| Metric | Value ($ M) | Q1 FY25 |
|---|---|---|
| Revenue | 644.20 | 5.3% |
| Total Income | 644.20 | 5.3% |
| Expenditure | 594.17 | 1.3% |
| PBT | 34.11 | 880.5% |
| Net Profit | 30.62 | 396.4% |
| OPM | 7.77% | 6.08pp |
| NPM | 4.75% | 6.44pp |
| EPS | 0.36 | 427.3% |
RingCentral Announces Q1 2026 Financial Results; Revenue $644 million
08 May 2026 · 8 May, 2:09 am
Summary
RingCentral announced its financial results for the first quarter ended March 31, 2026. Total revenue increased by approximately 5% year-over-year to $644 million, with subscriptions revenue up by approximately 6% to $623 million. The company reported a GAAP operating margin of 7.8%, a significant increase from the 1.7% reported in the prior year. RingCentral is raising its full year outlook on revenue, margins and free cash flow.
Key Highlights
- 1
RingCentral's total revenue for the first quarter of 2026 increased by approximately 5% year-over-year to $644 million.
- 2
Subscriptions revenue increased approximately 6% year-over-year to $623 million.
- 3
The company achieved a GAAP operating margin of 7.8%, compared to 1.7% in the prior year.
- 4
Non-GAAP operating margin was 22.9%, up 110 basis points year-over-year.
- 5
GAAP EPS improved to $0.35 compared to $(0.11) last year.
- 6
Net cash provided by operating activities increased by 9.6% year-over-year to $164 million.
- 7
Free cash flow increased by 8.0% year over year to $141 million.
Management Comments
Vlad Shmunis
“We delivered another solid quarter, with revenue at the high end of our guidance, record operating margins, and strong free cash flow." “We are delivering an AI-first customer engagement platform at-scale, enabling AI and human agents to work together across every modality and device. Our native AI products continue to gain traction, with ARR from customers using at least one paid AI product standing at over 10% of total ARR, and doubling year-over-year. These results, combined with our strong R&D muscle, commitment to innovation, and scaled GTM give us confidence to raise our full year outlook on revenue, margins, and free cash flow.”
Informational and educational content only. Not investment advice.