Cloudflare (NET) Q3 FY2026 earnings: revenue $783 million, up 39.2% on the year

Cloudflare, Inc. (NET) reported revenue of $783 million for Q3 FY2026, the quarter ended 30 September 2026, up 39.2% on the same quarter a year earlier. Net income was -$34 million, and diluted earnings per share $-0.10. The figures are the company's own, from the 10-Q it filed with the SEC on 5 November 2026.

Revenue

$783 million

+39.2% on the year · +12.4% on the quarter

Q4 FY2024Q3 FY2026

Operating margin

-8.7%

-6.7% a year earlier

Q4 FY2024Q3 FY2026

Net income

-$34 million

Q4 FY2024Q3 FY2026

Diluted EPS

-$0.10

Q4 FY2024Q3 FY2026

this quarterthe same quarter a year earlierHover a bar for its figure.

What management said

Guidance figures: 4 raised, 4 new.

Revenue grew 39% year over year: Third-quarter revenue was $782.5 million, up from $562.0 million a year earlier. Second-quarter revenue had grown 36%. Nine-month revenue reached $2,118.3 million.
Restructuring charges recorded again: Restructuring and other charges were $11.0 million in the third quarter and $161.7 million for the nine months. The second quarter carried $150.7 million.
Non-GAAP operating margin expanded: Non-GAAP operating margin was 17.5%, against 15.3% a year earlier. Non-GAAP income from operations was $137.1 million. The second-quarter non-GAAP margin was 13.8%.

Read the earnings call summary

Income statement (profit and loss)

$ million	Q3 FY2026	Q2 FY2026	Q3 FY2025	On the quarter	On the year
Revenue	783	696	562	+12.4%	+39.2%
Cost of revenue	225	197	146	+14.6%	+54.0%
Gross profit	557	500	416	+11.6%	+34.0%
Gross margin	71.2%	71.8%	74.0%
Research and development	168	159	121	+5.5%	+39.1%
Operating income	-67.9	-206	-37.5
Operating margin	-8.7%	-29.6%	-6.7%
Interest expense	3.5	3.1	2.9	+14.8%	+21.7%
Pre-tax income	-27.3	-168	1.9
Income tax	6.8	2.0	3.1	+231.7%	+115.6%
Effective tax rate	n/a	n/a	169.7%
Net income	-34.1	-170	-1.3
Net margin	-4.4%	-24.4%	-0.2%
Diluted EPS	-$0.10	-$0.48	$0.00

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	Q3 FY2026	Q2 FY2026	Q3 FY2025	On the quarter	On the year
Operating cash flow	215	118	167	+83.2%	+28.9%
Capital expenditure	122	50.0	84.6	+143.8%	+43.9%
Free cash flow	93.6	67.6	82.5	+38.4%	+13.4%
Free cash flow margin	12.0%	9.7%	14.7%
Cash from investing	-807	608	-630
Cash from financing	897	5.8	-3.6	+15,404.1%
Depreciation and amortisation	64.9	58.9	47.4	+10.2%	+36.9%
Share-based compensation	168	160	110	+4.9%	+52.5%
Diluted shares, weighted	357m	354m	349m	+0.8%	+2.2%
Shares outstanding at period end	358m	356m	350m	+0.6%	+2.3%

Cash flow lines for the quarter; where the company files them year to date, the quarter is the difference between two filings.

Balance sheet

$ million	Q3 FY2026	Q2 FY2026	Q3 FY2025	On the quarter	On the year
Shareholders' equity	1,465	1,620	1,347	-9.6%	+8.7%
Debt	4,442	3,270	3,263	+35.8%	+36.1%
Operating lease liabilities	181	181	173	+0.0%	+4.3%
Other liabilities	1,609	1,403	1,003	+14.7%	+60.4%
Total liabilities and equity	7,697	6,474	5,786	+18.9%	+33.0%
Fixed assets	816	703	588	+16.0%	+38.7%
Goodwill	376	376	181	-0.1%	+107.6%
Intangible assets	48.2	57.4	18.4	-16.1%	+161.5%
Investments	3,159	2,499	2,991	+26.4%	+5.6%
Cash and equivalents	1,970	1,664	1,053	+18.4%	+87.1%
Receivables	478	423	352	+13.1%	+35.9%
Other assets	850	752	603	+13.1%	+40.9%
Total assets	7,697	6,474	5,786	+18.9%	+33.0%

Questions

What was Cloudflare's revenue in Q3 FY2026?

Cloudflare (NET) reported revenue of $783 million for Q3 FY2026, the quarter ended 30 September 2026, up 39.2% on the same quarter a year earlier.

How much did Cloudflare earn in Q3 FY2026?

Net loss for Q3 FY2026 was $34 million, and the diluted loss per share $0.10.

When did Cloudflare report Q3 FY2026 results?

Cloudflare filed its 10-Q for the quarter ended 30 September 2026 with the SEC on 5 November 2026.

Quarterly results, the last 20 quarters

	Q4 FY2021 *	Q1 FY2022	Q2 FY2022	Q3 FY2022	Q4 FY2022 *	Q1 FY2023	Q2 FY2023	Q3 FY2023	Q4 FY2023 *	Q1 FY2024	Q2 FY2024	Q3 FY2024	Q4 FY2024 *	Q1 FY2025	Q2 FY2025	Q3 FY2025	Q4 FY2025 *	Q1 FY2026	Q2 FY2026	Q3 FY2026
Revenue	194	212	235	254	275	290	308	336	362	379	401	430	460	479	512	562	615	640	696	783
Cost of revenue	42.5	47.1	55.8	62.0	67.8	70.4	75.2	78.1	83.3	85.0	89.0	96.0	109	116	129	146	162	184	197	225
Gross profit	151	165	179	192	207	220	233	258	279	294	312	334	351	364	384	416	453	456	500	557
Gross margin	78%	78%	76%	76%	75%	76%	76%	77%	77%	78%	78%	78%	76%	76%	75%	74%	74%	71%	72%	71%
R&D	61.8	67.1	75.1	76.4	79.7	81.5	89.6	90.6	96.4	87.7	103	111	120	115	135	121	142	151	159	168
Operating income	-41.1	-40.0	-64.5	-45.9	-50.7	-47.3	-56.2	-39.2	-42.8	-54.5	-34.7	-30.8	-34.7	-53.2	-67.3	-37.5	-49.2	-62.0	-206	-67.9
Operating margin	-21%	-19%	-28%	-18%	-18%	-16%	-18%	-12%	-12%	-14%	-9%	-7%	-8%	-11%	-13%	-7%	-8%	-10%	-30%	-9%
Interest expense	16.1	1.6	1.0	1.5	0.9	2.1	1.5	1.1	1.1	1.1	1.2	1.4	1.4	1.4	1.5	2.9	2.9	2.6	3.1	3.5
Pre-tax income	-56.9	-41.0	-63.7	-41.2	-44.8	-36.8	-93.0	-22.3	-25.8	-33.3	-13.9	-12.8	-10.8	-36.8	-47.3	1.9	-10.5	-21.4	-168	-27.3
Tax rate	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	170%	n/a	n/a	n/a	n/a
Net income	-77.5	-41.4	-63.5	-42.5	-45.9	-38.1	-94.5	-23.5	-27.9	-35.5	-15.1	-15.3	-12.8	-38.5	-50.4	-1.3	-12.1	-22.9	-170	-34.1
Net margin	-40%	-20%	-27%	-17%	-17%	-13%	-31%	-7%	-8%	-9%	-4%	-4%	-3%	-8%	-10%	-0%	-2%	-4%	-24%	-4%
Diluted EPS	-$0.24	-$0.13	-$0.20	-$0.13	-$0.14	-$0.12	-$0.28	-$0.07	-$0.08	-$0.10	-$0.04	-$0.04	-$0.04	-$0.11	-$0.15	$0.00	-$0.03	-$0.07	-$0.48	-$0.10
Operating cash flow	40.6	-35.5	38.3	42.7	78.1	36.4	64.5	68.1	85.4	73.6	74.8	105	127	146	99.8	167	190	158	118	215
Capital expenditure	28.3	24.5	37.1	41.9	40.1	17.5	38.7	27.3	30.8	32.1	29.6	50.2	73.2	85.9	59.9	84.6	85.2	65.2	50.0	122
Free cash flow	12.3	-59.9	1.2	0.8	38.0	18.9	25.7	40.8	54.6	41.5	45.2	54.5	54.2	59.9	39.9	82.5	105	93.1	67.6	93.6
Buybacks	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	n/a	n/a	0.0	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Shares outstanding	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	347m	348m	350m	352m	353m	356m	358m
Filing	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q

Each quarter as filed, linked to its filing.

* The fourth quarter is the full year less the first three quarters, because the company files the year and not the quarter on its own. A fourth quarter's EPS, and its diluted share count where shown, are from the company's results press release for that quarter, checked against the company's filed figures or a second data source. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and the share count are as they are. Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Cash flow lines filed year to date are the difference between two filings. Shares outstanding are at the period end where the balance sheet tags them, otherwise the count on the filing's cover page. A derived fourth-quarter EPS is left blank when a split in the year makes the arithmetic meaningless.

10-Q for the period ended 30 September 2026, filed 5 November 2026: the filing.