Key Takeaways
- Q4 adjusted earnings per share of $0.04 surpassed analyst expectations of -$0.11 by $0.15.
- Quarterly revenue of $377.7 million marked a 46% increase year-over-year, exceeding the $350.56 million forecast.
- Subscription annual recurring revenue climbed to $1.46 billion, with a quarterly record of $115 million in net new subscription ARR.
- Fiscal 2027 annual revenue outlook midpoint of $1.602 billion surpassed the $1.58 billion Street estimate.
- Shares climbed approximately 5% during extended trading hours after the earnings release.
Rubrik delivered an impressive performance in its fourth quarter. The cybersecurity company’s fiscal 2026 Q4 financial results exceeded analyst projections on all fronts, while forward-looking estimates for the coming fiscal year surpassed Street expectations.
The company reported adjusted earnings per share of $0.04, crushing the consensus forecast of -$0.11 by $0.15. Quarterly revenue totaled $377.7 million, surpassing Wall Street’s projection of $350.56 million and representing a robust 46% growth compared to the prior-year quarter.
Rubrik delivered a quarterly record with $115 million in net new subscription ARR added during the period. The company’s total subscription ARR expanded 34% on a year-over-year basis to reach $1.46 billion.
Chief Executive Officer Bipul Sinha emphasized that the growth momentum in net new subscription ARR “at our scale demonstrates that Rubrik is an increasingly critical platform for the AI era.”
The company’s adjusted gross margin expanded to 83.7% during the fourth quarter, a significant improvement from 79.7% in the year-ago period. This represents notable progress for an organization still advancing toward sustained profitability.
Rubrik concluded the quarter with 2,805 customers generating at least $100,000 in subscription ARR, marking a 25% year-over-year expansion. The company produced $70.1 million in free cash flow for the quarter, a modest decline from the $75.2 million generated in Q4 of fiscal 2025.
Forward Outlook Exceeds Expectations
For the first quarter of fiscal 2027, Rubrik provided revenue guidance ranging from $365 million to $367 million. The $366 million midpoint topped the analyst consensus of $349.5 million. The company’s adjusted EPS forecast of -$0.04 to -$0.02 also exceeded the -$0.07 Wall Street estimate.
For the complete fiscal 2027 year, management projects revenue between $1.597 billion and $1.607 billion. The $1.602 billion midpoint exceeds the Street consensus of $1.58 billion. The full-year adjusted EPS guidance range of $0.07 to $0.27 encompasses the $0.07 analyst forecast at the lower boundary.
Shares responded positively, climbing approximately 5% in after-hours trading following the announcement.
Wall Street Sentiment and Trading Activity
Despite the extended-hours rally, RBRK faced selling pressure during the regular session. Shares declined $3.09 to close at $54.43 on elevated volume of approximately 8 million shares, notably higher than the 3.79 million average. The current price remains substantially below the 12-month peak of $103.00.
Wall Street analysts maintain generally favorable views on the stock. KeyCorp maintains an “overweight” rating with a $80 price objective, revised down from $95. Piper Sandler similarly rates the shares “overweight” with a $99 target. The consensus among 25 analysts stands at “Moderate Buy” with a mean price target of $98.68.
Company insiders divested roughly 247,878 shares valued at approximately $18.15 million during the previous 90-day period. Insider ownership remains at 32.38% of outstanding shares. Institutional investors hold 49.54% of the company.
The stock’s 50-day moving average stands at $60.02, while the 200-day moving average is positioned at $72.22.
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