CrowdStrike (CRWD) Q3 2026 Financial Results Summary
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CrowdStrike Holdings, Inc. (CRWD) Q3 2026 Financial Results Summary
CrowdStrike Holdings, Inc. (Nasdaq: CRWD) announced its financial results for the third quarter of Fiscal Year 2026 on December 2, 2025. The report highlights strong growth in annual recurring revenue (ARR), cash flow, and numerous strategic developments.
Third Quarter Fiscal 2026 Financial Highlights
- Total Revenue:
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Reached $1.23 billion, up 22% compared to $1.01 billion in Q3 FY 2025.
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Subscription Revenue:
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Amounted to $1.17 billion, marking a 21% increase from $962.7 million in the same quarter last year.
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Annual Recurring Revenue (ARR):
- Closed at $4.92 billion, showing a 23% growth year-over-year.
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Added $265 million in net new ARR in Q3, reflecting a significant 73% growth compared to the previous year.
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Cash Flow:
- Generated record cash flow from operations of $398 million.
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Achieved free cash flow of $296 million.
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Subscription Gross Margin:
- GAAP subscription gross margin held steady at 78% for both Q3 FY 2026 and Q3 FY 2025.
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Non-GAAP subscription gross margin improved to 81%, compared to 80% in Q3 FY 2025.
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Loss from Operations:
- GAAP loss from operations was $69.4 million, compared to $55.7 million in the prior year’s quarter.
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Non-GAAP income from operations reached a record $264.6 million, compared to $200.7 million in Q3 FY 2025.
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Net Income:
- GAAP net loss attributable to CrowdStrike totaled $34 million, a decrease compared to a loss of $16.8 million in the same quarter the prior year.
- Non-GAAP net income attributable to CrowdStrike came in at a record $245.4 million, up from $190.9 million year-over-year.
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Non-GAAP net income per share was $0.96, increasing from $0.76 in Q3 FY 2025.
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Cash and Cash Equivalents:
- Amounted to $4.80 billion as of October 31, 2025.
Recent Highlights
- Product Innovations: Launched new offerings, including Falcon Next-Gen Identity Security and Falcon Data Protection during the Fal.Con cybersecurity conferences.
- Partnerships: Entered into marquee partnerships with AWS, EY, CoreWeave, and Kroll.
- Module Adoption Rates: Increased to 49% for customers using six or more modules, 34% for seven or more, and 24% for eight or more, as of October 31, 2025.
- Acquisitions: Acquired Pangea, a leader in AI security.
Financial Outlook
CrowdStrike has updated its guidance for the fourth quarter of fiscal 2026:
- Total Revenue Guidance: Expected to be between $1.29 billion and $1.30 billion.
- Non-GAAP Income from Operations Guidance: Projected at $315.4 million to $319.4 million for Q4 FY 2026.
- Non-GAAP Net Income per Share Guidance: Estimated between $1.09 and $1.11.
Dividend and Share Repurchase
- There was no mention of a quarterly dividend or share repurchase program in the report.
Conclusion
CrowdStrike’s financial performance in Q3 FY 2026 demonstrates strong growth across its revenue streams and operational efficiency, significantly increasing its cash flow and ARR. The company’s strategic advancements and partnerships continue to reinforce its position as a market leader in cybersecurity.
| Three Months Ended October 31, | Nine Months Ended October 31, | |||
|---|---|---|---|---|
| 2025 | 2024 | 2025 | 2024 | |
| Revenue | ||||
| Subscription | 1,168,705 | 962,735 | 3,322,418 | 2,753,164 |
| Professional services | 65,539 | 47,443 | 184,212 | 141,922 |
| Total revenue | 1,234,244 | 1,010,178 | 3,506,630 | 2,895,086 |
| Cost of revenue | ||||
| Subscription(1)(2)(6) | 257,915 | 216,301 | 753,929 | 605,868 |
| Professional services(1)(6) | 49,890 | 38,786 | 153,302 | 111,623 |
| Total cost of revenue | 307,805 | 255,087 | 907,231 | 717,491 |
| Gross profit | 926,439 | 755,091 | 2,599,399 | 2,177,595 |
| Operating expenses | ||||
| Sales and marketing(1)(2)(3)(4)(5)(6) | 481,032 | 408,267 | 1,367,673 | 1,113,852 |
| Research and development(1)(3)(4)(5)(6) | 347,564 | 275,602 | 1,028,361 | 761,759 |
| General and administrative(1)(2)(3)(4)(5)(6) | 167,286 | 126,945 | 510,443 | 337,113 |
| Total operating expenses | 995,882 | 810,814 | 2,906,477 | 2,212,724 |
| Loss from operations | -69,443 | -55,723 | -307,078 | -35,129 |
| Interest expense(7) | -6,931 | -6,587 | -20,469 | -19,647 |
| Interest income | 50,883 | 52,201 | 147,113 | 149,577 |
| Other income (expense), net(8)(9) | 2,223 | -429 | -4,395 | 6,196 |
| Income (loss) before provision for | -23,268 | -10,538 | -184,829 | 100,997 |
| income taxes | ||||
| Provision for income taxes | 10,720 | 6,281 | 37,797 | 24,862 |
| Net income (loss) | -33,988 | -16,819 | -222,626 | 76,135 |
| Net income (loss) attributable to | 9 | 3 | -747 | 3,124 |
| non-controlling interest | ||||
| Net income (loss) attributable to | -33,997 | -16,822 | -221,879 | 73,011 |
| CrowdStrike | ||||
| Net income (loss) per share attributable | ||||
| to CrowdStrike common stockholders: | ||||
| Basic | -0.14 | -0.07 | -0.89 | 0.30 |
| Diluted | -0.14 | -0.07 | -0.89 | 0.29 |
| Weighted-average shares used in | ||||
| computing net income (loss) per share | ||||
| attributable to CrowdStrike common | ||||
| stockholders: | ||||
| Basic | 251,326 | 245,536 | 249,905 | 244,017 |
| Diluted | 251,326 | 245,536 | 249,905 | 250,747 |
| October 31, 2025 | January 31, 2025 | |
|---|---|---|
| Assets | ||
| Current assets: | ||
| Cash and cash equivalents | 4,801,083 | 4,323,295 |
| Accounts receivable, net of allowance | 1,013,116 | 1,128,564 |
| for credit losses | ||
| Deferred contract acquisition costs, current | 398,708 | 347,042 |
| Prepaid expenses and other current assets | 306,375 | 314,444 |
| Total current assets | 6,519,282 | 6,113,345 |
| Strategic investments | 81,332 | 72,544 |
| Property and equipment, net | 926,963 | 788,640 |
| Operating lease right-of-use assets | 67,359 | 42,763 |
| Deferred contract acquisition costs, noncurrent | 556,221 | 500,908 |
| Goodwill | 1,352,927 | 912,805 |
| Intangible assets, net | 144,405 | 133,114 |
| Other long-term assets | 316,858 | 137,459 |
| Total assets | 9,965,347 | 8,701,578 |
| Liabilities and Stockholders’ Equity | ||
| Current liabilities: | ||
| Accounts payable | 131,596 | 130,887 |
| Accrued expenses | 190,009 | 191,349 |
| Accrued payroll and benefits | 357,653 | 319,243 |
| Operating lease liabilities, current | 15,929 | 13,811 |
| Deferred revenue | 2,851,488 | 2,733,005 |
| Other current liabilities | 53,220 | 72,755 |
| Total current liabilities | 3,599,895 | 3,461,050 |
| Long-term debt | 745,099 | 743,983 |
| Deferred revenue, noncurrent | 1,211,762 | 995,672 |
| Operating lease liabilities, noncurrent | 57,018 | 31,107 |
| Other liabilities, noncurrent | 292,556 | 150,849 |
| Total liabilities | 5,906,330 | 5,382,661 |
| Commitments and contingencies | ||
| Stockholders’ Equity | ||
| Common stock, Class A and Class B | 126 | 124 |
| Additional paid-in capital | 5,314,820 | 4,367,070 |
| Accumulated deficit | -1,299,986 | -1,078,107 |
| Accumulated other comprehensive income (loss) | 1,537 | -9,593 |
| Total CrowdStrike Holdings, Inc. stockholders’ equity | 4,016,497 | 3,279,494 |
| Non-controlling interest | 42,520 | 39,423 |
| Total stockholders’ equity | 4,059,017 | 3,318,917 |
| Total liabilities and stockholders’ equity | 9,965,347 | 8,701,578 |