Backblaze Q2 revenue beats estimates; shares of the company were up about 13% in extended trading

Backblaze

03/08/2026 21:18

Overview
U.S. storage platform's Q2 revenue rose 18% yr/yr, beating analyst expectations
Adjusted EPS for Q2 was $0.08, beating analyst expectations
Company signed $335 mln multi-year agreement with CoreWeave for AI storage

Outlook
Backblaze sees Q3 2026 revenue between $44.4 mln and $44.8 mln
Company expects Q3 2026 adjusted EBITDA margin of 27% to 29%
Backblaze raises full-year 2026 revenue outlook to $172 mln-$174 mln
Company raises full-year 2026 adjusted EBITDA margin to 27%-29%

Result Drivers
B2 CLOUD STORAGE GROWTH - Revenue from B2 Cloud Storage rose 34% yr/yr, driven by demand for AI and data-intensive workloads
COREWEAVE AGREEMENT - Signed $335 mln multi-year deal with CoreWeave, boosting long-term revenue visibility and validating role in AI storage
LARGER CUSTOMER MOMENTUM - ARR from customers generating $50,000+ in ARR grew 67% yr/yr, with number of such customers up 57%

Company press release: ID:nBwc8QGvta

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$42.70 mln
$39.93 mln (7 Analysts)
Q2 Adjusted EPS
Beat
$0.08
-$0.11 (4 Analysts)
Q2 Loss Per Share
 
$0.08
 
Q2 Adjusted Net Income
 
$5 mln
 
Q2 Net Loss
 
$5.10 mln
 
Q2 Adjusted Gross Profit
 
$34.30 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the it services & consulting peer group is "buy"
Wall Street's median 12-month price target for Backblaze Inc is $15.50, about 13% above its July 31 closing price of $13.72

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)