Quarterly ResultMay 7, 2026, 08:12 AM
Rackspace Technology Q1 Revenue $678M; Net Income $8M
AI Summary
Rackspace Technology reported its first quarter 2026 financial results, with revenue increasing 2% year-over-year to $678 million. The company achieved a net income of $8 million, a significant improvement from a net loss of $(72) million in the prior year. Public Cloud revenue grew 7% to $443 million, while Private Cloud revenue decreased 6% to $235 million. Additionally, Rackspace Technology announced a Memorandum of Understanding with AMD to establish a new category of governed Enterprise AI Infrastructure.
Key Highlights
- Rackspace Technology and AMD signed an MoU to establish governed Enterprise AI Infrastructure.
- Q1 2026 revenue was $678 million, up 2% year-over-year from $665 million.
- Net income for Q1 2026 was $8 million, compared to a net loss of $(72) million in Q1 2025.
- Public Cloud revenue increased 7% to $443 million in Q1 2026.
- Private Cloud revenue decreased 6% to $235 million in Q1 2026.
- Cash Flow From Operating Activities was $5 million in Q1 2026.
- Non-GAAP Operating Profit rose 20% to $31 million in Q1 2026.
- FY 2026 total revenue guidance is $2,600 - $2,700 million.
Price Impact
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