Companies /Technology

Rapid7 Inc

NASDAQ: RPD Software - Infrastructure
$11.00
▼ $0.47 (−4.10%) today
Markets closed · 10:58am ET

Q4 2025 Earnings

Reported Feb 10, 2026, 4:07pm ET · SEC source
$0.44
Beat +5.87%
EPS · est. $0.42
$217.4M
Beat +1.03%
Revenue · est. $215.2M
−11.3%
Trailing market
RPD vs S&P since report
5 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−20%0+20%Feb 10Feb 11report 4:07pm ETearnings−0.1%−20.8%
−20%0+20%Feb 10Feb 11earnings−0.1%−20.8%
RPD −20.8%S&P 500 −0.1%
−20%0+20%Feb 10Feb 11report 4:07pm ETearnings−0.0%−20.8%
−20%0+20%Feb 10Feb 11earnings−0.0%−20.8%
RPD −20.8%NASDAQ −0.0%
−20%0+20%Feb 9Feb 18report 4:07pm ETearnings−1.0%−16.1%
−20%0+20%Feb 9Feb 18earnings−1.0%−16.1%
RPD −16.1%S&P 500 −1.0%
−20%0+20%Feb 9Feb 18report 4:07pm ETearnings−1.1%−16.1%
−20%0+20%Feb 9Feb 18earnings−1.1%−16.1%
RPD −16.1%NASDAQ −1.1%
−28.97%
Day of report
−3.93%
Next session
−3.93%
One week
−14.63%
30 days

S&P 500 over the same 30 days: −3.31%.

Did RPD Beat Earnings? Q4 2025 Results

Rapid7 closed out fiscal 2025 with a Q4 beat on both top and bottom lines, though the results told a more complicated story beneath the surface. The cybersecurity company posted non-GAAP EPS of $0.44, topping the $0.42 consensus estimate by 5.87%, while revenue of $217.39 million edged 1.03% above expectations and grew 0.5% year-over-year, with product subscriptions accounting for $209.15 million of the total. The beat, however, came alongside margin compression, as non-GAAP operating income fell to $30.13 million from $39.99 million a year ago, reflecting heavier investment in sales and marketing costs that climbed to $79.72 million from $72.77 million. Annualized recurring revenue held flat at $840 million, and the company's forward outlook added further caution, with full-year 2026 revenue guided to $835 to $843 million, a 2% to 3% decline, and non-GAAP EPS of $1.50 to $1.60. Multiple analysts promptly trimmed price targets following the guidance, citing concerns over projected revenue contraction and decelerating growth in the Detection and Response business.

Key Takeaways
  • Product subscription revenue growth of 1% YoY in Q4 and 3% for full-year 2025
  • AI security operations differentiation resonating with customers
  • Over 11,500 total customers with average ARR per customer of approximately $72,000
  • Recognized as Leader in 2025 Gartner Magic Quadrant for Exposure Assessment Platforms

“Rapid7 exited 2025 delivering outperformance against fourth quarter ARR, revenue, and profitability guidance. Our differentiated approach to AI security operations continues to resonate with customers and gain market recognition. We are entering 2026 with a relentless focus on driving innovation, scaling up our execution, and securing Rapid7 customers' rapidly evolving attack surfaces.”

Rapid7 CEO, on the earnings call

Forward Guidance & Outlook

For Q1 2026, Rapid7 expects ARR of approximately $830 million (down 1% YoY), revenue of $207-$209 million (down 1%-2% YoY), non-GAAP operating income of $19-$21 million, and non-GAAP EPS of $0.29-$0.32. For full-year 2026, the company guides revenue of $835-$843 million (down 2%-3% YoY), non-GAAP operating income of $108-$116 million, non-GAAP EPS of $1.50-$1.60, and free cash flow of $125-$135 million. Full-year 2026 ARR growth is expected to be flat percentage-wise. Guidance excludes potential foreign exchange impacts.

RPD YoY Financials

Q4 2025 vs Q4 2024 · SEC filings Q4 2024 Q4 2025
$0$60.0M$120.0M$180.0M$216.3M$217.4MRevenue$150.0M$149.9MGross Profit$3.6M$2.3MOperating Income$760,796$3.1MNet Income
$0$60.0M$120.0M$180.0MRevenueGross ProfitOperating IncomeNet Income

RPD Revenue by Segment

Product Subscriptions$209.1M+1.0%
Professional Services$8.2M

RPD Revenue by Geography

North America
Rest of World

Figures from SEC filings and company reports. Not investment advice.