Workday (WDAY) Q2 FY2027 earnings: revenue $2.6 billion, up 12.8% on the year
Workday, Inc. (WDAY) reported revenue of $2.6 billion for Q2 FY2027, the quarter ended 31 July 2026, up 12.8% on the same quarter a year earlier. Net income was $632 million, up 177.2% on the year, and diluted earnings per share $2.57. The figures are the company's own, from the 10-Q it filed with the SEC on 27 August 2026.
Revenue
$2.6 billion
+12.8% on the year · +4.2% on the quarter
Q3 FY2025Q2 FY2027
Operating margin
11.8%
10.6% a year earlier
Q3 FY2025Q2 FY2027
Net income
$632 million
+177.2% on the year · +184.7% on the quarter
Q3 FY2025Q2 FY2027
Diluted EPS
$2.57
+206.0% on the year · +195.4% on the quarter
Q3 FY2025Q2 FY2027
this quarterthe same quarter a year earlierHover a bar for its figure.
What management said
Guidance figures: 1 raised, 1 narrowed, 2 new.
Total revenue grew 12.8%: Total revenues were $2.649 billion, up from $2.348 billion a year earlier. Professional services revenue was $178 million, against $179 million.
Diluted EPS included large tax benefit: Diluted EPS of $2.57 included a $1.52 per share tax benefit from an intra-entity transfer of intellectual property rights during an internal legal entity restructuring. Non-GAAP diluted EPS was $2.75.
Non-GAAP operating margin rose to 31.1%: Non-GAAP operating income was $824 million, or 31.1% of revenues, against $680 million, or 29.0%, a year earlier.
$ million except per share. Read moreFree 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
Q2 FY2027
Q1 FY2027
Q2 FY2026
On the quarter
On the year
Last 8 quarters
Operating cash flow
519
696
616
-25.4%
-15.7%
Capital expenditure
59.0
80.0
28.0
-26.2%
+110.7%
Free cash flow
460
616
588
-25.3%
-21.8%
Free cash flow margin
17.4%
24.2%
25.0%
Cash from investing
946
97.0
13.0
+875.3%
+7,176.9%
Cash from financing
-1,366
-1,733
-349
Depreciation and amortisation
90.0
91.0
80.0
-1.1%
+12.5%
Share-based compensation
462
409
391
+13.0%
+18.2%
Buybacks
1,337
1,587
299
-15.8%
+347.2%
Diluted shares, weighted
246m
254m
270m
-3.1%
-8.8%
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
Q2 FY2027
Q1 FY2027
Q2 FY2026
On the quarter
On the year
Last 8 quarters
Shareholders' equity
6,460
6,683
9,172
-3.3%
-29.6%
Debt
2,989
2,988
2,985
+0.0%
+0.1%
Operating lease liabilities
653
686
681
-4.8%
-4.1%
Other liabilities
5,755
5,734
5,123
+0.4%
+12.3%
Total liabilities and equity
15,857
16,091
17,961
-1.5%
-11.7%
Fixed assets
1,126
1,121
1,121
+0.4%
+0.4%
Goodwill
5,227
5,228
3,478
-0.0%
+50.3%
Investments
2,742
3,794
6,922
-27.7%
-60.4%
Cash and equivalents
661
559
1,264
+18.2%
-47.7%
Receivables
1,895
1,575
1,609
+20.3%
+17.8%
Other assets
4,206
3,814
3,567
+10.3%
+17.9%
Total assets
15,857
16,091
17,961
-1.5%
-11.7%
Questions
What was Workday's revenue in Q2 FY2027?
Workday (WDAY) reported revenue of $2.6 billion for Q2 FY2027, the quarter ended 31 July 2026, up 12.8% on the same quarter a year earlier.
How much did Workday earn in Q2 FY2027?
Net income for Q2 FY2027 was $632 million, up 177.2% on the year, and diluted earnings per share $2.57.
When did Workday report Q2 FY2027 results?
Workday filed its 10-Q for the quarter ended 31 July 2026 with the SEC on 27 August 2026.
Each quarter as filed, linked to its filing. Read more* 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. A quarter marked † is shown as the company last restated it in a later filing, so it compares with the quarters around it on one basis; rest on a figure for the one first filed. EPS 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 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 31 July 2026, filed 27 August 2026: the filing.