Filing Flows › Q2 Holdings (QTWO) › Q2 2026 › vs Q2 2025
Q2 Holdings (QTWO) Q2 2026 vs Q2 2025 (year over year)
Q2 Holdings's revenue rose $24.6M (+13%) from $195M in Q2 2025 to $220M in Q2 2026. The biggest changes: Subscription +$24.4M (+15%); Transactional +$1.2M (+7%); Services and Other −$924K (-5%). Gross margin 59.2% against 53.6% (+5.7 pts).
Q2 Holdings, Q2 2026: revenue $220M (+13% year over year), operating margin 13.4%, net earnings $29.9M, operating cash flow $60.7M. The chart draws each line against Q2 2025, the increases inside each band.
Margins
| Q2 2026 | Q2 2025 | Change | |
|---|---|---|---|
| Gross margin | 59.2% | 53.6% | +5.7 pts |
| Operating margin | 13.4% | 5.0% | +8.3 pts |
| Net margin | 13.6% | 6.0% | +7.6 pts |
| Free cash flow margin | 26.8% | 24.3% | +2.6 pts |
Every line
| Line | Q2 2026 | Q2 2025 | Change | % |
|---|---|---|---|---|
| Subscription | $183M | $158M | $24.4M | +15% |
| Services and Other | $19.1M | $20.0M | −$924K | -5% |
| Transactional | $17.9M | $16.7M | $1.2M | +7% |
| Revenue | $220M | $195M | $24.6M | +13% |
| Gross profit | $130M | $105M | $25.6M | +25% |
| Cost of revenue | $89.6M | $90.6M | −$1.0M | -1% |
| Other income, net | $2.4M | $3.7M | −$1.3M | -35% |
| Operating profit | $29.3M | $9.8M | $19.5M | +198% |
| Operating expenses | $101M | $94.7M | $6.1M | +6% |
| Pre-tax earnings | $31.7M | $13.5M | $18.2M | +135% |
| Research & development | $41.1M | $36.9M | $4.2M | +11% |
| Sales & marketing | $25.9M | $27.0M | −$1.1M | -4% |
| General & admin | $33.1M | $31.0M | $2.0M | +7% |
| Net earnings | $29.9M | $11.8M | $18.1M | +154% |
| Income tax | $1.9M | $1.7M | $126K | +7% |
| Depreciation & amortization | $12.1M | $13.6M | −$1.5M | -11% |
| Share-based compensation | $20.6M | $22.5M | −$1.9M | -9% |
| Working capital & other | $1.8M | −$822K | $2.6M | — |
| Operating cash flow | $60.7M | $48.6M | $12.0M | +25% |
| Free cash flow (OCF − capex) | $59.0M | $47.3M | $11.6M | +25% |
| Capital expenditures | $1.7M | $1.3M | $394K | +30% |
Questions
How much did Q2 Holdings's revenue grow year over year in Q2 2026?
Q2 Holdings's revenue rose $24.6M (+13%) from $195M in Q2 2025 to $220M in Q2 2026.
What drove Q2 Holdings's revenue change in Q2 2026?
Subscription +$24.4M (+15%); Transactional +$1.2M (+7%); Services and Other −$924K (-5%).