Elastic NV (ESTC) Q2 2026 Earnings Report

Revenue: $423.481 million in Q2 2026, up 16% year over year and 15% in constant currency. Subscription revenue: $349 million, up 18% YoY and 17% CC. CRPO: ~$971 million, up 17% YoY and 15% CC. RPO: up 19% YoY (constant currency 17%). Greater-than-$100k ACV customers increased by about 13% to roughly 180 net new customers over the last four quarters. Gen AI adoption within the >$100k ACV cohort rose to 23% from 17% YoY. Gross margins: Subscription gross margin 82%; total gross margin 78%. Non-GAAP operating margin: 16.5%. Adjusted free cash flow: ~$6.0 million, representing ~6% FCF margin. Cash flow: net cash provided by operating activities $26.6 million; capital expenditures $0.605 million; free cash flow $26.0 million. Cash balance and liquidity: cash and cash equivalents $800.6 million; short-term investments $595.5 million; total cash and short-term investments ~$1.396 billion; total assets $2.477 billion; total liabilities $1.585 billion; total stockholders’ equity $0.891 billion. Net debt position: net debt of roughly $(780) million (net cash). Share repurchase: $114 million bought back in Q2 (about 1.4 million shares at a $84.45 average price); 50%+ of the $500 million authorization expected to be used in FY2026. Guidance for FY2026: Total revenue guidance raised to $1.715–$1.721 billion (midpoint ~+16% YoY). Sales-led subscription revenue: $1.417–$1.423 billion (midpoint ~+18% YoY). Non-GAAP operating margin guidance: ~16.25% for FY2026. Non-GAAP diluted EPS: $2.40–$2.46. Diluted weighted-average shares: 108–110 million. Observation: Q2’s results exceeded the updated guidance, supported by broad-based demand, Gen AI traction, and balance of cloud/self-managed consumption.