GitLab Q3FY26 Results: EPS guidance beats est at $0.19-$0.20

GitLab projects Q3 adj EPS of $0.19-$0.20, beating the $0.18 estimate
Revenue guidance set at $281.000M-$283.000M, above the $280.998M consensus
The EPS beat margin is wider than the revenue beat, suggesting margin expansion

GitLab (NASDAQ: GTLB) raised its third-quarter financial guidance, projecting adjusted earnings per share (EPS) between $0.19 and $0.20. This range exceeds the analyst estimate of $0.18, signaling stronger-than-expected profitability for the period.

The software company also revised its revenue outlook upward. GitLab expects sales to land between $281.000 million and $283.000 million, surpassing the consensus estimate of $280.998 million.

What the Numbers Show

The simultaneous beat on both top-line revenue and bottom-line earnings suggests operational leverage. With revenue guidance exceeding estimates by a narrow margin ($0.002 million at the lower bound) while EPS guidance beats by a wider absolute margin ($0.01-$0.02), the data implies that cost discipline or margin expansion is driving the profit upside more than volume growth alone.

Metric	Guidance Range	Analyst Estimate	Variance
Adj EPS	$0.19 - $0.20	$0.18	Beat
Revenue	$281.000M - $283.000M	$280.998M	Beat

GitLab reports Q2 earnings on Sept 1; consensus revenue estimate is $273.36 million
Expected EPS of $0.18 represents a decline from $0.24 in the prior year period
Multiple analysts raised price targets in late August, with BTIG setting the highest at $52
Company expanded Google Cloud partnership in June to address enterprise compliance needs

GitLab Inc. (NASDAQ: GTLB) will release its second-quarter earnings report after the closing bell on Tuesday, Sept. 1.

Analysts expect the San Francisco-based company to report quarterly earnings of $0.18 per share, down from $0.24 per share in the year-ago period. The consensus estimate for GitLab’s quarterly revenue is $273.36 million, compared to $235.96 million reported last year, according to Benzinga Pro data.

Analyst Revisions

Several analysts have recently adjusted their outlook for GitLab, with most raising price targets while maintaining their existing ratings.

Analyst	Firm	Rating	New Price Target	Previous Target	Date
Jonathan Ruykhaver	Cantor Fitzgerald	Neutral	$50	$35	Aug. 31, 2026
Nick Altmann	BTIG	Buy	$52	$36	Aug. 31, 2026
Derrick Wood	TD Cowen	Hold	$42	$29	Aug. 27, 2026
Brian Essex	JP Morgan	Neutral	$44	$32	Aug. 26, 2026
Ryan Macwilliams	Wells Fargo	Equal-Weight	$40	$26	Aug. 25, 2026

Strategic Developments

On June 10, GitLab expanded its partnership with Alphabet Inc.’s (NASDAQ: GOOGL) Google Cloud. The company launched a fully managed GitLab offering designed for enterprises with strict data sovereignty and compliance requirements.

Shares of GitLab rose 3.7% to close at $46.54 on Monday.

What the Numbers Show

The consensus revenue estimate of $273.36 million implies a year-over-year growth of approximately 15.9% from the prior year’s $235.96 million. This top-line expansion contrasts with an expected decline in per-share earnings, which are forecast to drop 25% from $0.24 to $0.18. This divergence suggests that while revenue is growing, profit per share may be under pressure from increased share count or higher operating costs, as the revenue growth rate does not offset the drop in earnings per share.