Filing Flows › Cerence (CRNC) › Q3 FY26
Cerence (CRNC) Q3 FY26 earnings results (third quarter fiscal 2026)
10-Q filed Aug 6, 2026
Cerence (CRNC) reported revenue of $69.6M for the third quarter fiscal 2026 (Q3 FY26), +12% from a year earlier and +8% from the quarter before. Operating margin was 2.7%, net earnings $1.5M (2.2% of revenue).
Cerence, Q3 FY26: revenue $69.6M (+12% year over year), operating margin 2.7%, net earnings $1.5M, operating cash flow $20.0M. The chart follows the revenue to costs, profit and cash.
| Q3 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $69.6M | +8% | +12% |
| Gross profit | $52.9M | +12% | +15% |
| Operating profit | $1.9M | — | — |
| Net earnings | $1.5M | -8% | — |
| Operating cash flow | $20.0M | +41% | -16% |
| Free cash flow | $19.6M | +44% | +22% |
What changed
Revenue was $69.6M in Q3 FY26, up 12% year over year and up 8% from the previous quarter. License was the largest line at 60% of revenue. License added $7.4M year over year (up 22%), 101% of the total change. Professional services declined 18%.
Gross margin was 76.0%, up 2.3 points from Q3 FY25. Operating profit was $1.9M, a 2.7% margin (up 4.2 points year over year). Operating expenses grew 9% against revenue growth of 12%. The fastest-growing cost line was General & admin (+19%). Net earnings were $1.5M. The effective tax rate was 1.0%.
Operating cash flow was $20.0M (down 16% year over year), 1302% of net earnings. Non-cash charges added back $2.8M of depreciation and amortization and $7.5M of share-based compensation. Working capital and other items added $8.1M. Capital expenditures of $340K left free cash flow of $19.6M.
Questions
What was Cerence's revenue in the third quarter fiscal 2026?
Cerence (CRNC) reported revenue of $69.6M for the third quarter fiscal 2026 (Q3 FY26), +12% from a year earlier and +8% from the quarter before.
Was Cerence profitable in the third quarter fiscal 2026?
Operating profit was $1.9M (2.7% of revenue) and net earnings $1.5M.
Source: Cerence 10-Q on SEC EDGAR.