What is Q2 Holdings Inc's earnings per share (EPS)?

Q2 Holdings Inc (QTWO) reported diluted earnings per share of $0.80 for fiscal year 2025. This represents a 225.0% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.

Q2 Holdings Inc (QTWO) Financials

QTWO

Trailing 12 months to June 30, 2026

Revenue $846.2M +13.9% YoY

Net Income $92.0M +1769.5% YoY

EPS (Diluted) $1.40 +2233.3% YoY

Free Cash Flow $213.2M +23.6% YoY

Market Cap $3.6B as of Oct 8, 2026

Price / Sales 4.2x on $846.2M revenue, trailing 12 months to June 30, 2026

Price / Earnings 39.1x on $92.0M net income, trailing 12 months to June 30, 2026

Price / Book 5.6x on $643.5M equity, Q2 FY2026

A multiple compares the market's price with a filed figure; it says what the market pays, not how the business is doing. The market capitalization is the vendor's as of Oct 8, 2026; every other figure is from the SEC filings on this page. Not financial advice.

Source SEC Filings (10-K/10-Q) Latest period Q2 FY2026, ended Jun 30, 2026 Reported Jul 29, 2026 Currency USD FYE December

Newest figures come from the 10-Q for Q2 FY2026, filed Jul 29, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the QTWO SEC filings page.

Q2 Holdings Inc (QTWO) reported $846.2M in revenue over the twelve months to Jun 30, 2026, up 13.9% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 14 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Rhea AI QTWO FY2025 2026-10-03

Q2 Holdings shifted from sustained losses to profitable, cash-generative operations while revenue growth coincided with wider margins and a thinner short-term liquidity cushion.

Cash conversion is much stronger than reported earnings alone suggest: FY2025 operating cash flow reached $201M against net income of $52M, reflecting substantial noncash expense and working-capital effects. Free cash flow of $195M stayed close to operating cash flow because capital expenditures were only $7M, making reinvestment relatively light.

Gross margin expanded from 45.1% in FY2021 to 54.1% in FY2025, giving later revenue more room to absorb overhead. Operating margin then moved into positive territory in FY2025, indicating that improved gross economics and better operating-cost absorption worked together rather than growth alone explaining the turnaround.

Debt-to-equity fell from 1.5x in FY2024 to 0.9x in FY2025, reflecting a larger equity base relative to obligations. Yet the current ratio fell from 3.1x in FY2021 to 1.0x in FY2025; current liabilities of $544M nearly matched current assets of $556M, so stronger solvency coexists with tighter near-term liquidity.

Financial Health Signals

Financial Health Score 48/100

Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →

Health score ≠ stock price. This rates the quality of Q2 Holdings Inc's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.

Profitability

Q2 Holdings Inc has an operating margin of 5.0%, meaning the company retains $5 of operating profit per $100 of revenue. This results in a moderate score of 32/100, indicating healthy but not exceptional operating efficiency. This is up from -6.1% the prior year.

Growth

Q2 Holdings Inc's revenue grew 14.1% year-over-year to $794.8M, a solid pace of expansion. This earns a growth score of 71/100.

Leverage

Q2 Holdings Inc has a moderate D/E ratio of 0.93. This balance of debt and equity financing earns a leverage score of 49/100.

Liquidity

Q2 Holdings Inc's current ratio of 1.02 is below the typical benchmark, resulting in a score of 19/100. However, the company holds substantial cash reserves (68% of current liabilities), which buffers actual liquidity risk. Large mature operators often run tight current ratios by design.

Cash Flow

Q2 Holdings Inc converts 24.5% of revenue into free cash flow ($194.7M). This strong cash generation earns a score of 86/100.

Returns

Q2 Holdings Inc's ROE of 7.9% shows moderate profitability relative to equity, earning a score of 31/100. This is up from -7.4% the prior year.

Altman Z-Score Safe

3.57

Q2 Holdings Inc scores 3.57, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($3.6B) relative to total liabilities ($614.5M). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.

Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.

Piotroski F-Score Partial

6/8

Q2 Holdings Inc passes 6 of 8 computable financial strength tests (1 of the nine could not be computed from available data). All 4 profitability signals pass (positive income, cash flow, and earnings quality), no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), both operating efficiency signals pass.

Earnings Quality Cash-Backed

3.87x

For every $1 of reported earnings, Q2 Holdings Inc generates $3.87 in operating cash flow ($201.5M OCF vs $52.0M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.

Interest Coverage Safe

14.17x

Q2 Holdings Inc earns $14.17 in operating income for every $1 of interest expense ($39.9M vs $2.8M). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.

Key Financial Metrics

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Earnings & Revenue

Revenue

$219.8M

YoY+12.6%

QoQ+1.5%

5Y CAGR+12.2%

10Y CAGR+19.8%

Q2 Holdings Inc generated $219.8M in revenue in Q2 2026. This represents an increase of 12.6% from the same quarter a year earlier. Against the prior quarter it is up 1.5%.

EBITDA

$41.4M

YoY+77.0%

QoQ+5.0%

Q2 Holdings Inc's EBITDA was $41.4M in Q2 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 77.0% from the same quarter a year earlier. Against the prior quarter it is up 5.0%.

Net Income

$29.9M

YoY+153.8%

QoQ+12.1%

Q2 Holdings Inc reported $29.9M in net income in Q2 2026. This represents an increase of 153.8% from the same quarter a year earlier. Against the prior quarter it is up 12.1%.

EPS (Diluted)

$0.46

YoY+155.6%

QoQ+15.0%

Q2 Holdings Inc earned $0.46 per diluted share (EPS) in Q2 2026. This represents an increase of 155.6% from the same quarter a year earlier. Against the prior quarter it is up 15.0%.

Cash & Balance Sheet

Free Cash Flow

$59.0M

YoY+24.5%

QoQ+18.6%

5Y CAGR+78.9%

Q2 Holdings Inc generated $59.0M in free cash flow in Q2 2026, representing cash available after capex. This represents an increase of 24.5% from the same quarter a year earlier. Against the prior quarter it is up 18.6%.

Cash & Debt

$99.9M

YoY-75.9%

QoQ-70.8%

5Y CAGR-20.7%

10Y CAGR+6.6%

Q2 Holdings Inc held $99.9M in cash as of Q2 2026; long-term debt is not reported for that period.

Shares Outstanding

62M

YoY-0.1%

QoQ-0.4%

5Y CAGR+2.0%

10Y CAGR+4.6%

Q2 Holdings Inc had 62M shares outstanding in Q2 2026. This represents a decrease of 0.1% from the same quarter a year earlier. Against the prior quarter it is down 0.4%.

Dividends Per Share

Not reported for Q2 2026.

Margins & Returns

Gross Margin

59.3%

YoY+5.7pp

QoQ+0.2pp

5Y change+14.5pp

10Y change+11.7pp

Q2 Holdings Inc's gross margin was 59.3% in Q2 2026, indicating the percentage of revenue retained after direct costs. This is up 5.7 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.2 percentage points.

Operating Margin

13.4%

YoY+8.3pp

QoQ+0.6pp

5Y change+29.5pp

10Y change+40.1pp

Q2 Holdings Inc's operating margin was 13.4% in Q2 2026, reflecting core business profitability. This is up 8.3 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.6 percentage points.

Net Margin

13.6%

YoY+7.6pp

QoQ+1.3pp

5Y change+38.0pp

10Y change+40.5pp

Q2 Holdings Inc's net profit margin was 13.6% in Q2 2026, showing the share of revenue converted to profit. This is up 7.6 percentage points from the same quarter a year earlier. Against the prior quarter it is up 1.3 percentage points.

Return on Equity

4.6%

YoY+2.6pp

QoQ+0.3pp

5Y change+9.7pp

10Y change+13.7pp

Q2 Holdings Inc's ROE was 4.6% in Q2 2026, measuring profit generated per dollar of shareholder equity. This is up 2.6 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.3 percentage points.

Capital Allocation

R&D Spending

$41.1M

YoY+11.4%

QoQ-1.8%

5Y CAGR+6.9%

10Y CAGR+18.0%

Q2 Holdings Inc invested $41.1M in research and development in Q2 2026. This represents an increase of 11.4% from the same quarter a year earlier. Against the prior quarter it is down 1.8%.

Share Buybacks

$22.9M

QoQ-76.4%

Q2 Holdings Inc spent $22.9M on share buybacks in Q2 2026, returning capital to shareholders by reducing shares outstanding. Against the prior quarter it is down 76.4%.

Capital Expenditures

$1.7M

YoY+30.1%

QoQ-74.2%

5Y CAGR-27.1%

10Y CAGR-10.5%

Q2 Holdings Inc invested $1.7M in capex in Q2 2026, funding long-term assets and infrastructure. This represents an increase of 30.1% from the same quarter a year earlier. Against the prior quarter it is down 74.2%.

QTWO Income Statement

Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.

QTWO quarterly income statement

Metric	TTM	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K	FY1610-K	FY1510-K	FY1410-K	FY1310-K	FY1210-K
Revenue	$846.2M	$794.8M+14.1%	$696.5M+11.5%	$624.6M+10.4%	$565.7M+13.4%	$498.7M+23.8%	$402.8M+27.7%	$315.5M+30.9%	$241.1M+24.3%	$194.0M+29.1%	$150.2M+38.0%	$108.9M+37.6%	$79.1M+39.1%	$56.9M+38.4%	$41.1M
Cost of Revenue	$364.0M	$365.1M+6.8%	$342.0M+6.2%	$322.0M+4.1%	$309.3M+13.0%	$273.7M+20.0%	$228.2M+40.4%	$162.5M+33.3%	$121.9M+22.5%	$99.5M+28.5%	$77.4M+31.0%	$59.1M+28.4%	$46.1M+27.0%	$36.3M+44.1%	$25.2M
Gross Profit	$482.2M	$429.7M+21.2%	$354.5M+17.1%	$302.7M+18.1%	$256.3M+13.9%	$225.0M+28.9%	$174.6M+14.1%	$153.0M+28.3%	$119.2M+26.2%	$94.5M+29.8%	$72.8M+46.4%	$49.7M+50.4%	$33.1M+60.5%	$20.6M+29.4%	$15.9M
R&D Expenses	$162.6M	$154.3M+7.7%	$143.2M+4.3%	$137.3M+5.6%	$130.1M+11.2%	$117.0M+20.1%	$97.4M+27.7%	$76.3M+48.6%	$51.3M+27.3%	$40.3M+24.3%	$32.5M+50.7%	$21.5M+78.2%	$12.1M+33.9%	$9.0M+69.8%	$5.3M
SG&A Expenses	$127.4M	$125.5M+2.1%	$122.9M+11.6%	$110.2M+22.2%	$90.2M+15.7%	$77.9M+9.8%	$70.9M+25.0%	$56.7M+26.1%	$45.0M+21.0%	$37.2M+16.3%	$32.0M+39.1%	$23.0M+35.2%	$17.0M+44.7%	$11.7M+33.7%	$8.8M
Operating Income	$84.9M	$39.9M+194.4%	-$42.3M+50.9%	-$86.1M+17.9%	-$104.8M-34.3%	-$78.0M+21.9%	-$99.8M-49.6%	-$66.7M-109.6%	-$31.9M-18.4%	-$26.9M+24.7%	-$35.7M-43.8%	-$24.8M-30.3%	-$19.1M-11.4%	-$17.1M-140.2%	-$7.1M
EBITDA	N/A	$93.3M+251.5%	$26.5M+285.0%	-$14.3M+66.7%	-$43.1M-86.1%	-$23.2M+51.7%	-$48.0M-25.3%	-$38.3M-154.4%	-$15.0M-25.8%	-$12.0M+49.1%	-$23.5M-30.7%	-$18.0M-20.0%	-$15.0M-5.9%	-$14.2M-160.6%	-$5.4M
Interest Expense	N/A	$2.8M+5.0%	$2.7M+5.9%	$2.5M	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Income Tax	$5.5M	$2.7M-64.6%	$7.7M+115.5%	$3.6M+22.5%	$2.9M+77.0%	$1.6M+16.0%	$1.4M+111.3%	-$12.5M-228.3%	-$3.8M-1111.1%	-$314K-173.5%	$427K+94.1%	$220K+209.9%	$71K+29.1%	$55K-66.5%	$164K
Net Income	$92.0M	$52.0M+235.1%	-$38.5M+41.1%	-$65.4M+40.0%	-$109.0M+3.3%	-$112.7M+18.1%	-$137.6M-94.2%	-$70.9M-100.2%	-$35.4M-35.3%	-$26.2M+28.0%	-$36.4M-45.1%	-$25.1M-27.7%	-$19.6M-9.8%	-$17.9M-103.6%	-$8.8M
EPS (Basic)	N/A	$0.84+231.3%	-$0.64+42.9%	-$1.12+41.1%	-$1.90+5.0%	-$2.00+24.5%	-$2.65-73.2%	-$1.53	N/A	N/A	N/A	N/A	N/A	N/A	N/A
EPS (Diluted)	$1.40	$0.80+225.0%	-$0.64+42.9%	-$1.12+41.1%	-$1.90+5.0%	-$2.00+24.5%	-$2.65-73.2%	-$1.53	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Diluted Shares (Avg)	N/A	65M+8.3%	60M+3.0%	58M+1.8%	57M+1.6%	56M+8.4%	52M+12.6%	46M	N/A	N/A	N/A	N/A	N/A	N/A	N/A

Metric	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K	Q3'2410-Q
Revenue	$219.8M+12.6%	$216.5M+14.1%	$208.2M+13.8%	$201.7M+15.2%	$195.1M+12.9%	$189.7M+14.6%	$183.0M+12.9%	$175.0M+12.9%
Cost of Revenue	$89.6M-1.1%	$88.6M-0.2%	$92.9M+7.2%	$92.9M+8.0%	$90.6M+5.3%	$88.7M+6.6%	$86.7M+7.4%	$86.0M+6.3%
Gross Profit	$130.2M+24.5%	$127.9M+26.7%	$115.3M+19.7%	$108.8M+22.2%	$104.6M+20.4%	$101.0M+22.8%	$96.3M+18.4%	$89.1M+20.1%
R&D Expenses	$41.1M+11.4%	$41.9M+10.6%	$40.6M+13.7%	$38.9M+5.5%	$36.9M+3.2%	$37.9M+8.6%	$35.7M+4.2%	$36.9M+6.8%
SG&A Expenses	$33.1M+6.6%	$32.2M-0.4%	$30.5M+1.5%	$31.7M+0.7%	$31.0M-0.8%	$32.3M+7.1%	$30.0M-1.0%	$31.5M+12.1%
Operating Income	$29.3M+198.2%	$27.7M+1164.9%	$16.9M+1170.7%	$11.0M+186.0%	$9.8M+171.8%	$2.2M+115.4%	-$1.6M+91.3%	-$12.8M+44.8%
EBITDA	$41.4M+77.0%	$39.4M+147.9%	$29.4M+104.0%	$24.6M+407.5%	$23.4M+493.5%	$15.9M+376.6%	$14.4M+19579.7%	$4.9M+199.3%
Interest Expense	$427K-39.7%	$636K-11.4%	N/A	N/A	$708K	$718K	N/A	N/A
Income Tax	$1.9M+7.3%	$3.1M+539.4%	$337K-81.0%	$160K-92.9%	$1.7M-17.0%	$487K-68.7%	$1.8M-13.9%	$2.3M+124.7%
Net Income	$29.9M+153.8%	$26.6M+460.5%	$20.4M+10117.5%	$15.0M+227.6%	$11.8M+190.1%	$4.8M+134.3%	$200K+101.1%	-$11.8M+49.1%
EPS (Basic)	$0.48+152.6%	$0.43+437.5%	$0.33+3200.0%	$0.24+220.0%	$0.19+186.4%	$0.08+134.8%	$0.01+103.2%	-$0.20+50.0%
EPS (Diluted)	$0.46+155.6%	$0.40+471.4%	$0.31	$0.23+215.0%	$0.18+181.8%	$0.07+130.4%	$0.01	-$0.20+50.0%
Diluted Shares (Avg)	65M-6.1%	68M+4.4%	N/A	70M+15.8%	70M+15.8%	65M+9.0%	N/A	60M+3.1%

QTWO Balance Sheet

QTWO quarterly balance sheet

Metric	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K	FY1610-K	FY1510-K	FY1410-K	FY1310-K	FY1210-K
Total Assets	$1.3B-1.4%	$1.3B+7.8%	$1.2B-11.0%	$1.3B-2.6%	$1.4B-2.2%	$1.4B+40.3%	$1.0B+117.7%	$463.7M+117.9%	$212.8M+5.9%	$201.0M-1.7%	$204.5M+49.5%	$136.8M+123.9%	$61.1M	N/A
Current Assets	$556.1M-0.5%	$558.7M+30.5%	$428.0M-19.4%	$531.1M+1.7%	$522.5M-15.2%	$616.2M+230.7%	$186.3M-14.6%	$218.3M+66.5%	$131.1M+4.3%	$125.7M-5.7%	$133.2M+27.5%	$104.5M+208.6%	$33.9M	N/A
Cash & Equivalents	$367.6M+2.5%	$358.6M+56.1%	$229.7M+15.1%	$199.6M-38.2%	$322.8M-20.8%	$407.7M+307.3%	$100.1M-7.6%	$108.3M+86.9%	$58.0M+5.6%	$54.9M-18.2%	$67.0M-1.4%	$68.0M+264.0%	$18.7M+105.0%	$9.1M
Short-Term Investments	$65.1M-26.1%	$88.1M-6.7%	$94.4M-59.6%	$233.8M+122.9%	$104.9M-20.2%	$131.4M+306.3%	$32.3M-53.1%	$69.0M+65.5%	$41.7M-1.3%	$42.2M-3.0%	$43.6M+107.9%	$21.0M	$0	$0
Accounts Receivable	$51.7M+22.9%	$42.1M-1.9%	$42.9M-8.2%	$46.7M-0.5%	$47.0M+29.0%	$36.4M+62.3%	$22.4M+14.1%	$19.7M+49.0%	$13.2M+7.9%	$12.2M+35.9%	$9.0M+79.9%	$5.0M-44.8%	$9.1M	N/A
Long-Term Investments	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Goodwill	$512.9M0.0%	$512.9M0.0%	$512.9M0.0%	$512.9M0.0%	$512.9M+10.9%	$462.3M+0.1%	$462.0M+328.2%	$107.9M+738.0%	$12.9M0.0%	$12.9M0.0%	$12.9M	$0	N/A	N/A
Total Liabilities	$614.5M-20.9%	$777.0M+3.2%	$752.9M-19.1%	$930.7M+14.2%	$814.7M+5.4%	$773.3M+22.7%	$630.0M+106.7%	$304.8M+187.0%	$106.2M+5.4%	$100.7M+16.5%	$86.5M+49.5%	$57.9M-40.6%	$97.4M	N/A
Current Liabilities	$544.1M+36.4%	$398.9M+108.2%	$191.6M-0.2%	$192.0M+14.1%	$168.4M+15.5%	$145.8M+9.7%	$133.0M+80.5%	$73.7M+8.2%	$68.1M+15.0%	$59.2M+29.6%	$45.7M+41.0%	$32.4M+11.0%	$29.2M	N/A
Non-Current Liabilities	$70.4M-81.4%	$378.1M-32.6%	$561.4M-24.0%	$738.7M+14.3%	$646.4M+3.0%	$627.5M+26.2%	$497.1M+115.0%	$231.1M+506.3%	$38.1M-8.2%	$41.5M+1.8%	$40.8M+60.2%	$25.5M-62.7%	$68.2M	N/A
Long-Term Debt	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	$0-100.0%	$6.3M	N/A
Total Equity	$661.8M+27.8%	$517.8M+15.5%	$448.5M+7.0%	$419.0M-26.5%	$570.3M-11.4%	$643.4M+69.6%	$379.4M+138.8%	$158.9M+49.0%	$106.6M+6.4%	$100.2M-15.0%	$118.0M+49.4%	$78.9M+317.4%	-$36.3M-91.3%	-$19.0M
Retained Earnings	-$612.2M+7.8%	-$664.2M-6.2%	-$625.7M-11.7%	-$560.3M-13.4%	-$493.9M-29.6%	-$381.2M-56.7%	-$243.3M-41.1%	-$172.4M-13.4%	-$152.1M-20.9%	-$125.8M-40.7%	-$89.4M-38.9%	-$64.4M-43.9%	-$44.7M	N/A

Metric	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K	Q3'2410-Q
Total Assets	$968.4M-30.1%	$1.2B-7.7%	$1.3B-1.4%	$1.4B+12.1%	$1.4B+10.9%	$1.3B+9.9%	$1.3B+7.8%	$1.3B+7.9%
Current Assets	$244.5M-62.9%	$524.6M-15.2%	$556.1M-0.5%	$707.3M+34.4%	$659.7M+34.3%	$618.8M+35.0%	$558.7M+30.5%	$526.3M+32.7%
Cash & Equivalents	$99.9M-75.9%	$342.3M-10.8%	$367.6M+2.5%	$472.4M+47.5%	$414.3M+36.4%	$383.9M+39.8%	$358.6M+56.1%	$320.3M+105.3%
Short-Term Investments	$6.5M-94.5%	$36.6M-64.2%	$65.1M-26.1%	$96.3M+10.0%	$117.8M+72.7%	$102.1M+59.8%	$88.1M-6.7%	$87.6M-35.0%
Accounts Receivable	$70.5M+16.9%	$74.2M+18.5%	$51.7M+22.9%	$69.9M+20.6%	$60.3M+1.5%	$62.6M+15.3%	$42.1M-1.9%	$57.9M+30.3%
Long-Term Investments	$0	$0	$0	$0	$0	$0	$0	$0
Goodwill	$512.9M0.0%	$512.9M0.0%	$512.9M0.0%	$512.9M0.0%	$512.9M0.0%	$512.9M0.0%	$512.9M0.0%	$512.9M0.0%
Total Liabilities	$325.0M-59.4%	$634.7M-21.1%	$614.5M-20.9%	$803.8M+3.4%	$801.1M+4.3%	$804.4M+5.4%	$777.0M+3.2%	$777.7M+5.3%
Current Liabilities	$258.8M-64.7%	$562.5M+30.2%	$544.1M+36.4%	$731.6M+247.1%	$732.3M+263.9%	$432.2M+124.3%	$398.9M+108.2%	$210.8M+19.7%
Non-Current Liabilities	$66.2M-3.8%	$72.2M-80.6%	$70.4M-81.4%	$72.2M-87.3%	$68.8M-87.9%	$372.2M-34.8%	$378.1M-32.6%	$566.9M+0.8%
Total Equity	$643.5M+10.1%	$611.7M+12.1%	$661.8M+27.8%	$622.9M+25.8%	$584.3M+21.6%	$545.5M+17.3%	$517.8M+15.5%	$495.1M+12.3%
Retained Earnings	-$555.7M+14.2%	-$585.6M+11.2%	-$612.2M+7.8%	-$632.7M+4.8%	-$647.7M+0.7%	-$659.5M-3.1%	-$664.2M-6.2%	-$664.4M-9.3%

Not reported in any period shown, so not listed: Inventory, Long-Term Debt.

QTWO Cash Flow Statement

QTWO quarterly cash flow statement

Metric	TTM	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K	FY1610-K	FY1510-K	FY1410-K	FY1310-K	FY1210-K
Operating Cash Flow	$226.3M	$201.5M+48.4%	$135.8M+93.1%	$70.3M+92.3%	$36.6M+17.6%	$31.1M+1158.3%	-$2.9M-618.2%	$567K-87.7%	$4.6M-51.5%	$9.5M+179.1%	$3.4M-37.1%	$5.4M+202.1%	-$5.3M-250.8%	-$1.5M+49.9%	-$3.0M
Depreciation & Amortization	N/A	$53.4M-22.4%	$68.8M-4.0%	$71.7M+16.3%	$61.7M+12.4%	$54.8M+5.8%	$51.8M+82.2%	$28.5M+69.4%	$16.8M+12.4%	$14.9M+22.5%	$12.2M+78.2%	$6.8M+67.7%	$4.1M+37.4%	$3.0M+75.1%	$1.7M
Stock-Based Compensation	N/A	$86.9M-2.5%	$89.2M+12.7%	$79.2M+21.5%	$65.2M+16.6%	$55.9M+10.3%	$50.7M+25.1%	$40.5M+37.1%	$29.5M+41.1%	$20.9M+65.7%	$12.6M+71.7%	$7.4M+61.1%	$4.6M+184.7%	$1.6M+55.7%	$1.0M
Capital Expenditures	$13.0M	$6.8M+1.8%	$6.7M+18.0%	$5.7M-49.1%	$11.1M-43.6%	$19.8M-16.7%	$23.7M+71.1%	$13.9M+4.3%	$13.3M+7.9%	$12.3M-14.2%	$14.3M+101.3%	$7.1M+41.5%	$5.0M-54.8%	$11.1M+517.4%	$1.8M
Free Cash Flow	$213.2M	$194.7M+50.8%	$129.1M+99.7%	$64.6M+154.3%	$25.4M+124.1%	$11.3M+142.5%	-$26.7M-100.5%	-$13.3M-53.0%	-$8.7M-205.7%	-$2.8M+74.0%	-$11.0M-533.6%	-$1.7M+83.2%	-$10.3M+18.4%	-$12.6M-162.7%	-$4.8M
Investing Cash Flow	$74.4M	-$4.0M+80.9%	-$21.1M-118.6%	$113.3M+168.4%	-$165.6M-154.2%	-$65.1M+47.5%	-$124.2M+74.3%	-$483.3M-182.1%	-$171.3M-911.0%	-$16.9M-2.6%	-$16.5M+71.7%	-$58.4M-118.5%	-$26.7M-136.4%	-$11.3M-334.0%	-$2.6M
Financing Cash Flow	-$613.6M	-$189.0M-1519.0%	$13.3M+108.8%	-$152.0M-2684.4%	$5.9M+111.5%	-$51.2M-111.8%	$434.7M-8.7%	$476.1M+119.8%	$216.6M+1773.7%	$11.6M+1124.5%	$944K-98.2%	$52.1M-36.0%	$81.3M+263.4%	$22.4M+3613.3%	-$637K
Share Buybacks	N/A	$5.0M	$0	$0	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

Metric	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K	Q3'2410-Q
Operating Cash Flow	$60.7M+24.7%	$56.3M+29.4%	$63.7M+48.0%	$45.6M+5.4%	$48.6M+35.0%	$43.5M+224.0%	$43.0M+17.7%	$43.3M+158.2%
Depreciation & Amortization	$12.1M-11.0%	$11.7M-14.4%	$12.5M-21.6%	$13.6M-22.9%	$13.6M-23.2%	$13.7M-21.7%	$16.0M-10.9%	$17.7M-3.5%
Stock-Based Compensation	$20.6M-8.6%	$20.3M-3.5%	N/A	$23.3M-4.4%	$22.5M-7.5%	$21.0M+1.0%	N/A	$24.3M+15.2%
Capital Expenditures	$1.7M+30.1%	$6.6M+740.4%	$2.0M+38.8%	$2.7M+13.4%	$1.3M-9.7%	$785K-44.1%	$1.4M+30.2%	$2.4M+88.1%
Free Cash Flow	$59.0M+24.5%	$49.7M+16.3%	$61.7M+48.3%	$42.9M+5.0%	$47.3M+36.9%	$42.7M+255.3%	$41.6M+17.3%	$40.9M+163.9%
Investing Cash Flow	$20.5M+192.6%	$16.4M+184.0%	$24.3M+477.2%	$13.3M+149.7%	-$22.1M-93.3%	-$19.5M-183.0%	-$6.4M-118.6%	-$26.7M-228.3%
Financing Cash Flow	-$323.3M-8907.0%	-$97.2M-17861.1%	-$193.2M-6972.6%	$0+100.0%	$3.7M+20.6%	$547K-93.5%	$2.8M-31.0%	-$942K-342.2%
Share Buybacks	$22.9M	$97.2M	N/A	N/A	$0	$0	N/A	N/A

Not reported in any period shown, so not listed: Dividends Paid.

QTWO Financial Ratios

Margins and returns are percentages; the remaining ratios are unitless multiples. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.

QTWO quarterly financial ratios

Metric	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K	FY1610-K	FY1510-K	FY1410-K	FY1310-K	FY1210-K
Gross Margin	54.1%+3.2pp	50.9%+2.5pp	48.4%+3.1pp	45.3%+0.2pp	45.1%+1.8pp	43.4%-5.1pp	48.5%-1.0pp	49.5%+0.8pp	48.7%+0.3pp	48.5%+2.8pp	45.7%+3.9pp	41.8%+5.6pp	36.2%-2.5pp	38.8%
Operating Margin	5.0%+11.1pp	-6.1%+7.7pp	-13.8%+4.7pp	-18.5%-2.9pp	-15.6%+9.2pp	-24.8%-3.6pp	-21.2%-8.0pp	-13.2%+0.7pp	-13.9%+9.9pp	-23.8%-1.0pp	-22.8%+1.3pp	-24.1%+6.0pp	-30.1%-12.8pp	-17.3%
Net Margin	6.5%+12.1pp	-5.5%+4.9pp	-10.5%+8.8pp	-19.3%+3.3pp	-22.6%+11.6pp	-34.2%-11.7pp	-22.5%-7.8pp	-14.7%-1.2pp	-13.5%+10.7pp	-24.2%-1.2pp	-23.0%+1.8pp	-24.8%+6.6pp	-31.4%-10.1pp	-21.4%
Return on Equity	7.9%+15.3pp	-7.4%+7.1pp	-14.6%+11.4pp	-26.0%-6.3pp	-19.8%+1.6pp	-21.4%-2.7pp	-18.7%+3.6pp	-22.3%+2.3pp	-24.5%+11.7pp	-36.3%-15.0pp	-21.2%+3.6pp	-24.9%	N/A	N/A
Return on Assets	4.1%+7.0pp	-3.0%+2.5pp	-5.4%+2.6pp	-8.1%+0.1pp	-8.1%+1.6pp	-9.7%-2.7pp	-7.0%+0.6pp	-7.6%+4.7pp	-12.3%+5.8pp	-18.1%-5.8pp	-12.3%+2.1pp	-14.3%+14.9pp	-29.3%	N/A
Current Ratio	1.02-0.4x	1.40-0.8x	2.23-0.5x	2.77-0.3x	3.10-1.1x	4.23+2.8x	1.40-1.6x	2.96+1.0x	1.93-0.2x	2.12-0.8x	2.92-0.3x	3.23+2.1x	1.16	N/A
Debt-to-Equity	0.93-0.6x	1.50-0.2x	1.68-0.5x	2.22+0.8x	1.43+0.2x	1.20-0.5x	1.66-0.3x	1.92+0.9x	1.000.0x	1.01+0.3x	0.73+0.7x	0.00	N/A	N/A
Asset Turnover	0.62+0.1x	0.540.0x	0.52+0.1x	0.42+0.1x	0.36+0.1x	0.280.0x	0.31-0.2x	0.52-0.4x	0.91+0.2x	0.75+0.2x	0.530.0x	0.58-0.4x	0.93	N/A
FCF Margin	24.5%+6.0pp	18.5%+8.2pp	10.3%+5.9pp	4.5%+2.2pp	2.3%+8.9pp	-6.6%-2.4pp	-4.2%-0.6pp	-3.6%-2.1pp	-1.5%+5.8pp	-7.3%-5.7pp	-1.6%+11.4pp	-13.0%+9.2pp	-22.2%-10.5pp	-11.7%

Metric	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K	Q3'2410-Q
Gross Margin	59.3%+5.7pp	59.1%+5.8pp	55.4%+2.7pp	54.0%+3.1pp	53.6%+3.4pp	53.2%+3.5pp	52.6%+2.4pp	50.9%+3.0pp
Operating Margin	13.4%+8.3pp	12.8%+11.6pp	8.1%+9.0pp	5.5%+12.8pp	5.0%+13.0pp	1.1%+9.7pp	-0.9%+10.3pp	-7.3%+7.6pp
Net Margin	13.6%+7.6pp	12.3%+9.8pp	9.8%+9.7pp	7.5%+14.2pp	6.0%+13.6pp	2.5%+10.9pp	0.1%+11.3pp	-6.7%+8.2pp
Return on Equity	4.6%+2.6pp	4.4%+3.5pp	3.1%+3.0pp	2.4%+4.8pp	2.0%+4.7pp	0.9%+3.9pp	0.0%+4.1pp	-2.4%+2.9pp
Return on Assets	3.1%+2.2pp	2.1%+1.8pp	1.6%+1.6pp	1.1%+2.0pp	0.9%+1.9pp	0.4%+1.5pp	0.0%+1.5pp	-0.9%+1.0pp
Current Ratio	0.940.0x	0.93-0.5x	1.02-0.4x	0.97-1.5x	0.90-1.5x	1.43-0.9x	1.40-0.8x	2.50+0.2x
Debt-to-Equity	0.51-0.9x	1.04-0.4x	0.93-0.6x	1.29-0.3x	1.37-0.2x	1.47-0.2x	1.50-0.2x	1.57-0.1x
Asset Turnover	0.23+0.1x	0.170.0x	0.160.0x	0.140.0x	0.140.0x	0.140.0x	0.140.0x	0.140.0x
FCF Margin	26.8%+2.6pp	23.0%+0.4pp	29.6%+6.9pp	21.3%-2.1pp	24.3%+4.2pp	22.5%+15.3pp	22.7%+0.8pp	23.3%+13.4pp

Similar Companies

Newest fiscal year on record for each company. The health score is the peer-relative Financial Health Score for that year; a dash means no score is published for it.

Company	Fiscal year	Revenue	Net income	Net margin	Market cap	Health score
Q2 Holdings Inc QTWO	FY2025	$794.8M	$52.0M	6.5%	$3.6B	48/100
BILL Holdings, Inc. BILL	FY2026	$1.7B	-$11.2M	-0.7%	$3.8B	55/100
Kingsoft Cloud Holdings Limited KC	FY2025	$1.4B	-$133.9M	-9.8%	$2.8B	43/100
SoundHound AI, Inc. SOUN	FY2025	$168.9M	-$14K	0.0%	$2.5B	52/100
JFrog Ltd. FROG	FY2025	$531.8M	-$71.8M	-13.5%	$12.1B	57/100
CCC Intelligent Solutions Holdings Inc. CCCS	FY2025	$1.1B	$1.7M	0.2%	$5.7B	45/100

Where Q2 Holdings Inc Ranks

Frequently Asked Questions

What is Q2 Holdings Inc's annual revenue?

Q2 Holdings Inc (QTWO) reported $794.8M in total revenue for fiscal year 2025. This represents a 14.1% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

How fast is Q2 Holdings Inc's revenue growing?

Q2 Holdings Inc (QTWO) revenue grew by 14.1% year-over-year, from $696.5M to $794.8M in fiscal year 2025.

Is Q2 Holdings Inc profitable?

Yes, Q2 Holdings Inc (QTWO) reported a net income of $52.0M in fiscal year 2025, with a net profit margin of 6.5%.

What is Q2 Holdings Inc's EBITDA?

Q2 Holdings Inc (QTWO) had EBITDA of $93.3M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

What is Q2 Holdings Inc's gross margin?

Q2 Holdings Inc (QTWO) had a gross margin of 54.1% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.

What is Q2 Holdings Inc's operating margin?

Q2 Holdings Inc (QTWO) had an operating margin of 5.0% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

What is Q2 Holdings Inc's net profit margin?

Q2 Holdings Inc (QTWO) had a net profit margin of 6.5% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

What is Q2 Holdings Inc's return on equity (ROE)?

Q2 Holdings Inc (QTWO) has a return on equity of 7.9% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

What is Q2 Holdings Inc's free cash flow?

Q2 Holdings Inc (QTWO) generated $194.7M in free cash flow during fiscal year 2025. This represents a 50.8% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

What is Q2 Holdings Inc's operating cash flow?

Q2 Holdings Inc (QTWO) generated $201.5M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

What are Q2 Holdings Inc's total assets?

Q2 Holdings Inc (QTWO) had $1.3B in total assets as of fiscal year 2025, including both current and long-term assets.

What are Q2 Holdings Inc's capital expenditures?

Q2 Holdings Inc (QTWO) invested $6.8M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

How much does Q2 Holdings Inc spend on research and development?

Q2 Holdings Inc (QTWO) invested $154.3M in research and development during fiscal year 2025.

Does Q2 Holdings Inc buy back shares?

Yes, Q2 Holdings Inc (QTWO) spent $5.0M on share buybacks during fiscal year 2025, returning capital to shareholders by reducing shares outstanding.

How many shares does Q2 Holdings Inc have outstanding?

Q2 Holdings Inc (QTWO) had 62M shares outstanding as of fiscal year 2025.

What is Q2 Holdings Inc's current ratio?

Q2 Holdings Inc (QTWO) had a current ratio of 1.02 as of fiscal year 2025, which is considered adequate.

What is Q2 Holdings Inc's debt-to-equity ratio?

Q2 Holdings Inc (QTWO) had a debt-to-equity ratio of 0.93 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

What is Q2 Holdings Inc's return on assets (ROA)?

Q2 Holdings Inc (QTWO) had a return on assets of 4.1% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

What is Q2 Holdings Inc's P/E ratio?

Q2 Holdings Inc (QTWO) trades at 39.1x earnings, its market capitalization divided by net income of $92.0M net income, trailing 12 months to June 30, 2026. The market capitalization is $3.6B as of Oct 8, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.

What is Q2 Holdings Inc's price-to-sales ratio?

Q2 Holdings Inc (QTWO) trades at 4.2x sales, its market capitalization divided by revenue of $846.2M revenue, trailing 12 months to June 30, 2026. The market capitalization is $3.6B as of Oct 8, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.

What is Q2 Holdings Inc's Altman Z-Score?

Q2 Holdings Inc (QTWO) has an Altman Z-Score of 3.57, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.

What is Q2 Holdings Inc's Piotroski F-Score?

Q2 Holdings Inc (QTWO) has a Piotroski F-Score of 6 out of 8 computable signals; 1 of the nine could not be computed from available data, so the full-scale strength rating is not shown. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Are Q2 Holdings Inc's earnings high quality?

Q2 Holdings Inc (QTWO) has an earnings quality ratio of 3.87x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

Can Q2 Holdings Inc cover its interest payments?

Q2 Holdings Inc (QTWO) has an interest coverage ratio of 14.17x, meaning it can comfortably cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.

How financially healthy is Q2 Holdings Inc?

Q2 Holdings Inc (QTWO) scores 48 out of 100 on our Financial Health Score, indicating moderate standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.