GitLab Q2 Revenue Beats Estimates with Strong DevSecOps Platform Growth

GitLab Inc.'s Q2 revenue beats estimates. The company provides a DevSecOps Platform that brings together development, operations, and security teams. The platform is built on a single codebase and offers a self-managed or software-as-a-service option. GitLab offers three subscription tiers and an automated cloud-native application security testing solution to help customers identify and resolve application-layer risks.

GitLab Inc. (NASDAQ: GTLB), a leading provider of DevSecOps platforms, reported its second-quarter fiscal year 2026 financial results, showcasing significant revenue growth and operational improvements. The company's total revenue for the quarter reached $236.0 million, representing a 29% year-over-year increase [1]. This performance highlights the company's robust growth and market penetration.

GitLab's GAAP operating margin expanded to (8)%, while the non-GAAP operating margin improved to 17%. The company also reported operating cash flow of $49.4 million and non-GAAP adjusted free cash flow of $46.5 million [1]. These financial metrics indicate strong cash flow generation and operational efficiency.

Key highlights of the quarter include:

- Customer Growth: The number of customers with more than $5,000 of ARR increased by 11%, and those with more than $100,000 of ARR rose by 25% [1].
- Platform Expansion: GitLab launched the public beta of its GitLab Duo Agent Platform, an AI orchestration platform designed for human-AI collaboration across the software development lifecycle [1].
- Strategic Partnerships: The company signed a three-year strategic collaboration agreement with Amazon Web Services (AWS) to expand access to GitLab Dedicated, a single-tenant offering [1].

Brian Robins, the outgoing Chief Financial Officer, commented on the quarter's results, stating, "Our team achieved strong second quarter fiscal year 2026 results, with 29% revenue growth and significant year-over-year operating margin expansion" [1]. Robins will step down as CFO to pursue another opportunity, with James Shen and Simon Mundy set to take on interim and permanent roles, respectively [1].

Looking ahead, GitLab expects revenue of $238.0 million to $239.0 million for the third quarter and $936 million to $942 million for the full fiscal year 2026 [1]. The company also provided guidance for non-GAAP operating income and diluted net income per share for these periods.

References:
[1] https://www.businesswire.com/news/home/20250903199105/en/GitLab-Reports-Second-Quarter-Fiscal-Year-2026-Financial-Results