Quarterly ResultJul 28, 2026, 04:07 PM
Varonis Q2 SaaS ARR Ex-Conversions +25%; Raises FY Outlook
AI Summary
Varonis Systems, Inc. announced strong financial results for the second quarter ended June 30, 2026, with SaaS ARR excluding conversions growing 25% year-over-year and total SaaS ARR reaching $726.0 million, up 52% year-over-year. Total revenues for the quarter were $180.0 million, and the company achieved a non-GAAP operating income of $3.7 million, a significant improvement from a loss in the prior year. Driven by healthy new logo momentum and strong demand for data and AI security, Varonis raised its full-year 2026 outlook for SaaS ARR excluding conversions growth to 20-21% at the midpoint.
Key Highlights
- SaaS ARR excluding conversions increased 25% year-over-year in Q2 2026.
- Total SaaS ARR reached $726.0 million, up 52% year-over-year.
- Total revenues were $180.0 million in Q2 2026, up from $152.2 million in Q2 2025.
- Non-GAAP operating income was $3.7 million, compared to a loss of ($1.9) million in Q2 2025.
- Raised full-year 2026 SaaS ARR ex-conversions growth outlook to 20-21% ($769M-$775M).
- Q3 2026 revenue guidance is $185.0 million to $188.0 million.
- Cash and cash equivalents, short-term deposits, and marketable securities totaled $911.5 million.
- Generated $69.1 million in free cash flow for the six months ended June 30, 2026.
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