Rackspace Technology, Inc. (RXT) Earnings
Rackspace Technology, Inc. is expected to report next earnings on August 6, 2026 (in NaN days), with a consensus EPS estimate of $-0.05. RXT has beaten EPS estimates in 6 of its last 12 reported quarters (average surprise -103.6% over the last four).
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 7, 2026 | $-0.03 | $-0.06 | -86.5% | $678M | +2.6% |
| Feb 26, 2026 | $-0.04 | $-0.13 | -234.8% | $683M | +1.5% |
| Nov 6, 2025 | $-0.03 | $-0.05 | -73.1% | $671M | -0.2% |
| Aug 7, 2025 | $-0.05 | $-0.06 | -20.0% | $666M | -0.1% |
| May 8, 2025 | $-0.08 | $-0.06 | +25.0% | $665M | +1.1% |
| Feb 20, 2025 | $-0.04 | $-0.02 | +50.0% | $686M | +1.6% |
| Aug 8, 2024 | $-0.11 | $-0.08 | +27.3% | $685M | +1.7% |
| May 15, 2024 | $-0.13 | $-0.11 | +15.4% | $691M | +1.0% |
| Mar 12, 2024 | $-0.02 | $-0.03 | -22.1% | $720M | +0.7% |
| Feb 22, 2023 | $0.06 | $0.06 | +0.0% | $787M | +1.4% |
| Nov 9, 2022 | $0.09 | $0.10 | +11.1% | $788M | +1.9% |
| Feb 22, 2022 | $0.24 | $0.25 | +4.2% | $777M | +0.8% |
Source: company filings + earnings calendar. For informational purposes only — not investment advice.
Earnings call summary
Q1 FY2026 · May 7, 2026
AI summary of management’s prepared remarks and analyst Q&A. For informational purposes only — not investment advice.
Management highlights
Enterprise AI evolving towards agentic workflows; private cloud growth outlook on track with signed engagements; public cloud services revenue grew 10%; new partnerships expand ability to deploy context-aware inference, etc.; engineers embedded in customer environments; technology stack extended with partnerships like VMware, Palantir, etc.
Guidance
Reaffirming full-year 2026 guidance in its entirety. Revenue, EBITDA, and cash flow outlook all remain unchanged. Q1 private cloud timing reflected in annual plan, confidence in full-year outlook unchanged
Segment performance
Private cloud: First quarter GAAP revenue was $235 million, down 6% year-over-year. Non-GAAP gross margin was 36%, down 110 basis points year-over-year. Non-GAAP segment operating margin was 24.7%, an improvement at 30 basis points year-over-year. Public cloud: GAAP revenue was $443 million, up 7% year-over-year, with services revenue growing 10% year-over-year. Non-GAAP gross margin was 8.9%, down 60 basis points year-over-year. Non-GAAP segment operating margin was 4.7%, up 50 basis points year-over-year
Analyst Q&A
Q: Kevin McVey with UBS asked about how AMD dovetails into Palantir and progress on MOU, and capacity in private vs public cloud and margin and capital needs.
A: AMD gives CPU and GPU for efficient inference, partnership well along but need financing lockdown; customer workloads run across private and public; margin from govern private cloud on AMD Silicon is most profitable, then context-aware inference, etc.; intent is deleveraging with focus on 2028 debt maturity.
Q: David page with RBC capital markets asked about competitive environment and pipeline.
A: No one has put all elements together like Rackspace, giving edge in regulated/sovereign environments; pipeline strong with more deals expected as guide customers on AI workloads