Mature cash compounder
Evidence-ready monitoring baseline
- Posture
- Evidence-ready monitoring baseline
- Business phase
- 5
- Next proof
- Two-quarter Software deceleration, Free-cash-flow guidance reduction, Gross-margin deterioration
- Valuation
- Unavailable
| # | KPI | Baseline | Next threshold | Signal | Investor read | Source |
|---|---|---|---|---|---|---|
| 1 | RevenueQ2 FY2026 | $17.2B | Next comparable update | Improving | +1.1% YoY | Revenue official source (2026-07-22) |
| 2 | Gross profitQ2 FY2026 | $9.9B | Next comparable update | Deteriorating | -0.7% YoY | Gross profit official source (2026-07-22) |
| 3 | Operating cash flowQ2 FY2026 | $2.6B | Next comparable update | Improving | +52.7% YoY | Operating cash flow official source (2026-07-22) |
| 4 | Gross marginQ2 FY2026 | 57.7% | Next comparable update | Deteriorating | -110 bps YoY | Gross margin official source (2026-07-22) |
| 5 | Capital expendituresQ2 FY2026 | $359M | Next comparable update | Deteriorating | +6.8% YoY | Capital expenditures official source (2026-07-22) |
| 6 | Free cash flowQ2 FY2026 | $2.5B | Next comparable update | Deteriorating | -10.7% YoY | Free cash flow official source (2026-07-22) |
| 7 | Total debtQ2 FY2026 | $62B | Stay at or below $65B | Near threshold | The KPI is still on the safe side, but close enough that the next update matters. | Total debt official source (2026-07-23) |
| 8 | Net income attributable to commonQ2 FY2026 | $2.2B | Next comparable update | Deteriorating | -1.3% YoY | Net income attributable to common official source (2026-07-22) |
| 9 | Diluted EPSQ2 FY2026 | 2.27 | Next comparable update | Deteriorating | -1.7% YoY | Diluted EPS official source (2026-07-22) |
| 10 | Diluted weighted-average sharesQ2 FY2026 | 953.3M | Next comparable update | Deteriorating | +0.6% YoY | Diluted weighted-average shares official source (2026-07-22) |
| 11 | Software revenueQ2 FY2026 | $7.8B | Next comparable update | Improving | +5.1% YoY | Software revenue official source (2026-07-22) |
| 12 | Consulting revenueQ2 FY2026 | $5.3B | Next comparable update | Improving | +0.2% YoY | Consulting revenue official source (2026-07-22) |
| 13 | Infrastructure revenueQ2 FY2026 | $3.8B | Next comparable update | Deteriorating | -7.4% YoY | Infrastructure revenue official source (2026-07-22) |
| 14 | Interest ExpenseQ2 FY2026 | $486M | Next comparable update | Improving | -4.7% YoY | Interest Expense official source (2026-07-22) |
How to read the scorecard: Signals compare the latest baseline with the stated decision threshold. “Monitor” means the public handoff has one valid baseline but no compatible prior observation; it is not a positive or negative call.
KPI ontology coverage
Company definitions: 0. Coverage: Company definition is supported only by private or local provenance.; Company definition is supported only by private or local provenance.; Company definition is supported only by private or local provenance.; Company definition is supported only by private or local provenance.; Company definition is supported only by private or local provenance.; Company definition is supported only by private or local provenance.; Company definition is supported only by private or local provenance.; Company definition is supported only by private or local provenance.; Company definition is supported only by private or local provenance.; Company definition is supported only by private or local provenance.; Company definition is supported only by private or local provenance.; Company definition is supported only by private or local provenance.
| Module | Level | Version |
|---|---|---|
| Diversified technology | sector | v1 |
| Enterprise software and SaaS | business_model | v1 |
| Special situations | cross_cutting | v1 |
| Universal financial core | universal | v1 |
Quarterly KPI trajectory
Coverage: 157 reported observations across a 12-quarter snapshot; 1 explicit gaps. 157 reported. Acquisition status: active.
| KPI | Current | Previous quarter | Year ago | QoQ | YoY | Eight-quarter trend | Management explanation | Investor interpretation | Source |
|---|---|---|---|---|---|---|---|---|---|
| Interest Expense | $486M (Q2 FY2026) | $473M (Q1 FY2026) | $510M (Q2 FY2025) | +2.7% | -4.7% | $429M → $424M → $455M → $510M → $492M → $478M → $473M → $486M | The filed statements quantify the earnings, share-count and interest changes, but the current packet does not provide one complete metric-specific attribution; the remaining movement is treated as an explicit unexplained residual rather than inferred as a single operating cause. (unknown) | improving; no threshold configured; confidence high | Primary source (2026-07-22) |
| Capital expenditures | $359M (Q2 FY2026) | $384M (Q1 FY2026) | $336M (Q2 FY2025) | -6.5% | +6.8% | $55M → $422M → $321M → $336M → $410M → $550M → $384M → $359M | Management described inventory build and front-loaded capital expenditure and cash-tax timing as the main first-half cash-flow drags, while retaining the full-year free-cash-flow expectation. (temporary) | deteriorating; no threshold configured; confidence high | Primary source (2026-07-22) |
| Consulting revenue | $5.3B (Q2 FY2026) | $5.3B (Q1 FY2026) | $5.3B (Q2 FY2025) | +1.0% | +0.2% | $5.2B → $5.2B → $5.1B → $5.3B → $5.3B → $5.3B → $5.3B → $5.3B | Management attributed the late-quarter shortfall principally to client capital-expenditure timing and said the affected demand was deferred rather than destroyed; the durability of that explanation remains a monitoring question. (temporary) | improving; no threshold configured; confidence high | Primary source (2026-07-22) |
| Diluted EPS | 2.27 (Q2 FY2026) | 1.28 (Q1 FY2026) | 2.31 (Q2 FY2025) | +77.3% | -1.7% | -0.34 → 3.11 → 1.12 → 2.31 → 1.84 → 5.86 → 1.28 → 2.27 | The filed statements quantify the earnings, share-count and interest changes, but the current packet does not provide one complete metric-specific attribution; the remaining movement is treated as an explicit unexplained residual rather than inferred as a single operating cause. (unknown) | deteriorating; no threshold configured; confidence high | Primary source (2026-07-22) |
| Diluted weighted-average shares | 953.3M (Q2 FY2026) | 952.1M (Q1 FY2026) | 948M (Q2 FY2025) | +0.1% | +0.6% | 923.6M → 942.4M → 945.4M → 948M → 948.9M → 952.4M → 952.1M → 953.3M | The filed statements quantify the earnings, share-count and interest changes, but the current packet does not provide one complete metric-specific attribution; the remaining movement is treated as an explicit unexplained residual rather than inferred as a single operating cause. (unknown) | deteriorating; no threshold configured; confidence high | Primary source (2026-07-22) |
| Free cash flow | $2.5B (Q2 FY2026) | $2.2B (Q1 FY2026) | $2.8B (Q2 FY2025) | +14.4% | -10.7% | $2.1B → $6.2B → $2B → $2.8B → $2.4B → $7.6B → $2.2B → $2.5B | Management described inventory build and front-loaded capital expenditure and cash-tax timing as the main first-half cash-flow drags, while retaining the full-year free-cash-flow expectation. (temporary) | deteriorating; no threshold configured; confidence high | Primary source (2026-07-22) |
| Gross margin | 57.7% (Q2 FY2026) | 56.2% (Q1 FY2026) | 58.8% (Q2 FY2025) | +150 bps | -110 bps | 56.3% → 59.5% → 55.2% → 58.8% → 57.3% → 60.6% → 56.2% → 57.7% | Management linked gross-profit pressure to the revenue shortfall, business mix and acquisition dilution, partly offset by productivity actions. (unknown) | deteriorating; no threshold configured; confidence high | Primary source (2026-07-22) |
| Gross profit | $9.9B (Q2 FY2026) | $9B (Q1 FY2026) | $10B (Q2 FY2025) | +10.7% | -0.7% | $8.4B → $10.4B → $8B → $10B → $9.4B → $11.9B → $9B → $9.9B | Management linked gross-profit pressure to the revenue shortfall, business mix and acquisition dilution, partly offset by productivity actions. (unknown) | deteriorating; no threshold configured; confidence high | Primary source (2026-07-22) |
| Infrastructure revenue | $3.8B (Q2 FY2026) | $3.3B (Q1 FY2026) | $4.1B (Q2 FY2025) | +15.3% | -7.4% | $3B → $4.3B → $2.9B → $4.1B → $3.6B → $5.1B → $3.3B → $3.8B | Management attributed the late-quarter shortfall principally to client capital-expenditure timing and said the affected demand was deferred rather than destroyed; the durability of that explanation remains a monitoring question. (temporary) | deteriorating; no threshold configured; confidence high | Primary source (2026-07-22) |
| Net income attributable to common | $2.2B (Q2 FY2026) | $1.2B (Q1 FY2026) | $2.2B (Q2 FY2025) | +78.0% | -1.3% | $-330M → $2.9B → $1.1B → $2.2B → $1.7B → $5.6B → $1.2B → $2.2B | The filed statements quantify the earnings, share-count and interest changes, but the current packet does not provide one complete metric-specific attribution; the remaining movement is treated as an explicit unexplained residual rather than inferred as a single operating cause. (unknown) | deteriorating; no threshold configured; confidence high | Primary source (2026-07-22) |
| Operating cash flow | $2.6B (Q2 FY2026) | $5.2B (Q1 FY2026) | $1.7B (Q2 FY2025) | -49.8% | +52.7% | $2.9B → $4.3B → $4.4B → $1.7B → $3.1B → $4B → $5.2B → $2.6B | Management described inventory build and front-loaded capital expenditure and cash-tax timing as the main first-half cash-flow drags, while retaining the full-year free-cash-flow expectation. (temporary) | improving; no threshold configured; confidence high | Primary source (2026-07-22) |
| Revenue | $17.2B (Q2 FY2026) | $15.9B (Q1 FY2026) | $17B (Q2 FY2025) | +7.8% | +1.1% | $15B → $17.6B → $14.5B → $17B → $16.3B → $19.7B → $15.9B → $17.2B | Management attributed the late-quarter shortfall principally to client capital-expenditure timing and said the affected demand was deferred rather than destroyed; the durability of that explanation remains a monitoring question. (temporary) | improving; no threshold configured; confidence high | Primary source (2026-07-22) |
| Software revenue | $7.8B (Q2 FY2026) | $7.1B (Q1 FY2026) | $7.4B (Q2 FY2025) | +10.1% | +5.1% | $6.5B → $7.9B → $6.3B → $7.4B → $7.2B → $9B → $7.1B → $7.8B | Management attributed the late-quarter shortfall principally to client capital-expenditure timing and said the affected demand was deferred rather than destroyed; the durability of that explanation remains a monitoring question. (temporary) | improving; no threshold configured; confidence high | Primary source (2026-07-22) |
| Total debt | $62B (Q2 FY2026) | — | — | — | — | $62B | No supported explanation | insufficient_data; no threshold configured; confidence low | Primary source (2026-07-23) |
Complete 12-quarter reported history
| KPI | Period | Value | QoQ | YoY | Source |
|---|---|---|---|---|---|
| Capital expenditures | Q2 FY2026 | $359M | -6.5% | +6.8% | Primary source (2026-07-22) |
| Capital expenditures | Q1 FY2026 | $384M | -30.2% | +19.6% | Primary source (2026-04-22) |
| Capital expenditures | Q4 FY2025 | $550M | +34.1% | +30.3% | Primary source (2026-01-28) |
| Capital expenditures | Q3 FY2025 | $410M | +22.0% | +645.5% | Primary source (2025-10-22) |
| Capital expenditures | Q2 FY2025 | $336M | +4.7% | -15.8% | Primary source (2025-07-23) |
| Capital expenditures | Q1 FY2025 | $321M | -23.9% | -11.1% | Primary source (2025-04-23) |
| Capital expenditures | Q4 FY2024 | $422M | +667.3% | +60.5% | Primary source (2025-01-29) |
| Capital expenditures | Q3 FY2024 | $55M | -86.2% | -80.5% | Primary source (2024-10-23) |
| Capital expenditures | Q2 FY2024 | $399M | +10.5% | — | Primary source (2024-07-24) |
| Capital expenditures | Q1 FY2024 | $361M | +37.3% | — | Primary source (2024-04-24) |
| Capital expenditures | Q4 FY2023 | $263M | -6.7% | — | Primary source (2024-01-24) |
| Capital expenditures | Q3 FY2023 | $282M | — | — | Primary source (2023-10-25) |
| Consulting revenue | Q2 FY2026 | $5.3B | +1.0% | +0.2% | Primary source (2026-07-22) |
| Consulting revenue | Q1 FY2026 | $5.3B | -1.4% | +4.0% | Primary source (2026-04-22) |
| Consulting revenue | Q4 FY2025 | $5.3B | +0.5% | +3.4% | Primary source (2026-01-28) |
| Consulting revenue | Q3 FY2025 | $5.3B | +0.2% | +3.3% | Primary source (2025-10-22) |
| Consulting revenue | Q2 FY2025 | $5.3B | +4.9% | +2.6% | Primary source (2025-07-23) |
| Consulting revenue | Q1 FY2025 | $5.1B | -2.1% | -2.3% | Primary source (2025-04-23) |
| Consulting revenue | Q4 FY2024 | $5.2B | +0.4% | +2.5% | Primary source (2025-01-29) |
| Consulting revenue | Q3 FY2024 | $5.2B | -0.5% | +3.8% | Primary source (2024-10-23) |
| Consulting revenue | Q2 FY2024 | $5.2B | -0.1% | — | Primary source (2024-07-24) |
| Consulting revenue | Q1 FY2024 | $5.2B | +2.7% | — | Primary source (2024-04-24) |
| Consulting revenue | Q4 FY2023 | $5B | +1.7% | — | Primary source (2024-01-24) |
| Consulting revenue | Q3 FY2023 | $5B | — | — | Primary source (2023-10-25) |
| Diluted EPS | Q2 FY2026 | 2.27 | +77.3% | -1.7% | Primary source (2026-07-22) |
| Diluted EPS | Q1 FY2026 | 1.28 | -78.2% | +14.3% | Primary source (2026-04-22) |
| Diluted EPS | Q4 FY2025 | 5.86 | +218.5% | +88.4% | Primary source (2026-01-28) |
| Diluted EPS | Q3 FY2025 | 1.84 | -20.3% | +641.2% | Primary source (2025-10-22) |
| Diluted EPS | Q2 FY2025 | 2.31 | +106.2% | +17.9% | Primary source (2025-07-23) |
| Diluted EPS | Q1 FY2025 | 1.12 | -64.0% | -33.7% | Primary source (2025-04-23) |
| Diluted EPS | Q4 FY2024 | 3.11 | +1014.7% | -12.1% | Primary source (2025-01-29) |
| Diluted EPS | Q3 FY2024 | -0.34 | -117.3% | -118.3% | Primary source (2024-10-23) |
| Diluted EPS | Q2 FY2024 | 1.96 | +16.0% | — | Primary source (2024-07-24) |
| Diluted EPS | Q1 FY2024 | 1.69 | -52.3% | — | Primary source (2024-04-24) |
| Diluted EPS | Q4 FY2023 | 3.54 | +90.3% | — | Primary source (2024-01-24) |
| Diluted EPS | Q3 FY2023 | 1.86 | — | — | Primary source (2023-10-25) |
| Diluted weighted-average shares | Q2 FY2026 | 953.3M | +0.1% | +0.6% | Primary source (2026-07-22) |
| Diluted weighted-average shares | Q1 FY2026 | 952.1M | -0.0% | +0.7% | Primary source (2026-04-22) |
| Diluted weighted-average shares | Q4 FY2025 | 952.4M | +0.4% | +1.1% | Primary source (2026-01-28) |
| Diluted weighted-average shares | Q3 FY2025 | 948.9M | +0.1% | +2.7% | Primary source (2025-10-22) |
| Diluted weighted-average shares | Q2 FY2025 | 948M | +0.3% | +1.5% | Primary source (2025-07-23) |
| Diluted weighted-average shares | Q1 FY2025 | 945.4M | +0.3% | +1.3% | Primary source (2025-04-23) |
| Diluted weighted-average shares | Q4 FY2024 | 942.4M | +2.0% | +1.6% | Primary source (2025-01-29) |
| Diluted weighted-average shares | Q3 FY2024 | 923.6M | -1.2% | -0.0% | Primary source (2024-10-23) |
| Diluted weighted-average shares | Q2 FY2024 | 934.4M | +0.1% | — | Primary source (2024-07-24) |
| Diluted weighted-average shares | Q1 FY2024 | 933.4M | +0.7% | — | Primary source (2024-04-24) |
| Diluted weighted-average shares | Q4 FY2023 | 927.3M | +0.4% | — | Primary source (2024-01-24) |
| Diluted weighted-average shares | Q3 FY2023 | 923.7M | — | — | Primary source (2023-10-25) |
| Free cash flow | Q2 FY2026 | $2.5B | +14.4% | -10.7% | Primary source (2026-07-22) |
| Free cash flow | Q1 FY2026 | $2.2B | -70.6% | +13.1% | Primary source (2026-04-22) |
| Free cash flow | Q4 FY2025 | $7.6B | +218.3% | +22.6% | Primary source (2026-01-28) |
| Free cash flow | Q3 FY2025 | $2.4B | -16.6% | +15.0% | Primary source (2025-10-22) |
| Free cash flow | Q2 FY2025 | $2.8B | +45.0% | +8.9% | Primary source (2025-07-23) |
| Free cash flow | Q1 FY2025 | $2B | -68.2% | +2.7% | Primary source (2025-04-23) |
| Free cash flow | Q4 FY2024 | $6.2B | +198.6% | +1.2% | Primary source (2025-01-29) |
| Free cash flow | Q3 FY2024 | $2.1B | -21.0% | +22.7% | Primary source (2024-10-23) |
| Free cash flow | Q2 FY2024 | $2.6B | +36.8% | — | Primary source (2024-07-24) |
| Free cash flow | Q1 FY2024 | $1.9B | -68.6% | — | Primary source (2024-04-24) |
| Free cash flow | Q4 FY2023 | $6.1B | +261.9% | — | Primary source (2024-01-24) |
| Free cash flow | Q3 FY2023 | $1.7B | — | — | Primary source (2023-10-25) |
| Gross margin | Q2 FY2026 | 57.7% | +150 bps | -110 bps | Primary source (2026-07-22) |
| Gross margin | Q1 FY2026 | 56.2% | -440 bps | +100 bps | Primary source (2026-04-22) |
| Gross margin | Q4 FY2025 | 60.6% | +330 bps | +110 bps | Primary source (2026-01-28) |
| Gross margin | Q3 FY2025 | 57.3% | -150 bps | +100 bps | Primary source (2025-10-22) |
| Gross margin | Q2 FY2025 | 58.8% | +360 bps | +200 bps | Primary source (2025-07-23) |
| Gross margin | Q1 FY2025 | 55.2% | -430 bps | +170 bps | Primary source (2025-04-23) |
| Gross margin | Q4 FY2024 | 59.5% | +320 bps | +40 bps | Primary source (2025-01-29) |
| Gross margin | Q3 FY2024 | 56.3% | -50 bps | +190 bps | Primary source (2024-10-23) |
| Gross margin | Q2 FY2024 | 56.8% | +330 bps | — | Primary source (2024-07-24) |
| Gross margin | Q1 FY2024 | 53.5% | -560 bps | — | Primary source (2024-04-24) |
| Gross margin | Q4 FY2023 | 59.1% | +470 bps | — | Primary source (2024-01-24) |
| Gross margin | Q3 FY2023 | 54.4% | — | — | Primary source (2023-10-25) |
| Gross profit | Q2 FY2026 | $9.9B | +10.7% | -0.7% | Primary source (2026-07-22) |
| Gross profit | Q1 FY2026 | $9B | -25.0% | +11.4% | Primary source (2026-04-22) |
| Gross profit | Q4 FY2025 | $11.9B | +27.4% | +14.3% | Primary source (2026-01-28) |
| Gross profit | Q3 FY2025 | $9.4B | -6.2% | +11.2% | Primary source (2025-10-22) |
| Gross profit | Q2 FY2025 | $10B | +24.2% | +11.5% | Primary source (2025-07-23) |
| Gross profit | Q1 FY2025 | $8B | -23.1% | +3.7% | Primary source (2025-04-23) |
| Gross profit | Q4 FY2024 | $10.4B | +24.0% | +1.7% | Primary source (2025-01-29) |
| Gross profit | Q3 FY2024 | $8.4B | -5.9% | +4.9% | Primary source (2024-10-23) |
| Gross profit | Q2 FY2024 | $9B | +15.6% | — | Primary source (2024-07-24) |
| Gross profit | Q1 FY2024 | $7.7B | -24.6% | — | Primary source (2024-04-24) |
| Gross profit | Q4 FY2023 | $10.3B | +28.0% | — | Primary source (2024-01-24) |
| Gross profit | Q3 FY2023 | $8B | — | — | Primary source (2023-10-25) |
| Infrastructure revenue | Q2 FY2026 | $3.8B | +15.3% | -7.4% | Primary source (2026-07-22) |
| Infrastructure revenue | Q1 FY2026 | $3.3B | -35.2% | +15.2% | Primary source (2026-04-22) |
| Infrastructure revenue | Q4 FY2025 | $5.1B | +44.2% | +20.6% | Primary source (2026-01-28) |
| Infrastructure revenue | Q3 FY2025 | $3.6B | -14.1% | +17.0% | Primary source (2025-10-22) |
| Infrastructure revenue | Q2 FY2025 | $4.1B | +43.5% | +13.6% | Primary source (2025-07-23) |
| Infrastructure revenue | Q1 FY2025 | $2.9B | -32.2% | -6.2% | Primary source (2025-04-23) |
| Infrastructure revenue | Q4 FY2024 | $4.3B | +39.9% | -7.6% | Primary source (2025-01-29) |
| Infrastructure revenue | Q3 FY2024 | $3B | -16.5% | -7.0% | Primary source (2024-10-23) |
| Infrastructure revenue | Q2 FY2024 | $3.6B | +18.5% | — | Primary source (2024-07-24) |
| Infrastructure revenue | Q1 FY2024 | $3.1B | -33.2% | — | Primary source (2024-04-24) |
| Infrastructure revenue | Q4 FY2023 | $4.6B | +40.7% | — | Primary source (2024-01-24) |
| Infrastructure revenue | Q3 FY2023 | $3.3B | — | — | Primary source (2023-10-25) |
| Interest Expense | Q2 FY2026 | $486M | +2.7% | -4.7% | Primary source (2026-07-22) |
| Interest Expense | Q1 FY2026 | $473M | -1.0% | +4.0% | Primary source (2026-04-22) |
| Interest Expense | Q4 FY2025 | $478M | -2.8% | +12.7% | Primary source (2026-01-28) |
| Interest Expense | Q3 FY2025 | $492M | -3.5% | +14.7% | Primary source (2025-10-22) |
| Interest Expense | Q2 FY2025 | $510M | +12.1% | +19.4% | Primary source (2025-07-23) |
| Interest Expense | Q1 FY2025 | $455M | +7.3% | +5.3% | Primary source (2025-04-23) |
| Interest Expense | Q4 FY2024 | $424M | -1.2% | +4.7% | Primary source (2025-01-29) |
| Interest Expense | Q3 FY2024 | $429M | +0.5% | +4.1% | Primary source (2024-10-23) |
| Interest Expense | Q2 FY2024 | $427M | -1.2% | — | Primary source (2024-07-24) |
| Interest Expense | Q1 FY2024 | $432M | +6.7% | — | Primary source (2024-04-24) |
| Interest Expense | Q4 FY2023 | $405M | -1.7% | — | Primary source (2024-01-24) |
| Interest Expense | Q3 FY2023 | $412M | — | — | Primary source (2023-10-25) |
| Net income attributable to common | Q2 FY2026 | $2.2B | +78.0% | -1.3% | Primary source (2026-07-22) |
| Net income attributable to common | Q1 FY2026 | $1.2B | -78.3% | +15.3% | Primary source (2026-04-22) |
| Net income attributable to common | Q4 FY2025 | $5.6B | +221.1% | +92.1% | Primary source (2026-01-28) |
| Net income attributable to common | Q3 FY2025 | $1.7B | -20.5% | +628.5% | Primary source (2025-10-22) |
| Net income attributable to common | Q2 FY2025 | $2.2B | +108.0% | +19.6% | Primary source (2025-07-23) |
| Net income attributable to common | Q1 FY2025 | $1.1B | -63.8% | -34.3% | Primary source (2025-04-23) |
| Net income attributable to common | Q4 FY2024 | $2.9B | +983.3% | -11.3% | Primary source (2025-01-29) |
| Net income attributable to common | Q3 FY2024 | $-330M | -118.0% | -119.4% | Primary source (2024-10-23) |
| Net income attributable to common | Q2 FY2024 | $1.8B | +14.3% | — | Primary source (2024-07-24) |
| Net income attributable to common | Q1 FY2024 | $1.6B | -51.2% | — | Primary source (2024-04-24) |
| Net income attributable to common | Q4 FY2023 | $3.3B | +93.0% | — | Primary source (2024-01-24) |
| Net income attributable to common | Q3 FY2023 | $1.7B | — | — | Primary source (2023-10-25) |
| Operating cash flow | Q2 FY2026 | $2.6B | -49.8% | +52.7% | Primary source (2026-07-22) |
| Operating cash flow | Q1 FY2026 | $5.2B | +27.9% | +18.3% | Primary source (2026-04-22) |
| Operating cash flow | Q4 FY2025 | $4B | +31.1% | -6.7% | Primary source (2026-01-28) |
| Operating cash flow | Q3 FY2025 | $3.1B | +81.1% | +6.9% | Primary source (2025-10-22) |
| Operating cash flow | Q2 FY2025 | $1.7B | -61.1% | -17.7% | Primary source (2025-07-23) |
| Operating cash flow | Q1 FY2025 | $4.4B | +0.9% | +4.8% | Primary source (2025-04-23) |
| Operating cash flow | Q4 FY2024 | $4.3B | +50.3% | -3.0% | Primary source (2025-01-29) |
| Operating cash flow | Q3 FY2024 | $2.9B | +39.4% | -5.7% | Primary source (2024-10-23) |
| Operating cash flow | Q2 FY2024 | $2.1B | -50.4% | — | Primary source (2024-07-24) |
| Operating cash flow | Q1 FY2024 | $4.2B | -6.6% | — | Primary source (2024-04-24) |
| Operating cash flow | Q4 FY2023 | $4.5B | +46.1% | — | Primary source (2024-01-24) |
| Operating cash flow | Q3 FY2023 | $3.1B | — | — | Primary source (2023-10-25) |
| Revenue | Q2 FY2026 | $17.2B | +7.8% | +1.1% | Primary source (2026-07-22) |
| Revenue | Q1 FY2026 | $15.9B | -19.1% | +9.5% | Primary source (2026-04-22) |
| Revenue | Q4 FY2025 | $19.7B | +20.5% | +12.2% | Primary source (2026-01-28) |
| Revenue | Q3 FY2025 | $16.3B | -3.8% | +9.1% | Primary source (2025-10-22) |
| Revenue | Q2 FY2025 | $17B | +16.8% | +7.7% | Primary source (2025-07-23) |
| Revenue | Q1 FY2025 | $14.5B | -17.2% | +0.5% | Primary source (2025-04-23) |
| Revenue | Q4 FY2024 | $17.6B | +17.3% | +1.0% | Primary source (2025-01-29) |
| Revenue | Q3 FY2024 | $15B | -5.1% | +1.5% | Primary source (2024-10-23) |
| Revenue | Q2 FY2024 | $15.8B | +9.0% | — | Primary source (2024-07-24) |
| Revenue | Q1 FY2024 | $14.5B | -16.8% | — | Primary source (2024-04-24) |
| Revenue | Q4 FY2023 | $17.4B | +17.8% | — | Primary source (2024-01-24) |
| Revenue | Q3 FY2023 | $14.8B | — | — | Primary source (2023-10-25) |
| Software revenue | Q2 FY2026 | $7.8B | +10.1% | +5.1% | Primary source (2026-07-22) |
| Software revenue | Q1 FY2026 | $7.1B | -21.9% | +11.3% | Primary source (2026-04-22) |
| Software revenue | Q4 FY2025 | $9B | +25.3% | +14.0% | Primary source (2026-01-28) |
| Software revenue | Q3 FY2025 | $7.2B | -2.4% | +10.5% | Primary source (2025-10-22) |
| Software revenue | Q2 FY2025 | $7.4B | +16.6% | +9.6% | Primary source (2025-07-23) |
| Software revenue | Q1 FY2025 | $6.3B | -20.0% | +7.4% | Primary source (2025-04-23) |
| Software revenue | Q4 FY2024 | $7.9B | +21.5% | +5.5% | Primary source (2025-01-29) |
| Software revenue | Q3 FY2024 | $6.5B | -3.2% | +4.1% | Primary source (2024-10-23) |
| Software revenue | Q2 FY2024 | $6.7B | +14.2% | — | Primary source (2024-07-24) |
| Software revenue | Q1 FY2024 | $5.9B | -21.5% | — | Primary source (2024-04-24) |
| Software revenue | Q4 FY2023 | $7.5B | +19.9% | — | Primary source (2024-01-24) |
| Software revenue | Q3 FY2023 | $6.3B | — | — | Primary source (2023-10-25) |
| Total debt | Q2 FY2026 | $62B | — | — | Primary source (2026-07-23) |
Thesis signals
Thesis pillars
- Software durabilityRecurring Software economics sustain consolidated growth and margin quality through slower Consulting and infrastructure cycles.
- Cash conversionProductivity and mix preserve annual free-cash-flow growth despite slower revenue and financing costs.
- Capital-allocation disciplineDividends and acquisitions remain covered while debt and dilution stay compatible with a resilient investment-grade balance sheet.
Catalysts
- Software-led cash confirmationSustained Software growth, stable gross margin and preserved 2026 free-cash-flow guidance would strengthen the base case.
- Consulting stabilizationImproving Consulting demand and margin would reduce the main source of mix and execution pressure.
Risks
- Growth and margin pressureQ2 2026 gross margin fell 110 basis points year over year, Infrastructure revenue fell 7.4%, and free cash flow fell 10.7%; the sequential rebound has not yet established durable annual improvement.
- Acquisition and leverage opacityConfluent integration and acquired contribution are active, while deal-level cost and synergy attribution remains incomplete and total debt is USD 61.99 billion.
- Valuation sensitivityThe intrinsic FCFF range is terminal-value sensitive; the static package therefore presents assumptions and scenario dispersion without a market-price comparison.
Monitoring triggers
- Two-quarter Software decelerationTrigger when year-over-year Software revenue growth decelerates in two consecutive reported quarters.
- Free-cash-flow guidance reductionTrigger when company-defined annual free-cash-flow guidance is withdrawn or falls below the FY2025 USD 14.7 billion baseline.
- Gross-margin deteriorationTrigger when consolidated gross margin declines year over year in two consecutive reported quarters.
Evidence limits
Conflicts
- None reported.
Gaps
- None reported.
Public sources
- Primary source (2026-07-23)
- Primary source (2026-07-22)
- Primary source (2026-04-22)
- Primary source (2026-01-28)
- Primary source (2025-10-22)
- Primary source (2025-07-23)
- Primary source (2025-04-23)
- Primary source (2025-01-29)
- Primary source (2024-10-23)
- Primary source (2024-07-24)
- Primary source (2024-04-24)
- Primary source (2024-01-24)
- Primary source (2023-10-25)