SailPoint Announces Fiscal Second Quarter 2026 Results
SailPoint (Nasdaq: SAIL), a leader in enterprise identity security, reported strong fiscal Q2 2026 results with significant growth across key metrics. The company achieved 28% year-over-year ARR growth to $982 million, while SaaS ARR increased 37% to $623 million.
Total revenue reached $264 million, up 33% year-over-year, with subscription revenue growing 36% to $248 million. The company improved its adjusted operating income to $54 million (20% margin) compared to $21 million in Q2 2025. Based on strong performance, SailPoint raised its full-year 2026 guidance, projecting total revenue of $1,052-$1,058 million and adjusted operating margin of 16.7-17.2%.
[ "SaaS ARR grew 37% year-over-year to $623 million", "Total revenue increased 33% year-over-year to $264 million", "Improved adjusted operating margin to 20% from 11% year-over-year", "Generated strong cash flow with $50 million from operations", "Raised full-year guidance across all metrics" ]SailPoint (Nasdaq: SAIL), leader nella sicurezza delle identità aziendali, ha riportato solidi risultati per il secondo trimestre fiscale 2026 con crescita significativa sui principali indicatori. L'ARR è cresciuto del 28% su base annua, raggiungendo 982 milioni di dollari, mentre la SaaS ARR è aumentata del 37% attestandosi a 623 milioni di dollari.
I ricavi totali hanno raggiunto 264 milioni di dollari, +33% anno su anno, con le entrate da abbonamento in aumento del 36% a 248 milioni. L'utile operativo rettificato è salito a 54 milioni di dollari (margine 20%) rispetto ai 21 milioni del Q2 2025. Grazie a queste performance, SailPoint ha alzato le stime per l'intero 2026, prevedendo ricavi totali per 1.052–1.058 miliardi di dollari e un margine operativo rettificato del 16,7–17,2%.
- La SaaS ARR è cresciuta del 37% su base annua, a 623 milioni di dollari
- I ricavi totali sono aumentati del 33% anno su anno, a 264 milioni di dollari
- Margine operativo rettificato migliorato al 20% rispetto all'11% dell'anno precedente
- Forte generazione di cassa con 50 milioni di dollari dalle attività operative
- Revisione al rialzo delle previsioni annuali su tutti i principali indicatori
SailPoint (Nasdaq: SAIL), líder en seguridad de identidades empresariales, presentó sólidos resultados del segundo trimestre fiscal 2026 con un crecimiento notable en métricas clave. El ARR aumentó un 28% interanual hasta 982 millones de dólares, mientras que la SaaS ARR creció un 37% hasta 623 millones.
Los ingresos totales alcanzaron 264 millones de dólares, un 33% más interanual, con ingresos por suscripciones creciendo un 36% hasta 248 millones. El ingreso operativo ajustado mejoró a 54 millones de dólares (margen 20%) frente a 21 millones en el Q2 de 2025. Por el buen desempeño, SailPoint elevó su guía para todo 2026, proyectando ingresos totales de 1.052–1.058 millones de dólares y un margen operativo ajustado de 16,7–17,2%.
- SaaS ARR creció 37% interanual hasta 623 millones de dólares
- Los ingresos totales aumentaron 33% interanual hasta 264 millones de dólares
- Mejora del margen operativo ajustado al 20% desde el 11% anual
- Fuerte flujo de caja operativo con 50 millones de dólares generados
- Elevó la previsión anual en todos los indicadores
SailPoint (Nasdaq: SAIL), 엔터프라이즈 아이덴티티 보안 분야의 선두기업이 2026 회계연도 2분기에 주요 지표 전반에서 두드러진 성장세를 보이며 견조한 실적을 발표했습니다. ARR은 전년 대비 28% 증가한 9억8200만 달러를 기록했으며, SaaS ARR은 37% 증가한 6억2300만 달러였습니다.
총매출은 2억6400만 달러로 전년 동기 대비 33% 증가했으며, 구독매출은 36% 증가한 2억4800만 달러를 기록했습니다. 조정 영업이익은 5400만 달러(마진 20%)로 전년 Q2의 2100만 달러에서 개선되었습니다. 견조한 실적을 바탕으로 SailPoint는 2026 회계연도 전체 가이던스를 상향 조정해 총매출을 10억5200만–10억5800만 달러으로, 조정 영업마진을 16.7–17.2%로 제시했습니다.
- SaaS ARR이 전년 대비 37% 증가해 6억2300만 달러 기록
- 총매출이 전년 대비 33% 증가해 2억6400만 달러
- 조정 영업마진이 전년의 11%에서 20%로 개선
- 영업활동으로부터 5000만 달러의 강한 현금흐름 발생
- 모든 지표에 대해 연간 가이던스 상향
SailPoint (Nasdaq: SAIL), un leader de la sécurité des identités d'entreprise, a publié de solides résultats pour le deuxième trimestre fiscal 2026 avec une croissance marquée sur les indicateurs clés. L'ARR a augmenté de 28% en glissement annuel pour atteindre 982 millions de dollars, tandis que la SaaS ARR a progressé de 37% pour atteindre 623 millions.
Le chiffre d'affaires total s'est élevé à 264 millions de dollars, en hausse de 33% sur un an, les revenus d'abonnement ayant augmenté de 36% pour atteindre 248 millions. Le résultat d'exploitation ajusté s'est amélioré à 54 millions de dollars (marge 20%) contre 21 millions au T2 2025. Compte tenu de ces performances, SailPoint a relevé ses prévisions pour l'exercice 2026, anticipant un chiffre d'affaires total de 1 052–1 058 millions de dollars et une marge d'exploitation ajustée de 16,7–17,2%.
- La SaaS ARR a augmenté de 37% en glissement annuel pour atteindre 623 millions de dollars
- Le chiffre d'affaires total a progressé de 33% en glissement annuel pour atteindre 264 millions de dollars
- Amélioration de la marge d'exploitation ajustée à 20% contre 11% l'année précédente
- Forte génération de trésorerie opérationnelle : 50 millions de dollars
- Relèvement des prévisions annuelles sur tous les indicateurs
SailPoint (Nasdaq: SAIL), ein führendes Unternehmen im Bereich Identity Security für Unternehmen, meldete starke Ergebnisse für das Geschäftsjahr Q2 2026 mit deutlichem Wachstum bei wichtigen Kennzahlen. Der ARR stieg jahresübergreifend um 28% auf 982 Mio. USD, während der SaaS-ARR um 37% auf 623 Mio. USD zunahm.
Der Gesamtumsatz belief sich auf 264 Mio. USD, ein Plus von 33% gegenüber dem Vorjahr, wobei die Abo-Erlöse um 36% auf 248 Mio. USD wuchsen. Das bereinigte operative Ergebnis verbesserte sich auf 54 Mio. USD (Marge 20%) gegenüber 21 Mio. USD im Q2 2025. Aufgrund der starken Entwicklung hob SailPoint die Jahresprognose für 2026 an und erwartet nun einen Gesamtumsatz von 1.052–1.058 Mrd. USD sowie eine bereinigte operative Marge von 16,7–17,2%.
- SaaS ARR wuchs um 37% im Jahresvergleich auf 623 Mio. USD
- Der Gesamtumsatz stieg im Jahresvergleich um 33% auf 264 Mio. USD
- Verbesserung der bereinigten operativen Marge auf 20% gegenüber 11% im Vorjahr
- Starker Cashflow aus laufender Geschäftstätigkeit: 50 Mio. USD
- Hochstufung der Jahresprognose über alle Kennzahlen
- None.
- GAAP operating loss of $(41) million or (15)% of revenue
- Total ARR growth rate expected to slow to 26-27% in Q3'26
Insights
SailPoint delivered excellent Q2 results with accelerating SaaS growth and raised full-year guidance across all metrics.
SailPoint's Q2 results demonstrate robust momentum in the identity security market, with total ARR growing 28% year-over-year to
Revenue performance was equally impressive with total revenue increasing 33% to
The most dramatic improvement came in profitability metrics. While GAAP operating loss remained negative at
Cash flow generation was exceptional, with
Management's decision to raise full-year guidance across all metrics signals strong confidence in continued momentum. The new ARR guidance of
- Grew ARR
28% year-over-year to$982 million - Increased SaaS ARR
37% year-over-year to$623 million - Delivered cash flows from operating activities of
$50 million , and free cash flow of$46 million
AUSTIN, Texas, Sept. 09, 2025 (GLOBE NEWSWIRE) -- SailPoint, Inc. (Nasdaq: SAIL), a leader in enterprise identity security, today announced financial results for its fiscal second quarter ended July 31, 2025.
"SailPoint delivered strong second quarter results that exceeded all previously guided metrics, driven by
Fiscal 2026 Second Quarter Financial Highlights
- Annual Recurring Revenue (ARR): Total ARR was
$982 million , an increase of28% year-over-year. SaaS ARR was$623 million , an increase of37% year-over-year. - Revenue: Total revenue was
$264 million , an increase of33% year-over-year. Subscription revenue was$248 million , an increase of36% year-over-year. - Operating Income (Loss): GAAP operating loss was
$(41) million , or (15)% of revenue, compared to$(66) million , or (33)% of revenue, in fiscal Q2 2025. Adjusted income from operations was$54 million , or20% of revenue, compared to$21 million , or11% of revenue, in fiscal Q2 2025.
Financial Outlook
For the third quarter and full year of fiscal 2026, SailPoint expects (in millions, except per share amounts and percentages):
| Q3’26 Guidance | FY’26 Guidance | Prior FY’26 Guidance | |
| Total ARR | |||
| Total ARR YoY growth % | |||
| Total revenue | |||
| Total revenue YoY growth % | |||
| Adjusted income from operations | |||
| Adjusted operating margin % | |||
| Adjusted earnings per share (Adjusted EPS) |
These statements regarding SailPoint’s expectations of its financial outlook are forward-looking, and actual results may differ materially. Refer to “Forward-Looking Statements” below for information on the factors that could cause SailPoint’s actual results to differ materially from these forward-looking statements.
All of SailPoint’s forward-looking non-GAAP financial measures exclude estimates for stock-based compensation expense, payroll taxes related to restricted stock units (RSUs), and amortization of acquired intangibles as well as acquisition-related costs and severance of certain key executives, if applicable. SailPoint has not reconciled its expectations as to adjusted income (loss) from operations, adjusted operating margin, and adjusted EPS to their most directly comparable GAAP measures due to the high variability and difficulty in making accurate forecasts and projections of certain items that impact these non-GAAP measures, particularly stock-based compensation expense. Stock-based compensation expense is affected by future hiring, turnover, and retention needs, as well as the future fair market value of our common stock, all of which are difficult to predict and subject to change. The actual amount of the excluded stock-based compensation expense will have a significant impact on SailPoint’s GAAP income (loss) from operations and GAAP net income (loss) per basic and diluted common share. Accordingly, reconciliations of our forward-looking adjusted income (loss) from operations, adjusted operating margin, and adjusted EPS to their most directly comparable GAAP measures are not available without unreasonable effort.
Investor Conference Call and Webcast
SailPoint will host a conference call today at 8:30 a.m. Eastern Time to discuss the results and outlook. A live webcast of the conference call and a presentation regarding SailPoint’s fiscal second quarter 2026 financial results and outlook will be available on SailPoint’s website at https://investors.sailpoint.com.
An audio replay of the conference call will be available on the investor relations website for one year.
About SailPoint
At SailPoint, we believe enterprise security must start with identity at the foundation. Today’s enterprise runs on a diverse workforce of not just human but also digital identities—and securing them all is critical. Through the lens of identity, SailPoint empowers organizations to seamlessly manage and secure access to applications and data at speed and scale. Our unified, intelligent, and extensible platform delivers identity-first security, helping enterprises defend against dynamic threats while driving productivity and transformation. Trusted by many of the world’s most complex organizations, SailPoint secures the modern enterprise.
Non-GAAP Financial Measures
In addition to our financial information presented in accordance with GAAP, we use certain non-GAAP financial measures to clarify and enhance our understanding of past performance, including the following:
Adjusted income from operations, which we define as income (loss) from operations excluding equity-based compensation expense, payroll taxes related to awards that were accelerated upon the closing of our initial public offering (the IPO) and payroll taxes related to RSUs, all of which were issued after the closing of the IPO, amortization of acquired intangible assets which includes impairment charges, impairment of intangible assets, acquisition-related expenses (including fair value adjustments to acquisition-contingent consideration), benefit from amortization related to acquired contract acquisition costs, Thoma Bravo monitoring fees (which were annual service fees for consultation and advice related to corporate strategy, budgeting of future corporate investments, acquisition and divestiture strategies, and debt and equity financings pursuant to an advisory services agreement that was terminated upon the closing of the IPO), and restructuring expenses.
Adjusted operating margin, which we define as adjusted income from operations divided by total revenue.
Adjusted EPS (or non-GAAP net income (loss) available to common stockholders per diluted share), which we define as adjusted net income (loss) divided by the diluted weighted average shares outstanding, except that solely for the fiscal year ending January 31, 2026 (and all periods therein), we calculate adjusted EPS based on the number of diluted shares outstanding as of the end of such period rather than the diluted weighted average shares outstanding for such period. We believe that using such a denominator will provide a more meaningful comparison with future periods due to the IPO closing after the beginning of fiscal year 2026. We calculate adjusted net income (loss) as net income (loss) on a GAAP basis excluding equity-based compensation expense, payroll taxes related to awards that were accelerated upon the closing of the IPO (IPO-accelerated awards) and payroll taxes related to RSUs, all of which were issued after the closing of the IPO, amortization of acquired intangible assets which includes impairment charges, impairment of intangible assets, acquisition-related expenses (including fair value adjustments to acquisition-contingent consideration), benefit from amortization related to acquired contract acquisition costs, Thoma Bravo monitoring fees and restructuring expenses, and adjusted for the income tax effects related to those adjustments. We currently apply a fixed projected tax rate of
Free cash flow, which we define as net cash provided by (used in) operating activities, less cash used for purchases of property and equipment, and capitalized software development costs. We use free cash flow as a measure of financial progress in our business, as it balances operating results, cash management, and capital efficiency. We believe information regarding free cash flow provides investors and others with an important perspective on the cash available to make strategic acquisitions and investments, to fund ongoing operations, and to fund other capital expenditures. Free cash flow can be volatile and is sensitive to many factors, including changes in working capital and timing of capital expenditures. Working capital at any specific point in time is subject to many variables including the discretionary timing of expense payments and fluctuations in foreign exchange rates.
Free cash flow margin, which we define as free cash flow divided by total revenue.
Our non-GAAP financial measures exclude items that do not reflect our ongoing, core operating or business performance, such as equity-based compensation, payroll taxes related to IPO-accelerated awards and payroll taxes related to RSUs, amortization of acquired intangible assets, and acquisition-related expenses (including fair value adjustments to acquisition-contingent consideration). We believe these adjustments enable management and investors to compare our underlying business performance from period to period and provide investors with additional means to evaluate cost and expense trends. We also believe these adjustments enhance comparability of our financial performance against those of other technology companies. Accordingly, our management believes the presentation of our non-GAAP financial measures provides useful information to investors regarding our financial condition and results of operations. In addition, SailPoint’s management uses adjusted income (loss) from operations for budgeting and planning purposes, including with respect to its corporate bonus plan.
Our non-GAAP financial measures are adjusted for the following factors, among others:
Equity-based compensation expense. We believe that the exclusion of equity-based compensation expense is appropriate because it eliminates the impact of equity-based compensation costs that are based upon valuation methodologies and assumptions that vary over time, and the amount of the expense can vary significantly due to factors that are unrelated to our core operating performance and that can be outside of our control. Although we exclude equity-based compensation expense from our non-GAAP measures, equity-based compensation has been, and will continue to be, an important part of our compensation strategy and a significant component of our expenses and may increase in future periods.
Payroll taxes related to IPO-accelerated awards and payroll taxes related to RSUs. We believe that the exclusion of payroll taxes related to IPO-accelerated awards is appropriate as the acceleration was a one-time, non-recurring event. We believe that the exclusion of payroll taxes related to RSUs is appropriate as they are dependent on SailPoint’s stock price and the vesting of such awards and therefore can vary significantly due to factors that are unrelated to our core operating performance and that can be outside of our control. Because the amount of such payroll taxes is highly variable due to factors outside of our control and is unrelated to our core operating performance, our management does not consider them when evaluating the performance of our business or making operating plans (for example, when considering the impact of equity award grants, we place a greater emphasis on overall stockholder dilution than the accounting charges associated with such grants). Accordingly, we believe this adjustment in arriving at our non-GAAP measures provides investors with a better understanding of the performance of our core business in a manner that is consistent with management’s view of the business. As with equity-based compensation expense, although we exclude payroll taxes related to post-IPO RSUs from our non-GAAP measures, such payroll taxes are, and will continue to be, a component of our expenses and may increase in future periods. We note that, unlike equity-based compensation expense, payroll taxes are a cash expense.
Amortization of acquired intangible assets and impairment of intangible assets. We exclude amortization charges for our acquisition-related intangible assets and impairment of intangible assets for purposes of calculating certain non-GAAP measures to eliminate the impact of these non-cash charges and provide for a more meaningful comparison between operating results from period to period as intangible assets are valued at the time of acquisition and are amortized over the useful life, which can be several years after the acquisition.
Acquisition-related costs. We believe that the exclusion of acquisition-related expenses is appropriate as they represent items that management believes are not indicative of our ongoing operating performance. These expenses are primarily composed of legal, accounting, and professional fees incurred that are not capitalizable and that are included within general and administrative expenses. Acquisition-related expenses also include fair value adjustments to acquisition-contingent consideration, which are currently included within sales and marketing expenses.
Amortization related to acquired contract acquisition costs. On August 16, 2022, our predecessor was acquired in an all-cash take-private transaction by Thoma Bravo (the Take-Private Transaction). In accordance with GAAP reporting requirements, we wrote off our contract acquisition costs at the time of the Take-Private Transaction. Therefore, GAAP commissions expense related to contract acquisition costs after the Take-Private Transaction do not reflect the commissions expense that would have been reported if the contract acquisition costs had not been written off. Accordingly, we believe that presenting the approximate amount of acquisition-related commission expenses (so that the full amount of commission expense is included) provides a more appropriate representation of commission expense in a given period and, therefore, provides readers of our financial statements with a more consistent basis for comparison across accounting periods.
SailPoint’s non-GAAP financial measures may not provide information that is directly comparable to that provided by other companies in our industry because they may calculate non-GAAP financial results differently. In addition, there are limitations in using non-GAAP financial measures because they are not prepared in accordance with GAAP and exclude expenses that may have a material impact on our reported financial results. The presentation of non-GAAP financial information is not meant to be considered in isolation or as a substitute for the directly comparable financial measures prepared in accordance with GAAP. SailPoint urges you to review the reconciliations of our non-GAAP financial measures to the comparable GAAP financial measures included below and not to rely on any single financial measure to evaluate our business.
Definitions of Certain Key Business and Other Metrics
Annual Recurring Revenue. We define ARR as the annualized value of SaaS, maintenance, term subscription, and other subscription contracts as of the measurement date. To the extent that we are actively negotiating a renewal or new agreement with a customer after the expiration of a contract, we continue to include that contract’s annualized value in ARR until the customer notifies us that it is not renewing its contract. We calculate ARR by dividing the active contract value by the number of days of the contract and then multiplying by 365. ARR should be viewed independently of revenue as ARR is an operating metric and is not intended to be combined with or to replace revenue. ARR is not a forecast of future revenue, which can be impacted by ASC 606 allocations, and ARR does not consider other sources of revenue that are not recurring in nature. ARR does not have a standardized meaning and is not necessarily comparable to similarly titled measures presented by other companies.
SaaS Annual Recurring Revenue. We define SaaS ARR as the annualized value of SaaS contracts as of the measurement date. To the extent that we are actively negotiating a renewal or new agreement with a customer after the expiration of a contract, we continue to include that contract’s annualized value in SaaS ARR until the customer notifies us that it is not renewing its contract. We calculate SaaS ARR by dividing the active SaaS contract value by the number of days of the contract and then multiplying by 365. SaaS ARR should be viewed independently of subscription revenue as SaaS ARR is an operating metric and is not intended to be combined with or to replace subscription revenue. SaaS ARR is not a forecast of future subscription revenue, which can be impacted by ASC 606 allocations and renewal rates, and does not consider other sources of revenue that are not recurring in nature. SaaS ARR does not have a standardized meaning and is not necessarily comparable to similarly titled measures presented by other companies.
Subscription revenue. The majority of our revenue relates to subscription revenue which consists of (i) fees for access to, and related support for, the SaaS offerings, (ii) fees for term subscriptions, (iii) fees for ongoing maintenance and support of perpetual license solutions, and (iv) other subscription services such as cloud managed services, and certain professional services. Term subscriptions include the term licenses and ongoing maintenance and support. Maintenance and support agreements consist of fees for providing software updates on a when and if available basis and for providing technical support for software products for a specified term.
Subscription revenue, including support for term licenses, is recognized ratably over the term of the applicable agreement. Revenue related to term subscription performance obligations, excluding support for term subscriptions, is recognized upfront at the point in time when the customer has taken control of the software license.
Explanatory Note Regarding Our Corporate Conversion
Prior to February 12, 2025, we were a Delaware limited partnership named SailPoint Parent, LP. On February 12, 2025, in connection with our IPO, SailPoint Parent, LP converted into a Delaware corporation pursuant to a statutory conversion (the Corporate Conversion) and changed its name to SailPoint, Inc. References to “SailPoint,” “we,” and “our” (i) for periods prior to the Corporate Conversion are to SailPoint Parent, LP and, where appropriate, its consolidated subsidiaries and (ii) for periods after the Corporate Conversion are to SailPoint, Inc. and, where appropriate, its consolidated subsidiaries.
Forward-Looking Statements
This press release and statements made during the above referenced conference call may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding our strategy, future operations, financial position, prospects, plans and objectives of management, growth rate and our expectations regarding future revenue, operating income or loss, or earnings or loss per share. In some cases, you can identify forward-looking statements because they contain words such as “may,” “will,” “will be,” “will likely result,” “should,” “expects,” “plans,” “anticipates,” “could,” “would,” “foresees,” “intends,” “target,” “projects,” “contemplates,” “believes,” “estimates,” “predicts,” “potential,” “outlook,” or “continue” or the negative of these words or other similar terms or expressions. These forward-looking statements are not guarantees of future performance, but are based on management’s current expectations, assumptions, and beliefs concerning future developments and their potential effect on us, which are inherently subject to uncertainties, risks, and changes in circumstances that are difficult to predict. Our expectations expressed or implied in these forward-looking statements may not turn out to be correct. Our results could be materially different from our expectations because of various risks.
Important factors, some of which are beyond our control, that could cause actual results to differ materially from our historical results or those expressed or implied by these forward-looking statements include the following: our ability to sustain historical growth rates; our ability to attract and retain customers; our ability to deepen our relationships with existing customers; the growth in the market for identity security solutions; our ability to maintain successful relationships with each of our partners; the length and unpredictable nature of our sales cycle; our ability to compete successfully against current and future competitors; the increasing complexity of our operations; our ability to maintain and enhance our brand or reputation as an industry leader and innovator; unfavorable conditions in our industry or the global economy; our estimated market opportunity and forecasts of our market and market growth may prove to be inaccurate; our ability to hire, train, and motivate our personnel; our ability to maintain our corporate culture; our ability to successfully introduce, use, and integrate artificial intelligence (AI) with our solutions; breaches in our security, cyber attacks, or other cyber risks; interruptions, outages, or other disruptions affecting the delivery of our SaaS solution or any of the third-party cloud-based systems that we use in our operations; our ability to adapt and respond to rapidly changing technology, industry standards, regulations, or customer needs, requirements, or preferences; real or perceived errors, failures, or disruptions in our platform or solutions; the ability of our platform and solutions to effectively interoperate with our customers’ existing or future IT infrastructures; and our ability to comply with our privacy policy or related legal or regulatory requirements. More information on these risks and other potential factors that could affect our financial results is included in our filings with the Securities and Exchange Commission, including in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of our Annual Report on Form 10-K for the year ended January 31, 2025 and subsequent Quarterly Reports on Form 10-Q and other filings. Moreover, we operate in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time, and it is not possible for us to predict all risks and uncertainties that could have an impact on the forward-looking statements contained in this press release or made during the above referenced conference call. We cannot assure you that the results, events, and circumstances reflected in the forward-looking statements will be achieved or occur, and actual results, events, or circumstances could differ materially from those described in the forward-looking statements.
Any forward-looking statement made in this press release or during the above referenced conference call speaks only as of the date as of which such statement is made, and, except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether because of new information, future events, or otherwise.
Investor Relations Contact
Scott Schmitz, SVP IR
ir@sailpoint.com
Media Relations Contact
Samantha Person, Senior Manager, Corporate Communications
Samantha.person@sailpoint.com
| SAILPOINT, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share and per unit amounts) (Unaudited) | |||||||||||||||
| Three Months Ended July 31, | Six Months Ended July 31, | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Revenue | |||||||||||||||
| Subscription | $ | 247,937 | $ | 181,811 | $ | 463,260 | $ | 351,903 | |||||||
| Perpetual licenses | 430 | 22 | 435 | 91 | |||||||||||
| Services and other | 15,992 | 16,742 | 31,132 | 34,237 | |||||||||||
| Total revenue | 264,359 | 198,575 | 494,827 | 386,231 | |||||||||||
| Cost of revenue | |||||||||||||||
| Subscription | 70,443 | 58,488 | 145,934 | 113,608 | |||||||||||
| Perpetual licenses | — | 46 | 3 | 106 | |||||||||||
| Services and other | 16,110 | 16,728 | 43,429 | 33,714 | |||||||||||
| Total cost of revenue | 86,553 | 75,262 | 189,366 | 147,428 | |||||||||||
| Gross profit | 177,806 | 123,313 | 305,461 | 238,803 | |||||||||||
| Operating expenses | |||||||||||||||
| Research and development | 48,111 | 43,108 | 115,381 | 85,025 | |||||||||||
| Sales and marketing | 131,289 | 119,565 | 295,819 | 234,452 | |||||||||||
| General and administrative | 39,204 | 26,470 | 120,024 | 53,349 | |||||||||||
| Total operating expenses | 218,604 | 189,143 | 531,224 | 372,826 | |||||||||||
| Loss from operations | (40,798 | ) | (65,830 | ) | (225,763 | ) | (134,023 | ) | |||||||
| Other income (expense), net | |||||||||||||||
| Interest income | 2,336 | 1,078 | 5,562 | 3,053 | |||||||||||
| Interest expense | (1,693 | ) | (47,317 | ) | (24,082 | ) | (93,556 | ) | |||||||
| Other income (expense), net | (1,710 | ) | (1,148 | ) | (1,901 | ) | (2,338 | ) | |||||||
| Total other income (expense), net | (1,067 | ) | (47,387 | ) | (20,421 | ) | (92,841 | ) | |||||||
| Loss before income taxes | (41,865 | ) | (113,217 | ) | (246,184 | ) | (226,864 | ) | |||||||
| Income tax benefit (expense) | 31,313 | 26,087 | 48,320 | 50,558 | |||||||||||
| Net loss | $ | (10,552 | ) | $ | (87,130 | ) | $ | (197,864 | ) | $ | (176,306 | ) | |||
| Class A yield | — | (158,710 | ) | (23,786 | ) | (310,346 | ) | ||||||||
| Net loss attributable to common stockholders and Class B unitholders | (10,552 | ) | (245,840 | ) | (221,650 | ) | (486,652 | ) | |||||||
| Net loss per share attributable to common stockholders and Class B unitholders, basic and diluted (1) | $ | (0.02 | ) | $ | (2.97 | ) | $ | (0.42 | ) | $ | (5.89 | ) | |||
| Weighted average common shares and Class B Units outstanding, basic and diluted (1) | 555,757 | 82,703 | 528,355 | 82,564 | |||||||||||
________
(1) Amounts for the period during February 2025 prior to the Corporate Conversion have been retrospectively adjusted to give effect to the Corporate Conversion. These amounts do not consider the shares of common stock sold in the Company's IPO or the Class A Units considered preferred shares that were converted into common stock due to the Corporate Conversion. The Company did not retrospectively adjust for the effect of the Corporate Conversion for periods prior to fiscal 2026.
| SAILPOINT, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands, except share, per share and unit amounts) (Unaudited) | |||||||
| July 31, 2025 | January 31, 2025 | ||||||
| Assets | |||||||
| Current assets | |||||||
| Cash and cash equivalents | $ | 271,052 | $ | 121,293 | |||
| Accounts receivable, net of allowance | 203,462 | 254,050 | |||||
| Contract acquisition costs | 37,942 | 32,834 | |||||
| Contract assets, net of allowance | 58,625 | 58,335 | |||||
| Prepayments and other current assets | 55,519 | 45,870 | |||||
| Total current assets | 626,600 | 512,382 | |||||
| Property and equipment, net | 27,147 | 22,879 | |||||
| Contract acquisition costs, non-current | 98,301 | 94,270 | |||||
| Contract assets, non-current, net of allowance | 47,144 | 33,788 | |||||
| Other non-current assets | 34,484 | 36,206 | |||||
| Goodwill | 5,151,668 | 5,151,668 | |||||
| Intangible assets, net | 1,460,597 | 1,560,723 | |||||
| Total assets | $ | 7,445,941 | $ | 7,411,916 | |||
| Liabilities, redeemable convertible units, and stockholders' equity / partners' deficit | |||||||
| Current liabilities | |||||||
| Accounts payable | $ | 3,508 | $ | 3,515 | |||
| Accrued expenses and other liabilities | 83,769 | 158,135 | |||||
| Deferred revenue | 417,188 | 413,043 | |||||
| Total current liabilities | 504,465 | 574,693 | |||||
| Deferred tax liabilities, non-current | 77,513 | 136,528 | |||||
| Other long-term liabilities | 15,400 | 32,128 | |||||
| Deferred revenue, non-current | 32,417 | 36,399 | |||||
| Long-term debt, net | — | 1,024,467 | |||||
| Total liabilities | 629,795 | 1,804,215 | |||||
| Commitments and contingencies | |||||||
| Redeemable convertible units, no par value, unlimited units authorized, 499,052,847 units issued and outstanding as of January 31, 2025; aggregate liquidation preference of | — | 11,196,141 | |||||
| Stockholders' equity / partners' deficit | |||||||
| Preferred stock, par value of | — | — | |||||
| Common stock, par value of | 56 | — | |||||
| Additional paid in capital | 6,994,699 | — | |||||
| Accumulated deficit | (178,609 | ) | (5,588,440 | ) | |||
| Total stockholders' equity / partners' deficit | 6,816,146 | (5,588,440 | ) | ||||
| Total liabilities, redeemable convertible units, and stockholders' equity / partners' deficit | $ | 7,445,941 | $ | 7,411,916 | |||
| SAILPOINT, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands) (Unaudited) | |||||||||||||||
| Three Months Ended July 31, | Six Months Ended July 31, | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Cash flows from operating activities | |||||||||||||||
| Net loss | $ | (10,552 | ) | $ | (87,130 | ) | $ | (197,864 | ) | $ | (176,306 | ) | |||
| Adjustments to reconcile net loss to net cash used in operating activities: | |||||||||||||||
| Depreciation and amortization expense | 52,466 | 66,102 | 104,531 | 132,089 | |||||||||||
| Amortization and write-off of debt issuance costs | 1,479 | 1,123 | 17,120 | 2,196 | |||||||||||
| Amortization of contract acquisition costs | 9,317 | 5,745 | 17,484 | 10,594 | |||||||||||
| Loss (gain) on disposal of property and equipment | — | 3 | — | (8 | ) | ||||||||||
| Adjustments to contingent consideration | 1,609 | — | 1,609 | — | |||||||||||
| Provision for credit losses | 784 | 310 | 4,346 | 713 | |||||||||||
| Equity-based compensation expense, net of amounts capitalized | 48,349 | 8,337 | 154,061 | 16,311 | |||||||||||
| Deferred taxes | (33,583 | ) | (29,885 | ) | (58,908 | ) | (57,814 | ) | |||||||
| Net changes in operating assets and liabilities, net of business acquisitions | |||||||||||||||
| Accounts receivable | (13,761 | ) | (28,912 | ) | 46,275 | 18,877 | |||||||||
| Contract acquisition costs | (17,157 | ) | (15,122 | ) | (26,623 | ) | (26,158 | ) | |||||||
| Contract assets | (9,862 | ) | (5,095 | ) | (13,679 | ) | (6,520 | ) | |||||||
| Prepayments and other current assets | (6,251 | ) | (72 | ) | (21,241 | ) | (2,839 | ) | |||||||
| Other non-current assets | 386 | (1,904 | ) | 468 | (3,986 | ) | |||||||||
| Operating leases, net | 59 | 76 | 314 | 81 | |||||||||||
| Accounts payable | (340 | ) | 4,775 | (7 | ) | (496 | ) | ||||||||
| Accrued expenses and other liabilities | 15,715 | 8,702 | (74,911 | ) | (24,296 | ) | |||||||||
| Deferred revenue | 11,287 | 20,150 | 163 | 9,379 | |||||||||||
| Net cash provided by (used in) operating activities | 49,945 | (52,797 | ) | (46,862 | ) | (108,183 | ) | ||||||||
| Cash flows from investing activities | |||||||||||||||
| Purchase of property and equipment | (962 | ) | (889 | ) | (3,153 | ) | (1,476 | ) | |||||||
| Proceeds from sale of property and equipment | — | 1 | — | 12 | |||||||||||
| Capitalized software development costs | (3,025 | ) | (2,831 | ) | (4,731 | ) | (5,345 | ) | |||||||
| Business acquisitions, net of cash acquired | — | (100 | ) | — | (4,694 | ) | |||||||||
| Net cash used in investing activities | (3,987 | ) | (3,819 | ) | (7,884 | ) | (11,503 | ) | |||||||
| Cash flows from financing activities | |||||||||||||||
| Proceeds from IPO, net of underwriting discounts and commissions | — | — | 1,259,681 | — | |||||||||||
| Repayment of Term Loans | — | — | (1,040,000 | ) | — | ||||||||||
| Payment of debt issuance costs | (2,716 | ) | — | (2,716 | ) | — | |||||||||
| Payments of deferred offering costs, net | (261 | ) | (415 | ) | (8,618 | ) | (415 | ) | |||||||
| Payments related to holdback consideration | — | — | (675 | ) | — | ||||||||||
| Repurchase of units | — | — | — | (1,810 | ) | ||||||||||
| Net cash provided by (used in) financing activities | (2,977 | ) | (415 | ) | 207,672 | (2,225 | ) | ||||||||
| Net change in cash, cash equivalents and restricted cash | 42,981 | (57,031 | ) | 152,926 | (121,911 | ) | |||||||||
| Cash, cash equivalents and restricted cash, beginning of period | 234,335 | 153,588 | 124,390 | 218,468 | |||||||||||
| Cash, cash equivalents and restricted cash, end of period | $ | 277,316 | $ | 96,557 | $ | 277,316 | $ | 96,557 | |||||||
| SAILPOINT, INC. SUPPLEMENTAL SCHEDULES (Amounts in thousands, except percentages) (Unaudited) | ||||||||
| Three Months Ended July 31, | ||||||||
| 2025 | 2024 | % Change | ||||||
| Revenue | ||||||||
| Subscription | ||||||||
| SaaS | $ | 144,758 | $ | 105,716 | 37 | % | ||
| Maintenance and support | 38,471 | 38,909 | (1 | )% | ||||
| Term subscriptions | 58,120 | 32,630 | 78 | % | ||||
| Other subscription services | 6,588 | 4,556 | 45 | % | ||||
| Total subscription | 247,937 | 181,811 | 36 | % | ||||
| Perpetual licenses | 430 | 22 | ** | |||||
| Services and other | 15,992 | 16,742 | (4 | )% | ||||
| Total revenue | $ | 264,359 | $ | 198,575 | 33 | % | ||
| Six Months Ended July 31, | ||||||||
| 2025 | 2024 | % Change | ||||||
| Revenue | ||||||||
| Subscription | ||||||||
| SaaS | $ | 276,573 | $ | 202,783 | 36 | % | ||
| Maintenance and support | 75,860 | 77,178 | (2 | )% | ||||
| Term subscriptions | 98,160 | 63,315 | 55 | % | ||||
| Other subscription services | 12,667 | 8,627 | 47 | % | ||||
| Total subscription | 463,260 | 351,903 | 32 | % | ||||
| Perpetual licenses | 435 | 91 | ** | |||||
| Services and other | 31,132 | 34,237 | (9 | )% | ||||
| Total revenue | $ | 494,827 | $ | 386,231 | 28 | % | ||
** Percentage not deemed meaningful
| SAILPOINT, INC. RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (Amounts in thousands, except percentages and per share amounts) (Unaudited) | |||||||||||||||
| Three Months Ended July 31, | Six Months Ended July 31, | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| GAAP gross profit | $ | 177,806 | $ | 123,313 | $ | 305,461 | $ | 238,803 | |||||||
| GAAP gross profit margin | 67.3 | % | 62.1 | % | 61.7 | % | 61.8 | % | |||||||
| Equity-based compensation expense | 2,612 | 3,215 | 24,204 | 6,553 | |||||||||||
| Payroll taxes for IPO-accelerated awards and RSUs | — | — | 634 | — | |||||||||||
| Amortization of acquired intangible assets | 26,322 | 25,890 | 52,382 | 51,708 | |||||||||||
| Adjusted gross profit | $ | 206,740 | $ | 152,418 | $ | 382,681 | $ | 297,064 | |||||||
| Adjusted gross profit margin | 78.2 | % | 76.8 | % | 77.3 | % | 76.9 | % | |||||||
| Three Months Ended July 31, | Six Months Ended July 31, | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| GAAP subscription gross profit | $ | 177,494 | $ | 123,323 | $ | 317,326 | $ | 238,295 | |||||||
| GAAP subscription gross profit margin | 71.6 | % | 67.8 | % | 68.5 | % | 67.7 | % | |||||||
| Equity-based compensation expense | 1,931 | 1,626 | 13,195 | 3,328 | |||||||||||
| Payroll taxes for IPO-accelerated awards and RSUs | — | — | 332 | — | |||||||||||
| Amortization of acquired intangible assets | 26,322 | 25,844 | 52,380 | 51,602 | |||||||||||
| Adjusted subscription gross profit | $ | 205,747 | $ | 150,793 | $ | 383,233 | $ | 293,225 | |||||||
| Adjusted subscription gross profit margin | 83.0 | % | 82.9 | % | 82.7 | % | 83.3 | % | |||||||
| Three Months Ended July 31, | Six Months Ended July 31, | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| GAAP income (loss) from operations | $ | (40,798 | ) | $ | (65,830 | ) | $ | (225,763 | ) | $ | (134,023 | ) | |||
| GAAP income (loss) from operations margin | (15.4 | )% | (33.2 | )% | (45.6 | )% | (34.7 | )% | |||||||
| Equity-based compensation expense | 48,418 | 24,390 | 208,877 | 50,247 | |||||||||||
| Payroll taxes for IPO-accelerated awards and RSUs | — | — | 3,399 | — | |||||||||||
| Amortization of acquired intangible assets | 50,214 | 64,479 | 100,125 | 128,886 | |||||||||||
| Amortization of acquired contract acquisition costs | (5,444 | ) | (6,559 | ) | (11,208 | ) | (13,304 | ) | |||||||
| Acquisition-related expenses and Thoma Bravo monitoring fees | 1,609 | 4,714 | 2,192 | 8,580 | |||||||||||
| Adjusted income (loss) from operations | $ | 53,999 | $ | 21,194 | $ | 77,622 | $ | 40,386 | |||||||
| Adjusted operating margin | 20.4 | % | 10.7 | % | 15.7 | % | 10.5 | % | |||||||
| Three Months Ended July 31, | Six Months Ended July 31, | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| GAAP sales and marketing expense | $ | 131,289 | $ | 119,565 | $ | 295,819 | $ | 234,452 | |||||||
| Equity-based compensation expense | (18,203 | ) | (8,934 | ) | (71,706 | ) | (18,135 | ) | |||||||
| Payroll taxes for IPO-accelerated awards and RSUs | — | — | (1,684 | ) | — | ||||||||||
| Amortization of acquired intangible assets | (23,797 | ) | (38,494 | ) | (47,553 | ) | (76,988 | ) | |||||||
| Amortization related to acquired contract acquisition costs | 5,444 | 6,559 | 11,208 | 13,304 | |||||||||||
| Acquisition-related expenses | (1,609 | ) | — | (1,609 | ) | — | |||||||||
| Adjusted sales and marketing expense | $ | 93,124 | $ | 78,696 | $ | 184,475 | $ | 152,633 | |||||||
| Three Months Ended July 31, | Six Months Ended July 31, | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| GAAP research and development expense | $ | 48,111 | $ | 43,108 | $ | 115,381 | $ | 85,025 | |||||||
| Equity-based compensation expense | (7,512 | ) | (6,030 | ) | (35,351 | ) | (12,887 | ) | |||||||
| Payroll taxes for IPO-accelerated awards and RSUs | — | — | (686 | ) | — | ||||||||||
| Amortization of acquired intangible assets | (95 | ) | (95 | ) | (190 | ) | (190 | ) | |||||||
| Adjusted research and development expense | $ | 40,504 | $ | 36,983 | $ | 79,154 | $ | 71,948 | |||||||
| Three Months Ended July 31, | Six Months Ended July 31, | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| GAAP general and administrative expense | $ | 39,204 | $ | 26,470 | $ | 120,024 | $ | 53,349 | |||||||
| Equity-based compensation expense | (20,091 | ) | (6,211 | ) | (77,616 | ) | (12,672 | ) | |||||||
| Payroll taxes for IPO-accelerated awards and RSUs | — | — | (394 | ) | — | ||||||||||
| Acquisition-related expenses and Thoma Bravo monitoring fees | — | (4,714 | ) | (583 | ) | (8,580 | ) | ||||||||
| Adjusted general and administrative expense | $ | 19,113 | $ | 15,545 | $ | 41,431 | $ | 32,097 | |||||||
| Three Months Ended July 31, | Six Months Ended July 31, | ||||||||||||||
| 2025 | 2024 | 2025 (1) | 2024 | ||||||||||||
| GAAP net cash provided by (used in) operating activities | $ | 49,945 | $ | (52,797 | ) | $ | (46,862 | ) | $ | (108,183 | ) | ||||
| Less: Purchase of property and equipment | (962 | ) | (889 | ) | (3,153 | ) | (1,476 | ) | |||||||
| Less: Capitalized software development costs | (3,025 | ) | (2,831 | ) | (4,731 | ) | (5,345 | ) | |||||||
| Free cash flow | $ | 45,958 | $ | (56,517 | ) | $ | (54,746 | ) | $ | (115,004 | ) | ||||
| GAAP net cash provided by (used in) operating activities margin | 18.9 | % | (26.6 | )% | (9.5 | )% | (28.0 | )% | |||||||
| Free cash flow margin | 17.4 | % | (28.5 | )% | (11.1 | )% | (29.8 | )% | |||||||
_________
(1) Free cash flow for the six months ended July 31, 2025 includes
| Three Months Ended July 31, | Six Months Ended July 31, | ||||||
| 2025 | 2025 | ||||||
| GAAP net loss | $ | (10,552 | ) | $ | (197,864 | ) | |
| Equity-based compensation expense | 48,418 | 208,877 | |||||
| Payroll taxes for IPO-accelerated awards and RSUs | — | 3,399 | |||||
| Amortization of acquired intangible assets | 50,214 | 100,125 | |||||
| Amortization of acquired contract acquisition costs | (5,444 | ) | (11,208 | ) | |||
| Acquisition-related expenses and Thoma Bravo monitoring fees | 1,609 | 2,192 | |||||
| Tax effect of adjustments | (44,281 | ) | (62,334 | ) | |||
| Adjusted net income | $ | 39,964 | $ | 43,187 | |||
| GAAP net loss per share, basic and diluted (1) | $ | (0.02 | ) | $ | (0.42 | ) | |
| Adjusted EPS, diluted | $ | 0.07 | $ | 0.08 | |||
| Weighted average shares used in computing GAAP net loss per share, basic and diluted | 555,757 | 528,355 | |||||
| Shares used in computing adjusted EPS, diluted | 557,878 | 556,712 | |||||
_________
(1) Includes the impact of the Class A yield for the six months ended July 31, 2025.
FAQ
What were SailPoint's Q2 2026 earnings highlights?
How much did SailPoint's (SAIL) ARR grow in Q2 2026?
What is SailPoint's revenue guidance for fiscal 2026?
What was SAIL's operating cash flow in Q2 2026?
How profitable is SailPoint (SAIL) in Q2 2026?
