Pagerduty Inc
Q4 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: +5.68%.
Did PD Beat Earnings? Q4 2026 Results
PagerDuty delivered a mixed but largely better-than-expected fourth quarter for fiscal 2026, posting adjusted EPS of $0.29 against a consensus estimate of $0.25, a beat of 16.51%, while revenue of $124.78 million edged past the $122.96 million consensus by 1.48% and grew 2.8% year over year. The profitability outperformance was driven by meaningful margin expansion, with non-GAAP operating margin reaching 23.9% compared to 18.3% a year ago, reflecting disciplined cost management even as top-line growth remained modest. The results were tempered, however, by weaker retention metrics; annual recurring revenue grew just 1% to $499 million and dollar-based net retention slipped to 98% from 106% a year ago, signaling ongoing contraction headwinds that at least one analyst called disappointing. Looking ahead, PagerDuty guided Q1 fiscal 2027 revenue to $118 million to $120 million, with full-year 2027 revenue of $488.5 million to $496.5 million, a midpoint implying roughly flat growth as the company navigates churn pressures while expanding its AI-native customer base.
- Non-GAAP operating margin expanded to 23.9% in Q4 from 18.3% year over year
- Third consecutive quarter of GAAP profitability
- Total free and paid customers grew approximately 14% year over year to over 35,000
- Customers with ARR over $100K grew 1% to 861
- 700-basis-point expansion in non-GAAP operating margin for the full year
“Fiscal 2026 was a transformational year for PagerDuty, marked by stabilized revenue retention, a top-end guidance beat with $493 million in revenue, and a 700-basis-point expansion in non-GAAP operating margin.”
PagerDuty CEO, on the earnings call
Forward Guidance & Outlook
For Q1 fiscal 2027, PagerDuty expects revenue of $118.0 million to $120.0 million and non-GAAP diluted EPS of $0.23 to $0.25 (assuming ~83 million diluted shares and a 20% non-GAAP tax rate). For full fiscal year 2027, the company expects revenue of $488.5 million to $496.5 million and non-GAAP diluted EPS of $1.23 to $1.28 (assuming ~81 million diluted shares and a 20% non-GAAP tax rate).
PD YoY Financials
Figures from SEC filings and company reports. Not investment advice.