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Overall Financial Performance

• Q2 2026 total revenue was $255 million, up 19% year-over-year, beating the high end of guidance by $3 million
• Non-GAAP operating margin hit 16.8%, beating the high end of guidance by 180 basis points and improving 1300 basis points compared to Q2 2025
• Strong results across the entire product portfolio, with broad-based durable demand from enterprise customers

Market Opportunity and Customer Demand

• The Office of the CFO is undergoing major transformation: finance leaders now manage enterprise data, AI governance, and complex regulatory requirements, with rising expectations for faster insights and automated workflows
• Customers increasingly want unified platforms that combine AI capabilities with the governance, traceability, security, and auditability required for regulated financial reporting, rather than siloed point solutions
• Key vertical market trends: growing regulatory complexity in financial services, demand for integrated GRC (governance, risk, and compliance) amid AI adoption and geopolitical uncertainty, and a shift to unified financial and sustainability reporting as sustainability regulations move from planning to implementation
• The IPO market showed continued strength in Q2 2026, providing a strong long-term entry point for new enterprise customers as they move from private to public status

Product and AI Innovation

• Workiva is transforming its platform to be agentic-first, building purpose-built AI tools designed for high-stakes regulated workflows, not general-purpose use
• Newly launched AI capabilities include: a sustainability disclosure agent that drafts review-ready disclosures aligned to regulatory frameworks, a financial tie-out agent that flags discrepancies and maintains full audit trails, and a disclosure peer benchmarking agent that embeds peer analysis directly in the platform
• The new Workiva MCP Gateway provides governed connectivity between Workiva and customers' existing enterprise AI tools, preserving Workiva's governance, traceability, and access controls while enabling real-time data access for AI tools
• New persistent custom knowledge base capabilities allow customers to centralize their own vetted content for use across all Workiva AI interactions, ensuring outputs align with organizational standards
• Product innovation is packaged under a good-better-best tiered pricing model, with new AI capabilities included in premium/advanced solution tiers to drive incremental monetization

Go-to-Market Execution

• New CRO Michael Pinto has implemented sales organization restructuring focused on deeper large account engagement, improved sales efficiency, higher-quality pipeline, and expanded partner ecosystem contribution
• Q2 2026 was the strongest quarter for net new customer additions in the past seven quarters, with growing average deal size and more multi-solution large enterprise new logos
• Partner co-selling with regional advisory firms and Big Four professional services firms is a growing channel for new and expansion deals across verticals

• Q3 2026 Guidance: Total revenue is expected to be in the range of $260 to $262 million, with non-GAAP operating margin expected between 17% and 17.5%, and services revenue projected to be slightly up year-over-year.
• Full Year 2026 Total Revenue Guidance: Total revenue is expected to range from $1.040 to $1.044 billion, with subscription revenue projected to grow approximately 19% year-over-year, and total services revenue expected to be slightly up year-over-year. Foreign exchange rates are assumed to stay consistent with June 2026 levels, resulting in minimal year-over-year FX impact for H2 2026.
• Full Year 2026 Non-GAAP Operating Margin Guidance: Management raised guidance by 150 basis points vs. the high end of prior guidance, now expecting 18% non-GAAP operating margin for 2026. This achieves the company's previously stated 2027 medium-term operating margin target one full year early.
• Full Year 2026 Free Cash Flow Margin Guidance: Management raised guidance by 100 basis points, now expecting a 21% free cash flow margin for 2026.
• The 2030 long-term targets (including the 24% long-term operating margin target) remain unchanged at this time.

Workiva reports results across two primary revenue segments: 1) Subscription Revenue: $236 million in Q2 2026, up 19% year-over-year, accounting for 92.5% of total Q2 revenue. As of quarter-end, current remaining performance obligations (expected revenue over the next 12 months) were $789 million, up 18% year-over-year. 76% of Q2 2026 subscription revenue came from multi-solution customers, up from 71% in Q2 2025. Growth was strong in large contract cohorts: contracts over $100,000/year increased 20% YoY, contracts over $300,000/year increased 34% YoY to 656 total, and contracts over $500,000/year increased 33% YoY to 276 total. 2) Professional Services Revenue: $19 million in Q2 2026, up 12% year-over-year, accounting for 7.5% of total Q2 revenue. Outperformance was driven by stronger-than-expected demand for XBRL services. Customer base overall grew to 6,750 customers as of Q2 end, an increase of 283 customers year-over-year. Gross retention rate was 97%, exceeding the 96% target, and net retention rate was 111%, above the 110% target.

• Forward-looking statements are based on current macroeconomic, political, and regulatory assumptions, and actual results may differ materially from projections due to unforeseen changes in these conditions.
• Customer deals are facing increased scrutiny, more layers of approval, and greater legal rigor, which could impact deal closing timelines.
• Foreign currency exchange rate fluctuations could create negative impacts to reported growth and performance metrics for the second half of 2026 if rates deviate from current June 2026 projections.

Q: What demand trends did you observe in Q2 2026 around sales cycles, deal scrutiny, and budgets, and have you made changes to your go-to-market organization to match evolving customer needs? / A: Overall demand has remained relatively consistent through 2026, with growing regulatory complexity and AI governance needs reinforcing demand for Workiva's unified platform. While deals are facing increased legal and approval scrutiny, the company has prepared its go-to-market and operations teams to handle this additional rigor, and actually saw shortened deal cycles in Q2 compared to prior quarters. The core go-to-market strategy focused on multi-solution platform selling, partner-sourced deals, and large account expansion remains unchanged, with no major structural adjustments needed at this time.

Q: What is driving confidence in your ability to sustain 17% annual subscription revenue growth to hit your 2030 total revenue target? / A: Growth is supported by broad-based demand across Workiva's entire portfolio of solutions, not just one or two high-performing products. The company's partner ecosystem continues to strengthen, and existing customer expansion motion remains healthy, with growing adoption of multiple solutions across customer accounts. International expansion is an additional untapped growth lever that will contribute to long-term durable growth, and the company's go-to-market execution continues to improve over time.

Q: Can you share an update on traction for your fund reporting product in financial services, particularly across North America and Europe? / A: Workiva has been expanding its financial services footprint in both the U.S. and Europe, and the company is very encouraged by the strong traction for fund reporting. The company recently added public fund reporting capability to its existing private fund offering, and while public fund adoption is still in early stages, it is seeing strong early demand especially from large enterprise customers, which aligns with Workiva's core market strength.

Q: What early customer feedback have you received on your new AI agent products, and what is the monetization potential for these new capabilities? / A: The new purpose-built AI agents help customers complete work faster while maintaining the governance and traceability required for regulated reporting, which is Workiva's key differentiator. All new AI capabilities are included in the company's premium/advanced tier offerings under its good-better-best pricing framework. The company has seen strong early traction for premium tiers, both when onboarding new customers and at renewal for existing customers, and expects continued migration of the existing customer base to higher tiers to drive incremental monetization over time.