Netskope (NTSK) Q2 2027 Earnings Call Transcript

Image source: The Motley Fool. Wednesday, Sept. 2, 2026, at 5 p.m. ET Annual Recurring Revenue (ARR) -- $899 million, representing 27% growth driven by durable demand for the Netskope One platform. Net New ARR -- $54 million during the second quarter, an increase of 9% compared to the prior year. Revenue -- $220.5 million, representing 29% growth and exceeding the company's previous guidance. Non-GAAP Operating Margin -- negative 9%, an improvement of 11 percentage points reflecting operating leverage across the business. Net Retention Rate (NRR) -- 114%, indicating stable expansion within existing customer accounts. Remaining Performance Obligations (RPO) -- $1.35 billion, a 36% increase reflecting long-term customer commitments. Large Customer Count -- 1,686 customers generating over $100,000 in ARR, up 23% year over year. Platform Adoption -- 59% of customers use four or more products, compared to 51% one year ago. Non-GAAP Gross Margin -- 77%, an increase of 2 percentage points reflecting scale benefits from the NewEdge architecture. Research and Development (R&D) Expense -- improved 8 percentage points as a percent of revenue due to scale efficiencies in the common platform architecture. Contracted Future Billings -- grew 75% as the company transitions its customer base to annual billing…