BILL Holdings (BILL) Q2 2026 earnings summary

Executive summary

• Q2 FY26 core revenue grew 17% year-over-year to $375.1M, with total revenue up 14% to $414.7M, driven by increased transaction volume and strong platform adoption, including AI-driven automation.

• The platform served nearly 500,000 customers and over 8 million network members, processing $95B in payment volume and 35M transactions in Q2.

• Non-GAAP operating income was $74.1M, non-GAAP net income $73.4M, and non-GAAP operating margin expanded to 18%.

• The company completed a 6% workforce reduction to improve efficiency and profitability.

• Strategic focus on integrated platform growth, market expansion, and AI innovation is yielding tangible results.

Financial highlights

• Q2 core revenue reached $375.1M, up 17% year-over-year; total revenue was $414.7M, up 14%; AP/AR core revenue was $185.9M, Spend & Expense $166.5M, Embedded & Other $22.8M.

• Non-GAAP gross margin was 83.9%, GAAP gross margin 79.8%, and non-GAAP operating margin 17.9%.

• Free cash flow for Q2 was $91.1M, with a margin of 22%.

• Repurchased $133M of stock during the quarter.

• Float revenue declined 8% year-over-year to $39.5M.

Outlook and guidance

• Q3 FY26 revenue guidance: $397.5M–$407.5M; core revenue $364.5M–$374.5M; non-GAAP operating income $62.5M–$67.5M; non-GAAP net income $60.5M–$64.5M; EPS $0.53–$0.57.

• FY26 guidance: total revenue $1.631B–$1.651B, core revenue $1.489B–$1.509B, non-GAAP operating income $274M–$286.5M, non-GAAP EPS $2.33–$2.41.

• Stock-based compensation for FY26 expected at $255M, below prior guidance.

• Guidance reflects cautious optimism amid macroeconomic uncertainty and competitive pressures.

• Planned investments in platform development, AI, and international expansion.