Fortinet Inc
Q2 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: +3.42%.
Did FTNT Beat Earnings? Q2 2026 Results
Fortinet delivered a blowout second quarter for fiscal 2026, extending its streak of consensus beats to six consecutive quarters as the cybersecurity giant posted non-GAAP earnings per share of $0.90, clearing the $0.75 analyst estimate by 20.53%, while revenue of $2.05 billion topped expectations by 8.42% and grew 25.6% year over year. The headline driver was a 52% surge in product revenue to $773 million, fueled by robust demand for FortiGate appliances tied to the ongoing firewall refresh cycle and accelerating AI infrastructure deployments, which pushed total billings up 33% year over year to $2.37 billion, a forward indicator of continued booking strength. Profitability expanded sharply alongside the top-line beat, with non-GAAP operating margin widening to 38.0% from 33.1% a year ago and free cash flow more than tripling to $965.60 million. Looking ahead, Fortinet raised its full-year 2026 revenue guidance to $8.02 billion to $8.18 billion, implying approximately 19% year-over-year growth, with a $7.68 billion deferred revenue balance underpinning visibility into the second half.
- Product revenue grew 52% YoY driven by strong hardware demand and firewall refresh cycle
- Billings grew 33% YoY to $2.37 billion indicating strong bookings momentum
- Non-GAAP operating margin expanded to 38.0% from 33.1% YoY
- Free cash flow margin expanded to 47.2% from 17.4% YoY
- Operating cash flow more than doubled to $1.04 billion from $451.9 million YoY
“We are very pleased with our excellent second quarter results, which reflect the differentiated value of our innovation in the AI Era.”
Fortinet CEO, on the earnings call
Forward Guidance & Outlook
For Q3 2026, Fortinet expects revenue of $2.010–$2.100 billion, billings of $2.250–$2.350 billion, non-GAAP gross margin of 79.0%–81.0%, non-GAAP operating margin of 35.0%–37.0%, and non-GAAP diluted EPS of $0.83–$0.87. For full-year 2026, the company raised revenue guidance to $8.020–$8.180 billion (implying ~19% YoY growth), with service revenue of $5.180–$5.220 billion, billings of $9.350–$9.550 billion, non-GAAP gross margin of 79.0%–81.0%, non-GAAP operating margin of 35.0%–37.0%, and non-GAAP diluted EPS of $3.41–$3.47.
FTNT YoY Financials
FTNT Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.