NASDAQ$RXT
Rackspace Technology Inc · Q2 2024 earnings
Q2 2024 earnings · · Investor relations
Briefing
Rackspace's financial performance exceeded expectations for revenue, operating profit, and EPS, with a focus on strengthening the pipeline and driving cost efficiencies.
Rackspace Technology reported Q2 2024 revenue of $685 million, an 8% decrease year-over-year. Net income was $25 million, compared to a net loss of $(27) million in the same quarter last year. The company is focused on stabilizing and growing revenue and profit while continuing to drive cost efficiencies.
- Revenue was $685 million, down 8% year-over-year.
- Private Cloud revenue was $260 million, a 17% decrease year-over-year.
- Public Cloud revenue was $425 million, a 2% decrease year-over-year.
- Net income was $25 million, compared to a net loss of $(27) million year-over-year.
Headline financials
Revenue & EPS history
Rackspace · Revenue · Quarterly
$685M
Forward guidance
Rackspace Technology provided the following guidance for Q3 2024: Total Revenue is expected to be between $668 - $680 million. Private Cloud Revenue is expected to be between $255 - $262 million. Public Cloud Revenue is expected to be between $414 - $419 million. Non-GAAP Operating Profit is expected to be between $29 - $31 million. Non-GAAP Loss Per Share is expected to be between $(0.06) - $(0.08). Non-GAAP Other Income (Expense) is expected to be between $(51) – $(55) million. Non-GAAP Tax Expense Rate is expected to be 26 %. Non-GAAP Weighted Average Shares is expected to be 231-233 million.
Tailwinds
- Total Revenue is expected to be between $668 - $680 million.
- Private Cloud Revenue is expected to be between $255 - $262 million.
- Public Cloud Revenue is expected to be between $414 - $419 million.
- Non-GAAP Operating Profit is expected to be between $29 - $31 million.
- Non-GAAP Tax Expense Rate is expected to be 26 %.
Headwinds
- Non-GAAP Loss Per Share is expected to be between $(0.06) - $(0.08).
- Non-GAAP Other Income (Expense) is expected to be between $(51) – $(55) million.
- Non-GAAP Weighted Average Shares is expected to be 231-233 million.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q2 2024
+2.3%
Avg return
Earnings day
+1.8%
Avg return
5 days after
-6.8%
Avg return
30 days after
48%
12 / 25 earnings
Positive
+67.4%
Q4 2025
Best reaction
-20.6%
Q4 2021
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +55.5% | +63.2% | +33.1% | |
| Q4 2025 | +67.4% | +82.2% | -22.2% | |
| Q3 2025 | -15.3% | -18.5% | -30.1% | |
| Q1 2025 | -13.4% | -11.1% | -18.1% | |
| Q4 2024 | +0.7% | -9.0% | -35.1% | |
| Q3 2024 | +8.6% | -13.3% | -10.4% | |
| Q2 2024 | +6.1% | +13.2% | -0.5% | |
| Q1 2024 | +5.9% | +11.3% | +17.7% | |
| Q4 2023 | -14.8% | +14.9% | +13.0% | |
| Q3 2023 | -1.8% | -10.0% | +7.9% | |
| Q2 2023 | +13.6% | +6.6% | +0.9% | |
| Q1 2023 | -14.0% | -18.7% | +16.2% | |
| Q4 2022 | -2.6% | -14.2% | -35.8% | |
| Q3 2022 | +22.1% | +17.5% | -33.4% | |
| Q2 2022 | -17.6% | -18.2% | -29.7% | |
| Q1 2022 | -10.9% | +4.0% | -13.3% | |
| Q4 2021 | -20.6% | -6.5% | -7.3% | |
| Q3 2021 | +12.5% | +3.4% | -9.4% | |
| Q2 2021 | -14.5% | -17.0% | -12.7% | |
| Q1 2021 | -19.9% | -18.0% | -10.8% | |
| Q4 2020 | -14.8% | -14.0% | -1.8% | |
| Q3 2020 | -1.7% | -7.2% | +13.1% | |
| Q4 2019 | +8.6% | +1.4% | -0.2% | |
| Q2 2019 | +8.6% | +1.4% | -0.2% | |
| Q2 2020 | +8.6% | +1.4% | -0.2% | |
| Q1 2020 | — | — | — | |
| Q3 2019 | — | — | — | |
| Q1 2019 | — | — | — |
Discussion
Share your read of this quarter. Sign-in carries your eToro identity.
Join the conversation
Sign in with eToro to post your read of this quarter and vote on others'.
Sign in with eToro