10-Q · May 5, 2026
Workiva reported strong Q1 2026 results with revenue of $247.3 million and diluted EPS of $0.63, surpassing estimates. The company saw significant growth in subscription revenues and an impressive turnaround in net…
Earnings analysis · 10-Q
WK earnings analysis
Filed August 4, 2026 · Our reading of the company's report
The latest report
Workiva delivered $255.290 million of Q2 revenue, up 18.6% year over year and 3.4% sequentially, while GAAP diluted EPS improved to $0.24 from a loss of $0.35 a year ago. Gross margin expanded 340 basis points year over…
Read full summary
Workiva delivered $255.290 million of Q2 revenue, up 18.6% year over year and 3.4% sequentially, while GAAP diluted EPS improved to $0.24 from a loss of $0.35 a year ago. Gross margin expanded 340 basis points year over year to 80.4%, and operating margin reached 4.6% versus negative 10.2%, though it declined from 6.2% in Q1 2026. Operating cash flow increased to $78.308 million and free cash flow was $77.976 million, offset in part by $122.7 million of quarterly share repurchases and regulatory uncertainty affecting sustainability-solution demand.
Gross and operating margin
How much of each revenue dollar the business keeps.
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.
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.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
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
- $0.24
What stood out
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Revenue growth remained near 19%
Q2 revenue was $255.290 million, up 18.6% from $215.187 million a year earlier and 3.4% from $247 million in Q1 2026. Subscription-and-support revenue grew 19.2% to $236.302 million, accounting for 92.6% of revenue.
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Gross-margin expansion held
Gross margin expanded to 80.4% from 77.0% a year earlier as total cost of revenue increased only 1.0% to $50.023 million. Gross margin was unchanged from 80.4% in Q1 2026.
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Profitability turned positive
GAAP net income was $13.442 million, or $0.24 diluted EPS, versus a $19.400 million net loss, or negative $0.35 diluted EPS, in Q2 2025. Operating margin improved to 4.6% from negative 10.2% year over year.
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Cash conversion strengthened
Operating cash flow rose to $78.308 million from $50.311 million in Q2 2025; with only $0.332 million of fixed-asset purchases, free cash flow was $77.976 million. Capex was approximately 0.1% of revenue.
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Larger-customer mix improved
Enterprise adoption advanced: customers with annual contract value above $100,000 increased to 2,690 from 2,241, while those above $500,000 rose to 276 from 208. Revenue from $500,000+ ACV customers reached 29.9% of subscription revenue, up from 26.6%.
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Liquidity supports buybacks
Liquidity remained substantial at $815.2 million of cash, cash equivalents and marketable securities as of June 30, 2026. The company deployed $122.7 million in Q2 share repurchases, leaving $105.771 million available under the authorization.
What to watch
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Net retention decelerated
Net retention declined to 110.5% at June 30, 2026 from 113.7% a year earlier, despite gross retention remaining high at 97.3%. Customers deregistered because of mergers, acquisitions or financial distress represented over half of latest-quarter revenue attrition.
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Sustainability demand faces regulatory uncertainty
Management says sustainability-solution sales have been, and may continue to be, materially affected by policy uncertainty. The EU Omnibus Directive entered into force on March 18, 2026, and variability in member-state implementation is influencing customer adoption timing.
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Convertible debt maturity is approaching
Debt totaled $71.2 million of 2026 Notes due August 15, 2026 and $697.4 million of 2028 Notes due August 15, 2028. Although liquidity was $815.2 million, the near-term maturity requires refinancing or cash deployment decisions.
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No formal risk-factor updates
No material risk-factor changes were reported during fiscal year 2026 relative to the 2025 Form 10-K. The filing explicitly states there have been no material changes, limiting evidence of newly disclosed risk mitigation or escalation.
Management's outlook
The 10-Q does not provide quantitative revenue or EPS guidance; management states it expects subscription-and-support revenue growth to outpace professional-services growth annually and plans continued investment in platform development, go-to-market capacity, EMEA and APAC.
Earlier filings 4
10-K · February 19, 2026
Workiva positions itself as a unified, AI-powered SaaS platform for financial reporting, sustainability management, and GRC, and highlights product investments (GenAI, connectors, marketplace) and go-to-market expansion…
10-Q · November 5, 2025
Workiva reported Q3 revenue of $224,166,000 (up $38,545,000 vs. Q3 2024) with gross margin expanding to 79.3% and GAAP net income of $2,786,000 (diluted EPS $0.05). Operating loss narrowed to $(3,405,000) from…
10-Q · July 31, 2025
Workiva reported Q2 revenue of $215,187,000, up $37,684,000 (21.2%) versus Q2 2024 and up $9,187,000 (4.5%) versus Q1 2025. Gross margin improved to 77.0% and operating loss narrowed to -$22,146,000 (-10.3% of revenue),…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.