Ncino 2026 Q3 Earnings Strong Turnaround as Net Income Surges 307.5%

Ncino (NCNO) delivered a robust Q3 2026 performance, surpassing revenue and earnings expectations while raising full-year guidance. The stock’s post-earnings strategy outperformed the S&P 500, and CEO Sean Desmond highlighted AI-driven growth and operational efficiency gains.

Revenue

Subscription revenue led the growth, reaching $133.41 million, while professional services and other revenue contributed $18.75 million. Total revenue rose 9.6% year-over-year to $152.16 million, driven by strong demand for AI-powered automation and expanded customer adoption.

Earnings/Net Income

Ncino returned to profitability with EPS of $0.06, reversing from a $0.05 loss in 2025 Q3—a 220.0% positive change. Net income surged to $8.62 million, a 307.5% improvement from a $4.15 million loss, marking a record high for Q3 net income in seven years.

Post-Earnings Price Action Review

The strategy of buying NCINO shares on its earnings announcement and holding for 30 days yielded a 24.78% cumulative return over three years, outperforming the SPY ETF’s 2.56%. This reflects strong market confidence in the company’s earnings beats and forward-looking guidance.

CEO Commentary

CEO Sean Desmond emphasized sales momentum across geographies and products, driven by AI-powered automation. He highlighted customer success stories, including a $5B bank reducing duplicate data entry by 86% and a $25B institution accelerating decision-making by 91%. Strategic priorities include expanding AI capabilities and leveraging operational analytics.

Guidance

For Q4 2026, nCino expects total revenue of $146.75M–$148.25M and non-GAAP operating income of $32.5M–$33.5M. Full-year 2026 guidance now ranges from $591.9M–$593.4M in revenue and $0.90–$0.91 in non-GAAP EPS, up from prior estimates. The company reaffirmed its commitment to the Rule of 40 by Q4 2027.

Additional News

Ncino completed a $100 million share buyback program, repurchasing 4 million shares at an average price of $25.02. The company also raised FY26 revenue and subscription guidance, citing strong execution and AI adoption. Management highlighted early customer renewals driven by AI features and expanded its Integration Gateway API solution to boost ACV growth.

Article Polishing Notes:

• Enhanced transitions between sections for smoother readability.

• Standardized numerical formatting (e.g., “$0.06” vs. “$0.05 per share”).

• Removed redundant phrasing while preserving all original data and structure.

• Ensured consistent use of bold headings and paragraph breaks.