Dafinchiit is 1 of the reasons why we raised FY 2027 outlook again. And what we are hearing from customers is they want to deploy more AI, but they are being held back because of security compliance privacy. Data protection type issues.
CRWD2027 Q2Technology
3w
CrowdStrike Holdings, Inc. 2027 Q2: Financial Performance summary
Financial Performance Summary
- All-time record operating income was $372 million, or 25% of revenue, up 46% year-over-year; non-GAAP operating margin was 25% (up 350 bps).
- Ending ARR reached $5.84 billion, growing more than 25% year-over-year (fourth consecutive quarter of accelerated ending ARR growth).
- Gross margin performance: non-GAAP gross margin was 79% (up ~110 bps); non-GAAP subscription gross margin was 81% (up ~90 bps) supported by continued cloud optimization and momentum toward FY29 model of 82%–85%.
- Q2 FY27 delivered record net new ARR of $333 million, accelerating to 51% year-over-year and beating the high end of guidance by more than $45 million.
- Record Q2 free cash flow was $377 million, or 26% of revenue, up 33% year-over-year; exceeded free cash flow margin expectation of 24.5%.
- Retention and platform adoption: net and gross dollar-based retention improved sequentially; subscription customers adopting 7+ / 8+ modules were 51% / 26%, respectively.
- Subscription revenue grew 27% year-over-year to $1.4 billion; professional services revenue was an all-time record $71 million.
- Total revenue grew 26% year-over-year to $1.47 billion (five consecutive quarters of accelerating total revenue growth).