Rapid7, Inc. (RPD) Form 10-Q — Nov 4, 2026
Rapid7's Q3 2026 revenue declined 2.5% year-over-year to $212.4 million, with ARR down 2.2% to $819.7 million, reflecting continued pressure on exposure management and non-core product lines partially offset by growth in detection and response. The company is aggressively cutting costs: a 2026 restructuring plan reduced the workforce by approximately 12%, driving a $10.0 million quarterly restructuring charge but lifting non-GAAP operating margin to 21.7% from 16.9% a year ago. GAAP net income was $3.5 million ($0.05 diluted EPS), down from $9.8 million a year earlier.
Key figures
- Eps
- 0.05
- Revenue
- 212404000
- Net Income
- 3511000
- Revenue Yoy
- -2.5%
- Total Assets
- 1736069000
- Cash Position
- 335714000
- Shares Outstanding
- 68535768
- Arr
- $819.7M
- Customers
- 11854
- Arr yoy change
- -2.2%
- Arr per customer
- $69.1
- Free cash flow q3
- $26.5M
- Ita tax assessment
- ~$105M (324M Israeli New Shekels)
- Workforce reduction
- ~12%
- Effective tax rate q3
- 46.6%
- Q3 2025 total revenue
- $218.0M
- Q3 2026 total revenue
- $212.4M
- Convertible notes 2027
- $600.0M due March 15, 2027
- Convertible notes 2029
- $300.0M due March 15, 2029
- Restructuring charge q3
- $10.0M
- Gaap operating margin q3
- 4.2%
- Non gaap operating margin q3
- 21.7%
AI analysis
The rest of the AI analysis, red flags and sentiment are part of Signal8 Pro.
AI-generated analysis of a public disclosure. Not investment advice; verify against the original document.