PANW
Palo Alto Networks, Inc.187.09
+1.21+0.65%
Dec 16, 4:00:01 PM EST
Earnings Call Transcripts
This Quarter (Q1 '26)
No earnings call transcript available yet
Last Quarter (Q4 '25)
FY Q2 '26
Q&A affirms AI tailwinds, integration starts
Q&A reinforced prepared remarks on AI as a security tailwind, not threat, with Nikesh likening it to cloud but stressing platform consolidation amid record non-Q4 platformizations. Management dismissed LLM fears for SIEM, calling them additive tools needing perfect accuracy. Incremental nuggets included anecdotal CyberArk cross-sells firing early, Chronosphere displacing vendors at half-price in a 9-figure AI deal, and SASE acceleration from first-gen rip-and-replace. AI traffic remains endpoint-heavy, slow to dent networks. Enterprise AI adoption trails consumer. Integrations pre-planned, distraction-free. Investors eye cross-sell velocity, AI spend materialization.
Key Stats
Market Cap
130.40BP/E (TTM)
119.17Basic EPS (TTM)
1.57Dividend Yield
0%Recent Filings
8-K
8-K
10-Q
Q2 FY2026 results
Palo Alto Networks posted Q2 FY2026 revenue of $2.6B, up 15% y/y, driven by 22% product growth to $514M and 13% subscription/support expansion to $2.1B; Americas led at 66% of sales. Operating income jumped to $397M (15.3% margin) from $241M, with diluted EPS of $0.61 versus $0.38, confirmed against 711M shares. Cash swelled to $4.2B on $2.3B YTD operating cash flow (up 13% y/y); $400M revolver undrawn. Closed Chronosphere in Jan 2026 for $2.95B (mostly cash), adding $2.4B goodwill and $565M intangibles (5-10 years). Patent suits pose ongoing litigation risk.
8-K
Q2 revenue $2.6B, ARR soars
Palo Alto Networks reported Q2 revenue up 15% to $2.6B, with Next-Gen Security ARR surging 33% to $6.3B and RPO climbing 23% to $16.0B. Non-GAAP margins hit 30.3%, fueled by platformization and AI security adoption. Guidance projects Q3 revenue growth of 28-29%. Integration risks loom post-CyberArk close.
8-K
PANW closes CyberArk acquisition
Palo Alto Networks completed its acquisition of CyberArk on February 11, 2026, via merger, making CyberArk a wholly owned subsidiary. CyberArk shareholders receive $45.00 cash and 2.2005 PANW shares per share. PANW amended CyberArk's 0.00% Convertible Senior Notes due 2030 for exchange into PANW shares and cash, assuming guarantees and capped calls. Integration targets identity security for AI era, but synergies carry integration risks.
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