$HUBS Beats Q2 Estimates but Issues Soft Q3 Guidance

HubSpot delivered stronger-than-expected Q2 results:
Revenue: $911.7M vs. $898M estimated, up 20% YoY
Adjusted EPS: $3.26 vs. $3.02 estimated, up 49% YoY
Operating income: $185.3M vs. $174M estimated
Free cash flow: $167.9M vs. $157M estimated
Customers: 306,446 , up 14% YoY
Non-GAAP operating margin: 20.3% , up 330 basis points YoY
However, Q3 guidance came in below expectations across revenue, operating income and EPS. Full-year revenue guidance of $3.68B–$3.69B also trails consensus, although profit guidance remains above estimates.
Management said the AI shift is expanding HubSpot’s long-term opportunity as the company evolves its products, pricing and go-to-market strategy.