PANW Q1 2026 Earnings — Income Statement Breakdown

For its Q1 2026 period (ending 2025-10-31), PANW reported revenue of $2.5B, gross profit of $1.8B (74.2% gross margin), operating income of $309M, and net income of $334M (13.5% net margin). The flow of revenue into costs and profit is visualized below.

What changed

PANW was profitable; revenue grew 15.7% year over year.

ComparisonRevenueNet incomeNet margin
Year over year+15.7%−4.8%−2.9 pp
Quarter over quarter+8.1%+27.4%+2.0 pp

Consensus estimate data is not available for this report.

PANW Q1 2026 Income Statement

PANW Q1 2026 income statement. Figures in USD.
Line itemAmount (USD)% of revenue
Revenue$2.5B100%
Cost of Revenue−$638M25.8%
Gross Profit$1.8B74.2%
Research & Development−$528M21.3%
Selling, General & Administrative−$999M40.4%
Operating Income$309M12.5%
Other Income, net$103M4.2%
Income Tax Expense−$78M3.2%
Net Income$334M13.5%

Source: original SEC filing (filed 2025-11-19). Accession 0001327567-25-000032. Data normalized by EarningsFyi.