S Q3 2026 Earnings

Call Details

• Call Title: SentinelOne Q3 2026 Earnings Call
• Date: December 4, 2025 at 9:30 PM UTC
• Management Team:
  • Saad Nazir (Head of Investor Relations)
  • Tomer Weingarten (Chief Executive Officer)
  • Barbara Larson (Chief Financial Officer)
  • Barry Paget (Chief Growth Officer / Interim CFO)

Call Summary

Financial Performance

• Total revenue grew 23% year over year to $259 million in Q3 on a non-GAAP basis.
• Total ARR grew 23% year over year and net new ARR was $54 million in the quarter on a non-GAAP basis.
• International revenue grew 34% year over year and represented 40% of total revenue in Q3.
• Gross margin was 79% in Q3 on a non-GAAP basis and the company expects gross margin to remain in the high 70s.
• Operating margin reached 7% in Q3 on a non-GAAP basis and operating margin improved by approximately 1,200 basis points year over year.
• Net income margin increased to 10% in Q3 compared to break even in the prior year quarter on a non-GAAP basis.
• Free cash flow margin improved to 6% in Q3 and the company expects full-year free cash flow margin to be a few points higher than operating margin.

Guidance

• Q4 revenue guidance is approximately $271 million, representing 20% year-over-year growth on a non-GAAP basis.
• Full-year fiscal 2026 revenue guidance midpoint was increased by $1 million to approximately $1.0 billion, implying 22% year-over-year growth on a non-GAAP basis.
• Full-year gross margin is expected to be approximately 78.5% and Q4 gross margin is expected to be approximately 77.5% on a non-GAAP basis.
• Full-year operating margin is expected to slightly exceed 3%, and Q4 operating margin is expected to be approximately 5% on a non-GAAP basis.
• Full-year operating margin outlook absorbs an estimated combined 130 basis point impact from Observo and Prompt acquisitions and an additional 120 basis points from FX headwinds.
• The company reaffirmed an expectation of positive full-year free cash flow and stated free cash flow will be a few points higher than operating margin.