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Sep 30
LiveRamp Q2 2026 Earnings Report
LiveRamp reported its financial results for the second quarter of fiscal year 2026, with revenue and operating income exceeding guidance and strong growth in annualized recurring revenue.
Key Takeaways
LiveRamp delivered a strong second quarter for fiscal year 2026, with total revenue increasing by 8% year-over-year to $200 million and GAAP diluted EPS at $0.42. The company saw significant growth in GAAP operating income, which rose by 186.2% to $21 million, and annualized recurring revenue (ARR) increased by $14 million quarter-over-quarter to $516 million, indicating robust subscription revenue growth.
Total revenue for Q2 FY26 reached $200 million, an 8% increase year-over-year, surpassing guidance.
GAAP diluted earnings per share (EPS) was $0.42, while non-GAAP diluted EPS was $0.55.
Annualized Recurring Revenue (ARR) grew by $14 million sequentially to $516 million, reflecting strong demand for data collaboration.
GAAP operating income significantly improved to $21 million, up from $7 million in the prior year period, with operating margin expanding by 7 percentage points.
LiveRamp
LiveRamp
LiveRamp Revenue by Segment
Revenue by Segment
Subscription Revenue
CapyFin.comMarketplace & Other Revenue
CapyFin.com Forward Guidance
LiveRamp provided optimistic guidance for Q3 FY26 and the full fiscal year 2026, expecting continued revenue growth and increased GAAP and non-GAAP operating income, driven by strong demand for its Data Collaboration Network and new AI tools.
Positive Outlook
- Q3 FY26 revenue is projected to be between $209 million and $213 million, an increase of 7% to 9%.
- Full fiscal year 2026 revenue is expected to be between $804 million and $818 million, an increase of 8% to 10%.
- GAAP operating income for Q3 FY26 is guided between $33 million and $35 million.
- Non-GAAP operating income for Q3 FY26 is guided between $55 million and $57 million.
- Full fiscal year 2026 non-GAAP operating income is expected to be between $178 million and $182 million.
Challenges Ahead
- No specific negative forward guidance points were explicitly stated in the report.
- The report mentions general economic uncertainties, including geopolitical circumstances, potential recession, inflationary pressure, and high interest rates, which could impact the business.
- Risks include the ability and willingness of customers to renew agreements and the ability to add new customers.
- Reliance on partners, including data suppliers, who may withdraw or withhold data, poses a risk.
- Increased competition and rapidly changing technology could impact products and services.
Revenue & Expenses
Visualization of income flow from segment revenue to net income