ServiceTitan（TTAN.US）公布2027财年第二季度业绩：营收2.928亿美元同比+21%但增速续降、GTV+17%，第三季度指引2.85–2.87亿美元环比下滑，股价在9月9日跳空暴跌29.98%，五个交易日内累计跌33%

ServiceTitan Announces Fiscal Second Quarter Financial Results
September 8, 2026

LOS ANGELES, Sept. 08, 2026 (GLOBE NEWSWIRE) -- ServiceTitan (NASDAQ: TTAN), the software platform that powers the
trades, today announced financial results for the fiscal second quarter ended July 31, 2026.

“Our strong momentum delivering the Agentic Operating System to the Trades resulted in 21% year-over-year revenue growth and
over $50 million of non-GAAP free cash flow this quarter,” said Ara Mahdessian, Co-Founder and CEO. “Delivering this Agentic
Operating System to our customers and leveraging AI to further enhance our organizational velocity are once in a lifetime
opportunities to execute against.” (1)

“Our organizational velocity is improving and our investments in AI are delivering,” said Vahe Kuzoyan, Co-Founder and President,
“We exceeded our goal of doubling Max locations during Q2. As a result of strong execution with existing customers and progress
with select new customers, we now expect to end this fiscal year with over 700 enrolled Max locations.”

Fiscal Second Quarter 2027 Financial and Operational Highlights:

Fiscal Second Fiscal Second
Quarter 2027 Quarter 2026
(in millions, except percentages and GTV)
Gross transaction volume (“GTV”) ( in billions)(2) $26.8 $22.9
YOY GTV growth 17% 19%

Total revenue $292.8 $242.1
YOY revenue growth 21% 25%
Platform revenue $284.5 $232.7
YOY platform revenue growth 22% 26%

GAAP loss from operations ($27.6) ($34.8)
GAAP operating margin -9.4% -14.4%
Non-GAAP income from operations(1) $44.4 $29.2
Non-GAAP operating margin(1) 15.2% 12.1%

GAAP net cash provided by operating activities $58.0 $40.3
Non-GAAP free cash flow(1) $50.5 $34.3

Net dollar retention > 110% > 110%

_________________________

(1) This press release uses non-GAAP financial measures that adjust GAAP financial measures for the impact of various items.
See the section titled “Non-GAAP Financial Measures” and the tables entitled “GAAP to Non-GAAP Reconciliation” below for
additional information.
(2) Gross Transaction Volume (“GTV”) represents the sum of total dollars invoiced by our customers through the ServiceTitan
platform in a given period, which is intended to be a proxy for the total revenue our customers generate.


Fiscal Third Quarter and Fiscal Year 2027 Financial Outlook:
For fiscal third quarter 2027 and for the full fiscal year 2027, the company currently expects:

Fiscal Third Quarter
2027 Full Fiscal Year 2027
(in millions)
Total revenue $285 - $287 $1,139 - $1,144
Non-GAAP income from operations(3) $29 - $30 $152 - $154
_________________________
(3) ServiceTitan is not able, at this time, to provide an outlook for GAAP loss from operations or a reconciliation of expected
non-GAAP income from operations to GAAP loss from operations for the fiscal third quarter 2027 or for the full fiscal year 2027
because of the difficulty of estimating certain items excluded from non-GAAP income from operations that cannot be reasonably
calculated or predicted without unreasonable efforts. For example, charges related to stock-based compensation expense require
additional inputs, such as the number and value of awards granted, that are not currently ascertainable.


Conference Call Information:
The financial results and business highlights will be discussed on a conference call and webcast scheduled at 2:00 p.m. Pacific
Time (5:00 p.m. Eastern Time) on Tuesday, September 8, 2026. Online registration for this conference call can be found here. The
live webcast of the conference call can be accessed from ServiceTitan’s investor relations website at
http://investors.servicetitan.com. Prepared remarks for the conference call have been made available on ServiceTitan’s investor
relations website concurrently with this release.

Following completion of the events, a webcast replay will also be available at http://investors.servicetitan.com for 12 months.

About ServiceTitan

ServiceTitan is AI for the trades — a purpose-built agentic operating system designed to automate the workflows that run a
contracting business, from enterprise commercial construction to residential field service, exteriors and beyond. The company’s
end-to-end solution gives contractors the tools they need to run and grow their business, while providing a stellar customer
experience. Learn how ServiceTitan is equipping tradespeople with the AI technology they need to keep the world running at:
www.servicetitan.com.

Forward Looking Statements

This press release contains forward-looking statements within the meaning of the Securities Act of 1933, as amended, the
Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. All statements other than
statements of historical facts contained in this press release may be forward-looking statements. In some cases, you can identify
forward-looking statements because they contain words such as “anticipate,” “believe,” “contemplate,” “continue,” “could,”
“estimate,” “expect,” “goal,” “intend,” “likely,” “may,” “plan,” “potential,” “predict,” “project,” “seek,” “should,” “strategy,” “target,” or
“will,” or the negative of these words or other similar terms or expressions that concern ServiceTitan’s expectations, strategy, plans
or intentions. Forward-looking statements in this release include, but are not limited to, statements regarding ServiceTitan’s
financial outlook for total revenue and non-GAAP income from operations for fiscal third quarter 2027 ending October 31, 2026
and the full fiscal year ending January 31, 2027, and statements regarding our ability to fully capitalize on bringing AI, including
Max, to the trades, our operating and organizational velocity, AI strategy, and plans for Max. ServiceTitan’s expectations and
beliefs regarding these matters may not materialize, and actual results in future periods are subject to risks and uncertainties that
could cause actual results to differ materially from those projected, including those more fully described under the caption “Risk
Factors” in our Quarterly Report on Form 10-Q for fiscal first quarter 2027 ended April 30, 2026 as filed with the SEC on June 5,
2026, which should be read in conjunction with this press release and the financial results included herein. Additional information
will be set forth in our Quarterly Report on Form 10-Q for the fiscal second quarter 2027 ended July 31, 2026. The forward-looking
statements in this release are based on information available to ServiceTitan as of the date hereof, and ServiceTitan undertakes
no obligation to update any forward-looking statements, except as required by law.

Press Contact
Max Wertheimer
ServiceTitan, Inc.
press@servicetitan.com

Investor Contact
Jason Rechel
ServiceTitan, Inc.
investors@servicetitan.com

© 2026 ServiceTitan. All rights reserved. ServiceTitan, the ServiceTitan logo, and all ServiceTitan product and service names
mentioned herein are registered trademarks or unregistered trademarks of ServiceTitan, Inc. in the United States and other
countries. Other brand names and marks mentioned herein are for identification purposes only and may be the trademarks of their
respective holder(s).




ServiceTitan, Inc.
Condensed Consolidated Statements of Operations
(in thousands, except share and per share data)
(unaudited)
Three Months Ended July 31, Six Months Ended July 31,
2026 2025 2026 2025
Revenue:
Platform $ 284,496 $ 232,726 $ 545,060 $ 440,708
Professional services and other 8,260 9,397 16,520 17,107
Total revenue 292,756 242,123 561,580 457,815
Cost of revenue:
Platform 60,521 51,991 116,030 102,028
Professional services and other 23,166 18,783 42,690 36,042
Total cost of revenue 83,687 70,774 158,720 138,070
Gross profit 209,069 171,349 402,860 319,745
Operating expenses:
Sales and marketing 76,973 69,544 150,045 138,767
Research and development 100,630 73,065 188,654 142,205
General and administrative 59,018 63,512 117,475 123,081
Total operating expenses 236,621 206,121 456,174 404,053
Loss from operations (27,552 ) (34,772 ) (53,314 ) (84,308 )
Other income (expense), net
Interest expense (188 ) (2,057 ) (371 ) (4,092 )
Interest income 3,924 4,783 7,651 9,723
Other income, net 283 185 634 686
Total other income, net 4,019 2,911 7,914 6,317
Loss before income taxes (23,533 ) (31,861 ) (45,400 ) (77,991 )
Provision for income taxes 1,388 364 2,339 598
Net loss (24,921 ) (32,225 ) (47,739 ) (78,589 )
Net loss per share, basic and diluted $ (0.26 ) $ (0.35 ) $ (0.50 ) $ (0.86 )
Weighted-average shares used in computing net loss per
share, basic and diluted 95,863,240 91,687,907 95,440,743 91,041,726



Disaggregated Revenue
Three Months Ended July 31, Six Months Ended July 31,
2026 2025 2026 2025
Subscription $ 212,373 $ 174,753 $ 414,411 $ 337,470
Usage 72,123 57,973 130,649 103,238
Platform revenue 284,496 232,726 545,060 440,708
Professional services and other 8,260 9,397 16,520 17,107
Total revenue $ 292,756 $ 242,123 $ 561,580 $ 457,815




ServiceTitan, Inc.
Condensed Consolidated Balance Sheets
(in thousands, except share and per share data)
(unaudited)
As of
July 31, January 31,
2026 2026
Assets
Current assets:
Cash and cash equivalents $ 479,538 $ 428,769
Restricted cash — 166
Accounts receivable, net of allowance of $11,151 and $11,963 as of July 31, 2026
and January 31, 2026, respectively 69,883 55,974
Deferred contract costs, current 15,241 14,964
Contract assets 68,267 57,777
Prepaid expenses 30,207 25,894
Other current assets 7,242 7,314
Total current assets 670,378 590,858
Restricted cash, noncurrent 416 417
Deferred contract costs, noncurrent 13,092 14,748
Property and equipment, net 35,835 38,902
Operating lease right-of-use assets 19,409 18,627
Internal-use software, net 40,823 39,246
Intangible assets, net 157,036 176,743
Goodwill 860,250 860,250
Other assets 6,937 5,266
Total assets $ 1,804,176 $ 1,745,057
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable and other accrued expenses $ 56,110 $ 52,262
Accrued personnel-related expenses 52,300 83,095
Deferred revenue, current 17,407 18,676
Operating lease liabilities, current 12,056 14,052
Other current liabilities 9,614 1,367
Total current liabilities 147,487 169,452
Operating lease liabilities, noncurrent 35,708 37,322
Other noncurrent liabilities 15,285 13,049
Total liabilities 198,480 219,823
Commitments and contingencies

Stockholders' Equity
Preferred stock, par value $0.001, 100,000,000 shares authorized as of July 31, 2026 and
January 31, 2026. No shares issued and outstanding as of July 31, 2026 and January 31, 2026 — —
Class A common stock, par value $0.001, 1,000,000,000 shares authorized as of July 31, 2026
and January 31, 2026. 83,857,202 shares and 81,956,537 shares issued and outstanding as of
July 31, 2026 and January 31, 2026, respectively 83 82
Class B common stock, par value $0.001, 100,000,000 shares authorized as of July 31, 2026
and January 31, 2026. 12,605,018 shares and 12,644,614 shares issued and outstanding as of
July 31, 2026 and January 31, 2026, respectively 13 13
Class C common stock, par value $0.001, 100,000,000 shares authorized as of July 31, 2026
and January 31, 2026. No shares issued and outstanding as of July 31, 2026 and January 31,
2026 — —
Additional paid-in capital 2,918,922 2,790,722
Accumulated deficit (1,313,322 ) (1,265,583 )
Total stockholders' equity 1,605,696 1,525,234
Total liabilities and stockholders' equity $ 1,804,176 $ 1,745,057



ServiceTitan, Inc.
Condensed Consolidated Statements of Cash Flows
(in thousands)
(unaudited)
Three Months Ended Six Months Ended July
July 31, 31,
2026 2025 2026 2025
Cash flows provided by operating activities
Net loss $ (24,921 ) $ (32,225 ) $ (47,739 ) $ (78,589 )
Adjustments to reconcile net loss to net cash provided by
operating activities
Depreciation and amortization expense 19,898 20,035 39,448 39,990
Amortization of deferred contract costs 4,045 3,604 8,157 6,940
Non-cash operating lease expense 1,565 1,406 3,077 2,758
Stock-based compensation expense 60,575 49,307 115,149 93,056
Loss on impairment and disposal of assets 5 200 13 8,260
Deferred income taxes 1,138 679 1,952 1,325
Amortization of debt issuance costs — 128 — 248
Provision for credit losses 1,487 1,544 3,160 5,267
Changes in operating assets and liabilities, net of effect of business
acquisition:
Accounts receivable (8,009 ) (7,422 ) (17,069 ) (12,692 )
Prepaid expenses and other current assets (1,280 ) (10,217 ) (4,244 ) (8,546 )
Deferred contract costs (2,990 ) (4,425 ) (6,778 ) (10,164 )
Contract assets (3,714 ) (2,185 ) (10,490 ) (3,526 )
Other assets (43 ) 177 (2,304 ) 685
Accounts payable and other accrued expenses 421 (1,068 ) 3,843 2,933
Accrued personnel-related expenses 9,517 18,959 (29,344 ) (21,673 )
Operating lease liabilities (3,284 ) (3,013 ) (7,469 ) (6,166 )
Other liabilities 5,208 3,953 8,331 5,190
Deferred revenue (1,629 ) 903 (1,269 ) 474
Net cash provided by operating activities 57,989 40,340 56,424 25,770
Cash flows used in investing activities
Capitalized internal-use software (4,761 ) (4,930 ) (11,424 ) (11,402 )
Purchase of property and equipment (1,108 ) (1,110 ) (1,704 ) (2,402 )
Deposits for property and equipment (1,665 ) — (2,421 ) —
Net cash used in investing activities (7,534 ) (6,040 ) (15,549 ) (13,804 )
Cash flows provided by financing activities
Proceeds from exercise of stock options 7,552 17,255 9,727 18,436
Payment of debt arrangements — (269 ) — (537 )
Payment of deferred initial public offering costs — (66 ) — (599 )
Net cash provided by financing activities 7,552 16,920 9,727 17,300
Net change in cash, cash equivalents, and restricted cash 58,007 51,220 50,602 29,266
Cash, cash equivalents, and restricted cash
Beginning of period 421,947 420,892 429,352 442,846
End of period $ 479,954 $ 472,112 $ 479,954 $ 472,112


Statement Regarding Use of Non-GAAP Financial Measures

In addition to our results prepared in accordance with GAAP, we believe non-GAAP gross profit and non-GAAP gross margin, in
total and for platform, and professional services and other, non-GAAP sales and marketing expense, non-GAAP research and
development expense, non-GAAP general and administrative expense, non-GAAP income from operations, non-GAAP operating
margin, non-GAAP net income and non-GAAP earnings per share (“EPS”) are useful in evaluating our operating performance.

These measures, however, have certain limitations in that they reflect the exercise of judgment by our management about which
expenses are excluded or included and do not include the impact of certain expenses that are reflected in our consolidated
statement of operations that are necessary to run our business. These non-GAAP financial measures should be considered in
addition to, not as a substitute for or in isolation from, our financial results determined in accordance with GAAP. We caution
investors that amounts presented in accordance with our definition of non-GAAP gross profit, non-GAAP gross margin, non-GAAP
sales and marketing expense, non-GAAP research and development expense, non-GAAP general and administrative expense,
non-GAAP income from operations, non-GAAP operating margin, non-GAAP net income and non-GAAP EPS may not be
comparable to similar measures disclosed by other companies because not all companies and analysts calculate these measures
in the same manner.

For the reasons set forth below, we believe that excluding the following items provides information that is helpful in understanding
our operating results, evaluating our future prospects, comparing our financial results across accounting periods, and comparing
our financial results to our peers, many of which provide similar non-GAAP financial measures.

Stock-based compensation expense and related employer payroll taxes. We exclude stock-based compensation
expense, including the performance-based RSUs granted to our Co-Founders, and related employer payroll taxes to allow
investors to make more meaningful comparisons of our performance between periods and to facilitate a comparison of our
performance to those of other peer companies. Stock-based compensation may vary between periods due to various
factors unrelated to our core performance, including as a result of the assumptions used in the valuation methodologies,
timing and amount of grants and other factors. We exclude employer payroll taxes because the amounts vary based on
timing and settlement or vesting of awards unrelated to our core operating performance. Moreover, stock-based
compensation expense is a non-cash expense that we exclude from our internal management reporting processes and
when assessing our actual performance, budgeting, planning, and forecasting future periods.
Amortization of acquired intangible assets. We incur amortization expense for acquired intangible assets in connection
with acquisitions of certain businesses and technologies. Amortization of acquired intangible assets is a non-cash expense
that is significantly affected by the timing and size of acquisitions, and the inherent subjective nature of purchase price
allocations. Because these costs have already been incurred, we exclude the amortization expense from our internal
management reporting processes. We exclude these charges when assessing our actual performance and when
budgeting, planning, and forecasting future periods. Investors should note that the use of intangible assets contributed to
our revenues earned during the periods presented and will contribute to our future period revenues as well.
Loss on operating lease assets. We have incurred impairments on certain right-of-use assets and other long-lived
assets. We believe that it is useful to exclude these charges when assessing the level of various operating expenses and
resource allocations when budgeting, planning and forecasting future periods. In addition, we believe excluding such costs
enhances the comparability between periods.
Acquisition-related items. From time to time, we may incur costs related to acquisitions, including legal, third-party
valuation and due diligence, insurance costs, and one-time retention bonuses for employees of acquired companies. In
addition, we periodically record the change to the fair value of contingent consideration related to past acquisitions. When
applicable, we exclude these items when assessing our actual performance and when budgeting, planning and forecasting
future periods. We believe excluding these items allows investors to make meaningful comparisons between our core
results of operations and those of other peer companies.


Change in Non-GAAP Income Tax Rate Presentation

Effective February 1, 2026, the beginning of our first quarter of fiscal 2027, we adopted a fixed long-term projected non-GAAP tax
rate in order to provide better consistency across interim reporting periods. When projecting the long-term non-GAAP tax rate, we
utilize a financial projection that excludes the direct impact of the items excluded from GAAP income in calculating our non-GAAP
income. The projected rate considers other factors such as our current operating structure, existing tax positions in various
jurisdictions, and key legislation in major jurisdictions where we operate. For fiscal 2027, we determined the projected non-GAAP
tax rate to be 18%, which reflects currently available information, as well as other factors and assumptions that may change over
time. We will periodically re-evaluate this tax rate, as necessary, for significant events, relevant tax law changes, material changes
in the forecasted geographic earnings mix, and any significant acquisitions.

Non-GAAP EPS

We define non-GAAP basic EPS as non-GAAP net income divided by weighted-average shares outstanding used in computing
net loss per share attributable to common stockholders, basic. We define non-GAAP diluted EPS as non-GAAP net income
divided by weighted-average shares outstanding giving effect to the weighted average of all potentially dilutive common stock
equivalents outstanding for the period including options to purchase common stock, restricted stock units, and acquisition
indemnity shares withheld. The dilutive effect of outstanding awards is reflected in non-GAAP diluted earnings per share by
application of the treasury method.

Free Cash Flow

We define free cash flow, a non-GAAP measure, as GAAP net cash provided by operating activities less cash used for investing
activities for capitalized internal use software and less cash paid for purchases of, and deposits for, property and equipment. We
believe that free cash flow is a meaningful indicator of our sources of liquidity and capital requirements and provides information to
management and investors that is useful in evaluating the cash flow trends of our business. Once our business needs and
obligations are met, cash can be used to maintain a strong balance sheet and invest in future growth. Free cash flow has
limitations as an analytical tool and should not be considered in isolation or as a substitute for analysis of our results as reported
under GAAP. Other companies may calculate free cash flow or similarly titled non-GAAP measures differently, which could reduce
the usefulness of free cash flow as a tool for comparison. In addition, free cash flow does not reflect mandatory debt service and
other non-discretionary expenditures that are required to be made under contractual commitments and does not represent the total
increase or decrease in our cash balance for any given period.


ServiceTitan, Inc.
GAAP to Non-GAAP Reconciliations
(unaudited)

Non-GAAP Gross Profit and Non-GAAP Gross Margin

Professional
Platform Services and Other Total
Three Months Ended Three Months Ended Three Months Ended
July 31, July 31, July 31,
2026 2025 2026 2025 2026 2025
(in thousands)
GAAP gross profit $ 223,975 $ 180,735 $ (14,906 ) $ (9,386 ) $ 209,069 $ 171,349
Stock-based compensation expense and
related employer payroll taxes 1,712 1,484 2,397 1,364 4,109 2,848
Amortization of acquired intangible assets 4,933 5,533 334 334 5,267 5,867
Non-GAAP gross profit $ 230,620 $ 187,752 $ (12,175 ) $ (7,688 ) $ 218,445 $ 180,064




Professional
Platform Services and Other Total
Three Months Ended Three Months Ended Three Months Ended
July 31, July 31, July 31,
2026 2025 2026 2025 2026 2025
GAAP gross margin 78.7 % 77.7 % (180.5 )% (99.9 )% 71.4 % 70.8 %
Stock-based compensation expense and
related employer payroll taxes 0.6 % 0.6 % 29.0 % 14.5 % 1.4 % 1.2 %
Amortization of acquired intangible assets 1.7 % 2.4 % 4.0 % 3.6 % 1.8 % 2.4 %
Non-GAAP gross margin* 81.1 % 80.7 % (147.4 )% (81.8 )% 74.6 % 74.4 %

* Totals may not foot due to rounding.


Professional
Platform Services and Other Total
Six Months Ended Six Months Ended Six Months Ended
July 31, July 31, July 31,
2026 2025 2026 2025 2026 2025
(in thousands)
GAAP gross profit $ 429,030 $ 338,680 $ (26,170 ) $ (18,935 ) $ 402,860 $ 319,745
Stock-based compensation expense and
related employer payroll taxes 3,440 2,882 3,985 2,748 7,425 5,630
Amortization of acquired intangible assets 9,866 11,066 668 668 10,534 11,734
Loss on operating lease assets — 960 — 751 — 1,711
Non-GAAP gross profit $ 442,336 $ 353,588 $ (21,517 ) $ (14,768 ) $ 420,819 $ 338,820




Professional
Platform Services and Other Total
Six Months Ended Six Months Ended Six Months Ended
July 31, July 31, July 31,
2026 2025 2026 2025 2026 2025
GAAP gross margin 78.7 % 76.8 % (158.4 )% (110.7 )% 71.7 % 69.8 %
Stock-based compensation expense and
related employer payroll taxes 0.6 % 0.7 % 24.1 % 16.1 % 1.3 % 1.2 %
Amortization of acquired intangible assets 1.8 % 2.5 % 4.0 % 3.9 % 1.9 % 2.6 %
Loss on operating lease assets 0.0 % 0.2 % 0.0 % 4.4 % 0.0 % 0.4 %
Non-GAAP gross margin* 81.2 % 80.2 % (130.2 )% (86.3 )% 74.9 % 74.0 %

* Totals may not foot due to rounding.


Non-GAAP Sales and Marketing Expense

Three Months Ended Six Months Ended
July 31, July 31,
2026 2025 2026 2025
(in thousands)
GAAP sales and marketing expense $ 76,973 $ 69,544 $ 150,045 $ 138,767
Stock-based compensation expense and related employer payroll taxes (8,053 ) (7,694 ) (14,672 ) (13,262 )
Amortization of acquired intangible assets (4,586 ) (5,515 ) (9,173 ) (11,030 )
Loss on operating lease assets — — — (1,765 )
Non-GAAP sales and marketing expense $ 64,334 $ 56,335 $ 126,200 $ 112,710


Non-GAAP Research and Development Expense

Three Months Ended Six Months Ended
July 31, July 31,
2026 2025 2026 2025
(in thousands)
GAAP research and development expense $ 100,630 $ 73,065 $ 188,654 $ 142,205
Stock-based compensation expense and related employer payroll taxes (24,461 ) (12,703 ) (44,925 ) (24,966 )
Loss on operating lease assets — — — (1,679 )
Non-GAAP research and development expense $ 76,169 $ 60,362 $ 143,729 $ 115,560


Non-GAAP General and Administrative Expense

Three Months Ended Six Months Ended
July 31, July 31,
2026 2025 2026 2025
(in thousands)
GAAP general and administrative expense $ 59,018 $ 63,512 $ 117,475 $ 123,081
Stock-based compensation expense and related employer payroll taxes (11,985 ) (15,830 ) (25,229 ) (28,477 )
Stock-based compensation expense - Co-Founders performance based
RSUs (13,515 ) (13,518 ) (26,589 ) (26,589 )
Loss on operating lease assets — — — (2,877 )
Non-GAAP general and administrative expense $ 33,518 $ 34,164 $ 65,657 $ 65,138


Non-GAAP Income from Operations and Non-GAAP Operating Margin

Three Months Ended Six Months Ended
July 31, July 31,
2026 2025 2026 2025
(in thousands)
GAAP loss from operations $ (27,552 ) $ (34,772 ) $ (53,314 ) $ (84,308 )
Stock-based compensation expense and related employer payroll taxes 48,608 39,075 92,251 72,335
Stock-based compensation expense - Co-Founders performance based
RSUs 13,515 13,518 26,589 26,589
Amortization of acquired intangible assets 9,853 11,382 19,707 22,764
Loss on operating lease assets — — — 8,032
Non-GAAP income from operations $ 44,424 $ 29,203 $ 85,233 $ 45,412




Three Months Ended Six Months Ended
July 31, July 31,
2026 2025 2026 2025
GAAP operating margin (9.4 )% (14.4 )% (9.5 )% (18.4 )%
Stock-based compensation expense and related employer payroll
taxes 16.6 % 16.1 % 16.4 % 15.8 %
Stock-based compensation expense - Co-Founders performance
based RSUs 4.6 % 5.6 % 4.7 % 5.8 %
Amortization of acquired intangible assets 3.4 % 4.7 % 3.5 % 5.0 %
Loss on operating lease assets 0.0 % 0.0 % 0.0 % 1.8 %
Non-GAAP operating margin* 15.2 % 12.1 % 15.2 % 9.9 %

* Totals may not foot due to rounding.
Non-GAAP Net Income

Three Months Ended Six Months Ended
July 31, July 31,
2026 2025 2026 2025
(in thousands)
GAAP net loss $ (24,921 ) $ (32,225 ) $ (47,739 ) $ (78,589 )
Stock-based compensation expense and related employer payroll taxes 48,608 39,075 92,251 72,335
Stock-based compensation expense - Co-Founders performance based
RSUs 13,515 13,518 26,589 26,589
Amortization of acquired intangible assets 9,853 11,382 19,707 22,764
Loss on operating lease assets — — — 8,032
Income tax effects(4) (7,331 ) 1,095 (14,427 ) (389 )
Non-GAAP net income $ 39,724 $ 32,845 $ 76,381 $ 50,742

(4)Effective February 1, 2026, we adopted a fixed long-term projected non-GAAP tax rate of 18%, which reflects currently
available information, as well as other factors and assumptions that may change over time.


Non-GAAP EPS

Three Months Ended July Six Months Ended July
31, 31,
2026 2025 2026 2025
(in thousands, except share and per share amounts)
Numerator
Non-GAAP net income $ 39,724 $ 32,845 $ 76,381 $ 50,742

Denominator
Weighted-average shares used in computing net loss per share
attributable to common stockholders, basic 95,863,240 91,687,907 95,440,743 91,041,726
Effect of dilutive securities: Stock-based awards 4,341,036 7,699,740 4,310,763 7,957,233
Weighted-average shares used in computing non-GAAP net
income per share attributable to common stockholders, diluted 100,204,276 99,387,647 99,751,506 98,998,959

GAAP net loss per share, basic and diluted $ (0.26 ) $ (0.35 ) $ (0.50 ) $ (0.86 )
Non-GAAP net income per share, basic $ 0.41 $ 0.36 $ 0.80 $ 0.56
Non-GAAP net income per share, diluted $ 0.40 $ 0.33 $ 0.77 $ 0.51


Free Cash Flow

Three Months Ended Six Months Ended
July 31, July 31,
2026 2025 2026 2025
(in thousands)
GAAP net cash provided by operating activities $ 57,989 $ 40,340 $ 56,424 $ 25,770
Capitalized internal-use software (4,761 ) (4,930 ) (11,424 ) (11,402 )
Purchase of property and equipment (1,108 ) (1,110 ) (1,704 ) (2,402 )
Deposits for property and equipment (1,665 ) — (2,421 ) —
Non-GAAP free cash flow $ 50,455 $ 34,300 $ 40,875 $ 11,966