Rapid7, Inc.: Beat — EPS $0.60, Revenue $212.4M
Earnings BeatQ3 2026 · After-market
Did Rapid7, Inc. (RPD) beat earnings today?
Yes, Rapid7, Inc. (RPD) beat Wall Street analyst expectations for Q3 2026, reporting higher-than-expected EPS and higher-than-expected revenue.
Earnings Per Share+30.43% surprise
$0.60Actual
Expected: $0.46
vs. year ago +5.3%
Total Revenue+1.55% surprise
$212.4MActual
Expected: $209.16M
vs. year ago -2.5%
Released Nov 04 · 4:05 PM ET
Earning Report
| Metric | Q3 2026 | Q3 2025 | YoY Change % |
|---|---|---|---|
| Revenue | $212.40M | $217.96M | -2.5% |
| Revenue detail — reported lines | |||
| └─Product subscriptions | $206.09M | $210.15M | -1.9% |
| └─Professional services | $6.32M | $7.81M | -19.1% |
| GAAP Basic EPS | $0.05 | $0.15 | -66.7% |
| GAAP Diluted EPS | $0.05 | $0.15 | -66.7% |
| Non-GAAP Basic EPS | $0.70 | $0.65 | +7.7% |
| Non-GAAP Diluted EPS | $0.60 | $0.57 | +5.3% |
| Net income | $3.51M | $9.81M | -64.2% |
Financial Outlook / Guidance
| Metric | Q4 2026 Outlook | FY 2026 Outlook | ||
|---|---|---|---|---|
| Guidance | Expected | Guidance | Expected | |
| ARR | ~$812M (-3% YoY | — | — | — |
| Revenue | $208M-$210M (-4% to -3% YoY | $209.29MIn-Line | $841M-$843M (-2% to -2% YoY | $839.15MBeat +0.34% |
| Non-GAAP income from operations | $40M-$42M | — | $140M-$142M | — |
| Non-GAAP net income per share, diluted | $0.53-$0.55 | $0.54In-Line | $1.94-$1.96 | $1.80Beat +8.33% |
| Weighted average shares used in non-GAAP earnings per share calculation, diluted | 82.1M | — | 79.6M | — |
| Free cash flow | — | — | ~$130M | — |
Q4 2026 Outlook
- ARR
- Guidance~$812M(-3% YoYExpected—
- Revenue
- Guidance$208M-$210M(-4% to -3% YoYExpected$209.29MIn-Line
- Non-GAAP income from operations
- Guidance$40M-$42MExpected—
- Non-GAAP net income per share, diluted
- Guidance$0.53-$0.55Expected$0.54In-Line
- Weighted average shares used in non-GAAP earnings per share calculation, diluted
- Guidance82.1MExpected—
- Free cash flow
- Guidance—Expected—
FY 2026 Outlook
- ARR
- Guidance—Expected—
- Revenue
- Guidance$841M-$843M(-2% to -2% YoYExpected$839.15MBeat +0.34%
- Non-GAAP income from operations
- Guidance$140M-$142MExpected—
- Non-GAAP net income per share, diluted
- Guidance$1.94-$1.96Expected$1.80Beat +8.33%
- Weighted average shares used in non-GAAP earnings per share calculation, diluted
- Guidance79.6MExpected—
- Free cash flow
- Guidance~$130MExpected—
Business Highlights
- ➤Launched Rapid7 Intelligence, unifying threat intelligence, vulnerability research, and Rapid7 Labs.
- ➤Appointed Mel Stone to lead Rapid7 Intelligence as Chief Global Services Officer.
- ➤Previewed Autonomous SOC at its Boston customer summit.
- ➤Released Q2 Threat Landscape Report identifying 62% of newly exploited vulnerabilities as remotely exploitable.
- ➤Published Omdia research on AI adoption, human oversight, and AI-integrated MDR.
- ➤Showcased AI-Accelerated Exposure Discovery & Visibility at Black Hat USA 2026.
- ➤Introduced Preemptive MDR Alerts at Black Hat USA 2026.
- ➤Showcased Agentic SOC to accelerate investigations while retaining analyst control.
Management Commentary
Wael Mohamed, CEO of Rapid7
“Last quarter, we took decisive action to focus resources and energy on our core business. This quarter, we delivered on some of our early goals in this multi-quarter journey. The company is operating with greater discipline, our core business is becoming more stable, and our cash generation outlook for the year remains on track. That is real progress, but one quarter of stability is just a start. Turning this execution into durable growth is the work ahead of us.”
Wael Mohamed, CEO of Rapid7
“Discipline creates capacity, and strategy decides where it goes. We are putting that capacity behind our core and an AI-first service model where our platform, Rapid7 Intelligence, AI agents, and experienced security experts work as one system, taking customers beyond detection and response to resolution. In Exposure Management, that same intelligence helps customers focus on the exposures attackers can actually exploit and fix them before they become incidents. Hundreds of customers are already using Kenzo-powered capabilities as we build toward Autonomous SOC. We are not declaring victory. We are building proof, and we intend to earn confidence across quarters.”