SailPoint (SAIL) Q3 2026 earnings summary

Executive summary

• Achieved $1.04 billion in ARR in Q3 2026, up 28% year-over-year, with SaaS ARR growing 38% to $669 million and now representing 64% of total ARR.

• Q3 2026 revenue reached $282 million, up 20% year-over-year, with subscription revenue up 22% to $266 million.

• Net revenue retention rate remained strong at 114%, and customer base expanded to 3,170.

• Completed IPO in February 2025, raising $1.25 billion in net proceeds, repaid all outstanding Term Loans, and Thoma Bravo remains controlling shareholder.

• Recognized as a leader in identity governance by major industry analysts in 2024 and 2025.

Financial highlights

• Adjusted operating income was $56 million (19.8%–20% margin), exceeding guidance; adjusted EPS was $0.08, while GAAP net loss per share was $(0.06).

• Adjusted gross profit margin was 77.9%–78%; adjusted subscription gross profit margin was 82.5%.

• Free cash flow for the quarter was $49 million (17.4% margin); cash and cash equivalents at quarter-end were $298 million.

• GAAP net loss for the quarter was $36 million, a significant improvement from the prior year.

Outlook and guidance

• Raised full-year 2026 ARR guidance to $1.120–$1.124 billion, up 28% year-over-year.

• Full-year 2026 revenue guidance is $1.067–$1.071 billion (24% year-over-year growth), with adjusted operating margin of 17.9%–18.1% and adjusted EPS of $0.22–$0.23.

• Q4 2026 revenue expected at $290–$294 million (21–22% year-over-year growth), with adjusted operating margin of 19.9%–20.5% and adjusted EPS of $0.08–$0.09.

• Diluted share count expected to be approximately 565 million.