Okta, Inc. has recently released its 10-K report, revealing key insights into its financial performance and operations. The company operates as an identity partner, offering a suite of products and services used to manage and secure identities, including Single Sign-On, Adaptive Multi-Factor Authentication, API Access Management, and more. Okta generates revenue primarily through the sale of multi-year subscriptions to its cloud-based offerings, with subscription revenue accounting for approximately 98% of total revenue for fiscal 2026.
In fiscal 2026, Okta reported revenue of $2,919 million, representing a 12% growth rate compared to the previous year. The company also achieved net income of $235 million in fiscal 2026, a significant improvement from the net loss of $355 million in fiscal 2024. Okta's key business metrics include having 5,100 customers with annual contract value ("ACV") above $100,000 as of January 31, 2026, reflecting the company's ability to attract larger enterprises to its platforms.
The Dollar-Based Net Retention Rate for the trailing 12 months ended January 31, 2026, stood at 106%, indicating Okta's success in increasing revenue across its existing customer base through expansion of users and solutions. Additionally, the company's remaining performance obligations (RPO) totaled $4,827 million as of January 31, 2026, highlighting the contracted revenue yet to be recognized under its subscription contracts.
Okta's financial performance is driven by its subscription revenue, which primarily consists of fees for access to and usage of its cloud-based platforms and related support. The company's gross margin, expressed as a percentage of total revenue, may fluctuate due to investments in expanding hosting capacity and platform support and professional services teams.
The market has reacted to these announcements by moving the company's shares -2.6% to a price of $89.55. If you want to know more, read the company's complete 10-K report here.
