Filing Flows › Penguin Solutions (PENG) › Q2 FY26
Penguin Solutions (PENG) Q2 FY26 earnings results (second quarter fiscal 2026)
10-Q filed Apr 1, 2026
Penguin Solutions (PENG) reported revenue of $343M for the second quarter fiscal 2026 (Q2 FY26), -6% from a year earlier and 0% from the quarter before. Operating margin was 7.5%, net earnings $37.5M (10.9% of revenue).
Penguin Solutions, Q2 FY26: revenue $343M (-6% year over year), operating margin 7.5%, net earnings $37.5M, operating cash flow $55.0M. The chart follows the revenue to costs, profit and cash.
| Q2 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $343M | 0% | -6% |
| Gross profit | $93.7M | -3% | -10% |
| Operating profit | $25.7M | +31% | +39% |
| Net earnings | $37.5M | +611% | +363% |
| Operating cash flow | $55.0M | +77% | -25% |
| Free cash flow | $53.3M | +89% | -24% |
What changed
Revenue was $343.0M in Q2 FY26, down 6% year over year and roughly flat from the previous quarter.
Gross margin was 27.3%, down 1.3 points from Q2 FY25. Operating profit was $25.7M, a 7.5% margin (up 2.4 points year over year). Operating expenses fell 21% while revenue fell 6%. Net earnings were $37.5M, up 363% year over year. The effective tax rate was 27.2%. Non-operating items added $27.3M, 51% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was $55.0M (down 25% year over year), 143% of net income including minority interests. Non-cash charges added back $12.8M of depreciation and amortization and $5.1M of share-based compensation. Capital expenditures of $1.6M left free cash flow of $53.3M.
Questions
What was Penguin Solutions' revenue in the second quarter fiscal 2026?
Penguin Solutions (PENG) reported revenue of $343M for the second quarter fiscal 2026 (Q2 FY26), -6% from a year earlier and 0% from the quarter before.
Was Penguin Solutions profitable in the second quarter fiscal 2026?
Operating profit was $25.7M (7.5% of revenue) and net earnings $37.5M.
Source: Penguin Solutions 10-Q on SEC EDGAR.