Filing Flows › Q2 Holdings (QTWO) › Q2 2026
Q2 Holdings (QTWO) Q2 2026 earnings results (second quarter 2026)
10-Q filed Jul 29, 2026
Q2 Holdings (QTWO) reported revenue of $220M for the second quarter 2026 (Q2 2026), +13% from a year earlier and +2% from the quarter before. Operating margin was 13.4%, net earnings $29.9M (13.6% of revenue).
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 follows the revenue to costs, profit and cash.
| Q2 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $220M | +2% | +13% |
| Gross profit | $130M | +2% | +25% |
| Operating profit | $29.3M | +6% | +198% |
| Net earnings | $29.9M | +12% | +154% |
| Operating cash flow | $60.7M | +8% | +25% |
| Free cash flow | $59.0M | +19% | +25% |
What changed
Revenue was $219.8M in Q2 2026, up 13% year over year and up 2% from the previous quarter. Subscription was the largest line at 83% of revenue. Subscription added $24.4M year over year (up 15%), 99% of the total change. Services and Other declined 5%.
Gross margin was 59.2%, up 5.7 points from Q2 2025. Operating profit was $29.3M, a 13.4% margin (up 8.3 points year over year). Of the extra revenue versus Q2 2025, 79% reached operating profit, above the 5% margin then. Operating expenses grew 6% against revenue growth of 13%. The fastest-growing cost line was Research & development (+11%). Net earnings were $29.9M, up 154% year over year. The effective tax rate was 5.9%.
Operating cash flow was $60.7M (up 25% year over year), 203% of net earnings. Non-cash charges added back $12.1M of depreciation and amortization and $20.6M of share-based compensation. Capital expenditures of $1.7M left free cash flow of $59.0M.
Questions
What was Q2 Holdings' revenue in the second quarter 2026?
Q2 Holdings (QTWO) reported revenue of $220M for the second quarter 2026 (Q2 2026), +13% from a year earlier and +2% from the quarter before.
Was Q2 Holdings profitable in the second quarter 2026?
Operating profit was $29.3M (13.4% of revenue) and net earnings $29.9M.
Source: Q2 Holdings 10-Q on SEC EDGAR.