Samsara's Q2 Earnings Surpass Expectations, Revenues Rise Y/Y

Samsara Inc. IOT came out with second-quarter fiscal 2026 earnings of 12 cents per share, beating the Zacks Consensus Estimate of 7 cents by 71.4%. This compares to earnings of 5 cents per share a year ago.Samsara’s earnings beat the Zacks Consensus Estimates in each of the trailing four quarters, with an average surprise of 153.8%.Samsara posted revenues of $391.5 million for the quarter ended July 2025, surpassing the Zacks Consensus Estimate by 5.15%. This compares to year-ago revenues of $300.2 million.Samsara’s Quarterly Results in DetailSamsara reported an annual recurring revenue (ARR) of $1.64 billion in the second quarter of fiscal 2026, which grew 30% year over year. Net new ARR grew 19% year over year to reach $105 million in the second quarter of fiscal 2026.In the second quarter of fiscal 2026, Samsara added 133 new $100K+ ARR customers, bringing the total to 2,771. Samsara ended the second quarter of fiscal 2026 with 147 $1 million-plus ARR customers, adding 17 such customers in the reported quarter. IOT’s $1 million-plus ARR customers now contribute to more than 20% of total ARR.Samsara Inc. Price, Consensus and EPS Surprise Samsara Inc. price-consensus-eps-surprise-chart | Samsara Inc. QuoteGeographically, 15% of net new ACV came from outside the United States, with Europe showing sequential growth acceleration. Samsara highlights that construction contributed the highest net new ACV mix for the 8th consecutive quarter. The company’s 8% of net new ACV in the second quarter of fiscal 2026 came from products launched within the last year. Non-GAAP gross profit was $305.7 million, up from $230.8 million in the year-ago quarter. Samsara’s non-GAAP gross margin was 78%, expanding 100 basis points (bps) from the prior-year period.Non-GAAP operating income was $59.7 million compared with $17.6 million a year earlier. The non-GAAP operating margin expanded 900 bps to 15%.Balance Sheet & Cash Flow of SamsaraAs of Aug. 2, 2025, Samsara’s cash, cash equivalents, and short-term investments were $702 million, up from $698 million in the previous quarter.The company had no long-term debt at the end of the quarter, maintaining a debt-free balance sheet.Samsara generated $50.2 million in net cash from operating activities and delivered $44.2 million in adjusted free cash flow, representing an 11% adjusted FCF margin.GuidanceFor the third quarter of fiscal 2026, Samsara expects total revenues to be in the range of $398 million to $400 million, implying 24% year-over-year growth (23%–24% in constant currency). The Zacks Consensus Estimate is pegged at $394 million.The company projects a non-GAAP operating margin of 15% and anticipates non-GAAP net income per share (diluted) between 11 cents and 12 cents. The Zacks Consensus Estimate is pegged at 10 cents.For the fourth quarter of fiscal 2026, Samsara expects total revenues between $418 million and $420 million, suggesting 21% year-over-year growth (20% in constant currency). The company projects a non-GAAP operating margin of 15.5% and non-GAAP diluted EPS between 11 cents and 12 cents.For full-year fiscal 2026, Samsara expects total revenues in the range of $1.574 billion to $1.578 billion, implying 26% year-over-year growth (26% in constant currency). The Zacks Consensus Estimate is pegged at $1.55 billion.The company anticipates a non-GAAP operating margin of 15% and non-GAAP diluted EPS between 45 cents and 47 cents. The Zacks Consensus Estimate is pegged at 41 cents.Zacks Rank and Stocks to ConsiderCurrently, IOT carries a Zacks Rank #3 (Hold).Amphenol APH, F5 FFIV and CrowdStrike CRWD are some better-ranked stocks that investors can consider in the broader Zacks Computer & Technology sector. Amphenol, F5 and CrowdStrike sport a Zacks Rank #1 (Strong Buy) each at present. You can see the complete list of today’s Zacks #1 Rank stocks here.Amphenol shares have gained 59.5% year to date. The Zacks Consensus Estimate for Amphenol’s full-year 2025 earnings is pegged at $3.02 per share, up by 4 cents over the past 30 days, indicating an increase of 59.8% from the year-ago quarter’s reported figure.F5 shares have surged 22.9% year to date. The Zacks Consensus Estimate for F5’s full-year fiscal 2025 earnings is pegged at $15.38 per share, up by 0.8% over the past 30 days, indicating a gain of 15% from the year-ago quarter’s reported figure.CrowdStrike shares have gained 20.4% year to date. The Zacks Consensus Estimate for CrowdStrike’s full-year 2026 earnings per share is pegged $3.67 per share, up by 4.9% over the past seven days, indicating a decline of 6.6% from the year-ago quarter’s reported figure.#1 Semiconductor Stock to Buy (Not NVDA)The incredible demand for data is fueling the market's next digital gold rush. As data centers continue to be built and constantly upgraded, the companies that provide the hardware for these behemoths will become the NVIDIAs of tomorrow.One under-the-radar chipmaker is uniquely positioned to take advantage of the next growth stage of this market. It specializes in semiconductor products that titans like NVIDIA don't build. It's just beginning to enter the spotlight, which is exactly where you want to be.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Amphenol Corporation (APH): Free Stock Analysis Report F5, Inc. (FFIV): Free Stock Analysis Report CrowdStrike (CRWD): Free Stock Analysis Report Samsara Inc. (IOT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks