Workday Reports Strong Q2 Results, Raises FY27 Margin Guidance, Authorizes New $4B Buyback
WDAY sits 68% above its 52-week low of $110.36.
Summary
Workday reported strong Q2 fiscal 2027 results with double-digit revenue growth, significantly increased profitability, and raised its full-year operating margin guidance, alongside authorizing a new $4.0 billion share repurchase program.
Key Events · Earnings and Guidance · WDAY
-
Strong Q2 Financial Performance
Total revenues increased 13% year-over-year to $2.649 billion, with subscription services revenue up 14% to $2.471 billion. GAAP operating income rose 26% to $313 million (11.8% margin), and non-GAAP operating income increased 21% to $824 million (31.1% margin). Net income surged to $632 million from $228 million in the prior year, with diluted EPS of $2.57.
-
New $4.0 Billion Share Repurchase Program
The Board of Directors authorized an additional $4.0 billion for share repurchases, following the completion of previous programs. This program has no expiration date and may be executed through various means.
-
Raised Full-Year Operating Margin Guidance
The company increased its full-year non-GAAP operating margin guidance to 31.0%, reflecting improved profitability expectations.
-
Significant Cash Usage for Buybacks
Workday repurchased $2.9 billion of common stock during the six months ended July 31, 2026, contributing to a decrease in cash, cash equivalents, and marketable securities from $5.4 billion to $3.4 billion.
Analysis · WDAY · Technology
Workday delivered a robust second quarter, exceeding prior year performance across key financial metrics including revenue, operating income, and net income. The company's subscription revenue growth remains strong, and profitability has significantly improved. The Board's authorization of a new $4.0 billion share repurchase program signals strong confidence in future performance and a commitment to returning capital to shareholders. This follows substantial repurchases in the first half of the fiscal year, which contributed to a decrease in cash and marketable securities. The positive financial results and capital allocation strategy are key drivers for investor sentiment.
How filings like this one have moved
In the 30 days to Sep 14, 2026, 41.1% of the 372 measured filings Wiseek scored 9 moved their stock by 5% or more by the next session's close. The median move was -0.38%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, WDAY was trading at $184.95 on NASDAQ in the Technology sector, with a market capitalization of approximately $47.8B. The 52-week trading range was $110.36 to $249.85. This filing was assessed with positive market sentiment and an importance score of 9 out of 10.