Filing Flows › Palo Alto Networks (PANW) › Q3 FY26
Palo Alto Networks (PANW) Q3 FY26 earnings results (third quarter fiscal 2026)
10-Q filed Jun 3, 2026
Palo Alto Networks (PANW) reported revenue of $3.0B for the third quarter fiscal 2026 (Q3 FY26), +31% from a year earlier and +16% from the quarter before. Operating margin was -6.1%, net loss $177M (5.9% of revenue).
Palo Alto Networks, Q3 FY26: revenue $3.0B (+31% year over year), operating margin -6.1%, net loss $177M, operating cash flow $871M. The chart follows the revenue to costs, profit and cash.
| Q3 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $3.0B | +16% | +31% |
| Operating profit | −$183M | -146% | -184% |
| Net earnings | −$177M | -141% | -168% |
| Operating cash flow | $871M | +57% | +39% |
| Free cash flow | $788M | +105% | +41% |
What changed
Revenue was $3.0B in Q3 FY26, up 31% year over year and up 16% from the previous quarter. Subscription was the largest line at 54% of revenue. Subscription added $0.40B year over year (up 32%), 56% of the total change.
Gross margin was 67.6%, down 5.4 points from Q3 FY25. Operating costs exceeded revenue by $0.18B, an operating margin of -6.1%. Operating expenses grew 52% against revenue growth of 31%. The fastest-growing cost line was General & admin (+93%). The quarter ended with a net loss of $0.18B, after a profit of $0.43B the previous quarter.
Operating cash flow was $0.87B (up 39% year over year). Non-cash charges added back $0.33B of depreciation and amortization and $0.64B of share-based compensation. Working capital and other items added $0.07B. Capital expenditures of $0.08B left free cash flow of $0.79B.
Questions
What was Palo Alto Networks' revenue in the third quarter fiscal 2026?
Palo Alto Networks (PANW) reported revenue of $3.0B for the third quarter fiscal 2026 (Q3 FY26), +31% from a year earlier and +16% from the quarter before.
Was Palo Alto Networks profitable in the third quarter fiscal 2026?
Operating loss was $183M (-6.1% of revenue) and net loss $177M.
Source: Palo Alto Networks 10-Q on SEC EDGAR.