Okta Inc. reported fourth‑quarter fiscal 2026 revenue of $761 million, up 11% year‑over‑year from $682 million in the same period a year earlier, and adjusted earnings of $0.90 per share, beating the consensus estimate of $0.85 per share. The revenue beat of $11.9 million over the $749.1 million estimate reflects a 26% share of revenue from higher‑margin AI‑agent security contracts and continued demand from large enterprise customers.
Operating income rose to $202 million, representing 26% of revenue, an improvement over the prior year quarter and a key driver of the earnings beat. The company also closed a record $1.3 billion in total contract value during the quarter and surpassed $3 billion in annual contract value, with channel partners involved in 18 of the top 20 deals. These results underscore Okta’s ability to generate cash and expand margins while scaling its partner ecosystem.
New product launches, including the AI‑agent security offering, were highlighted as a major contributor to the revenue growth. CEO Todd McKinnon said, “AI is redefining the future of software and creating a critical need to secure AI agents, a challenge Okta was built to solve. As the only independent and neutral identity platform, we are uniquely positioned to secure every identity – from humans to AI agents – while providing our customers across the public and private sector the flexibility to innovate with confidence in the early stages of this new era.” The comment signals a strategic focus on securing emerging AI workloads.
For the first quarter of fiscal 2027, Okta guided revenue of $749 million to $753 million, slightly below the consensus estimate of $754.7 million, and adjusted EPS of $0.84 to $0.86, compared with the consensus of $0.87. Management cited macro‑economic uncertainty and a shift of professional services to partners as reasons for the modestly lower outlook, indicating a cautious stance on near‑term demand while maintaining confidence in long‑term growth.
Full‑year fiscal 2026 revenue reached $2.919 billion, up 12% from $2.61 billion in fiscal 2025, and GAAP net income rose to $235 million from $28 million. Okta’s Rule of 40 compliance—balancing growth and profitability—remains intact, reflecting disciplined cost management and a favorable mix of high‑margin contracts. The results reinforce Okta’s position as a leading independent identity platform amid the expanding AI security market.
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