Fortinet, Inc.: Beat — EPS $0.91, Revenue $2.08B
Earnings BeatQ3 2026 · After-market
Did Fortinet, Inc. (FTNT) beat earnings today?
Yes, Fortinet, Inc. (FTNT) beat Wall Street analyst expectations for Q3 2026, reporting higher-than-expected EPS and higher-than-expected revenue.
Earnings Per Share+5.81% surprise
$0.91Actual
Expected: $0.86
vs. year ago +23.0%
Total Revenue+0.89% surprise
$2.08BActual
Expected: $2.06B
vs. year ago +20.0%
Released Oct 28 · 4:05 PM ET
Earning Report
| Metric | Q3 2026 | Q3 2025 | YoY Change % |
|---|---|---|---|
| Revenue | $2.08B | $1.72B | +20.0% |
| Revenue detail — reported lines | |||
| └─Product | $765.00M | $559.30M | +37.0% |
| └─Service | $1.31B | $1.17B | +12.7% |
| Net Income | $635.50M | $473.90M | +34.1% |
| GAAP Basic EPS | $0.87 | $0.63 | +38.1% |
| GAAP Diluted EPS | $0.86 | $0.62 | +38.7% |
| Non-GAAP Diluted EPS | $0.91 | $0.74 | +23.0% |
Financial Outlook / Guidance
| Metric | Q4 2026 Outlook | FY 2026 Outlook |
|---|---|---|
| Revenue | $2.155B-$2.245B | $8.125B-$8.215B |
| Service revenue | — | $5.150B-$5.170B |
| Billings | $2.775B-$2.925B | $9.568B-$9.718B |
| Non-GAAP gross margin | 78.0%-80.0% | 79.7%-80.3% |
| Non-GAAP operating margin | 35.5%-37.5% | 36.5%-37.5% |
| Diluted non-GAAP net income per share | $0.93-$0.95 | $3.54-$3.58 |
| Diluted share count | 741M-745M | 741M-743M |
Business Highlights
- ➤Launched FortiGuard Inline AI Security Service for AI-specific inspection and guardrails.
- ➤Launched FortiLink SASE for cloud-delivered security at distributed locations.
- ➤Selected by NVIDIA as a top OpenShell Reference Architecture Partner to Secure AI.
- ➤Collaborated with Oracle to combine OCI Enterprise AI and FortiAIGate.
- ➤Joined Microsoft’s Sovereign Partner Ecosystem for sovereign AI security solutions.
- ➤Named a Leader in Gartner’s 2026 Hybrid Mesh Firewall Magic Quadrant.
- ➤Increased share repurchase authorization by $1.2B; $2B remained authorized.
Management Commentary
Ken Xie, Founder, Chairman and Chief Executive Officer
“We are very pleased with our excellent third quarter results, which reflect strong execution and broad-based demand across our entire portfolio, allowing us to raise our 2026 billings guidance for the third time this year. Our strong momentum is driven by our continued leadership in the AI era. As AI introduces entirely new attack surfaces, Network Security remains the critical foundation of AI Security. Powered by our single FortiOS operating system and proprietary FortiASIC technology, our unified platform approach secures critical AI infrastructure while delivering industry-leading performance and a significantly lower total cost of ownership.”