APPF · AppFolio, Inc.

AppFolio delivered a strong Q2 2026, with revenue rising 19% year-over-year to $281 million, driven by 21.8% growth in Value Added Services and 14% growth in Subscription Services. Total units under management increased 8% to 9.6 million, indicating continued customer adoption. Operating profitability expanded significantly: GAAP operating income grew 31% to $53 million (18.8% margin), while non-GAAP operating income grew 24% to $76 million (27.1% margin). Cash flow from operations surged 66% to $88 million, representing 31.2% of revenue, underscoring strong cash generation. The company raised its full-year 2026 revenue guidance to $1.117-$1.127 billion (from prior range not provided) and increased non-GAAP operating margin guidance to 26.5%-28.0%. CEO Shane Trigg highlighted the milestone of surpassing $1 billion in trailing twelve-month revenue and emphasized the momentum of AI-driven solutions. Management commentary reflects confidence in the platform's value proposition and execution. The lack of capital return programs indicates reinvestment into growth. Overall, the report shows AppFolio sustaining strong top-line growth with expanding margins and robust cash flows, positioning it well for the remainder of the fiscal year.