NASDAQ$CGNT

Cognyte Software Ltd · Q2 2026 earnings

Q2 2026 earnings · · Before market open · Investor relations

Briefing

Cognyte Q2 FY2026: revenue up 15.5% to $97.5M; GAAP net income $2.7M with raised full-year outlook

Cognyte Software (CGNT) reported Q2 fiscal 2026 revenue of $97.5 million, up 15.5% year over year, driven by 35.9% growth in software license revenue and strong demand for AI-driven investigative analytics. GAAP operating income was $2.7 million versus a $1.4 million operating loss in the prior-year quarter, and GAAP net income attributable to Cognyte was $1.5 million ($0.02 diluted per share) compared with a $1.9 million net loss. Non-GAAP operating income rose to $8.0 million from $4.4 million, and adjusted EBITDA grew to $11.0 million from $8.3 million. Non-GAAP diluted EPS attributable to Cognyte was $0.08 versus $0.05 a year ago. Recurring revenue was $47.4 million (48.7% of total), and total backlog reached $460.2 million. Cash and equivalents were $84.7 million after completing a $20 million share repurchase. Management raised FY2026 outlook to $397 million revenue (+/- 2%), approximately $45 million adjusted EBITDA, and $0.23 non-GAAP diluted EPS at the midpoint.

  • Q2 revenue of $97.5M (+15.5% YoY) with software revenue up 35.9% to $36.6M on strong analytics demand
  • GAAP net income attributable of $1.5M ($0.02/share); non-GAAP net income of $6.0M ($0.08/share)
  • Adjusted EBITDA of $11.0M (+33% YoY) expanding faster than revenue; non-GAAP gross margin 72.1%
  • Total backlog $460.2M; short-term RPO $355.0M provides solid revenue visibility
  • Raised FY2026 outlook: $397M revenue (+13% YoY at midpoint), ~$45M adjusted EBITDA (+55% YoY), $0.23 non-GAAP EPS

Headline financials

Total Revenue

$97.5M

Previous: $84.4M+15.5%
EPS (adj)

$0.08

Previous: $0.05+60.0%
Adjusted EBITDA

$11M

No prior period
Recurring Revenue

$47.4M

No prior period
Non-GAAP Gross Margin

72.1%

No prior period
Total Backlog

$460M

No prior period
Net Income

$1.47M

Previous: -$1.93M+176.0%
Operating Income

$2.75M

Previous: -$1.28M+314.8%
Cash & Equivalents

$84.5M

No prior period

Revenue & EPS history

Cognyte · Revenue · Quarterly

$97.5M

Q2 2026+15.5%vs Q2 2025
Beat estimate in 9 of 16 quarters(56%)
ActualEstimate

Revenue by segment

Cognyte · $97.5M total across 3 segments · Q2 2026

  • Software Services
    $46.7M
  • Software
    $36.6M
  • Professional Services and Other
    $14.2M

Forward guidance

For fiscal year ending January 31, 2026, Cognyte expects revenue of $397 million (+/- 2%, ~13% YoY growth at midpoint), adjusted EBITDA of approximately $45 million (~55% YoY growth), and non-GAAP diluted EPS of $0.23 at the revenue midpoint.

Tailwinds

  • Strong global demand for AI-driven investigative analytics with significant new customer wins
  • Expanding profitability with adjusted EBITDA growing faster than revenue

Headwinds

  • Q2 operating cash flow was negative $6.3M due to seasonal bonus payment timing
  • Geopolitical and Israel-related operational risks noted in forward-looking statements

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2026

Historical avgQ2 2026

-4.1%

Avg return

Earnings day

-5.7%

Avg return

5 days after

-4.8%

Avg return

30 days after

33%

7 / 21 earnings

Positive

+25.8%

Q4 2023

Best reaction

-35.8%

Q4 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2028-20.7%-22.1%
Q4 2027+0.7%+0.6%+21.7%
Q2 2026-10.9%-10.6%-12.0%
Q3 2025+4.1%+10.2%+1.2%
Q2 2025-15.3%-6.7%-12.4%
Q1 2025-7.2%-6.4%-7.1%
Q4 2024-17.1%-20.0%-9.2%
Q3 2024+9.7%+15.7%-0.8%
Q2 2024+18.6%+13.6%+5.8%
Q1 2024+4.3%+3.4%-0.2%
Q4 2023+25.8%+24.9%+24.0%
Q3 2023+22.6%+17.0%+51.9%
Q2 2023-3.4%-9.8%-40.0%
Q1 2023-29.0%-35.2%-28.2%
Q4 2022-35.8%-37.0%-40.0%
Q3 2022-11.8%-12.2%-29.5%
Q2 2022-16.1%-24.0%-22.6%
Q1 2022-3.7%-1.0%+4.6%
Q4 2021+0.0%-7.0%-1.5%
Q4 2019+0.0%-7.0%-1.5%
Q4 2020+0.0%-7.0%-1.5%
Q3 2021
Q2 2021
Q1 2021
Q4 2017
Q3 2017
Q2 2017
Q1 2017
Q4 2016
Q3 2016
Q2 2016
Q1 2016
Q4 2015
Q3 2015
Q2 2015
Q1 2015
Q4 2014
Q3 2014
Q2 2014
Q1 2014
Q4 2013
Q3 2013
Q2 2013
Q1 2013
Q4 2012
Q3 2012
Q2 2012
Q1 2012
Q4 2010
Q3 2010
Q2 2010
Q1 2010

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