RNG · RingCentral, Inc.

RingCentral delivered a strong first quarter in 2026, with total revenue of $644 million (up 5% year-over-year) at the high end of its guidance range. Subscriptions revenue grew 6% to $623 million, representing 97% of total revenue. The company achieved record GAAP operating margin of 7.8%, a significant improvement from 1.7% in the prior year, driven by operating leverage and cost discipline. Non-GAAP operating margin expanded 110 basis points to 22.9%. Adjusted EBITDA margin rose to 26.3% from 25.3%. GAAP EPS turned positive to $0.35 from a loss of $(0.11) a year ago, while non-GAAP EPS grew to $1.20 from $1.00. Free cash flow increased 8% to $141 million, with margin improving to 21.8%. Management highlighted strong traction in AI products, with ARR from customers using paid AI products exceeding 10% of total ARR and doubling year-over-year. The company also declared a quarterly dividend of $0.075 per share and repurchased 2.6 million shares for $81 million. Looking ahead, RingCentral raised its full-year 2026 guidance for revenue, operating margins, and free cash flow, reflecting confidence in its AI-first platform and scaled go-to-market strategy.