Rubrik (NYSE:RBRK) raised its full-year revenue and adjusted earnings outlook after reporting a 38% increase in second-quarter revenue and moving to an adjusted profit.
Revenue reached $427.3 million for the quarter ended July 31, up from $309.9 million in the same period a year earlier.
Adjusted diluted earnings per share increased to $0.20 from an adjusted loss of $0.03 per share in the prior-year period.
Despite the results and higher outlook, Rubrik shares fell more than 8% in pre-market trading on Friday. The stock had gained nearly 40% during 2026 before the move cited in the source material.
Subscription ARR rises 32.6%
Subscription annual recurring revenue increased 32.6% to $1.66 billion, above the company’s $1.64 billion forecast and the 31.0% growth estimate cited in the source material.
Growth also accelerated slightly from the 32.5% reported in the first quarter.
Net new subscription ARR reached $96 million, representing growth of 35% and exceeding the $75.9 million analyst estimate.
Rubrik said its second-quarter performance exceeded all of the metrics included in its guidance.
Rubrik increases fiscal 2027 forecasts
For the third quarter, Rubrik expects revenue of between $429 million and $431 million.
The company forecasts adjusted diluted earnings per share of between $0.07 and $0.09 for the period.
For fiscal 2027, Rubrik increased its revenue outlook to between $1.685 billion and $1.693 billion, while adjusted diluted earnings per share are expected to range from $0.47 to $0.53.
ARR outlook midpoint increases to $1.88 billion
Rubrik also raised the midpoint of its fiscal 2027 annual recurring revenue outlook to $1.88 billion, representing expected growth of 28.8%.
The previous midpoint was $1.86 billion, equivalent to growth of 27.1%.
According to the source material, the revised outlook reflects a $20 million performance above previous guidance as well as an additional $4.5 million increase to expectations for the second half of fiscal 2027.
BTIG comments on quarterly performance
“Expectations were high going into the print, particularly on the back of strong performance at peers like CrowdStrike and Okta, which drove shares in the security space higher today. That said, we think the print should have cleared expectations across all key targets,” BTIG analyst Gray Powell said.
The comments represent BTIG’s assessment of Rubrik’s results rather than company guidance.
Rubrik’s latest outlook follows its return to adjusted profitability in the second quarter, when adjusted diluted earnings reached $0.20 per share compared with an adjusted loss of $0.03 per share a year earlier.