Monday.com Q2 revenue rises as AI focus grows
Monday.com Q2 revenue rises as AI focus grows
Overview
Israel AI work platform's Q2 revenue rose 22% yr/yr, adjusted EPS increased
Company completed $182 mln share repurchase, entire $870 mln program now utilized
Q2 included $21.4 mln restructuring charges as company sharpened product focus
Outlook
monday.com sees Q3 revenue of $368 mln to $370 mln, up 16%-17% year-on-year
Company expects Q3 non-GAAP operating income of $57 mln to $59 mln, margin about 16%
monday.com sees 2026 revenue of $1.466 bln to $1.474 bln, up 19%-20% year-on-year
Result Drivers
AI PRODUCT ADOPTION - Co said ARR from AI products doubled from Q1 and represented 17% of net new ARR in Q2
LARGE CUSTOMER GROWTH - Co reported record net adds of customers with more than $100,000 and $500,000 in ARR
RESTRUCTURING IMPACT - Co incurred $21.4 mln restructuring charges as it sharpened product portfolio and committed fully to AI Work Platform
Company press release: ID:nBw8KstgYa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue |
| $364.62 mln |
|
Q2 Adjusted EPS |
| $1.48 |
|
Q2 Net Income |
| $3.46 mln |
|
Q2 Gross Profit |
| $321.96 mln |
|
Q2 Operating Income |
| -$1.54 mln |
|
Q2 Pretax Profit |
| $5.42 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 19 "strong buy" or "buy", 7 "hold" and no "sell" or "strong sell"
The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 15 three months ago
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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.)