Q2 Holdings, Inc. (QTWO) Income Statement
QTWO 2025 at a glance
Fiscal year ended December 31, 2025 · U.S. dollarsQTWO revenue and net income
Where QTWO's revenue goes
2025Each bar shows an amount and its share of revenue. QTWO kept 6.5% of revenue as net income.
QTWO profit margins
QTWO growth rates
to 2025| 1 year | 3 years | 5 years | 10 years | |
|---|---|---|---|---|
| Revenue | +14.1% | +12.0% | +14.6% | +22.0% |
| Gross profit | +21.2% | +18.8% | +19.7% | +24.1% |
| Operating income | — | — | — | — |
| Net income | — | — | — | — |
| EPS (diluted) | +24.2% | — | — | — |
1-year change and average annual growth (CAGR) over 3, 5 and 10 fiscal years. "—" when a starting value was zero or negative.
QTWO quarterly EPS vs estimates
Q2 beat the analyst EPS estimate in 6 of the last 8 quarters. Next report: October 28, 2026 (estimate $0.46).
QTWO income statement
| 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $794.8M | $696.5M | $624.6M | $565.7M | $498.7M | $402.8M | $315.5M | $241.1M | $194.0M | $150.2M |
| Cost of revenue | $365.2M | $342.0M | $322.0M | $309.3M | $273.7M | $228.2M | $162.5M | $121.9M | $99.5M | $77.4M |
| Gross profit | $429.6M | $354.5M | $302.7M | $256.3M | $225.0M | $174.6M | $153.0M | $119.2M | $94.5M | $72.8M |
| Research & development | $154.3M | $143.2M | $137.3M | $130.1M | $117.0M | $97.4M | $76.3M | $51.3M | $40.3M | $32.5M |
| Sales, general & admin | $231.4M | $228.9M | $219.7M | $198.4M | $163.5M | $145.4M | $121.1M | $93.8M | $78.3M | $68.3M |
| Total operating expenses | $384.0M | $396.7M | $388.7M | $361.1M | $303.0M | $274.4M | $203.7M | $146.9M | $120.2M | $102.2M |
| Operating income | $45.6M | −$42.3M | −$86.1M | −$104.8M | −$78.0M | −$99.8M | −$50.7M | −$31.9M | −$26.9M | −$35.7M |
| Interest income | $20.2M | $16.3M | $10.1M | $5.4M | $1.5M | $1.2M | $3.7M | $2.8M | $553,000 | $358,000 |
| Interest expense | $5.4M | $4.9M | $5.7M | $6.7M | $33.1M | $28.6M | $20.3M | $10.2M | $124,000 | $567,000 |
| Income before taxes | $54.7M | −$30.9M | −$61.8M | −$106.1M | −$111.1M | −$136.2M | −$83.4M | −$39.2M | −$26.5M | −$35.9M |
| Income taxes | $2.7M | $7.7M | $3.6M | $2.9M | $1.6M | $1.4M | −$12.5M | −$3.8M | −$314,000 | $427,000 |
| Net income | $52.0M | −$38.5M | −$65.4M | −$109.0M | −$112.7M | −$137.6M | −$70.9M | −$35.4M | −$26.2M | −$36.4M |
| EBITDA | $113.6M | $42.9M | $15.6M | −$37.7M | −$23.2M | −$55.7M | −$34.6M | −$12.2M | −$11.4M | −$23.2M |
| EPS (diluted) | $2.00 | $1.61 | −$0.62 | −$1.89 | −$2.00 | −$2.65 | −$1.54 | −$0.13 | $0.02 | −$0.33 |
| Gross margin | 54.0% | 50.9% | 48.5% | 45.3% | 45.1% | 43.4% | 48.5% | 49.5% | 48.7% | 48.5% |
| Operating margin | 5.7% | −6.1% | −13.8% | −18.5% | −15.6% | −24.8% | −16.1% | −13.2% | −13.9% | −23.8% |
| Net margin | 6.5% | −5.5% | −10.5% | −19.3% | −22.6% | −34.2% | −22.5% | −14.7% | −13.5% | −24.2% |
| Jun '26 | Mar '26 | Dec '25 | Sep '25 | Jun '25 | Mar '25 | Dec '24 | Sep '24 | Jun '24 | Mar '24 | Dec '23 | Sep '23 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $219.8M | $216.5M | $208.2M | $201.7M | $195.1M | $189.7M | $183.0M | $175.0M | $172.9M | $165.5M | $162.1M | $155.0M |
| Cost of revenue | $89.6M | $88.6M | $92.9M | $92.9M | $90.6M | $88.7M | $86.7M | $86.0M | $86.1M | $83.3M | $80.7M | $80.8M |
| Gross profit | $130.2M | $127.9M | $115.3M | $108.8M | $104.6M | $101.0M | $96.3M | $89.1M | $86.8M | $82.3M | $81.4M | $74.1M |
| Research & development | $41.1M | $41.9M | $40.6M | $38.9M | $36.9M | $37.9M | $35.7M | $36.9M | $35.8M | $34.9M | $34.3M | $34.5M |
| Sales, general & admin | $59.0M | $57.9M | $56.3M | $58.1M | $58.1M | $58.8M | $57.2M | $57.1M | $59.0M | $55.6M | $56.8M | $54.2M |
| Total operating expenses | $100.9M | $99.8M | $97.0M | $97.8M | $94.7M | $98.8M | $95.5M | $101.9M | $100.5M | $96.4M | $99.4M | $97.3M |
| Operating income | $29.3M | $28.1M | $18.3M | $11.0M | $9.8M | $2.2M | $831,000 | −$12.8M | −$13.7M | −$14.2M | −$18.0M | −$23.2M |
| Interest income | $3.4M | $3.3M | $5.2M | $5.5M | $5.0M | $4.6M | $4.7M | $4.6M | $3.9M | $3.2M | $3.4M | $2.3M |
| Interest expense | $1.0M | $1.2M | $1.2M | $1.3M | $1.3M | $1.5M | $1.2M | $1.4M | $1.1M | $1.3M | $1.4M | $1.3M |
| Income before taxes | $31.7M | $29.8M | $20.8M | $15.2M | $13.5M | $5.2M | $1.9M | −$9.5M | −$11.0M | −$12.3M | −$16.0M | −$22.2M |
| Income taxes | $1.9M | $3.1M | $337,000 | $160,000 | $1.7M | $487,000 | $1.8M | $2.3M | $2.1M | $1.6M | $2.1M | $1.0M |
| Net income | $29.9M | $26.6M | $20.4M | $15.0M | $11.8M | $4.8M | $164,000 | −$11.8M | −$13.1M | −$13.8M | −$18.1M | −$23.2M |
| EBITDA | $41.4M | $42.7M | $34.6M | $30.1M | $28.4M | $20.5M | $19.1M | $9.5M | $7.8M | $6.5M | $3.3M | −$2.6M |
| EPS (diluted) | $0.52 | $0.63 | $0.68 | $0.30 | $0.52 | $0.50 | $0.48 | $0.44 | $0.38 | $0.31 | $0.20 | −$0.40 |
| Gross margin | 59.2% | 59.1% | 55.4% | 54.0% | 53.6% | 53.2% | 52.6% | 50.9% | 50.2% | 49.7% | 50.2% | 47.8% |
| Operating margin | 13.4% | 13.0% | 8.8% | 5.5% | 5.0% | 1.2% | 0.5% | −7.3% | −7.9% | −8.6% | −11.1% | −15.0% |
| Net margin | 13.6% | 12.3% | 9.8% | 7.5% | 6.0% | 2.5% | 0.1% | −6.7% | −7.6% | −8.4% | −11.2% | −14.9% |
Quarterly columns are labeled by the month the quarter ended. Figures in U.S. dollars as reported in QTWO's financial statements (latest annual report filed February 11, 2026); data from EODHD. Sales, general & administrative expenses include sales and marketing.
QTWO financial results
In fiscal year 2025 (ended December 31, 2025), Q2 reported revenue of $794.8 million, up 14.1% from the year before. It had net income of $52.0 million, a net profit margin of 6.5%. Diluted earnings per share came to $2.00. Over five years revenue grew at an average rate of 14.6% a year.
See the QTWO stock overview for the latest quote and news, or the QTWO chart for price history and technical indicators.
QTWO income statement FAQ
What is Q2's annual revenue?
Q2 reported total revenue of $794.8 million for fiscal year 2025, which ended on December 31, 2025. That was up 14.1% from $696.5 million the previous year.
Is Q2 profitable?
Yes. Q2 reported net income of $52.0 million in fiscal 2025, a net profit margin of 6.5%; its operating margin was 5.7%.
What is Q2's gross margin?
Q2's gross margin was 54.0% in fiscal 2025: for every $100 of revenue, Q2 kept $54 after the direct cost of its products and services.
How much does Q2 spend on research and development?
Q2 spent $154.3 million on research and development in fiscal 2025, 19.4% of revenue.
How fast is Q2 growing?
Revenue grew 14.6% a year on average over the last five fiscal years, from $402.8 million to $794.8 million.
What are Q2's earnings per share?
Q2 earned $2.00 per diluted share in fiscal 2025, compared with $1.61 a year earlier.
When will Q2 report its next earnings?
Q2 is expected to report results for the quarter ending September 30, 2026 on October 28, 2026 after the market closes.
When does Q2's fiscal year end?
Q2's fiscal year ends in December. The latest annual report covers the year ended December 31, 2025 and was filed on February 11, 2026.