CrowdStrike (CRWD) Earnings Aug 26: The Split Broke the EPS Math

TL;DR

• CrowdStrike reports fiscal Q2 2027 after the close on Wednesday, August 26, with the call at 5:00pm ET. The company confirmed both dates in its own release.
• Its 4-for-1 stock split took effect July 2, four weeks after the last guidance was issued. So the $1.16 to $1.17 Q2 EPS guide and the $4.88 to $4.96 full-year guide are pre-split figures. Post-split they are $0.29 and $1.22 to $1.24.
• ARR grew 24% while revenue grew 26%. ARR leads reported revenue at a subscription company, so the Q2 revenue guide of $1.44bn already concedes deceleration to about 23%.
• CRWD closed Friday at $216.95, down 3.80% on the session and within 5% of its 52-week high. That works out near 37x this year's guided revenue.
• Last quarter CrowdStrike beat on both lines and the stock still fell about 13% in after-hours trading on the guide. That is the setup to watch.

The Board

The published EPS numbers and what they become after the July split.

When Does CrowdStrike Report Earnings?

CrowdStrike releases fiscal Q2 2027 results for the quarter ended July 31, 2026 after the US market closes on Wednesday, August 26, 2026, with a conference call at 2:00pm PT / 5:00pm ET. That comes from CrowdStrike's own scheduling release.

It is a crowded evening. Nvidia reports the same afternoon, and Salesforce holds its call at 5:00pm ET too. Intuit goes the night before. The earnings calendar has the full week.

The Split Broke Every EPS Comparison

CrowdStrike's board approved a four-for-one forward split on June 3, 2026, with a June 25 record date, and the stock began trading split-adjusted on July 2.

The problem is the sequencing. CrowdStrike issued its Q1 FY27 results and its full-year guidance on June 3, on the old share count. Nothing in that release has been restated. So the guidance sitting in every screener and preview right now is quoted on roughly 254 million shares, against a stock that now has roughly a billion.

Divide by four and the picture changes completely:

• Q1 FY27 reported non-GAAP EPS of $1.10 is $0.275.
• The Q2 guide of $1.16 to $1.17 is about $0.29.
• The FY27 guide of $4.88 to $4.96 is $1.22 to $1.24.

You can prove which basis is right without taking anyone's word for it. At $4.92 a share on a billion shares, CrowdStrike would be earning roughly $5bn of non-GAAP net income on $5.9bn of revenue, an 84% net margin that no software company has ever posted. On 254 million shares it is about $1.25bn, a 21% margin, which is exactly where CrowdStrike runs. The pre-split reading is the only one that survives arithmetic.

I flag it because a reader checking $1.17 against a $216.95 share price concludes the stock trades at 46x earnings. It trades at roughly 176x the split-adjusted full-year guide. Those are different companies.

ARR Is Growing Slower Than Revenue

The number I care about on the 26th is annual recurring revenue, and it has already turned.

Q1 FY27 ARR reached $5.51bn, up 24%, on $255.8m of net new ARR. That reconciles cleanly against the $5.25bn CrowdStrike closed FY26 with, which is reassuring after the sourcing mess above. Reported revenue in the same quarter grew 26%, to $1.39bn.

At a subscription business the recurring base leads the revenue line, so revenue growth converges down toward ARR growth rather than the other way around. Management's own Q2 guide says as much: $1,436m to $1,442m against the $1.17bn CrowdStrike posted in Q2 FY26 works out at about 23%, and the full-year guide of $5,914.7m to $5,958.7m implies roughly 23.4% against FY26's $4.81bn. Those two growth rates are my arithmetic off the company's figures, not quoted numbers.

The cash line is genuinely strong and deserves saying: free cash flow of $468.5m against $279.4m a year earlier, and GAAP EPS back to a positive $0.11 from a $0.42 loss. This is a good business getting more profitable. My reservation is about the price attached to it.

What 37x Revenue Requires

At Friday's $216.95 close CrowdStrike carries a market value near $221bn, about 37x the midpoint of its own FY27 revenue guide. Multiples like that are underwritten by acceleration, and the company is guiding the opposite direction for a third straight period.

This is also what happened in June. CrowdStrike beat consensus on revenue and on EPS, guided Q2 in line, and the stock dropped about 13% in extended-hours trading that evening. An after-hours print is not a close and I have not scored where it settled, but the mechanism is clear enough: at this multiple, in line is a downgrade.

I would want to see net new ARR above $255.8m and a full-year revenue guide raised past $6bn before treating a beat as a beat. Absent that, a good quarter and a flat guide gets sold again, and I do not think the split changes that arithmetic for anyone who does it properly.

The One-Line Read

CrowdStrike is a fine business priced for acceleration it is guiding away from. Do the split arithmetic before reading the beat: $1.17 is $0.29 now, and 176x leaves no room for another in-line quarter.