GET DAILY SIGNALSWorkiva (WK) Q3 2026 Earnings: Revenue Rises 17.3% but EPS and Guidance Come Up Short
Key Takeaways
- Workiva reported third-quarter 2026 revenue of $263 million, up 17.3% year over year and slightly above the consensus estimate of roughly $261.4 million.
- Non-GAAP (adjusted) earnings per share (EPS) came in at $0.72, below the $0.80 consensus, even as non-GAAP operating income of $48.25 million beat expectations.
- GAAP (Generally Accepted Accounting Principles) net income swung to $19 million, or $0.35 per share, from $3 million, or $0.05 per share, a year earlier.
- Management guided fourth-quarter revenue to $275–$278 million and adjusted EPS to $0.78–$0.80, both below consensus, and lowered full-year adjusted EPS guidance to $2.80–$2.83.
- Net revenue retention was 110% and gross retention was 97%, with 6,840 customers at quarter end; billings rose 10.8% to $287 million.
- For deeper context on Workiva's latest developments, explore dedicated pages on major news, today's price move, price targets, and forecasts.
Why These Results Matter
Workiva's quarterly earnings serve as an important indicator of demand in financial reporting, sustainability, and governance, risk, and compliance (GRC) software. The company has established a pattern of steady, above-average growth through larger enterprise deals and deeper penetration within its existing customer base. This quarter stood out as a test of whether that expansion could hold while profitability moved closer to long-term goals. Revenue durability, non-GAAP operating margin, and net revenue retention were all areas investors monitored closely.
Breaking Down the Numbers
Workiva delivered third-quarter 2026 revenue of $263 million, a 17.3% increase from the prior year and slightly ahead of the consensus estimate of approximately $261.4 million. Both subscription and total revenue grew 17% year over year. Non-GAAP operating income reached $48.25 million, representing an 18.3% margin and beating the consensus estimate of roughly $44.93 million. Non-GAAP operating margin expanded by 560 basis points compared with a year ago, while GAAP operating margin improved to 6.8% from -1.5% in the third quarter of 2025.
On the bottom line, non-GAAP EPS was $0.72, below the $0.80 consensus, while GAAP net income was $19 million, or $0.35 per share, versus $3 million a year earlier. Free cash flow rose to $69 million from $46 million in the prior-year period. Customer metrics remained solid: net revenue retention was 110%, gross retention was 97%, and total customers grew to 6,840. Large contracts continued to outpace the base, with annual contract value (ACV) cohorts above $100,000, $300,000, and $500,000 all growing 20% or more. I also checked this using Tickeron’s AI Screener to compare the stock with others in the industry.
Market Reaction and Investor Sentiment
Workiva shares were roughly flat near $85.50 immediately after the report, reflecting a mixed reception. The revenue beat and strong operating-margin expansion were offset by an adjusted EPS miss and guidance that came in below consensus, particularly on the bottom line. The stock had risen roughly 31% over the prior three months, suggesting investors had priced in continued momentum. The fourth-quarter adjusted EPS guide of $0.78–$0.80, well below the $1.03 consensus, and the reduced full-year adjusted EPS outlook appeared to temper enthusiasm despite the company's improving profitability.
Forward Outlook and Key Factors to Monitor
Looking ahead, investors will focus on whether Workiva can sustain its revenue growth while continuing to expand non-GAAP operating margin toward its stated long-term targets. Management had previously signaled confidence in scaling profitability, and this quarter's 18.3% non-GAAP margin marked meaningful progress. The key question is whether that operating leverage translates more fully into bottom-line earnings, given the gap between the adjusted EPS result and consensus expectations.
Retention metrics will remain a closely watched signal. A net revenue retention rate of 110% indicates existing customers are expanding their use of the platform, but the slight decline from 111% in the prior quarter is worth monitoring. Growth in large ACV cohorts and multi-solution deals also provides a window into demand durability across Workiva's expanding product portfolio.
Finally, the balance sheet and cash generation matter. Free cash flow improved to $69 million, but Workiva continues to carry convertible senior notes, including roughly $702 million in 1.250% notes due in 2028, and has reported a stockholders' deficit. How management balances share repurchases, debt obligations, and reinvestment will shape the company's financial flexibility over the coming quarters.
Using Tickeron Tools in My Research
When evaluating companies like Workiva, I find Tickeron’s AI Screener particularly helpful for quickly filtering stocks by fundamentals, technical patterns, and industry trends. It allows me to scan thousands of names efficiently and spot comparable opportunities in the software sector without spending hours on manual analysis. This kind of tool fits naturally into a routine review of earnings and valuation metrics.
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Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
WK's MACD Histogram just turned positive
The Moving Average Convergence Divergence (MACD) for WK turned positive on October 08, 2026. Looking at past instances where WK's MACD turned positive, the stock continued to rise in 41 of 53 cases over the following month. The odds of a continued upward trend are 77%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on October 06, 2026. You may want to consider a long position or call options on WK as a result. In 73 of 96 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 76%.
WK moved above its 50-day moving average on October 07, 2026 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for WK crossed bullishly above the 50-day moving average on October 15, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 9 of 14 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 64%.
Following a +2.58% 3-day Advance, the price is estimated to grow further. Considering data from situations where WK advanced for three days, in 205 of 291 cases, the price rose further within the following month. The odds of a continued upward trend are 70%.
The Aroon Indicator entered an Uptrend today. In 115 of 152 cases where WK Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 76%.
Bearish Trend Analysis
The 10-day RSI Indicator for WK moved out of overbought territory on October 28, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 22 similar instances where the indicator moved out of overbought territory. In 15 of the 22 cases, the stock moved lower in the following days. This puts the odds of a move lower at 68%.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 14 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where WK declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 73%.
WK broke above its upper Bollinger Band on October 20, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron Price Growth Rating for this company is 36 (best 1 - 100 worst), indicating steady price growth. WK’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of 62 (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (-47.804) is normal, around the industry mean (-2.611). P/E Ratio (100.329) is within average values for comparable stocks, (15.348). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (2.824). Dividend Yield (0.000) settles around the average of (0.067) among similar stocks. P/S Ratio (4.227) is also within normal values, averaging (70.854).
The Tickeron Seasonality Score of 85 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron PE Growth Rating for this company is 91 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 100 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. WK’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 94, placing this stock worse than average.
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General Information
a provider of business reporting solutions
Industry PackagedSoftware
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