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Monday.com Posts Surprise Q2 Beat as AI ARR Doubles

A July restructuring that sharpened focus on the company’s AI Work Platform has driven faster AI ARR growth, improving margins.

Overview

  • The company reported stronger-than-expected Q2 results on Monday, Aug. 10, with adjusted EPS of $1.48 and revenue of $364.62 million, topping consensus estimates.
  • Record non-GAAP operating income reached $61.1 million while GAAP operating loss narrowed to roughly $1.5 million, reflecting improved cost discipline after the restructuring.
  • Management said AI-related annual recurring revenue doubled sequentially and now makes up 17% of net new ARR, a core part of the push to productize AI across the platform.
  • Enterprise expansion accelerated, with customers generating over $100,000 in ARR up 37% year-over-year and those above $500,000 up 68%, and the company completed an $870 million share repurchase program.
  • Leadership reaffirmed mid- to high-teens revenue growth and mid-teens non-GAAP margin guidance while warning of foreign-exchange headwinds, and the stock rose about 6.35% as analysts stayed mixed but generally optimistic.