Palo Alto Networks Q4 2026: NGS ARR Hits $9.1B on Platformization Push
As seen on the 24/7 Wall St. homepage on September 1, 2026.
Next-generation security ARR jumped 63% to $9.10 billion, with nearly $1 billion of net new ARR added in the quarter alone, proof the platformization pitch is landing with CIOs. Management guided FY2027 revenue to $14.10 billion to $14.20 billion and backed a $20 billion NGS ARR target for FY30.
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Palo Alto Networks posted adjusted EPS of $1.02 for fiscal Q4 2026, beating expectations, with revenue of $3.41 billion up 34.5% year over year. That extends the streak of beating consensus EPS estimates to five consecutive quarters.
Next-generation security ARR climbed 63% year over year to $9.10 billion, with nearly $1 billion of net new NGS ARR added in Q4 alone. CEO Nikesh Arora framed it as proof the platformization pitch is landing: "We delivered a strong Q4 to close out the year, adding nearly $1 billion of Net New NGS ARR in a single quarter."
The recurring base is carrying the growth: subscription and support revenue grew 36% year over year in Q4, and operating cash flow reached $1.36 billion.
For FY2027, management guided total revenue of $14.10 billion to $14.20 billion, representing 23% to 24% top-line growth. The company reaffirmed its $20 billion NGS ARR target for FY2030, with Arora citing AI adoption as the structural driver.
The GAAP net loss of $282 million in Q4 reflects fair value changes on convertible notes and capped calls rather than operating deterioration. The Console acquisition adds integration costs that weigh on near-term GAAP figures, so the cash-generation line carries more signal.
Mentioned: PANW