Cloudflare Reports Q3 2026 Revenue of $782.5 Million, Up 39%

Cloudflare reported third-quarter 2026 revenue of $782.5 million, up 39% year over year, and said it crossed $3 billion in annualized revenue. The company delivered Current RPO growth of 37% year over year. It also provided financial guidance for the fourth quarter and full year 2026.

Third Quarter Financial Results

GAAP gross profit was $557.2 million, or 71.2% gross margin, compared with $415.7 million, or 74.0%, in the third quarter of 2025. Non-GAAP gross profit was $566.6 million, or 72.4% gross margin, compared with $423.1 million, or 75.3%, a year earlier. GAAP loss from operations was $67.9 million, or 8.7% of revenue, compared with $37.5 million, or 6.7% of revenue, in the prior-year quarter. Non-GAAP income from operations was $137.1 million, or 17.5% of revenue, compared with $85.9 million, or 15.3%. GAAP net loss was $34.1 million, or $0.10 per basic and diluted share, compared with $1.3 million, or $0.00 per share. Non-GAAP net income was $143.7 million, or $0.38 per diluted share, compared with $102.6 million, or $0.27. Net cash flow from operating activities was $215.4 million, compared with $167.1 million, and free cash flow was $82.1 million, or 10% of revenue, compared with $75.0 million, or 13%. Cash, cash equivalents, and available-for-sale securities were $5,128.7 million as of September 30, 2026.

Outlook and Conference Call

For the fourth quarter of fiscal 2026, Cloudflare expects total revenue of $845.0 to $846.0 million, non-GAAP income from operations of $156.0 to $157.0 million, and non-GAAP net income per share of $0.43, using about 379 million weighted average common shares. For the full year 2026, it expects total revenue of $2,963.0 to $2,964.0 million, non-GAAP income from operations of $462.0 to $463.0 million, and non-GAAP net income per share of $1.35, using about 376 million weighted average common shares. The company scheduled an investor conference call for November 5, 2026 at 2:00 p.m. Pacific time, with a live webcast available from its investor relations website.

Company Statement

Matthew Prince, co-founder and CEO of Cloudflare, said the third quarter was the company's best quarter ever and that it accelerated growth while expanding profitability. He said Cloudflare has built the development platform for the AI-powered Internet and that organizations of every size continue to rely on Cloudflare for protection as digital threats escalate.

Sources: Cloudflare