Rubrik reported second-quarter results that beat expectations across the board, but the stock still fell sharply in premarket trading Friday. RBRK dropped more than 8% despite the company raising its full-year outlook.
Revenue for the quarter ended July 31 came in at $427.3 million, up 38% from $309.9 million in the same period last year.
Adjusted diluted EPS hit 20 cents, a sharp turnaround from a loss of 3 cents per share in the year-ago quarter.
RUBRIK $RBRK Q2’27 EARNINGS HIGHLIGHTS
🔹 Revenue: $427.3M (Est. $396M) 🟢; +38% YoY
🔹 Adj. EPS: $0.20 (Est. $0.04) 🟢
🔹 Subscription ARR: $1.66B; +33% YoY
🔹 FCF: $65.7M (Est. $39.7M) 🟢; +14% YoYRaises FY27 Guide:
🔹 Revenue: $1.685B-$1.693B (Est. $1.64B) 🟢
🔹 EPS:… pic.twitter.com/CLL2gKuyOO— Wall St Engine (@wallstengine) August 27, 2026
Subscription ARR for the quarter grew 32.6% to $1.66 billion. That topped both Rubrik’s own guidance of $1.64 billion and Street estimates calling for 31% growth.
It also nudged ahead of the 32.5% growth recorded in the first quarter, a small but positive sign of acceleration.
Net new subscription ARR came in at $96 million, up 35% year-over-year. Analysts had been expecting $75.9 million, so that was a clear beat.
For Q3, Rubrik is guiding for revenue of $429 million to $431 million, with adjusted EPS of 7 cents to 9 cents.
For the full fiscal year 2027, the company raised its revenue outlook to $1.685 billion to $1.693 billion, with adjusted EPS now expected between 47 cents and 53 cents.
Rubrik also lifted the midpoint of its fiscal 2027 ARR outlook to $1.88 billion, implying 28.8% growth. That’s up from a prior midpoint of $1.86 billion, or 27.1% growth.
The raised midpoint reflects the $20 million beat versus guidance, plus an additional $4.5 million raise to the second half of fiscal 2027.
Expectations heading into the print were high. Peers like CrowdStrike and Okta had already posted strong results, lifting sentiment across the cybersecurity sector.
BTIG analyst Gray Powell said he thinks the print “should have cleared expectations across all key targets,” but high expectations may have made it harder to impress.
Rubrik had already run up nearly 40% year-to-date going into earnings, leaving the bar elevated.
Some concern remains around the company’s balance sheet. Rubrik still carries negative equity and higher debt levels, and the company remained loss-making on a GAAP basis.
Jefferies was scheduled to hold an analyst call on August 28 to dig into the results, which could offer more clarity on near-term direction.
The stock’s year-to-date performance stood at roughly 25.69% as of the latest available data, with an average daily trading volume of around 3.6 million shares.
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