29, 2025
- Tyler reported a beat on both revenue and EPS for Q3 — revenue rose ~10% year-over-year and blended gross margin expanded to 47.2%. Growth was driven by subscriptions (subscriptions revenue $401,094,000, +16%) and…
- 10-Q · July 30, 2025
- Tyler reported a beat: Q2 revenue of $596,117,000 (up 10% year-over-year) and ARR grew to $2.07 billion (up ~15% vs prior year). Blended gross margin expanded to 45.8% (from 44.0%) and operating margin improved to 16.0%…
- 10-Q · April 25, 2025
- Tyler reported a strong Q1 with revenue growth driven by subscriptions and transaction-based fees, ARR up to $1.95 billion (13% year-over-year) and blended gross margin expanding to 47.3% from 43.7%. Operating income…
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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