Earnings call transcript: Virgin Australia posts strong H2 2026 results

Rubrik exceeded Wall Street's expectations for both profit and revenue in their fiscal second quarter, showcasing robust demand for their data security software. The company reported adjusted earnings of $0.20 per share, significantly surpassing the $0.04 forecast, and generated $427.3 million in revenue, outpacing the $396.3 million estimate.

Shares surged 11.44% in the regular session, reaching near a 52-week high at $107.125, but subsequently declined 6.85% after hours to $99.69 as investors considered the outlook. Rubrik's 10th consecutive quarter of outperformance as a public company was driven by strong subscription demand, which contributed to a 38% revenue growth, reaching $427.3 million.

Subscription ARR climbed to $1.66 billion, a 33% increase year over year. The company also reported improved free cash flow at $65.7 million, up from $57.5 million a year earlier. Rubrik raised its full-year guidance, targeting revenue between $1.685 billion and $1.693 billion, subscription ARR between $1.88 billion and $1.885 billion, and free cash flow between $323 million and $333 million.

The company's growth was broad-based across regions, with a 33% increase in Americas revenue to $299 million and a 52% rise in revenue outside the Americas to $129 million. Management highlighted the growing importance of identity resilience and newer agentic security products, emphasizing the impact of AI on the threat landscape and the need for faster recovery tools, identity protection, and agent security.

Rubrik's results demonstrated broad-based growth, with subscription ARR contribution margin rising to 14% from 9.4% and free cash flow improving. The company ended the quarter with $1.75 billion in cash, equivalents, and short-term investments, against $1.13 billion in convertible debt. Despite the strong performance, Rubrik's stock experienced a post-market decline, reflecting investor concerns over sustaining growth as cloud migration tailwinds wane.