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Okta Beats Q3 Targets and Raises Guidance as Backlog and Cash Flow Strengthen

Management emphasized securing AI agents to position the company for broader enterprise identity demand.

Overview

  • Adjusted EPS came in at $0.82 on revenue of $742 million, topping LSEG consensus on both metrics with revenue up nearly 12% year over year.
  • For Q4, Okta guided revenue to $748–$750 million and adjusted EPS to $0.84–$0.85, both above Street expectations.
  • Full-year fiscal 2026 guidance increased to $2.906–$2.908 billion in revenue and $3.43–$3.44 in adjusted EPS.
  • Remaining performance obligations rose 17% to $4.29 billion, with net cash from operations at $218 million and free cash flow at $211 million.
  • Shares fell about 3%–4% after hours as investors weighed the results against prior valuation and recent analyst price-target cuts.