10-Q · August 10, 2026
The supplied 10-Q extract is concentrated on market risk, controls, and other-information disclosures and does not include the income statement, segment results, balance-sheet accounts, cash-flow statement, or MD&A…
RPD earnings analysis
10-Q · Filed November 4, 2026 · Our reading of the company's report
The latest report
Rapid7 exceeded consensus with revenue of $212.4 million versus $209.2 million expected and diluted non-GAAP EPS of $0.60 versus $0.40 expected. However, revenue and ARR declined 2.5% and 2.2% year over year,…
Read full summary
Rapid7 exceeded consensus with revenue of $212.4 million versus $209.2 million expected and diluted non-GAAP EPS of $0.60 versus $0.40 expected. However, revenue and ARR declined 2.5% and 2.2% year over year, respectively, while the company recorded $9.988 million of restructuring expense. Liquidity was substantial at $335.7 million of cash and $395.9 million of investments, but leadership transitions and a restructuring plan affecting approximately 12% of the workforce add execution risk.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.6
What stood out
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Revenue and adjusted EPS beat estimates
Revenue was $212.4 million versus the $209.2 million consensus estimate, while diluted non-GAAP EPS was $0.60 versus the $0.40 estimate.
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Strong liquidity position
The company maintains substantial liquidity, with $335.7 million of cash and cash equivalents and $395.9 million of investments as of September 30, 2026.
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Full-year outlook remains quantitative
Management provided full-year 2026 guidance of revenue of $841 million to $843 million, diluted non-GAAP EPS of $1.94 to $1.96, and free cash flow of approximately $130 million.
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Restructuring targets operating efficiency
The 2026 restructuring plan is intended to simplify operations and align resources with the core platform, with a workforce reduction of approximately 12%.
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Measured near-term market-risk exposure
The hypothetical impact of a 10% adverse foreign-exchange move on monetary assets and liabilities as of September 30, 2026 would not have been material to financial condition or results of operations.
What to watch
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Revenue and ARR remain in decline
Revenue declined 2.5% year over year and ARR declined 2.2% year over year, indicating continued pressure on the company’s top-line and recurring-revenue base.
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Restructuring execution and cost risk
The August 7, 2026 restructuring plan includes a workforce reduction of approximately 12%; the filing states that actual costs may exceed estimates and implementation may take longer than anticipated.
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Leadership transition risk
Rapid7 experienced senior leadership changes effective June 1, 2026, including the appointment of Wael Mohamed as CEO and Corey Thomas as Executive Chairman, along with the resignation of four directors and appointment of two new directors.
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Restructuring charges weigh on earnings
The company incurred $9.988 million of restructuring expense, creating pressure on reported profitability and increasing uncertainty around additional restructuring charges.
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Convertible-note market exposure
As of September 30, 2026, the quoted fair values of the 2027 Notes and 2029 Notes were $582.8 million and $266.8 million, respectively; changes in market rates and the stock price can affect their fair values.
Management's outlook
The filing/report provides Q4 2026 guidance of revenue of $208 million to $210 million and diluted non-GAAP EPS of $0.53 to $0.55. Full-year 2026 guidance is revenue of $841 million to $843 million, diluted non-GAAP EPS of $1.94 to $1.96, and free cash flow of approximately $130 million; prior outlook was not provided, so direction cannot be determined.
Earlier filings 4
10-Q · May 5, 2026
Rapid7 reported a slight decline in total revenue to $209.7M for Q1 2026, down 0.3% from $210.3M a year ago, and significantly below the consensus estimate of $207.9M. GAAP EPS came in at $0.02, missing expectations of…
10-K · February 19, 2026
Rapid7 reports full-year revenue of $859.8 million in 2025 (13% CAGR from $535.4 million in 2021) with recurring revenue at 96% of total and a global customer base of more than 11,500 as of December 31, 2025. The…
10-Q · November 5, 2025
Rapid7 reported Q3 revenue of $217.96 million, up modestly from $214.65 million a year ago, with product subscriptions driving the increase. Gross margin remained around ~70.2% while income from operations fell to $5.90…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.
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