Filing Flows › PayPal Holdings (PYPL) › Q2 2026
PayPal Holdings (PYPL) Q2 2026 earnings results (second quarter 2026)
10-Q filed Jul 28, 2026
PayPal Holdings (PYPL) reported revenue of $8.7B for the second quarter 2026 (Q2 2026), +5% from a year earlier and +4% from the quarter before. Operating margin was 16.4%, net earnings $1.1B (12.7% of revenue).
PayPal Holdings, Q2 2026: revenue $8.7B (+5% year over year), operating margin 16.4%, net earnings $1.1B, operating cash flow $2.0B. The chart follows the revenue to costs, profit and cash.
| Q2 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $8.7B | +4% | +5% |
| Operating profit | $1.4B | -4% | -5% |
| Net earnings | $1.1B | -0.8% | -12% |
| Operating cash flow | $2.0B | +75% | +121% |
| Free cash flow | $1.8B | — | +157% |
What changed
Revenue was $8.7B in Q2 2026, up 5% year over year and up 4% from the previous quarter. Transaction revenues was the largest line at 90% of revenue. Transaction revenues added $0.39B year over year (up 5%), 99% of the total change.
Operating profit was $1.4B, a 16.4% margin (down 1.7 points year over year). Operating profit fell $0.08B even though revenue rose $0.39B versus Q2 2025, so costs grew faster than sales. Total costs grew 7% against revenue growth of 5%. Net earnings were $1.1B, down 12% year over year. The effective tax rate was 15.7%.
Operating cash flow was $2.0B (up 121% year over year), 180% of net earnings. Non-cash charges added back $0.25B of depreciation and amortization and $0.28B of share-based compensation. Working capital and other items added $0.36B. After purchases of property and equipment ($0.21B), free cash flow as the company reports it was $1.8B.
Questions
What was PayPal Holdings' revenue in the second quarter 2026?
PayPal Holdings (PYPL) reported revenue of $8.7B for the second quarter 2026 (Q2 2026), +5% from a year earlier and +4% from the quarter before.
Was PayPal Holdings profitable in the second quarter 2026?
Operating profit was $1.4B (16.4% of revenue) and net earnings $1.1B.
Source: PayPal Holdings 10-Q on SEC EDGAR.