Q2 profit margin QTWO
Gross, operating and net profit as a share of revenue over the last twelve months, from 2013.
- Net margin, 12 months
- 10.9%
- Operating margin, 12 months
- 10.0%
- Net margin on a year earlier
- +10.2 pts
- Peer median
- 11.8%
Over the twelve months to Jun 30, 2026, Q2 kept 10.9% of its revenue as net profit, with an operating margin of 10.0% and a gross margin of 57.0%.
Five years earlier its net margin was −26.6%.
The median for 10 infrastructure software stocks of a similar size is 11.8%.
Profit margin over time
Fiscal year by fiscal year
| Fiscal year | Net margin | Operating margin | Gross margin |
|---|---|---|---|
| FY2025 | 6.5% | 5.0% | 54.1% |
| FY2024 | −5.5% | −6.1% | 50.9% |
| FY2023 | −10.5% | −13.8% | 48.5% |
| FY2022 | −19.3% | −18.5% | 45.3% |
| FY2021 | −22.6% | −15.6% | 45.1% |
| FY2020 | −34.2% | −24.8% | 43.4% |
| FY2019 | −22.5% | −21.2% | 48.5% |
| FY2018 | −14.7% | −13.2% | 49.5% |
| FY2017 | −13.5% | −13.9% | 48.7% |
| FY2016 | −24.2% | −23.8% | 48.5% |
| FY2015 | −23.0% | −22.8% | 45.7% |
| FY2014 | −24.8% | −24.1% | 41.8% |
| FY2013 | −31.4% | −30.1% | 36.2% |
Quarter by quarter
| Quarter | Ended | Net margin, 12 months | Change on a year | Operating margin |
|---|---|---|---|---|
| Q2 FY26 | 10.9% | +10.2 pts | 10.0% | |
| Q1 FY26 | 9.0% | +11.8 pts | 8.0% | |
| Q4 FY25 | 6.5% | +12.1 pts | 5.0% | |
| Q3 FY25 | 4.1% | +12.5 pts | 2.8% | |
| Q2 FY25 | 0.7% | +11.1 pts | −0.3% | |
| Q1 FY25 | −2.8% | +9.6 pts | −3.6% | |
| Q4 FY24 | −5.5% | +4.9 pts | −6.1% | |
| Q3 FY24 | −8.4% | +4.7 pts | −8.7% | |
| Q2 FY24 | −10.4% | +3.7 pts | −10.5% | |
| Q1 FY24 | −12.4% | +2.3 pts | −12.4% | |
| Q4 FY23 | −10.5% | +8.8 pts | −13.8% | |
| Q3 FY23 | −13.1% | +5.4 pts | −16.5% |
Against its peers
Companies in Software - Infrastructure nearest Q2's size, closest first, today.
| Company | Profit margin |
|---|---|
| QTWOQ2 | 10.9% |
| CCCCCC Intelligent Solutions | 3.8% |
| FRSHFreshworks | 20.5% |
| WKWorkiva | 4.9% |
| BBBLACKBERRY | 13.1% |
| PSNParsons | 2.5% |
| AVPTAvePoint | 15.3% |
| AGYSAgilysys | 13.0% |
| WAYWaystar | 11.2% |
| SPSCSPS Commerce | 10.1% |
| ACIWACI Worldwide | 12.4% |
| Peer median | 11.8% |
Where Q2 ranks
What the profit margin tells you
Profit as a share of revenue at three levels: gross (after making the product), operating (after running the business) and net (after everything, including tax and interest).
Compare within an industry. 10% is superb for a retailer and poor for a software company.
More on Q2
Valuation data, not investment advice. Prices as of . Reported figures come from the company's filings with the SEC.