Summary
UiPath's third quarter fiscal 2026 revenue was $411.11 million, up 15.9% from the prior-year quarter. Gross profit was $342.30 million, up 17.7%, and gross margin reached 83.3%, up 1.2 percentage points. Operating income was $13.07 million, up from an operating loss a year earlier. Net income was $198.84 million, up from a net loss, and diluted EPS was $0.37, up from a loss per share. Operating margin was 3.2%, up 15.4 percentage points. Those GAAP results include a benefit from a release of valuation allowance on deferred tax assets, which the filing says drove a larger income tax benefit.
ARR at October 31, 2025 was $1.782 billion, up 11% year over year. Net new ARR was $59 million. Dollar-based net retention rate was 107%, compared with 113% a year earlier. The ARR growth split was 28% from new customers and 72% from existing customers. Customers with ARR of at least $1 million numbered 333, compared with 302 a year earlier, and customers with ARR of at least $100,000 numbered 2,506, compared with 2,235. That mix shows expansion is coming mostly from existing accounts.
Operating cash flow in the quarter was $28.27 million, up 0.7%, and nine-month operating cash flow was $188.86 million, up 8.2%. Capital expenditures were $3.16 million in the quarter, down 35.1%, and $16.00 million for the nine months, up 112.4%. Current deferred revenue was $534.00 million, up 8.0%, and remaining performance obligations were $1.26 billion, up 12.1%. Nine-month revenue was $1.13 billion, up 12.3%. Gross margin for the nine months was 82.6%, up 0.7 percentage points. Operating margin for the nine months was -2.1%, up 17.4 percentage points, and the nine-month operating loss was $23.53 million, narrowed from a loss a year earlier. Nine-month net income was $177.87 million, swung to a profit, and nine-month diluted EPS was $0.33, also swung to a profit.
For the fourth quarter fiscal 2026, UiPath expects revenue of $462 million to $467 million and ARR of $1.844 billion to $1.849 billion as of January 31, 2026. It expects non-GAAP operating income of approximately $140 million. The company says reconciliation of non-GAAP operating income guidance to GAAP is not available without unreasonable efforts because of variability in stock-based compensation. Risk factors include macroeconomic and geopolitical uncertainty, inflation, interest rates, monetary and trade policy changes, government efficiency initiatives, foreign currency fluctuations, competition, reliance on third-party cloud infrastructure, and the ability to manage growth, retain customers, and release new functionality on time. Management also points to the completed Fiscal Year 2025 Workforce Restructuring, which finished in the second quarter of fiscal 2026, and to a $199.8 million purchase commitment for hosting services entered during the nine months.
At FUSION, UiPath introduced new platform capabilities for agentic automation orchestration, including pre-built agentic solutions and expanded security and governance. It announced an integration with Microsoft Azure AI Foundry, a collaboration with OpenAI on a ChatGPT connector, a conversational agent with Google Gemini models, a collaboration with NVIDIA, and a partnership with Snowflake. It was named a Leader and Star Performer in the Everest Group Intelligent Process Automation Platform PEAK Matrix Assessment 2025 and a Leader in the inaugural Gartner Magic Quadrant for Intelligent Document Processing. Those product and partner moves matter because management frames the unified platform as a differentiator as enterprises consolidate standalone tools.
Forecast
Reported figures
GAAP, from SEC filings| Metric | Q3 FY2026 | Q2 FY2026 | QoQ | Q3 FY2025 | YoY |
|---|---|---|---|---|---|
| Revenue | $411.1M | $361.7M | +13.7% | $354.7M | +15.9% |
| Gross profit | $342.3M | $297.3M | +15.1% | $290.9M | +17.7% |
| Gross margin | 83.3% | 82.2% | +1.1 pp | 82.0% | +1.2 pp |
| Research & development | $96.9M | $98.3M | -1.5% | $97.0M | -0.1% |
| Sales & marketing | $179.2M | $166.3M | +7.7% | $187.2M | -4.3% |
| General & administrative | $53.2M | $52.9M | +0.5% | $50.1M | +6.2% |
| Total operating expenses | $329.2M | $317.5M | +3.7% | $334.3M | -1.5% |
| Operating income (loss) | $13.1M | -$20.2M | +164.8% | -$43.4M | +130.1% |
| Operating margin | 3.2% | -5.6% | +8.8 pp | -12.2% | +15.4 pp |
| Net income (loss) | $198.8M | $1.6M | +12453.0% | -$10.7M | +1966.2% |
| Net margin | 48.4% | 0.4% | +47.9 pp | -3.0% | +51.4 pp |
| Diluted EPS | $0.37 | $0.00 | +$0.37 | -$0.02 | +$0.39 |
| Customers | 228,409 | 242,701 | -5.9% | 268,075 | -14.8% |
Risks
Dollar-based net retention rate decreased to 107% as of October 31, 2025 from 113% as of October 31, 2024, indicating slower expansion from existing customers. With 72% of ARR growth coming from existing customers, further declines could pressure revenue growth.
Legal expense related to shareholder litigation increased $5.2 million for the nine months ended October 31, 2025 compared to the prior-year period, contributing to other expense, net increasing $30.8 million, or 118%.
The company remains subject to macroeconomic risks including geopolitical relationships, inflation and interest rates, monetary and trade policy changes, government efficiency initiatives, and foreign currency fluctuations, which have disrupted customers, prospective customers, and partners and may impact demand and near-term results.
SaaS KPIs
All quarters →Dollar-Based Net Retention Rate
ARR
Net New ARR
Non-GAAP Adjusted Free Cash Flow
Non-GAAP Gross Margin
Non-GAAP Operating Margin
Non-GAAP Operating Income
Net Cash Flow from Operations
Summary, forecast, risks and KPIs are extracted from UiPath, Inc.'s SEC filings for Q3 FY2026 (10-Q / 10-K and the 8-K earnings release); GAAP figures in the summary are checked against the reported XBRL data. They can contain errors; the filings are authoritative. Processed Oct 2, 2026.