Vertex Announces Third Quarter 2026 Financial Results
Vertex reported Q3 2026 revenue of $213.3 million, up 11.0% year-over-year, with cloud revenue up 20.4% and ARR of $724.3 million, up 11.7%. Non-GAAP results were strong -- non-GAAP diluted EPS of $0.26 versus $0.17, and Adjusted EBITDA of $64.8 million (30.4% margin) versus $43.5 million (22.6%) a year ago. The company raised its full-year outlook to revenue of $828.9M-$830.9M and Adjusted EBITDA of $217.9M-$219.9M. However, GAAP results swung to a net loss of $46.6 million (-$0.29 per share) versus $4.0 million net income last year, driven by a $47.3 million income tax expense and near-breakeven GAAP operating income of $0.3 million.
Key figures
- Revenue
- 213300000
- Guidance
- Q4 revenue $215.0M-$217.0M, Adjusted EBITDA $58.0M-$60.0M; FY26 revenue $828.9M-$830.9M, cloud revenue growth 19%, Adjusted EBITDA $217.9M-$219.9M (raised)
- Revenue Yoy
- 11.0%
- Arr
- 724300000
- Grr
- 95%
- Nrr
- 106%
- Arr yoy
- 11.7%
- Non gaap eps
- 0.26
- Cloud revenue
- 110800000
- Free cash flow
- 25197000
- Adjusted ebitda
- 64800000
- Direct customers
- 4968
- Cloud revenue yoy
- 20.4%
- Income tax expense
- 47289000
- Non gaap net income
- 42900000
- Free cash flow margin
- 11.8%
- Adjusted ebitda margin
- 30.4%
- Non gaap operating income
- 57300000
- Gaap income from operations
- 300000
- Software subscription revenue
- 181700000
AI analysis
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