01—Abstract
Summary
Summary of the 10-K filed March 5, 2026. Cited figures are marked; the original filing is the authoritative source.
Okta, Inc. (Class A common stock listed on Nasdaq under "OKTA") reported fiscal 2026 (year ended January 31, 2026) revenue of $2,919 milliona, up from $2,610 million in fiscal 2025 and $2,263 million in fiscal 2024, with the filing stating revenue growth of 12% in fiscal 2026.
Subscription revenue was 98% of total revenue. The company returned to profitability, reporting net income of $235 millionb versus $28 million in fiscal 2025 and a net loss of $355 million in fiscal 2024. Operating income was $149 million, compared with an operating loss of $74 million in fiscal 2025.
Gross margin was 77%, up from 76%, and the filing attributes the improvement to spend efficiency. Dollar-based net retention declined to 106% from 107%, which management attributes primarily to the macroeconomic environment. Customers with ACV above $100,000c rose to 5,100 from 4,800.
The balance sheet shows cash, cash equivalents and short-term investments of $2,553 milliond. The 2026 convertible senior notes, with $350 million principal outstanding, mature June 15, 2026, and the company currently intends to settle principal in cash. In January 2026 the board authorized a share repurchase program of up to $1 billion; $79 million had been used by year-end, leaving $921 million available.
Operating cash flow was $884 million, and the filing notes a full valuation allowance remains on U.S. deferred tax assets, which the company may release in the foreseeable future. The filing highlights strategic positioning around identity for AI agents and non-human identities, including Okta for AI Agents and Auth0 for AI Agents, both described as currently in early access. Risk factors emphasize competition from Microsoft, the cybersecurity incidents of January 2022 and October 2023, and a dual-class structure in which insiders held 32% of voting power as of January 31, 2026.
02—Key points
Key Highlights
- Revenue of $2,919 million in fiscal 2026, up 12% from $2,610 million; subscription revenue was 98% of total revenue.
- Net income of $235 million in fiscal 2026, compared with $28 million in fiscal 2025 and a net loss of $355 million in fiscal 2024.
- Operating income of $149 million, compared with an operating loss of $74 million in fiscal 2025; gross margin rose to 77% from 76%.
- Dollar-based net retention rate fell to 106% from 107%, which management attributes primarily to the macroeconomic environment.
- Customers with annual contract value above $100,000 increased to 5,100 from 4,800; total customers exceeded 20,000.
- Cash, cash equivalents and short-term investments totaled $2,553 million; $350 million of 2026 Notes mature June 15, 2026, and the company intends to settle principal in cash.
- Board authorized a $1 billion share repurchase program in January 2026; $921 million remained available as of January 31, 2026, after $79 million of repurchases.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2026, Okta kept $0.08.
- Revenue$2.92B100.0%
- Cost of revenue−$661.0M22.6%
- Gross profit$2.26B77.4%
- Operating costs−$2.11B72.3%
- Operating income$149.0M5.1%
- Interest, other & tax$86.0M2.9%
- Net income$235.0M8.1%
Where FY2026 revenue went
$2.92B- Other operating costs: $1.47B, 50% of revenue
- Cost of revenue: $661.0M, 23% of revenue
- R&D: $639.0M, 22% of revenue
- Operating income: $149.0M, 5.1% of revenue
Kept 5.1% as operating incomeOperating income $149.0M · 5.1%
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2026filed March 5, 2026Financial Statements
FY2026 against FY2025
| Line item | FY2026FY2025 | Change |
|---|---|---|
| Revenue | $2.92B$2.61B | +11.8% |
| Cost of Revenue | $661.00M$618.00M | +7.0% |
| Gross Profit | $2.26B$1.99B | +13.4% |
| R&D Expenses | $639.00M$642.00M | −0.5% |
| Operating Expenses | $2.11B$2.07B | +2.1% |
| Operating Income | $149.00M-$74.00M | +301.4% |
| Net Income | $235.00M$28.00M | +739.3% |
| EPS (Basic) | $1.33$0.16 | +731.3% |
| EPS (Diluted) | $1.31$0.06 | +2083.3% |
| Shares Outstanding (Basic) | 175.88M169.57M | +3.7% |
| Shares Outstanding (Diluted) | 179.29M175.09M | +2.4% |
05—Questions
Frequently Asked Questions
How did Okta perform financially in fiscal 2026?
Total revenue was $2,919 million, up from $2,610 million, and the filing states growth of 12%. Net income was $235 million, compared with $28 million in fiscal 2025. Operating cash flow was $884 million.
What is the status of Okta's 2026 convertible notes?
The outstanding principal of $350 million is classified as a current liability because the notes mature on June 15, 2026. The company currently intends to settle the principal in cash, and the notes carry a fixed 0.375% interest rate.
What are the company's AI-related opportunities according to the filing?
The filing describes a potential long-term opportunity to serve as a control plane for non-human identities and AI agents. Okta for AI Agents, Auth0 for AI Agents and Cross App Access are described as currently in early access, and the filing notes that adoption is in its early stages.
What are the main risks highlighted for investors?
The filing cites adverse economic conditions and reduced identity spending, intense competition with Microsoft as its principal competitor, and cybersecurity risk after past incidents in January 2022 and October 2023. It also notes the dual-class structure, with insiders holding 32% of voting power as of January 31, 2026.
Is Okta paying dividends or repurchasing shares?
Okta has never paid cash dividends and does not intend to in the foreseeable future. Under its share repurchase program, it repurchased $79 million of Class A common stock during fiscal 2026, leaving $921 million available.
06—Continue