Operating income rose 30%, but EPS fell 26% to $2.12. A $21bn swing in other income, including an $8.66bn net loss on eq | Hanami
Operating income rose 30%, but EPS fell 26% to $2.12. A $21bn swing in other income, including an $8.66bn net loss on equity securities, wiped out the operating gain. There was also a new $298mm preferred dividend line
Reply to @zerohedge: Cloud margin jumped to 36.2% from 23.7%, above ~33% est. But Alphabet-level losses rose 71% to $7.7bn and Other Bets lost $2.0bn, so half of Cloud $7.5bn profit went straight out
Expenses: R&D (+36%) and cost of revs ex-TAC (+32%, where D&A sits) both grew faster than revs(Historical earnings: For fiscal 2026Q2 (period ended 2026-06-30), Cloudflare reported basic and diluted EPS of -0.55, net income of -USD 0.193 billion, and revenue of USD 1.336 billion.
Consensus expectations: For the next upcoming period (2026Q3, event date 2026-11-05), consensus expects EPS of 0.02 and revenue of USD 0.745 billion.)