EarningsQ2 2026 Earnings Report
MX:SPT Q2 2026 EPS Results
Actual EPS$4.70
Consensus EPS$2.91
Beat/MissBeat by +$1.79
One Year Ago EPS$3.26
MX:SPT Q2 2026 Revenue Results
Actual Revenue$2.24B
Expected Revenue$2.21B
Beat/MissBeat by +$30.07M
YoY Revenue Growth+10.80%
Earnings Announcement Details
QuarterQ2 2026
Date08/06/2026
TimeAfter Close
Conference CallThursday, August 6, 2026
MX:SPT Upcoming Earnings
Sprout Social's next earnings date is estimated for October 29, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
MX:SPT Q2 2026 Earnings Call
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Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed multiple strong operational and financial positives — double-digit revenue growth, robust margin expansion, sizable free cash flow improvement, accelerated RPO/CRPO, clear up-market traction (20% growth in $30k+ cohort and ACV +14.8%), early promising AI product adoption (Trellis) and a plan for material annualized cost savings. Offsetting these positives are meaningful near-term risks: a ~20% workforce reduction with $18M-$20M charges, ongoing pressure in the sub-$30k segment, conservative near-term guidance given the demand backdrop, and timing of realized cost savings (largely in 2027). On balance, the company is showing operational progress and a path to improved profitability while navigating near-term restructuring and lower-end market headwinds.Company Guidance
Revenue Growth
Total revenue of $123.8M in Q2, up 10.8% year-over-year; subscription revenue $121.9M, up 9.7% year-over-year.
Margin Expansion
Non-GAAP operating margin of 12.9% in Q2, an increase of 370 basis points year-over-year; company guiding to a Q4 exit margin near ~17%.
Improved Free Cash Flow
Non-GAAP free cash flow of $8.3M in Q2, roughly +60% year-over-year; trailing 12-month non-GAAP free cash flow ~ $54M, demonstrating leverage in the model.
Stronger RPO/CRPO and Contract Mix
RPO of $400.8M, up 15.5% year-over-year; CRPO grew 12.4% year-over-year to $202.7M. Multi-year contracts now represent nearly half of contract mix (up from ~one-third two years ago).
Up-market Customer Momentum
$30,000+ ARR cohort: approximated trailing 12-month subscription revenue grew 20% year-over-year and now represents over 61% of total subscription revenue. Customer counts: 3,926 customers at $30k+ ARR (up 11% YoY) and 2,127 customers at $50k+ ARR (up 16% YoY). Added 51 net new $30k+ customers in Q2 and 388 over the trailing 12 months.
ACV Expansion
Quarterly ACV increased 14.8% year-over-year, reflecting mix shift toward larger, higher-value customers and broader adoption of premium products.
AI Product Progress — Trellis
Expanded Trellis capabilities (insights on demand, Trellis Studio, Trellis Plus paid tier launched July). Early adoption: monthly active Trellis users show higher retention than non-users across segments; initial paid upgrades to Trellis Plus observed and strong customer feedback reported.
Product & Integration Enhancements
Launched/expanded integrations and features: Snapchat scheduling & publishing, PayPal/Lumanu creator payments with automated tax docs, consolidated TikTok ad comments, AI dashboard builder, NewsWhip predictive scoring, and a deeper Canva integration—broadening platform utility for enterprise customers.
Financial Outlook Upgrades & Capital Return
Raised fiscal 2026 non-GAAP operating income guidance to $68.3M-$70.3M (a ~20% increase over prior outlook midpoint). Initiated $50M share repurchase authorization and expect opportunistic buybacks.
Expected Annualized Cost Savings from Restructuring
Company expects to reduce non-GAAP cost structure by at least $50M on an annualized run-rate basis as a result of the reorganization (savings largely to be realized by 2027).
MX:SPT Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed