Palo Alto Networks (PANW) Announced Q2 2026 Earnings on February 17, 2026, Reporting Total Revenue of $2.59 Billion

Palo Alto Networks reported "total revenue was 2.59billion" for the quarter, which "grew 15%. The company delivered diluted non−GAAP EPS of 1.03" and "Q2 adjusted free cash flow was $502 million". Operating performance showed "Q2 operating margin of 30.3%". Management noted that "NGS ARR grew 33% to $6.33 billion", stating that "on an organic basis, NGS ARR was up 28%".

Key business updates included the fact that the company "closed both the CyberArk and Chronosphere acquisitions". Management highlighted that "in Q2, we delivered approximately 110 net new platformizations". Additionally, the "SASE business continued to go from stand to stand, surpassing the $1.5 billion ARR milestone". In the realm of AI security, "Prisma AIRS... is scaling rapidly with over 100 customers ending Q2".

Regarding forward guidance, for "fiscal third quarter 2026," management expects "revenue to be in the range of $2.941 billion to $2.945 billion" and "diluted non-GAAP EPS to be in the range of $0.78 to $0.80". For "fiscal year 2026," the company projects "revenue to be in the range of $11.28 billion to $11.31 billion" and "diluted non-GAAP EPS to be in the range of $3.65 to $3.70 per share".

On the product front, executives announced their "intent to acquire Koi, a pioneer in securing the next major inflection point in security, the agentic endpoint". Management also discussed "Gen 5 firewalls" and noted that "Prisma Browser has been adopted by over 1,500 customers"