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FatPipe Inc. (FATN) Reports Third Quarter Fiscal Year 2026 Results. Revenues up 30%, MRR up 48% Y-o-Y, and Cash Flow Positive

FatPipe (NASDAQ:FATN) reported Q3 fiscal 2026 results for the period ended December 31, 2025.

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FatPipe (NASDAQ:FATN) reported Q3 fiscal 2026 results for the period ended December 31, 2025. Total revenue was $4.1 million, up 30% year‑over‑year, and Monthly Recurring Billings (MRR) grew 48% Y/Y. Total quarterly billings rose 27%.

Adjusted EBITDA was $0.59 million (~14% margin) and cash and cash equivalents totaled $6.2 million. Management highlighted expanded sales and channel coverage and multiple large multi‑site SD‑WAN deployments across education, financial services, and enterprise.

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Positive

  • Total revenue increased 30% YoY to $4.1 million
  • Monthly Recurring Billings rose 48% YoY
  • Total quarterly billings grew 27% YoY
  • Adjusted EBITDA of $0.59M with ~14% margin
  • Cash and cash equivalents of $6.2M provide liquidity

Negative

  • None.
Argus Feb 3 session
+41.30% close to close Open Argus
Details

News Market Reaction – FATN

On Feb 3, the first trading day after this news, FATN closed 41.30% above the previous close.

Data tracked by StockTitan Argus for the Feb 3 session.

Market Context

On Feb 3, the first trading day after this news, the stock closed 41.3% above the previous close. A ...
Analysis

On Feb 3, the first trading day after this news, the stock closed 41.3% above the previous close. A strong positive reaction aligns with the report’s combination of 30% revenue growth, 48% recurring billings expansion, and positive adjusted EBITDA. Historically, prior earnings with robust margins still saw next-day declines, so a sharp gain would mark a break from that pattern. Investors would then weigh whether recurring growth, large multi-site deployments, and available cash of $6.2 million justify any re-rating after a long slide from the $23.27 52-week high.

Key Figures

Q3 FY2026 revenue: $4.1 million MRR billings growth: 48% YoY Total quarterly billings growth: 27% YoY +5 more
Q3 FY2026 revenue
$4.1 million
Total revenue including professional services; 30% YoY growth vs Q3 FY2025
MRR billings growth
48% YoY
Monthly Recurring Billings vs Q3 FY2025
Total quarterly billings growth
27% YoY
Total Quarterly Billings vs Q3 FY2025
Adjusted EBITDA
$0.59 million
Q3 FY2026, EBITDA margin ~14%, up from $0.57M in Q3 FY2025
Cash & equivalents
$6.2 million
Balance as of December 31, 2025
Q2 FY2026 revenue
$4.0 million
Prior quarter revenue from November 4, 2025 earnings release
Q2 MRR growth
49% YoY
Monthly Recurring Billings growth vs Q2 FY2025
Q2 gross margin
92%
Gross margin reported for Q2 FY2026

Previous Earnings Reports

2 past events · Latest: Nov 04
Same Type 2 events
  1. Nov 04

    Q2 2026 earnings

    24h Move
    -6.6%

    Reported $4.0M revenue, 49% MRR growth, 92% gross margin; shares fell.

  2. Jul 30

    Q1 2026 earnings

    24h Move
    -3.0%

    Strong revenue, margin expansion and net income growth; stock declined.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

sd-wan
1 terms
sd-wan technical
"a pioneer and multiple patents holder in enterprise-class, application-aware, secure software-defined wide area network ("SD-WAN")"
SD‑WAN is a technology that uses software to control and direct wide-area network traffic between offices, data centers and cloud services instead of relying solely on traditional hardware routers. Think of it as a smart traffic manager that chooses the fastest, cheapest or safest route for each data flow, improving performance, cutting telecom costs and simplifying upgrades. Investors care because it can lower operating expenses, enable faster cloud adoption and create steady demand for networking and security services.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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SALT LAKE CITY, UTAH / ACCESS Newswire / February 2, 2026 / FatPipe, Inc. (NASDAQ:FATN) ("FatPipe" or the "Company"), a pioneer and multiple patents holder in enterprise-class, application-aware, secure software-defined wide area network ("SD-WAN") and single-stack cybersecurity solutions, today announced its third quarter fiscal year 2026 results for the period ended December 31, 2025.

Q3 Highlights

  • Total revenue, including professional services, was $4.1 million, representing 30% growth compared to the third quarter of fiscal 2025

  • Monthly Recurring Billings grew 48% compared to the third quarter of fiscal 2025, reflecting continued adoption of FatPipe's subscription offerings

  • Total Quarterly Billings increased 27% compared to the third quarter of fiscal 2025

  • Adjusted EBITDA for the three months ended December 31 was $0.59 million, representing an EBITDA margin of approximately 14%, reflecting operating leverage as the Company scales and invests in growth, compared to $0.57 million in the third quarter of fiscal 2025

  • Cash and cash equivalents as of December 31, 2025, were $6.2 million, providing flexibility to support continued growth initiatives

  • Continued expansion of the sales organization and channel partner network to support growing pipeline activity

  • Closed multiple large multi-site SD-WAN deployments across education, financial services, and enterprise verticals

Financial Performance

Revenue growth during the quarter was driven by increased recurring billings, customer renewals, and new customer wins. FatPipe continued to see strong demand from customers seeking secure, high-performance alternatives to legacy networking and security vendors.

Management Commentary

"This quarter reflects continued momentum in our business as we execute on our growth strategy," said Dr. Ragula Bhaskar, CEO of FatPipe. "We are seeing strong demand for our secure, high-performance SD-WAN and cybersecurity solutions, particularly from customers looking to modernize critical infrastructure while reducing complexity and cost. With growing recurring billings, expanding sales coverage, and a differentiated single-stack cybersecurity offering, we believe FatPipe is well-positioned for sustained long-term growth."

"Our customers continue to deploy FatPipe at scale," added Sanchaita Datta, President and CTO of FatPipe. "During the quarter, we supported multiple large, complex deployments that highlight the reliability, performance, and security advantages of our platform. As organizations prioritize resilient connectivity and integrated security, our technology continues to stand out."

Forward-Looking Statements

Certain statements contained in this press release, including statements relating to the Company's expectations regarding the completion, timing and size of its proposed public offering and listing may constitute forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements can generally be identified by our use of forward-looking terminology such as "may," "will," "expect," "intend," "anticipate," "estimate," "believe," "continue," or other similar words. Readers are cautioned not to place undue reliance on these forward-looking statements, which are based on management's current expectations and are inherently subject to various risks, uncertainties, assumptions, or changes in circumstances that are difficult to predict or quantify. These risks and uncertainties include, but are not limited to, risks and uncertainties associated with the consummation of the offering and other risks described in FatPipe's registration statement on Form S-1, as it may be amended from time to time. Except as required by law, FatPipe expressly disclaims a duty to provide updates to forward-looking statements, whether as a result of new information, future events or other occurrences.

About FatPipe, Inc.

FatPipe pioneered the concept of software-defined wide area networking (SD-WAN) and hybrid WANs that eliminate the need for cooperation from ISPs and allow enterprises and service providers to control multi-link network traffic. FatPipe offers a single-stack networking and cybersecurity platform backed by 13 U.S. patents related to multipath and software-defined networking. FatPipe products are sold through more than 200 resellers worldwide.

For more information, please visit www.fatpipeinc.com.

Follow us on X @FatPipe_Inc.

Company Contact
+1 801.683-5656 x 1140
Investor.ir@fatpipeinc.com

SOURCE: FatPipe Networks



View the original press release on ACCESS Newswire

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What did FatPipe (FATN) report for Q3 fiscal 2026 revenue and growth?

FatPipe reported $4.1 million in total revenue for Q3 FY2026, a 30% increase year‑over‑year. According to the company, growth was driven by recurring billings, customer renewals, and new customer wins across multiple verticals.

How much did FatPipe (FATN) Monthly Recurring Billings grow in Q3 FY2026?

Monthly Recurring Billings increased by 48% year‑over‑year in Q3 FY2026. According to the company, this reflects continued adoption of its subscription offerings and growing recurring revenue momentum.

What was FatPipe's (FATN) profitability and cash position in Q3 FY2026?

Adjusted EBITDA was $0.59 million, about a 14% margin, in Q3 FY2026. According to the company, cash and cash equivalents were $6.2 million as of December 31, 2025, supporting growth initiatives.

Which markets and deployments did FatPipe (FATN) highlight in its Q3 2026 results?

FatPipe closed multiple large multi‑site SD‑WAN deployments across education, financial services, and enterprise verticals during Q3. According to the company, these wins demonstrate demand for secure, high‑performance alternatives to legacy networking vendors.

How is FatPipe (FATN) positioning for future growth after Q3 FY2026 results?

FatPipe is expanding its sales organization and channel partner network to support pipeline growth and deployments. According to the company, these investments aim to scale recurring billings and capture demand for integrated SD‑WAN and cybersecurity solutions.

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