Cognyte Reports Q2 Earnings with Strong Revenue Growth in Software and Recurring Services
Cognyte (CGNT) reported second-quarter earnings for fiscal year 2027, showing strong revenue growth driven by increased demand for its software solutions. Total revenue reached $109.2 million, up 12% year over year, with total software revenue rising to $100.8 million — a 20.9% increase. Recurring revenue also grew significantly at 18.4%, reaching $56.2 million and representing nearly half of the company’s overall income. The shift toward higher-margin software solutions has improved financial performance, with non-GAAP gross margin expanding to 73.7%. Non-GAAP operating income rose by 52.5% year over year to $12.2 million, while adjusted EBITDA grew at a faster pace than total revenue. The company added 40 new customers in the first half of the fiscal year and reported strong visibility for future revenue through remaining performance obligations (RPO) totaling $470.2 million. Cognyte also highlighted its financial flexibility, with a cash balance of $102.2 million at quarter-end and no debt. The company repurchased approximately 1.5 million shares during the first half for $13.5 million.
Topics: EBITDA operating income revenue growth RPO software demand