The Investor
25 Feb 2026, 19:44
Workday, Inc. reports double-digit revenue growth in fiscal 2026
Workday announced fiscal 2026 fourth-quarter revenue of $2.532 billion, up 14.5% year over year, driven by subscription revenue of $2.360 billion, which rose 15.7%. Operating income increased to $174 million from $75 million a year earlier, while non-GAAP operating income reached $774 million, representing 30.6% of revenue. Diluted earnings per share were $0.55, with non-GAAP EPS of $2.47.
For the full fiscal year ended January 31, 2026, total revenue climbed 13.1% to $9.552 billion, including subscription revenue of $8.833 billion, up 14.5%. Operating income rose to $721 million, compared with $415 million in fiscal 2025, though results were impacted by $303 million in restructuring expenses. Non-GAAP operating income totaled $2.824 billion, or 29.6% of revenue. Operating cash flow increased 19.4% to $2.939 billion, while free cash flow rose 26.7% to $2.777 billion.
Workday reported total subscription backlog of $28.101 billion, up 12.2% year over year, and repurchased approximately 12.8 million shares for $2.9 billion during the year. The company expects fiscal 2027 subscription revenue of $9.925 billion to $9.950 billion, reflecting 12% to 13% growth, and projects a non-GAAP operating margin of about 30%.
Source: PR Newswire
Workday announced fiscal 2026 fourth-quarter revenue of $2.532 billion, up 14.5% year over year, driven by subscription revenue of $2.360 billion, which rose 15.7%. Operating income increased to $174 million from $75 million a year earlier, while non-GAAP operating income reached $774 million, representing 30.6% of revenue. Diluted earnings per share were $0.55, with non-GAAP EPS of $2.47.
For the full fiscal year ended January 31, 2026, total revenue climbed 13.1% to $9.552 billion, including subscription revenue of $8.833 billion, up 14.5%. Operating income rose to $721 million, compared with $415 million in fiscal 2025, though results were impacted by $303 million in restructuring expenses. Non-GAAP operating income totaled $2.824 billion, or 29.6% of revenue. Operating cash flow increased 19.4% to $2.939 billion, while free cash flow rose 26.7% to $2.777 billion.
Workday reported total subscription backlog of $28.101 billion, up 12.2% year over year, and repurchased approximately 12.8 million shares for $2.9 billion during the year. The company expects fiscal 2027 subscription revenue of $9.925 billion to $9.950 billion, reflecting 12% to 13% growth, and projects a non-GAAP operating margin of about 30%.
Source: PR Newswire
