Qualys Reports 11% Revenue Growth to $182.2 Million in Q2 2026

Qualys, Inc. reported a notable increase in financial performance for the second quarter of 2026, with revenues reaching $182.2 million, an 11% rise from $164.1 million in the same period of 2025. For the first half of 2026, total revenues amounted to $357.8 million, up 10% from $324.0 million year-over-year. The company’s net income also saw growth, totaling $52.4 million for the quarter, compared to $47.3 million in the prior year, resulting in a diluted earnings per share of $1.50, up from $1.29. The increase in revenue was primarily driven by heightened demand for Qualys' subscription services, with 97% of the revenue growth attributed to existing customers.

In terms of operational metrics, Qualys reported a net dollar expansion rate of 105% as of June 30, 2026, indicating strong customer retention and growth. The company’s customer base continues to expand, with significant contributions from both direct sales and channel partners. The U.S. market accounted for approximately 55% of total revenues, while international markets contributed the remaining 45%. The company also noted an increase in its employee headcount, which is expected to support ongoing growth and operational demands.

Qualys has made strategic investments in research and development, with expenses rising to $30.7 million for the second quarter, reflecting a commitment to enhancing its cloud-based IT security and compliance solutions. Sales and marketing expenses also increased significantly, totaling $41.0 million, driven by higher personnel costs and increased sales commissions. The company continues to focus on expanding its market presence and enhancing its product offerings to meet evolving customer needs.

The company’s balance sheet remains strong, with total assets of $1.07 billion as of June 30, 2026, slightly down from $1.10 billion at the end of 2025. Cash and cash equivalents stood at $250.3 million, with marketable securities totaling $453.2 million. Qualys has also been active in share repurchases, spending approximately $131.4 million to repurchase shares in the first half of 2026, reflecting its strategy to return value to shareholders.

Looking ahead, Qualys anticipates continued revenue growth driven by both existing and new customers, despite potential macroeconomic challenges such as inflation and extended sales cycles. The company remains focused on leveraging its cloud platform to address the increasing complexities of IT security and compliance, while also managing operational costs effectively.