Palo Alto Networks, Inc.: Autonomous Agents Create A New Machine Identity Security Perimeter

Palo Alto Networks, Inc. 2026 Q4: Financial Performance summary

• Ending RPO reached $21.2 billion, up 34%, and current RPO was $9.3 billion, also up 34%.
• Network and AI Security revenue grew 17% to $8.35 billion for fiscal 2026, Cortex revenue grew 25% to $1.92 billion, and pro forma Idera revenue grew 21% to $1.26 billion.
• NGS ARR reached $9.1 billion, up 63%, including nearly $1 billion of net new NGS ARR in Q4, nearly double the year-ago level.
• Q4 non-GAAP EPS was $1.02, exceeding the high end of guidance by $0.04; full-year adjusted free cash flow margin was 38.4%.
• Q4 non-GAAP operating margin was 29.6%, full-year operating margin was 29.2%, and adjusted free cash flow reached $1.29 billion in Q4 and $4.41 billion for the year.
• Q4 revenue grew 34% year over year to $3.41 billion, while full-year fiscal 2026 revenue reached $11.5 billion, up 24%.
• XSIAM ARR exceeded $700 million, up 70%, while observability ARR surpassed $500 million and more than doubled since the Chronosphere acquisition.