Quarterly ResultMay 5, 2026, 04:15 PM
Rapid7 Q1 Revenue $210M, Non-GAAP EPS $0.36; Acquires Kenzo Security
AI Summary
Rapid7, Inc. announced its first quarter 2026 financial results, reporting total revenue of $210 million and annualized recurring revenue (ARR) of $832 million, both showing slight year-over-year decreases. The company achieved a non-GAAP operating income of $24.4 million and non-GAAP net income of $0.36 per diluted share, alongside strong free cash flow of $33.4 million, exceeding its guidance expectations. Rapid7 also highlighted the acquisition of Kenzo Security to enhance its AI-powered security operations and provided Q2 and full-year 2026 guidance, projecting continued revenue declines but strong full-year free cash flow.
Key Highlights
- Q1 2026 Total Revenue was $210 million, a 0.3% decrease year-over-year.
- Annualized Recurring Revenue (ARR) reached $832 million, down 0.6% year-over-year.
- Non-GAAP Operating Income for Q1 was $24.4 million.
- Non-GAAP Net Income per diluted share was $0.36.
- Net cash provided by operating activities was $39.8 million, with Free Cash Flow of $33.4 million.
- Rapid7 acquired Kenzo Security in March to accelerate AI-powered security operations.
- Forecasts Q2 2026 revenue between $207 million and $209 million.
- Projects Full-Year 2026 Free Cash Flow between $125 million and $135 million.