Workiva Inc.

Q2 2026 total revenue was $255 million, up 19% year over year and $3 million above the high end of guidance. Subscription revenue was $236 million, up 19% year over year, and professional services revenue was $19 million, up 12% year over year. Non-GAAP operating margin was 16.8%, a 180 bps beat versus the high end of guidance and 1,300 bps better than Q2 2025. Current remaining performance obligations were $789 million, up 18% year over year, and gross retention was 97% with net retention at 111%. For Q3 2026, Workiva expects total revenue of $260 million to $262 million and non-GAAP operating margin of 17% to 17.5%. For full-year 2026, it expects total revenue of $1.040 billion to $1.044 billion, subscription revenue growth of approximately 19%, total services revenue up slightly, non-GAAP operating margin of approximately 18%, and free cash flow margin of approximately 21%.

Julie Iskow framed the quarter as evidence that Workiva’s platform is gaining traction across financial reporting, GRC, sustainability, and capital markets while also improving profitability. She emphasized that AI is shifting expectations inside the office of the CFO and said Workiva is building “agentic first” capabilities on top of trusted, traceable data so customers can adopt AI without losing governance or auditability. Her tone was confident and constructive, pointing to broad-based demand, larger contracts, and an operating model that is improving faster than expected.

Barbara Larson highlighted that the quarter benefited from broad-based demand and strong operating leverage. She cited $255 million of revenue, 16.8% non-GAAP operating margin, $815 million of cash, cash equivalents and marketable securities, and $123 million used to repurchase 2.492 million shares under the share repurchase program. She also noted that the company raised full-year operating margin guidance to about 18% and free cash flow margin guidance to about 21%, while maintaining a roughly 19% subscription revenue growth outlook and assuming FX stays near June levels in the back half of the year.

Analysts focused on demand durability, sales cycle scrutiny, advanced package adoption, financial services fund reporting, NRR, IPO-related benefits, and whether Workiva should raise its long-term margin ceiling. Management said the demand environment was broadly consistent, but deals are seeing more scrutiny and more legal approvers; it also said deal cycles were shortened in the quarter. On monetization, management said premium tiers are gaining traction, still early but encouraging, and that the company is not changing its value-based pricing approach as it rolls out AI features. On guidance, management said IPO momentum was already incorporated and that the 18% margin target is now expected a year early, while 2030 targets remain unchanged for now.