Nutanix: Fiscal 2Q26 Financial Results

Nutanix, Inc., an active player in hybrid multicloud computing, announced financial results for its second quarter ended January 31, 2026.“Our business performed solidly in the second quarter, including strong bookings, strong new logo additions, and solid free cash flow performance,” said Rajiv Ramaswami, CEO, Nutanix. “Our opportunities with AI, modern applications, hybrid multicloud, and support for external storage provide us with a strong foundation for multi-year growth.”

“We saw healthy demand in our second quarter, as reflected in results that exceeded the high end of the range for all of our guided metrics. However, as the quarter progressed, we saw supply chain constraints driving longer server lead times for our customers,” said Rukmini Sivaraman, CFO, Nutanix. “We expect this dynamic to have some impact on the timing of our near-term revenue and free cash flow. We have factored this in our Q3 and updated full-year guidance. Bookings expectations are higher than before. Revenue and free cash flow from these bookings are expected to be realized later.”

Second Quarter Fiscal 2026 Financial Summary

	Q2 FY’26	Q2 FY’25	Y/Y Change
Annual Recurring Revenue (ARR)	$2.36 billion	$2.03 billion	16%
Average Contract Duration	3.1 years	3.0 years	0.1 year
Revenue	$722.8 million	$654.7 million	10%
GAAP Gross Margin	87.4%	87.0%	40 bps
Non-GAAP Gross Margin	88.6%	88.3%	30 bps
GAAP Operating Expenses	$547.4 million	$504.0 million	9%
Non-GAAP Operating Expenses	$451.2 million	$417.0 million	8%
GAAP Operating Income	$84.1 million	$65.4 million	$18.7 million
Non-GAAP Operating Income	$189.0 million	$161.3 million	$27.7 million
GAAP Operating Margin	11.6%	10.0%	160 bps
Non-GAAP Operating Margin	26.2%	24.6%	160 bps
Net Cash Provided by Operating Activities	$197.3 million	$221.7 million	$(24.4) million
Free Cash Flow	$191.4 million	$187.1 million	$4.3 million

Reconciliations between GAAP and non-GAAP financial measures and key performance measures, to the extent available, are provided in the tables of this press release.

Recent Company Highlights

Nutanix Listed in AWS “ICMP” for the US Federal Government: Nutanix announced that the Nutanix Cloud Platform (NCP) solution has been listed in the AWS Marketplace for the U.S. Intelligence Community (ICMP)
Nutanix Expands Capabilities to Help Customers Build and Operate Distributed Sovereign Clouds: Nutanix announced new capabilities in its NCP solution to give organizations greater flexibility to deploy and govern their infrastructure across distributed environments without sacrificing unified management or operational simplicity
Nutanix Completes $300 Million Accelerated Share Repurchase: Nutanix completed a $300 million accelerated share repurchase of its common stock during the second quarter under its existing share repurchase authorization