HubSpot Inc (HUBS)

HubSpot to Present at the Evercore TMT Global ConferenceMay 20, 2026 4:05 PM
Business Wire HubSpot, Inc., the agentic customer platform for scaling businesses, announced today that Yamini Rangan, the Company’s Chief Executive Officer, is scheduled to present at the Evercore TMT Global Conference in San Francisco, California on Wednesday, June 3 at 6:00 p.m. ET. All interested parties can access the webcast live on the Company’s investor relations website at ir.hubspot.com. The Company will also host investor meetings on the same day. About HubSpot
HubSpot (NYSE: HUBS) is the agentic customer platform that helps businesses connect and grow better. HubSpot delivers seamless connection for customer-facing teams with a unified platform that includes AI-powered engagement hubs, a Smart CRM, and a connected ecosystem with over 2,000 App Marketplace integrations, a community network, and educational content. Learn more at www.hubspot.com. View source version on businesswire.com: https://www.businesswire.com/news/home/20260520512111/en/ Investor Relations Contact:
investors@hubspot.com Press Contact:
media@hubspot.com Original: HubSpot to Present at the Evercore TMT Global Conference

Markets turn cautious as Middle East tensions and jobs data dominate focus: Dow Jones, S&P, Nasdaq, Wall Street FuturesMay 8, 2026 5:15 AM
IH Market News Global markets traded unevenly on Friday as renewed clashes between U.S. and Iranian forces near the Strait of Hormuz weighed on investor sentiment and pressured equities worldwide.“Markets still aren’t pricing in the worst-case scenario,” Deutsche Bank strategists led by Henry Allen wrote in their morning note to clients.Investors were also monitoring preparations for President Donald Trump’s upcoming summit with China, while a fresh batch of software earnings triggered sharp premarket swings across the technology sector. Attention later in the session will shift toward the release of the April U.S. employment report. Oil reverses gains after Strait of Hormuz tensions flare Oil prices turned lower on Friday after an initial rally sparked by renewed military exchanges involving U.S. and Iranian forces near the Strait of Hormuz. Brent crude briefly climbed around 3% during Asian trading before surrendering those gains and slipping back below the $100 level.The renewed tensions unsettled markets only days after signals from Washington and Tehran suggested that a broader diplomatic agreement could be within reach.President Donald Trump maintained that the ceasefire established last month was still holding despite the latest exchange of fire. Even with Friday’s volatility, crude prices remain on track for an approximate 7% weekly decline as traders continue to hope for a diplomatic resolution. Trump-China summit draws market attention Geopolitical developments remained a central focus ahead of Trump’s expected meeting with Chinese President Xi Jinping next week in Beijing.The summit would represent the first visit by a U.S. president to China since 2017 and arrives during a particularly sensitive period for financial markets. Discussions are expected to center on the Iran conflict, trade relations and broader economic coordination.According to CNBC, the American business delegation accompanying Trump may be smaller than those sent by several other countries in recent months. Investors are also looking for indications regarding a possible future trip by Xi to the United States. Asian and European equities move lower Asian stock markets weakened after Wall Street retreated from record highs overnight. Japanese and South Korean equities pulled back as rising geopolitical tensions in the Middle East reduced investor appetite for risk.Japan’s Nikkei 225 ended the session down 0.2%, while South Korea’s KOSPI recovered from earlier losses to close slightly higher.European markets also traded lower, with the STOXX 600 falling as much as 0.9% in early dealings after the U.S. military reported intercepting attacks aimed at three warships near the Strait of Hormuz.Despite the broader caution, U.S. equity futures pointed modestly higher ahead of the labor market report, with S&P 500 futures gaining around 0.3%. Investors await U.S. jobs report Market participants are closely watching Friday’s U.S. nonfarm payrolls report for additional signals on economic conditions and the Federal Reserve’s next policy moves.The previous month’s payrolls data showed job growth of 178,000, the strongest reading in 15 months.“That’s an important one, as Fed pricing has already shifted in a hawkish direction given the energy shock,” Allen said.Economists are now forecasting that payrolls increased by 50,000 in April, which would mark the first consecutive monthly gains since May of last year. The unemployment rate is expected to remain unchanged at 4.3%. Software earnings trigger major stock swings Corporate earnings from software companies drove some of the sharpest individual stock movements ahead of Friday’s opening bell.Akamai (NASDAQ:AKAM) jumped nearly 30% in premarket trading after announcing a $1.8 billion long-term cloud agreement linked to a frontier artificial intelligence model provider.Bill Holdings (NYSE:BILL) advanced 12% after reporting quarterly revenue and earnings above analyst expectations, supported by stronger transaction activity and subscriber-related fees.Several other software stocks moved sharply lower following their earnings releases. HubSpot (NYSE:HUBS), Trade Desk (NASDAQ:TTD) and Cloudflare (NASDAQ:NET) all recorded double-digit declines in premarket trading.Akamai Technologies stock priceBill Holdings stock priceHubSpot stock priceThe Trade Desk stock priceCloudflare stock price Original: Markets turn cautious as Middle East tensions and jobs data dominate focus: Dow Jones, S&P, Nasdaq, Wall Street Futures

HubSpot Reports Strong Q1 2026 ResultsMay 7, 2026 4:05 PM
Business Wire Q1'26 revenue grew 23% on an as-reported basis and 18% in constant currency compared to Q1'25 HubSpot, Inc. (NYSE: HUBS), the agentic customer platform for scaling businesses, announced today its financial results for the first quarter ended March 31, 2026. Financial Highlights: Revenue Total revenue was $881.0 million, up 23% on an as-reported basis and 18% in constant currency compared to Q1'25. Subscription revenue was $862.3 million, up 23% on an as-reported basis compared to Q1'25. Professional services and other revenue was $18.7 million, up 22% on an as-reported basis compared to Q1'25. Operating Income (Loss) GAAP operating income was $27.9 million, compared to an operating loss of ($27.5) million in Q1'25. Non-GAAP operating income was $156.8 million, compared to $100.3 million in Q1'25. GAAP operating margin was 3.2%, compared to (3.8%) in Q1'25. Non-GAAP operating margin was 17.8%, compared to 14.0% in Q1'25. Net Income (Loss) GAAP net income was $32.6 million, or $0.62 per basic and diluted share, compared to a net loss of ($21.8) million, or ($0.42) per basic and diluted share in Q1'25. Non-GAAP net income was $143.0 million, or $2.73 per basic and $2.72 per diluted share, compared to $95.9 million, or $1.84 per basic and $1.78 per diluted share in Q1'25. Weighted average basic and diluted shares outstanding for GAAP net income per share were 52.5 million and 52.6 million, respectively, compared to 52.2 million basic and diluted shares in Q1'25. Weighted average basic and diluted shares outstanding for non-GAAP net income per share were 52.5 million and 52.6 million respectively, compared to 52.2 million and 54.0 million, respectively in Q1'25. Balance Sheet and Cash Flow The company’s cash and cash equivalents, short-term, and long-term investments balance was $1.8 billion as of March 31, 2026. During the first quarter, the company repurchased $211.0 million of its common stock. As of March 31, 2026, $789.0 million of the $1 billion repurchase program authorized by the Board of Directors remained available for future stock repurchases. During the first quarter, the company generated $198.8 million in operating cash flow, compared with $161.6 million in Q1'25. During the first quarter, the company generated $203.5 million of cash from non-GAAP operating cash flow and $153.7 million of non-GAAP free cash flow, compared to $166.1 million of cash from non-GAAP operating cash flow and $122.3 million of non-GAAP free cash flow during Q1'25. Additional Recent Business Highlights Grew Customers to 299,458 as of March 31, 2026, up 16% from March 31, 2025. Average Subscription Revenue Per Customer was $11,722 during the first quarter of 2026, up 6% on an as-reported basis compared to Q1'25. Calculated billings were $912.3 million in the first quarter of 2026, up 19% on an as-reported basis and 17% in constant currency compared to Q1'25. “Q1 was a solid quarter of revenue growth, customer growth, and operating margin expansion,” said Yamini Rangan, Chief Executive Officer at HubSpot. “Scaling companies are increasingly choosing HubSpot as their agentic customer platform to drive AI innovation and reduce total cost of ownership, and that's reflected in our upmarket momentum and multi-hub adoption. The AI innovations we launched at Spring Spotlight, including Customer Agent, Prospecting Agent, and Data Agent, are delivering outcomes for customers and will strengthen our AI momentum.” Business Outlook Based on information available as of May 7, 2026, HubSpot is issuing guidance for the second quarter and full year of 2026 as indicated below. Second Quarter 2026: Total revenue is expected to be in the range of $897.0 million to $898.0 million, up 18% year over year on an as-reported basis and 16% in constant currency. Non-GAAP operating income is expected to be in the range of $173.0 million to $174.0 million, representing a 19% operating income margin. Non-GAAP net income per common share is expected to be in the range of $3.00 to $3.02. This assumes approximately 51.2 million weighted average diluted shares outstanding. Full Year 2026: Total revenue is expected to be in the range of $3.700 billion to $3.708 billion, up 18% year over year on an as-reported basis and 17% in constant currency. Non-GAAP operating income is expected to be in the range of $762.0 million to $766.0 million, representing a 21% operating income margin. Non-GAAP net income per common share is expected to be in the range of $13.04 to $13.12. This assumes approximately 51.8 million weighted average diluted shares outstanding. For Use of Non-GAAP Financial Measures In our earnings press releases, conference calls, slide presentations, and webcasts, we may use or discuss non-GAAP financial measures, as defined by Regulation G. The GAAP financial measure most directly comparable to each non-GAAP financial measure used or discussed, and a reconciliation of the differences between each non-GAAP financial measure and the comparable GAAP financial measure, are included in this press release after the consolidated financial statements. Our earnings press releases containing such non-GAAP reconciliations can be found in the Investors section of our website ir.hubspot.com. Conference Call Information HubSpot will host a conference call on Thursday, May 7, 2026 at 4:30 p.m. Eastern Time (ET) to discuss the company’s first quarter 2026 financial results and its business outlook. To register for this conference call, please use this dial in registration link or visit HubSpot's Investor Relations website at ir.hubspot.com. After registering, a confirmation email will be sent, including dial-in details and a unique code for entry. Participants who wish to register for the conference call webcast please use this link. An archived webcast of this conference call will also be available on HubSpot's Investor Relations website at ir.hubspot.com. The company has used, and intends to continue to use, the investor relations portion of its website as a means of disclosing material non-public information and for complying with disclosure obligations under Regulation FD. About HubSpot HubSpot is the agentic customer platform that helps businesses connect and grow better. HubSpot delivers seamless connection for customer-facing teams with a unified platform that includes AI-powered engagement hubs, a Smart CRM, and a connected ecosystem with over 2,000 App Marketplace integrations, a community network, and educational content. Learn more at www.hubspot.com. Cautionary Language Concerning Forward-Looking Statements This press release includes certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding management’s expectations of future financial and operational performance, including our ability to manage expenses, the timing and level of our investments, and our ability to achieve and sustain profitability, expected growth, foreign currency movement, and business outlook, including our financial guidance for the second fiscal quarter of and full year 2026 and our long-term financial framework; statements regarding our share repurchase program; statements regarding our positioning for future growth and market leadership; statements regarding the strength of our agentic customer platform; statements regarding the growth or maintenance of our upmarket business; statements regarding the economic environment; and statements regarding expected market trends, future priorities and related investments, and market opportunities, including the adoption, performance and impact of changes to our pricing, packaging and go-to-market strategies. These forward-looking statements include, but are not limited to, plans, objectives, expectations and intentions and other statements contained in this press release that are not historical facts and statements identified by words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” or words of similar meaning. These forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made. Although we believe that our plans, intentions, expectations, strategies and prospects as reflected in or suggested by those forward-looking statements are reasonable, we can give no assurance that the plans, intentions, expectations or strategies will be attained or achieved. Furthermore, actual results may differ materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond our control including, without limitation, risks associated with our history of losses; our ability to retain existing customers and add new customers; the continued growth of the market for a customer platform; our ability to develop new products and technologies and differentiate our platform from competing products and technologies, including artificial intelligence and machine learning technologies; our ability to manage our growth effectively over the long-term to maintain our high level of service; changes in our investment priorities, the timing of hiring and other expenses, and our ability to manage costs and achieve efficiencies; our ability to maintain and expand relationships with our solutions partners; the price volatility of our common stock; the impact of geopolitical conflicts, inflation, foreign currency movement, and macroeconomic instability on our business, the broader economy, our workforce and operations, the markets in which we and our partners and customers operate, and our ability to forecast our future financial performance, including variability in the intra-quarter linearity of our business; regulatory and legislative developments on the use of artificial intelligence and machine learning; and other risks set forth under the caption “Risk Factors” in our U.S Securities and Exchange Commission filings. We assume no obligation to update any forward-looking statements contained in this document as a result of new information, future events or otherwise. Consolidated Balance Sheets (in thousands)       March 31,     December 31,       2026     2025   Assets             Current assets:             Cash and cash equivalents   $ 943,937     $ 882,242   Short-term investments     747,115       821,552   Accounts receivable     354,950       419,146   Deferred commission expense     239,163       226,184   Prepaid expenses and other current assets     156,451       100,611   Total current assets     2,441,616       2,449,735   Long-term investments     87,520       136,662   Property and equipment, net     149,923       141,869   Capitalized software development costs, net     221,521       213,794   Right-of-use assets     192,339       200,821   Deferred commission expense, net of current portion     225,317       218,991   Other assets     178,236       165,602   Intangible assets, net     32,510       35,225   Goodwill     300,276       291,452   Total assets     3,829,258       3,854,151   Liabilities and stockholders’ equity             Current liabilities:             Accounts payable     53,420       24,764   Accrued compensation costs     107,887       99,195   Accrued commissions     117,805       132,003   Accrued expenses and other current liabilities     163,849       166,861   Operating lease liabilities     37,134       39,703   Deferred revenue     1,037,640       1,004,945   Total current liabilities     1,517,735       1,467,471   Operating lease liabilities, net of current portion     210,157       222,602   Deferred revenue, net of current portion     7,108       8,495   Other long-term liabilities     97,478       89,339   Total liabilities     1,832,478       1,787,907   Stockholders’ equity:             Common stock     52       53   Treasury stock     3       2   Additional paid-in capital     2,716,280       2,814,843   Accumulated other comprehensive income     1,789       5,244   Accumulated deficit     (721,344 )     (753,898 ) Total stockholders’ equity     1,996,780       2,066,244   Total liabilities and stockholders’ equity   $ 3,829,258     $ 3,854,151   Consolidated Statements of Operations (in thousands, except per share data)     Three Months Ended March 31,     2026     2025   Revenues:           Subscription $ 862,264     $ 698,728   Professional services and other   18,731       15,409   Total revenue   880,995       714,137   Cost of revenues:           Subscription   128,724       100,230   Professional services and other   16,970       14,877   Total cost of revenues   145,694       115,107   Gross profit   735,301       599,030   Operating expenses:           Research and development   234,193       220,100   Sales and marketing   386,431       326,697   General and administrative   85,640       78,633   Restructuring   1,094       1,080   Total operating expenses   707,358       626,510   Income (loss) from operations   27,943       (27,480 ) Other income (expense)           Interest income   12,884       20,564   Interest expense   (245 )     (644 ) Other expense, net   (1,288 )     (2,309 ) Total other income   11,351       17,611   Income (loss) before income tax expense   39,294       (9,869 ) Income tax expense   (6,740 )     (11,924 ) Net income (loss)   32,554       (21,793 ) Net income (loss) per share, basic $ 0.62     $ (0.42 ) Net income (loss) per share, diluted $ 0.62     $ (0.42 ) Weighted average common shares used in computing
basic net income (loss) per share:   52,490       52,154   Weighted average common shares used in computing
diluted net income (loss) per share   52,578       52,154   Consolidated Statements of Cash Flows (in thousands)     Three Months Ended March 31,       2026     2025     Operating Activities:             Net income (loss) $ 32,554     $ (21,793 )   Adjustments to reconcile net (loss) income to net cash and cash equivalents provided
by operating activities             Depreciation and amortization   40,239       28,830     Stock-based compensation   115,744       116,693     Gain on strategic investments   (747 )     (115 )   Impairment of strategic investments   913       1,600     Benefit from deferred income taxes   (73 )     (335 )   Amortization of debt discount and issuance costs   97       500     Accretion of bond discount   (6,789 )     (13,848 )   Unrealized currency translation   2,527       2,717     Changes in assets and liabilities             Accounts receivable   58,437       45,655     Prepaid expenses and other assets   (60,519 )     (26,392 )   Deferred commission expense   (22,092 )     (27,159 )   Right-of-use assets   7,402       6,437     Accounts payable   31,319       18,034     Accrued expenses and other liabilities   (24,709 )     (1,224 )   Operating lease liabilities   (13,859 )     (7,452 )   Deferred revenue   38,381       39,422     Net cash and cash equivalents provided by operating activities   198,825       161,570     Investing Activities:             Purchases of investments   (358,691 )     (674,375 )   Maturities of investments   487,690       803,059     Purchases of property and equipment   (15,422 )     (13,345 )   Purchases of strategic investments   (5,792 )     (11,000 )   Purchases of intangible assets   (527 )   —     Capitalization of software development costs   (34,339 )     (30,421 )   Business acquisitions, net of cash acquired   (8,341 )     (51,356 )   Net cash and cash equivalents provided by investing activities   64,578       22,562     Financing Activities:             Employee taxes paid related to the net share settlement of stock-based awards   (3,194 )     (9,070 )   Payment of debt issuance costs   (2,620 )   —     Repayment of 2025 Convertible Notes —       (90,568 )   Proceeds related to the issuance of common stock under stock plans   16,313       19,308     Repurchases of common stock   (206,681 )     —     Net cash and cash equivalents used in financing activities   (196,182 )     (80,330 )   Effect of exchange rate changes on cash, cash equivalents and restricted cash   (5,526 )     8,560     Net increase in cash, cash equivalents and restricted cash   61,695       112,362     Cash, cash equivalents and restricted cash, beginning of period   884,945       516,720     Cash, cash equivalents and restricted cash, end of period $ 946,640     $ 629,082     Reconciliation of non-GAAP operating income and operating margin (in thousands, except percentages)     Three Months Ended March 31,     2026     2025   GAAP operating income (loss) $ 27,943     $ (27,480 ) Stock-based compensation   115,744       116,693   Amortization of acquired intangible assets   3,172       2,913   Acquisition related expense   8,811       7,082   Restructuring charges   1,094       1,080   Non-GAAP operating income $ 156,764     $ 100,288               GAAP operating margin   3.2 %     (3.8 %) Non-GAAP operating margin   17.8 %     14.0 % Reconciliation of non-GAAP net income (in thousands, except per share amounts)     Three Months Ended March 31,     2026     2025   GAAP net income (loss) $ 32,554     $ (21,793 ) Stock-based compensation   115,744       116,693   Acquisition related expense   8,811       7,082   Amortization of acquired intangibles assets   3,172       2,913   Restructuring charges   1,094       1,080   Non-cash interest expense for amortization of debt issuance costs —       500   Impairment of strategic investments, net   166       1,485   Income tax effects of non-GAAP items   (18,502 )     (12,053 ) Non-GAAP net income $ 143,039     $ 95,907               Non-GAAP net income per share:           Basic $ 2.73     $ 1.84   Diluted $ 2.72     $ 1.78   Shares used in non-GAAP per share calculations           Basic   52,490       52,154   Diluted   52,578       54,015   Reconciliation of non-GAAP expense and expense as a percentage of revenue (in thousands, except percentages)     Three Months Ended March 31,     2026     2025     COS, Subs-
cription   COS, Prof. services & other   R&D   S&M   G&A     COS, Subs-
cription   COS, Prof. services & other   R&D   S&M   G&A                                               GAAP expense $ 128,724   $ 16,970   $ 234,193   $ 386,431   $ 85,640     $ 100,230   $ 14,877   $ 220,100   $ 326,697   $ 78,633   Stock -based compensation   (10,421 )   (689 )   (53,809 )   (31,188 )   (19,637 )     (7,697 )   (930 )   (56,797 )   (31,604 )   (19,665 ) Amortization of acquired intangible assets   (2,382 )   (200 )   (28 )   (457 )   (105 )     (2,178 )   (200 ) —     (430 )   (105 ) Acquisition related expense —   —     (5,618 )   (1,182 )   (2,011 )   —   —     (6,886 )   (122 )   (74 ) Non-GAAP expense $ 115,921   $ 16,081   $ 174,738   $ 353,604   $ 63,887     $ 90,355   $ 13,747   $ 156,417   $ 294,541   $ 58,789                                               GAAP expense as a percentage of revenue   14.6 %   1.9 %   26.6 %   43.9 %   9.7 %     14.0 %   2.1 %   30.8 %   45.7 %   11.0 % Non-GAAP expense as a percentage of revenue   13.2 %   1.8 %   19.8 %   40.1 %   7.3 %     12.7 %   1.9 %   21.9 %   41.2 %   8.2 % Reconciliation of non-GAAP subscription margin (in thousands, except percentages)       Three Months Ended March 31,       2026   2025   GAAP subscription margin   $ 733,540   $ 598,498   Stock-based compensation     10,421     7,697   Amortization of acquired intangible assets     2,382     2,178   Non-GAAP subscription margin   $ 746,343   $ 608,373               GAAP subscription margin percentage     85.1 %   85.7 % Non-GAAP subscription margin percentage     86.6 %   87.1 % Reconciliation of free cash flow (in thousands)       Three Months Ended March 31,       2026   2025   GAAP net cash and cash equivalents provided by operating activities   $ 198,825   $ 161,570   Purchases of property and equipment     (15,422 )   (13,345 ) Capitalization of software development costs     (34,339 )   (30,421 ) Payment of restructuring charges     4,665     4,505   Non-GAAP free cash flow   $ 153,729   $ 122,309   Supplemental disclosures:           Holdback payments to key employees related to acquisitions(1)   $ 4,147   $ —     (1) Includes payments related to employee holdbacks pertaining to our acquisitions. The related expenses are recognized within operating expenses over the required service periods. Reconciliation of operating cash flow (in thousands)       Three Months Ended March 31,       2026   2025   GAAP net cash and cash equivalents provided by operating activities   $ 198,825   $ 161,570   Payment of restructuring charges     4,665     4,505   Non-GAAP operating cash flow   $ 203,490   $ 166,075   Supplemental disclosures:           Holdback payments to key employees related to acquisitions(1)   $ 4,147   $ —     (1) Includes payments related to employee holdbacks pertaining to our acquisitions. The related expenses are recognized within operating expenses over the required service periods. Reconciliation of forecasted non-GAAP operating income (in thousands, except percentages)     Three Months Ended
June 30, 2026     Year Ended
December 31, 2026   GAAP operating income range $21,672-$22,672     $193,024-$197,024   Stock-based compensation 141,011     527,077   Amortization of acquired intangible assets 3,111     12,504   Acquisition related expense 6,198     25,349   Restructuring charges 1,008     4,046   Non-GAAP operating income range $173,000-$174,000     $762,000-$766,000   Reconciliation of forecasted non-GAAP net income and non-GAAP net income per share (in thousands, except per share amounts)                 Three Months Ended
June 30, 2026     Year Ended
December 31, 2026   GAAP net income range $25,371-$26,371     $192,129-$196,629   Stock-based compensation 141,011     527,077   Amortization of acquired intangible assets 3,111     12,504   Acquisition related expense 6,198     25,349   Restructuring charges 1,008     4,046   Impairment of strategic investments, net —     166   Income tax effects of non-GAAP items (22,699)     (85,371)   Non-GAAP net income range $154,000-$155,000     $675,900-$680,400               GAAP net income per basic share $0.50-$0.52     $3.72-$3.81   GAAP net income per diluted share $0.50-$0.51     $3.71-$3.79   Non-GAAP net income per diluted share $3.00-$3.02     $13.04-$13.12                           Weighted average common shares used in computing GAAP
basic net income per share: 51,146     51,650   Weighted average common shares used in computing GAAP
and non-GAAP diluted net income per share: 51,248     51,847   HubSpot’s estimates of stock-based compensation, amortization of acquired intangible assets, interest expense for amortization of one-time upfront debt issuance costs, restructuring charges, and income tax effects of non-GAAP items assume, among other things, the occurrence of no additional acquisitions, changes in value of strategic investments, and no further revisions to stock-based compensation and related expenses. Non-GAAP Financial Measures We report our financial results in accordance with accounting principles generally accepted in the United States of America, or GAAP. However, management believes that, in order to properly understand our short-term and long-term financial and operational trends, investors may wish to consider the impact of certain non-cash or non-recurring items when used as a supplement to financial performance measures in accordance with GAAP. These items result from facts and circumstances that vary in frequency and impact on continuing operations. In this release, HubSpot’s non-GAAP operating income, operating margin, subscription margin, expense, expense as a percentage of revenue, net income, operating and free cash flow are not presented in accordance with GAAP and are not intended to be used in lieu of GAAP presentations of results of operations. Calculated billings is defined as total revenue recognized in a period plus the sequential change in total deferred revenue in the corresponding period. Non-GAAP operating cash flow is defined as cash and cash equivalents provided by or used in operating activities plus payment of restructuring charges. Non-GAAP free cash flow is defined as cash and cash equivalents provided by or used in operating activities less purchases of property and equipment and capitalization of software development costs, plus payment of restructuring charges. Although non-GAAP operating cash flow and non-GAAP free cash flow are not residual cash flow available for our discretionary expenditures, we believe information regarding non-GAAP operating cash flow and non-GAAP free cash flow provide useful information to investors in understanding and evaluating the strength of our liquidity and provides a comparable framework for assessing how our business performed when compared to prior periods which were not impacted by restructuring charges paid from operating cash flow. Constant currency amounts are presented to provide a framework for assessing our operating performance excluding the effect of foreign exchange rate fluctuations. To exclude the effect of foreign currency rate fluctuations, current period results for entities reporting in currencies other than U.S. Dollars (“USD”) are converted into USD at the average exchange rates for the comparative period rather than the actual average exchange rates in effect during the respective periods. Management believes that these non-GAAP financial measures provide additional means of evaluating period-over-period operating performance. Specifically, these non-GAAP financial measures provide management with additional means to understand and evaluate the operating results and trends in our ongoing business by eliminating certain non-cash expenses and other items that management believes might otherwise make comparisons of our ongoing business with prior periods more difficult, obscure trends in ongoing operations, or reduce management’s ability to make useful forecasts. In addition, management understands that some investors and financial analysts find this information helpful in analyzing our financial and operational performance and comparing this performance to our peers and competitors. However, these non-GAAP financial measures have limitations as an analytical tool and are not intended to be an alternative to financial measures prepared in accordance with GAAP. In addition, it should be noted that these non-GAAP financial measures may be different from non-GAAP measures used by other companies. We intend to provide these non-GAAP financial measures as part of our future earnings discussions and, therefore, the inclusion of these non-GAAP financial measures will provide consistency in our financial reporting. Management may, however, utilize other measures to illustrate performance in the future. Investors are encouraged to review the reconciliation of these non-GAAP measures to their most directly comparable GAAP financial measures. A reconciliation of our non-GAAP financial measures to their most directly comparable GAAP measures has been provided in the financial statement tables included above in this press release. These non-GAAP measures exclude stock-based compensation, amortization of acquired intangible assets, acquisition related expenses, disposition related income, interest expense for the amortization of one-time upfront debt issuance costs, gain or impairment losses on strategic investments, restructuring charges, and account for the income tax effects of the exclusion of these non-GAAP items. We believe investors may want to incorporate the effects of these items in order to compare our financial performance with that of other companies and between time periods: A. Stock-based compensation is a non-cash expense accounted for in accordance with FASB ASC Topic 718. We believe that the exclusion of stock-based compensation expense allows for financial results that are more indicative of our operational performance and provide for a useful comparison of our operating results to prior periods and to our peer companies because stock-based compensation expense varies from period to period and company to company due to such things as differing valuation methodologies and changes in stock price.   B. Expense for the amortization of acquired intangible assets is excluded from non-GAAP expense and income measures as HubSpot views amortization of these assets as arising from pre-acquisition activities determined at the time of an acquisition. While these intangible assets are evaluated for impairment regularly, amortization of the cost of purchased intangibles is a non-cash expense that is not typically affected by operations during any particular period. Valuation and subsequent amortization of intangible assets can also be inconsistent in amount and frequency because they can significantly vary based on the timing and size of acquisitions and the inherently subjective nature of the degree to which a purchase price is allocated to intangible assets. We believe that the exclusion of this amortization expense provides for a useful comparison of our operating results to prior periods, for which we have historically excluded amortization expense, and to our peer companies, which commonly exclude acquired intangible asset amortization. It is important to note that although we exclude amortization of acquired intangible assets from our non-GAAP expense and income measures, revenue generated from such intangibles is included within our non-GAAP income measures. The use of these intangible assets contributed to our revenues earned during the periods presented and will contribute to future periods as well.   C. Acquisition related expenses, such as transaction costs, retention payments, and holdback payments, and disposition related income, such as proceeds from sale of assets, are transactions that are not necessarily reflective of our operational performance during a period. We believe that the exclusion of these expenses and income provides for a useful comparison of our operating results to prior periods and to our peer companies, which commonly exclude these expenses and income. Payments for acquisition related expenses are included in our non-GAAP operating cash flow and free cash flow.   D. In June 2020, we issued $460 million of convertible notes due in 2025 with a coupon interest rate of 0.375%. The issuance cost of the debt is amortized as interest expense over the remaining term of the debt. We believe the exclusion of this interest expense for one-time upfront issuance costs provides for a useful comparison of our operating results to prior periods and to our peer companies. The Notes matured in June 2025, and no additional expense has been recognized thereafter.   E. Strategic investments consist of non-controlling equity investments in privately held companies. The recognition of gains, impairment losses, or the proportionate share of net earnings can vary significantly across periods and we do not view them to be indicative of our fundamental operating activities and believe the exclusion provides for a useful comparison of our operating results to prior periods and to our peer companies.   F. Restructuring charges are related to severance, employee related benefits, facilities and other costs associated with the restructuring plan implemented in January 2023. Restructuring charges fluctuate in amount and frequency and are not reflective of our core business operating results. In addition to the restructuring charges related to facilities we abandoned during the year ended 2023, through 2027, we expect to both incur incremental restructuring charges and make cash payments related to such facilities. The abandonment of facilities is part of the restructuring plan we authorized on January 25, 2023 and is intended to consolidate our lease space and create higher density across our workspaces. The incremental charges we expect to incur relate to continuing costs for the abandoned facilities and are expected to be in the range of $6-7 million. We also expect to make cash payments of approximately $23 million in fixed rent payments for the abandoned facilities that will be made in monthly installments through 2027, for which we have taken the full restructuring charge during the year ended 2023. We plan on excluding both the incremental charges and cash payments and the related restructuring cash rent payments from our non-GAAP earnings, operating cash flow, and free cash flow metrics. We believe exclusion of these charges and cash payments provides useful information to investors in understanding and evaluating the strength of earnings and liquidity and provides a comparable framework for assessing how our business performed when compared to prior periods which were not impacted by excluded restructuring charges paid from operating cash flow.   G. The effects of income taxes on non-GAAP items reflect a fixed long-term projected tax rate of 15% to provide better consistency across reporting periods. In 2026, we updated our fixed long-term projected tax rate from 20% to 15% to reflect regulatory changes from the One Big Beautiful Bill that was signed into law on July 4, 2025. To determine this long-term non-GAAP tax rate, we exclude the impact of other non-GAAP adjustments and take into account other factors such as our current operating structure and existing tax positions in various jurisdictions. We will periodically reevaluate this tax rate, as necessary, for significant events such as relevant tax law changes and material changes in our forecasted geographic earnings mix.   View source version on businesswire.com: https://www.businesswire.com/news/home/20260507857014/en/ Investor Relations Contact:
investors@hubspot.com Media Contact:
media@hubspot.com
Original: HubSpot Reports Strong Q1 2026 Results

HubSpot to Host Investor Webinar Following Spring 2026 SpotlightApril 8, 2026 4:10 PM
Business Wire
HubSpot, Inc., the agentic customer platform for scaling businesses, announced today that Yamini Rangan, the Company's Chief Executive Officer, and Duncan Lennox, the Company's Chief Product and Technology Officer, will host a Spring 2026 Spotlight Investor Webinar on Wednesday, April 15, 2026 from 11:30 a.m.–12:30 p.m. ET / 8:30 a.m.–9:30 a.m. PT.


The webinar will cover HubSpot's 2026 strategy, including the company's approach to making AI work for growth companies. It will show how HubSpot is bringing this strategy to life through product updates from its Spring Spotlight on April 14, and conclude with an update on how HubSpot is transforming how it builds, grows, and operates with AI.


All interested parties can access the webcast live on the Company's investor relations website at ir.hubspot.com.


About HubSpot


HubSpot (NYSE: HUBS) is the agentic customer platform that helps businesses grow better. HubSpot delivers seamless connection for customer-facing teams with a unified platform that includes AI-powered engagement hubs, a Smart CRM, and a connected ecosystem with over 2,000 App Marketplace integrations, a community network, and educational content. Learn more at www.hubspot.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260408827379/en/
Investor Relations Contact:

investors@hubspot.com

Press Contact:

media@hubspot.com


Original: HubSpot to Host Investor Webinar Following Spring 2026 Spotlight

HubSpot Announces Mike Berry Joins Board of DirectorsApril 1, 2026 4:10 PM
Business Wire
HubSpot, Inc. (NYSE: HUBS), the agentic customer platform for scaling companies, announced today that Mike Berry, Chief Financial Officer of MongoDB, has been appointed to the company’s Board of Directors, effective April 1, 2026. Berry brings more than 30 years of experience in finance, operations, and general management across the technology industry, with a track record of driving profitable growth at leading public technology companies.


Berry joins HubSpot's board as the company continues to scale its operations and deepen its financial discipline across global markets.


As CFO of MongoDB, Berry oversees the company's global finance organization, including financial strategy, planning and analysis, accounting, and investor relations. He has served as CFO at several companies across the technology industry, including NetApp and McAfee. Berry holds a bachelor's degree in finance from Augsburg College and an MBA from the University of St. Thomas. He also serves on the board of directors of Rapid7 and Calix.


"Mike is an exceptional leader with deep financial expertise, a strong track record in governance, and a clear understanding of how AI is changing the technology landscape," said Yamini Rangan, CEO of HubSpot. "His vast experience as a CFO at scaling companies, combined with his cybersecurity governance expertise, will be invaluable as we scale HubSpot's agentic customer platform globally. Mike is among the most trusted finance stewards in our industry, and we're thrilled to welcome him to our board."


"I've spent my career working with technology companies at pivotal moments of growth, and HubSpot is squarely in that moment,” said Mike Berry. “The combination of a loyal customer base, a differentiated AI roadmap, and a leadership team with real operational focus makes this an exciting time to join the board."


About HubSpot

HubSpot (NYSE: HUBS) is the agentic customer platform that helps businesses connect and grow better. HubSpot delivers seamless connection for customer-facing teams with a unified platform that includes AI-powered engagement hubs, a Smart CRM, and a connected ecosystem with over 2,000 App Marketplace integrations, a community network, and educational content. Learn more at www.hubspot.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260401561380/en/
ksoward@Hubspot.com


Original: HubSpot Announces Mike Berry Joins Board of Directors

HubSpot Rallies in Premarket on Earnings Beat and Upbeat 2026 OutlookFebruary 12, 2026 5:59 AM
IH Market News
HubSpot Inc (NYSE:HUBS) rose about 3% in premarket trading on Thursday after posting fourth-quarter results that topped expectations and issuing a stronger-than-anticipated outlook for fiscal 2026.The customer relationship management platform reported adjusted earnings per share of $3.10 for the fourth quarter, ahead of analyst forecasts of $2.99. Revenue reached $846.7 million, exceeding the $830.61 million consensus estimate and marking a 20% increase from a year earlier.HubSpot recorded 24% growth in net new annual recurring revenue (NNARR) for 2025, roughly double the rate achieved the prior year.Looking to fiscal 2026, the company projected earnings per share between $12.38 and $12.46, comfortably above the consensus estimate of $11.46. Revenue is expected to range from $3.69 billion to $3.70 billion, also ahead of Wall Street’s $3.61 billion forecast.“HUBS delivered solid 4Q with strong upmarket momentum and FY NNARR growth of 24% (2x Y/Y). FY26 guide appears conservative given NNARR growth outpacing revenue growth and supporting acceleration,” said Wolfe Research analyst Alex Zukin.For the first quarter of 2026, HubSpot anticipates revenue of $862 million to $863 million, representing 21% year-over-year growth, and adjusted operating income of $144 million to $145 million.The company’s customer count increased 16% year-over-year to 288,706, while average subscription revenue per customer rose 3% to $11,683. Fourth-quarter calculated billings climbed 27% to $971.4 million compared with the same period in 2024.“2025 was a transformative year for HubSpot, defined by the momentum of our agentic customer platform and clear acceleration upmarket,” said CEO Yamini Rangan. “AI adoption gathered pace, as Breeze Customer Agent and Breeze Prospecting Agent delivered real outcomes for customers.”HubSpot also announced that its board has approved a new share repurchase authorization of up to $1 billion to be executed over the next two years.HubSpot stock price

Original: HubSpot Rallies in Premarket on Earnings Beat and Upbeat 2026 Outlook

HubSpot Reports Strong Q4 and Full Year 2025 ResultsFebruary 11, 2026 4:05 PM
Business Wire
Q4'25 revenue grew 20% on an as-reported basis and 18% in constant currency compared to Q4'24

Full year 2025 revenue grew 19% on an as-reported basis and 18% in constant currency compared to 2024


HubSpot, Inc. (NYSE: HUBS), the customer platform for scaling companies, today announced financial results for the fourth quarter and full year ended December 31, 2025.


Financial Highlights:


Revenue

Fourth Quarter 2025:



Total revenue was $846.7 million, up 20% on an as-reported basis and 18% in constant currency compared to Q4'24.


Subscription revenue was $829.0 million, up 21% on an as-reported basis compared to Q4'24.



Professional services and other revenue was $17.8 million, up 12% on an as-reported basis compared to Q4'24.






Full Year 2025:



Total revenue was $3.13 billion, up 19% on an as-reported basis and 18% in constant currency compared to 2024.


Subscription revenue was $3.06 billion, up 19% on an as-reported basis compared to 2024.



Professional services and other revenue was $67.3 million, up 16% on an as-reported basis compared to 2024.






Operating Income (Loss)

Fourth Quarter 2025:



GAAP operating margin was 5.7%, compared to (1.5%) in Q4'24.



Non-GAAP operating margin was 22.6%, compared to 18.9% in Q4'24.



GAAP operating income was $48.2 million, compared to operating loss of ($10.8) million in Q4'24.



Non-GAAP operating income was $191.0 million, compared to $133.1 million in Q4'24.



Full Year 2025:



GAAP operating margin was 0.2%, compared to (2.6%) in 2024.



Non-GAAP operating margin was 18.6%, compared to 17.5% in 2024.



GAAP operating income was $7.4 million, compared to operating loss of ($67.6) million in 2024.



Non-GAAP operating income was $581.9 million, compared to $460.2 million in 2024.



Net Income

Fourth Quarter 2025:



GAAP net income was $54.4 million, or $1.04 per basic and diluted share, compared to $4.9 million, or $0.10 per basic and $0.09 per diluted share in Q4'24.



Non-GAAP net income was $162.5 million, or $3.10 per basic and $3.09 per diluted share, compared to $124.9 million, or $2.42 per basic and $2.32 per diluted share in Q4'24.



Weighted average basic and diluted shares outstanding for GAAP net income per share was 52.5 million, compared to 51.7 million basic and 52.2 million diluted shares in Q4'24.



Weighted average basic and diluted shares outstanding for non-GAAP net income per share was 52.5 million, compared to 51.7 million and 53.9 million, respectively in Q4'24.



Full Year 2025:



GAAP net income was $45.9 million, or $0.88 per basic and $0.86 per diluted share, compared to $4.6 million, or $0.09 per basic and diluted share in 2024.



Non-GAAP net income was $516.0 million, or $9.84 per basic and $9.70 per diluted share, compared to $434.1 million, or $8.48 per basic and $8.12 per diluted share in 2024.



Weighted average basic and diluted shares outstanding for GAAP net income per share was 52.5 million and 53.2 million, respectively, compared to 51.2 million basic and 51.8 million diluted shares in 2024.



Weighted average basic and diluted shares outstanding for non-GAAP net income per share was 52.5 million and 53.2 million, respectively, compared to 51.2 million and 53.4 million, respectively in 2024.



Balance Sheet and Cash Flow



The company’s cash and cash equivalents, short-term, and long-term investments balance was $1.8 billion as of December 31, 2025.



During the fourth quarter, the company generated $247.4 million of cash from operating cash flow, compared to $194.1 million during Q4'24.



During the fourth quarter, the company generated $253.1 million of cash from non-GAAP operating cash flow and $209.4 million of non-GAAP free cash flow, compared to $198.6 million of cash from non-GAAP operating cash flow and $163.0 million of non-GAAP free cash flow during Q4'24.



During 2025, the company generated $760.7 million of cash from operating cash flow, compared to $598.6 million during 2024.



During 2025, the company generated $778.7 million of cash from non-GAAP operating cash flow and $594.9 million of non-GAAP free cash flow, compared to $615.6 million of cash from non-GAAP operating cash flow and $488.1 million of non-GAAP free cash flow during 2024.



Additional Recent Business Highlights



Grew Customers to 288,706 at December 31, 2025, up 16% from December 31, 2024.



Average Subscription Revenue Per Customer was $11,683 during the fourth quarter of 2025, up 3% on an as-reported basis compared to the fourth quarter of 2024.



Calculated billings were $971.4 million in the fourth quarter of 2025, up 27% on an as-reported basis and 20% in constant currency compared to Q4'24.



“2025 was a transformative year for HubSpot, defined by the momentum of our agentic customer platform and clear acceleration upmarket,” said Yamini Rangan, Chief Executive Officer at HubSpot. “AI adoption gathered pace, as Breeze Customer Agent and Breeze Prospecting Agent delivered real outcomes for customers. At the same time, our upmarket business saw strong momentum, as large companies turned to HubSpot to drive AI innovation, consolidate tech stacks, and reduce their total cost of ownership. Heading into 2026, we're cementing our position as the leading agentic customer platform for scaling companies, building on our strength upmarket, and leading the new era of marketing with products and a playbook that drive growth. We're entering the year with focus and urgency, and I'm confident we're positioned to drive durable growth in the years ahead.”


Share Repurchase Program

On February 7, 2026, the company’s Board of Directors authorized a share repurchase program for the repurchase of shares of the company’s common stock, in an aggregate amount of up to $1.0 billion (the “2026 Share Repurchase Program”) over a period of up to 24 months. Repurchases under this program will be made in the open market, through privately negotiated transactions or other means, including pursuant to 10b5-1 plans, and in compliance with applicable securities laws and other requirements. The timing, manner, price, and amount of the 2026 Share Repurchase Program will be subject to the discretion of the Company’s management. The 2026 Share Repurchase Program does not obligate the Company to acquire a specified number of shares, and may be suspended, modified, or terminated at any time, without prior notice.


Business Outlook

Based on information available as of February 11, 2026, HubSpot is issuing guidance for the first quarter and full year of 2026 as indicated below.


First Quarter 2026:



Total revenue is expected to be in the range of $862.0 million to $863.0 million, up 21% year over year on an as-reported basis and 16% in constant currency.



Non-GAAP operating income is expected to be in the range of $144.0 million to $145.0 million, representing a 17% operating profit margin.



Non-GAAP net income per common share is expected to be in the range of $2.46 to $2.48. This assumes approximately 52.5 million weighted average diluted shares outstanding.



Full Year 2026:



Total revenue is expected to be in the range of $3.69 billion to $3.70 billion, up 18% year over year on an as-reported basis and 16% in constant currency.



Non-GAAP operating income is expected to be in the range of $736.0 million to $740.0 million, representing a 20% operating profit margin.



Non-GAAP net income per common share is expected to be in the range of $12.38 to $12.46. This assumes approximately 51.8 million weighted average diluted shares outstanding.



Use of Non-GAAP Financial Measures

In our earnings press releases, conference calls, slide presentations, and webcasts, we may use or discuss non-GAAP financial measures, as defined by Regulation G. The GAAP financial measure most directly comparable to each non-GAAP financial measure used or discussed, and a reconciliation of the differences between each non-GAAP financial measure and the comparable GAAP financial measure, are included in this press release after the consolidated financial statements. Our earnings press releases containing such non-GAAP reconciliations can be found in the Investors section of our website ir.hubspot.com.


Conference Call Information

HubSpot will host a conference call on Wednesday, February 11, 2026 at 4:30 p.m. Eastern Time (ET) to discuss the company’s fourth quarter and full year 2025 financial results and its business outlook. To register for this conference call, please use this dial in registration link or visit HubSpot's Investor Relations website at ir.hubspot.com. After registering, a confirmation email will be sent, including dial-in details and a unique code for entry. Participants who wish to register for the conference call webcast please use this link.


An archived webcast of this conference call will also be available on HubSpot's Investor Relations website at ir.hubspot.com.


The company has used, and intends to continue to use, the investor relations portion of its website as a means of disclosing material non-public information and for complying with disclosure obligations under Regulation FD.


About HubSpot

HubSpot is the agentic customer platform that helps businesses connect and grow better. HubSpot delivers seamless connection for customer-facing teams with a unified platform that includes AI-powered engagement hubs, a Smart CRM, and a connected ecosystem with over 2,000 App Marketplace integrations, a community network, and educational content. Learn more at www.hubspot.com.


Cautionary Language Concerning Forward-Looking Statements

This press release includes certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding management’s expectations of future financial and operational performance and operational expenditures, expected growth, foreign currency movement, and business outlook, including our financial guidance for the first fiscal quarter of and full year 2026 and our long-term financial framework; statements regarding our share repurchase program; statements regarding our positioning for future growth and market leadership; statements regarding the strength of our agentic customer platform; statements regarding the growth or maintenance of our upmarket business; statements regarding the economic environment; and statements regarding expected market trends, future priorities and related investments, and market opportunities. These forward-looking statements include, but are not limited to, plans, objectives, expectations and intentions and other statements contained in this press release that are not historical facts and statements identified by words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” or words of similar meaning. These forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made. Although we believe that our plans, intentions, expectations, strategies and prospects as reflected in or suggested by those forward-looking statements are reasonable, we can give no assurance that the plans, intentions, expectations or strategies will be attained or achieved. Furthermore, actual results may differ materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond our control including, without limitation, risks associated with our history of losses; our ability to retain existing customers and add new customers; the continued growth of the market for a customer platform; our ability to develop new products and technologies and differentiate our platform from competing products and technologies, including artificial intelligence and machine learning technologies; our ability to manage our growth effectively over the long-term to maintain our high level of service; our ability to maintain and expand relationships with our solutions partners; the price volatility of our common stock; the impact of geopolitical conflicts, inflation, foreign currency movement, and macroeconomic instability on our business, the broader economy, our workforce and operations, the markets in which we and our partners and customers operate, and our ability to forecast our future financial performance; regulatory and legislative developments on the use of artificial intelligence and machine learning; and other risks set forth under the caption “Risk Factors” in our SEC filings. We assume no obligation to update any forward-looking statements contained in this document as a result of new information, future events or otherwise.




Consolidated Balance Sheets




(in thousands)













 



 






 






December 31,






 






 






December 31,






 








 






 






2025






 






 






2024






 








Assets






 






 






 






 






 






 








Current assets:






 






 






 






 






 






 








Cash and cash equivalents






 






$






882,242






 






 






$






512,667






 








Short-term investments






 






 






821,552






 






 






 






1,556,828






 








Accounts receivable






 






 






419,146






 






 






 






334,829






 








Deferred commission expense






 






 






226,184






 






 






 






148,693






 








Prepaid expenses and other current assets






 






 






100,611






 






 






 






80,586






 








Total current assets






 






 






2,449,735






 






 






 






2,633,603






 








Long-term investments






 






 






136,662






 






 






 






154,212






 








Property and equipment, net






 






 






141,869






 






 






 






114,165






 








Capitalized software development costs, net






 






 






213,794






 






 






 






154,484






 








Right-of-use assets






 






 






200,821






 






 






 






216,230






 








Deferred commission expense, net of current portion






 






 






218,991






 






 






 






160,814






 








Other assets






 






 






165,602






 






 






 






115,254






 








Intangible assets, net






 






 






35,225






 






 






 






37,563






 








Goodwill






 






 






291,452






 






 






 






209,508






 








Total assets






 






 






3,854,151






 






 






 






3,795,833






 








Liabilities and stockholders’ equity






 






 






 






 






 






 








Current liabilities:






 






 






 






 






 






 








Accounts payable






 






 






24,764






 






 






 






3,649






 








Accrued compensation costs






 






 






99,195






 






 






 






67,442






 








Accrued commissions






 






 






132,003






 






 






 






102,043






 








Accrued expenses and other current liabilities






 






 






166,861






 






 






 






125,135






 








Operating lease liabilities






 






 






39,703






 






 






 






32,693






 








Convertible senior notes






 






—






 






 






 






458,184






 








Deferred revenue






 






 






1,004,945






 






 






 






784,253






 








Total current liabilities






 






 






1,467,471






 






 






 






1,573,399






 








Operating lease liabilities, net of current portion






 






 






222,602






 






 






 






254,539






 








Deferred revenue, net of current portion






 






 






8,495






 






 






 






3,969






 








Other long-term liabilities






 






 






89,339






 






 






 






55,640






 








Total liabilities






 






 






1,787,907






 






 






 






1,887,547






 








Stockholders’ equity:






 






 






 






 






 






 








Common stock






 






 






53






 






 






 






52






 








Treasury stock






 






 






2






 






 






 






—






 








Additional paid-in capital






 






 






2,814,843






 






 






 






2,713,697






 








Accumulated other comprehensive income (loss)






 






 






5,244






 






 






 






(5,654






)








Accumulated deficit






 






 






(753,898






)






 






 






(799,809






)








Total stockholders’ equity






 






 






2,066,244






 






 






 






1,908,286






 








Total liabilities and stockholders’ equity






 






$






3,854,151






 






 






$






3,795,833






 









Consolidated Statements of Operations




(in thousands, except per share data)












 



 






Three Months Ended December 31,






 






 






Year Ended December 31,






 








 






2025






 






 






2024






 






 






2025






 






 






2024






 








Revenues:






 






 






 






 






 






 






 






 






 






 






 








Subscription






$






828,980






 






 






$






687,316






 






 






$






3,063,917






 






 






$






2,569,546






 








Professional services and other






 






17,766






 






 






 






15,856






 






 






 






67,349






 






 






 






57,997






 








Total revenue






 






846,746






 






 






 






703,172






 






 






 






3,131,266






 






 






 






2,627,543






 








Cost of revenues:






 






 






 






 






 






 






 






 






 






 






 








Subscription






 






121,411






 






 






 






89,505






 






 






 






445,336






 






 






 






336,878






 








Professional services and other






 






16,290






 






 






 






13,867






 






 






 






63,151






 






 






 






56,387






 








Total cost of revenues






 






137,701






 






 






 






103,372






 






 






 






508,487






 






 






 






393,265






 








Gross profit






 






709,045






 






 






 






599,800






 






 






 






2,622,779






 






 






 






2,234,278






 








Operating expenses:






 






 






 






 






 






 






 






 






 






 






 








Research and development






 






220,794






 






 






 






213,711






 






 






 






905,943






 






 






 






778,714






 








Sales and marketing






 






357,531






 






 






 






314,864






 






 






 






1,379,376






 






 






 






1,218,844






 








General and administrative






 






81,668






 






 






 






80,931






 






 






 






326,045






 






 






 






300,332






 








Restructuring






 






814






 






 






 






1,143






 






 






 






4,036






 






 






 






3,990






 








Total operating expenses






 






660,807






 






 






 






610,649






 






 






 






2,615,400






 






 






 






2,301,880






 








Income (loss) from operations






 






48,238






 






 






 






(10,849






)






 






 






7,379






 






 






 






(67,602






)








Other income (expense)






 






 






 






 






 






 






 






 






 






 






 








Interest income






 






13,112






 






 






 






21,829






 






 






 






66,218






 






 






 






82,706






 








Interest expense






—






 






 






 






(949






)






 






 






(876






)






 






 






(3,721






)








Other income (expense)






 






303






 






 






 






2,913






 






 






 






(3,258






)






 






 






17,294






 








Total other income






 






13,415






 






 






 






23,793






 






 






 






62,084






 






 






 






96,279






 








Income before income tax expense






 






61,653






 






 






 






12,944






 






 






 






69,463






 






 






 






28,677






 








Income tax expense






 






(7,227






)






 






 






(8,009






)






 






 






(23,552






)






 






 






(24,049






)








Net income






 






54,426






 






 






 






4,935






 






 






 






45,911






 






 






 






4,628






 








Net income per share, basic






$






1.04






 






 






$






0.10






 






 






$






0.88






 






 






$






0.09






 








Net income per share, diluted






$






1.04






 






 






$






0.09






 






 






$






0.86






 






 






$






0.09






 








Weighted average common shares used in computing basic net income per share:






 






52,457






 






 






 






51,657






 






 






 






52,455






 






 






 






51,178






 








Weighted average common shares used in computing diluted net income per share






 






52,547






 






 






 






52,242






 






 






 






53,194






 






 






 






51,819






 









Consolidated Statements of Cash Flows




(in thousands)












 



 






Three Months Ended December 31,






 






 






Year Ended December 31,






 








 






2025






 






 






2024






 






 






2025






 






 






2024






 








Operating Activities:






 






 






 






 






 






 






 






 






 






 






 








Net income






$






54,426






 






 






$






4,935






 






 






$






45,911






 






 






$






4,628






 








Adjustments to reconcile net (loss) income to net cash and cash equivalents provided by operating activities






 






 






 






 






 






 






 






 






 






 






 








Depreciation and amortization






 






38,569






 






 






 






28,381






 






 






 






136,295






 






 






 






96,828






 








Stock-based compensation






 






132,399






 






 






 






134,388






 






 






 






528,153






 






 






 






504,770






 








Gain on strategic investments






 






(3,514






)






 






 






(2,690






)






 






 






(5,500






)






 






 






(21,245






)








Impairment of strategic investments






 






2,248






 






 






 






1,212






 






 






 






5,923






 






 






 






5,306






 








Provision for (benefit from) deferred income taxes






 






268






 






 






 






3,301






 






 






 






(2






)






 






 






2,690






 








Amortization of debt discount and issuance costs






—






 






 






 






511






 






 






 






577






 






 






 






2,012






 








Accretion of bond discount






 






(7,046






)






 






 






(14,982






)






 






 






(40,468






)






 






 






(51,676






)








Unrealized currency translation






 






(3,857






)






 






 






1,827






 






 






 






(5,692






)






 






 






(1,550






)








Changes in assets and liabilities






 






 






 






 






 






 






 






 






 






 






 








Accounts receivable






 






(99,813






)






 






 






(62,241






)






 






 






(64,003






)






 






 






(48,428






)








Prepaid expenses and other assets






 






3,149






 






 






 






4,191






 






 






 






(34,060






)






 






 






(4,415






)








Deferred commission expense






 






(43,879






)






 






 






(35,262






)






 






 






(117,032






)






 






 






(96,687






)








Right-of-use assets






 






6,573






 






 






 






5,836






 






 






 






25,894






 






 






 






32,297






 








Accounts payable






 






(1,132






)






 






 






(6,026






)






 






 






18,999






 






 






 






(4,577






)








Accrued expenses and other liabilities






 






56,354






 






 






 






49,807






 






 






 






117,971






 






 






 






89,129






 








Operating lease liabilities






 






(9,823






)






 






 






(8,966






)






 






 






(36,124






)






 






 






(41,521






)








Deferred revenue






 






122,508






 






 






 






89,919






 






 






 






183,875






 






 






 






131,038






 








Net cash and cash equivalents provided by operating activities






 






247,430






 






 






 






194,141






 






 






 






760,717






 






 






 






598,599






 








Investing Activities:






 






 






 






 






 






 






 






 






 






 






 








Purchases of investments






 






(258,999






)






 






 






(507,272






)






 






 






(1,443,998






)






 






 






(1,993,610






)








Maturities of investments






 






351,450






 






 






 






503,046






 






 






 






2,237,387






 






 






 






1,658,601






 








Sale of investments






—






 






 






—






 






 






—






 






 






 






1,997






 








Purchases of property and equipment






 






(13,450






)






 






 






(12,726






)






 






 






(53,165






)






 






 






(37,939






)








Purchases of strategic investments






 






(4,936






)






 






 






(3,972






)






 






 






(32,683






)






 






 






(15,538






)








Purchases of intangible assets






 






5






 






 






 






(1,231






)






 






 






(274






)






 






 






(1,231






)








Capitalization of software development costs






 






(30,269






)






 






 






(22,915






)






 






 






(130,624






)






 






 






(89,636






)








Business acquisitions, net of cash acquired






 






(16,137






)






 






 






(40,438






)






 






 






(87,608






)






 






 






(40,438






)








Proceeds from strategic investments






 






2,738






 






 






—






 






 






 






2,738






 






 






—






 








Proceeds from net working capital settlement






—






 






 






—






 






 






—






 






 






 






1,933






 








Net cash and cash equivalents provided by (used in) investing activities






 






30,402






 






 






 






(85,508






)






 






 






491,773






 






 






 






(515,861






)








Financing Activities:






 






 






 






 






 






 






 






 






 






 






 








Employee taxes paid related to the net share settlement of stock-based awards






 






(3,397






)






 






 






(4,172






)






 






 






(21,573






)






 






 






(21,949






)








Repayment of 2025 Convertible Notes






—






 






 






 






(57






)






 






 






(459,811






)






 






 






(57






)








Proceeds related to the issuance of common stock under stock plans






 






8,677






 






 






 






14,290






 






 






 






71,394






 






 






 






75,501






 








Repurchases of common stock






 






(14,746






)






 






—






 






 






 






(500,019






)






 






—






 








Net cash and cash equivalents (used in) provided by financing activities






 






(9,466






)






 






 






10,061






 






 






 






(910,009






)






 






 






53,495






 








Effect of exchange rate changes on cash, cash equivalents and restricted cash






 






(476






)






 






 






(16,087






)






 






 






25,744






 






 






 






(11,553






)








Net increase in cash, cash equivalents and restricted cash






 






267,890






 






 






 






102,607






 






 






 






368,225






 






 






 






124,680






 








Cash, cash equivalents and restricted cash, beginning of period






 






617,055






 






 






 






414,113






 






 






 






516,720






 






 






 






392,040






 








Cash, cash equivalents and restricted cash, end of period






$






884,945






 






 






$






516,720






 






 






$






884,945






 






 






$






516,720






 









Reconciliation of non-GAAP operating income and operating margin




(in thousands, except percentages)












 



 






Three Months Ended December 31,






 






 






Year Ended December 31,






 








 






2025






 






 






2024






 






 






2025






 






 






2024






 








GAAP operating income (loss)






$






48,238






 






 






$






(10,849






)






 






$






7,379






 







$






(67,602






)








Stock-based compensation






 






132,399






 






 






 






134,388






 






 






 






528,153






 







 






504,770






 








Amortization of acquired intangible assets






 






3,098






 






 






 






2,527






 






 






 






12,124






 







 






9,557






 








Acquisition related expense






 






6,457






 






 






 






5,863






 






 






 






30,209






 







 






9,496






 








Restructuring charges






 






814






 






 






 






1,143






 






 






 






4,036






 







 






3,990






 








Non-GAAP operating income






$






191,006






 






 






$






133,072






 






 






$






581,901






 







$






460,211






 








 






 






 






 






 






 






 






 






 







 






 








GAAP operating margin






 






5.7






%






 






 






(1.5






%)






 






 






0.2






%







 






(2.6






%)








Non-GAAP operating margin






 






22.6






%






 






 






18.9






%






 






 






18.6






%







 






17.5






%









Reconciliation of non-GAAP net income




(in thousands, except per share amounts)












 



 






Three Months Ended December 31,






 






 






Year Ended December 31,






 








 






2025






 






 






2024






 






 






2025






 






 






2024






 








GAAP net income






$






54,426






 






 






$






4,935






 






 






$






45,911






 







$






4,628






 








Stock-based compensation






 






132,399






 






 






 






134,388






 






 






 






528,153






 







 






504,770






 








Acquisition related expense






 






6,457






 






 






 






5,863






 






 






 






30,209






 







 






9,496






 








Amortization of acquired intangibles assets






 






3,098






 






 






 






2,527






 






 






 






12,124






 







 






9,557






 








Restructuring charges






 






814






 






 






 






1,143






 






 






 






4,036






 







 






3,990






 








Non-cash interest expense for amortization of debt issuance costs






—






 






 






 






511






 






 






 






577






 







 






2,012






 








(Gain on) impairment of strategic investments, net






 






(1,266






)






 






 






(1,307






)






 






 






423






 







 






(15,854






)








Income tax effects of non-GAAP items






 






(33,404






)






 






 






(23,205






)






 






 






(105,445






)







 






(84,481






)








Non-GAAP net income






$






162,524






 






 






$






124,855






 






 






$






515,988






 







$






434,118






 








 






 






 






 






 






 






 






 






 







 






 








Non-GAAP net income per share:






 






 






 






 






 






 






 






 







 






 








Basic






$






3.10






 






 






$






2.42






 






 






$






9.84






 







$






8.48






 








Diluted






$






3.09






 






 






$






2.32






 






 






$






9.70






 







$






8.12






 








Shares used in non-GAAP per share calculations






 






 






 






 






 






 






 






 







 






 








Basic






 






52,457






 






 






 






51,657






 






 






 






52,455






 







 






51,178






 








Diluted (1)






 






52,547






 






 






 






53,867






 






 






 






53,194






 







 






53,444






 






















 



(1) The non-GAAP diluted share count includes shares related to our 2025 notes using the if converted method. The GAAP diluted share count in the three months and year ended December 31, 2024 excludes shares related to our 2025 notes using the if converted method because inclusion of those shares would be anti-dilutive.









Reconciliation of non-GAAP expense and expense as a percentage of revenue




(in thousands, except percentages)









 



 






Three Months Ended December 31,






 








 






2025






 






 






2024






 








 






COS, Subs-

cription






 






COS, Prof. services & other






 






R&D






 






S&M






 






G&A






 






 






COS, Subs-

cription






 






COS, Prof. services & other






 






R&D






 






S&M






 






G&A






 








 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 








GAAP expense






$






121,411






 






$






16,290






 






$






220,794






 






$






357,531






 






$






81,668






 






 






$






89,505






 






$






13,867






 






$






213,711






 






$






314,864






 






$






80,931






 








Stock -based compensation






 






(9,438






)






 






(859






)






 






(65,985






)






 






(34,615






)






 






(21,502






)






 






 






(6,802






)






 






(1,011






)






 






(65,250






)






 






(38,235






)






 






(23,090






)








Amortization of acquired intangible assets






 






(2,330






)






 






(200






)






 






(28






)






 






(435






)






 






(105






)






 






 






(1,882






)






 






(133






)






—






 






 






(407






)






 






(105






)








Acquisition related expense






—






 






—






 






 






(5,663






)






 






(92






)






 






(702






)






 






—






 






—






 






 






(3,908






)






 






(83






)






 






(1,872






)








Non-GAAP expense






$






109,643






 






$






15,231






 






$






149,118






 






$






322,389






 






$






59,359






 






 






$






80,821






 






$






12,723






 






$






144,553






 






$






276,139






 






$






55,864






 








 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 








GAAP expense as a percentage of revenue






 






14.3






%






 






1.9






%






 






26.1






%






 






42.2






%






 






9.6






%






 






 






12.7






%






 






2.0






%






 






30.4






%






 






44.8






%






 






11.5






%








Non-GAAP expense as a percentage of revenue






 






12.9






%






 






1.8






%






 






17.6






%






 






38.1






%






 






7.0






%






 






 






11.5






%






 






1.8






%






 






20.6






%






 






39.3






%






 






7.9






%









 






Year Ended December 31,






 








 






2025






 






 






2024






 








 






COS, Subs-

cription






 






COS, Prof. services & other






 






R&D






 






S&M






 






G&A






 






 






COS, Subs-

cription






 






COS, Prof. services & other






 






R&D






 






S&M






 






G&A






 








 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 








GAAP expense






$






445,336






 






$






63,151






 






$






905,943






 






$






1,379,376






 






$






326,045






 






 






$






336,878






 






$






56,387






 






$






778,714






 






$






1,218,844






 






$






300,332






 








Stock -based compensation






 






(34,591






)






 






(3,972






)






 






(261,747






)






 






(139,346






)






 






(88,497






)






 






 






(23,613






)






 






(4,339






)






 






(243,164






)






 






(145,778






)






 






(87,876






)








Amortization of acquired intangible assets






 






(9,070






)






 






(800






)






 






(66






)






 






(1,768






)






 






(420






)






 






 






(7,525






)






 






(133






)






 






—






 






 






(1,479






)






 






(420






)








Acquisition related expense






 






—






 






 






—






 






 






(28,186






)






 






(466






)






 






(1,557






)






 






 






—






 






 






—






 






 






(6,427






)






 






(83






)






 






(2,986






)








Non-GAAP expense






$






401,675






 






$






58,379






 






$






615,944






 






$






1,237,796






 






$






235,571






 






 






$






305,740






 






$






51,915






 






$






529,123






 






$






1,071,504






 






$






209,050






 








 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 








GAAP expense as a percentage of revenue






 






14.2






%






 






2.0






%






 






28.9






%






 






44.1






%






 






10.4






%






 






 






12.8






%






 






2.1






%






 






29.6






%






 






46.4






%






 






11.4






%








Non-GAAP expense as a percentage of revenue






 






12.8






%






 






1.9






%






 






19.7






%






 






39.5






%






 






7.5






%






 






 






11.6






%






 






2.0






%






 






20.1






%






 






40.8






%






 






8.0






%









Reconciliation of non-GAAP subscription margin




(in thousands, except percentages)













 



 






 






Three Months Ended December 31,






 






 






Year Ended December 31,






 








 






 






2025






 






2024






 






 






2025






 






2024






 








GAAP subscription margin






 






$






707,569






 






$






597,811






 






 






$






2,618,581






 






$






2,232,668






 








Stock-based compensation






 






 






9,438






 






 






6,802






 






 






 






34,591






 






 






23,613






 








Amortization of acquired intangible assets






 






 






2,330






 






 






1,882






 






 






 






9,070






 






 






7,525






 








Non-GAAP subscription margin






 






$






719,337






 






$






606,495






 






 






$






2,662,242






 






$






2,263,806






 








 






 






 






 






 






 






 






 






 






 






 








GAAP subscription margin percentage






 






 






85.4






%






 






87.0






%






 






 






85.5






%






 






86.9






%








Non-GAAP subscription margin percentage






 






 






86.8






%






 






88.2






%






 






 






86.9






%






 






88.1






%









Reconciliation of free cash flow




(in thousands)








 








 






 






Three Months Ended December 31,






 






 






Year Ended December 31,






 








 






 






2025






 






2024






 






 






2025






 






2024






 








GAAP net cash and cash equivalents provided by operating activities






 






$






247,430






 






$






194,141






 






 






$






760,717






 






$






598,599






 








Purchases of property and equipment






 






 






(13,450






)






 






(12,726






)






 






 






(53,165






)






 






(37,939






)








Capitalization of software development costs






 






 






(30,269






)






 






(22,915






)






 






 






(130,624






)






 






(89,636






)








Payment of restructuring charges






 






 






5,710






 






 






4,490






 






 






 






17,988






 






 






17,027






 








Non-GAAP free cash flow






 






$






209,421






 






$






162,990






 






 






$






594,916






 






$






488,051






 








Supplemental disclosures:






 






 






 






 






 






 






 






 






 






 








Holdback payments to key employees related to acquisitions(1)






 






$






14,194






 






$






2,056






 






 






$






14,963






 






$






2,262






 





















 



(1) Includes payments related to employee holdbacks pertaining to our acquisitions. The related expenses are recognized within operating expenses over the required service periods.









Reconciliation of operating cash flow




(in thousands)













 



 






 






Three Months Ended December 31,






 






 






Year Ended December 31,






 








 






 






2025






 






2024






 






 






2025






 






2024






 








GAAP net cash and cash equivalents provided by operating activities






 






$






247,430






 






$






194,141






 






 






$






760,717






 






$






598,599






 








Payment of restructuring charges






 






 






5,710






 






 






4,490






 






 






 






17,988






 






 






17,027






 








Non-GAAP operating cash flow






 






$






253,140






 






$






198,631






 






 






$






778,705






 






$






615,626






 








Supplemental disclosures:






 






 






 






 






 






 






 






 






 






 








Holdback payments to key employees related to acquisitions(1)






 






$






14,194






 






$






2,056






 






 






$






14,963






 






$






2,262






 





















 



(1) Includes payments related to employee holdbacks pertaining to our acquisitions. The related expenses are recognized within operating expenses over the required service periods.









Reconciliation of forecasted non-GAAP operating income




(in thousands, except percentages)











 






Three Months Ended

March 31, 2026






 






 






Year Ended

December 31, 2026






 








GAAP operating income range






$26,135-$27,135






 






 






$147,212-$151,212






 








Stock-based compensation






 






108,731






 






 






 






556,772






 








Amortization of acquired intangible assets






 






3,192






 






 






 






12,411






 








Acquisition related expense






 






4,931






 






 






 






15,561






 








Restructuring charges






 






1,011






 






 






 






4,044






 








Non-GAAP operating income range






$144,000-$145,000






 






 






$736,000-$740,000






 









Reconciliation of forecasted non-GAAP net income and non-GAAP net income per share




(in thousands, except per share amounts)






 








 






 






 






 






 






 








 






Three Months Ended

March 31, 2026






 






 






Year Ended

December 31, 2026






 








GAAP net income range






$34,017-$35,194






 






 






$138,271-$142,977






 








Stock-based compensation






 






108,731






 






 






 






556,772






 








Amortization of acquired intangible assets






 






3,192






 






 






 






12,411






 








Acquisition related expense






 






4,931






 






 






 






15,561






 








Restructuring charges






 






1,011






 






 






 






4,044






 








Income tax effects of non-GAAP items






(22,782)-(22,959)






 






 






(85,259)-(85,965)






 








Non-GAAP net income range






$129,100-$130,100






 






 






$641,800-$645,800






 








 






 






 






 






 






 








GAAP net income per basic and diluted share






$0.65-$0.67






 






 






$2.67-$2.76






 








Non-GAAP net income per diluted share






$2.46-$2.48






 






 






$12.38-$12.46






 








 






 






 






 






 






 








 






 






 






 






 






 








Weighted average common shares used in computing GAAP basic net income per share:






 






52,419






 






 






 






51,791






 








Weighted average common shares used in computing GAAP and non-GAAP diluted net income per share:






 






52,492






 






 






 






51,842






 







HubSpot’s estimates of stock-based compensation, amortization of acquired intangible assets, interest expense for amortization of one-time upfront debt issuance costs, restructuring charges, and income tax effects of non-GAAP items assume, among other things, the occurrence of no additional acquisitions, changes in value of strategic investments, and no further revisions to stock-based compensation and related expenses.


Non-GAAP Financial Measures

We report our financial results in accordance with accounting principles generally accepted in the United States of America, or GAAP. However, management believes that, in order to properly understand our short-term and long-term financial and operational trends, investors may wish to consider the impact of certain non-cash or non-recurring items when used as a supplement to financial performance measures in accordance with GAAP. These items result from facts and circumstances that vary in frequency and impact on continuing operations. In this release, HubSpot’s non-GAAP operating income, operating margin, subscription margin, expense, expense as a percentage of revenue, net income, operating and free cash flow are not presented in accordance with GAAP and are not intended to be used in lieu of GAAP presentations of results of operations.


Calculated billings is defined as total revenue recognized in a period plus the sequential change in total deferred revenue in the corresponding period. Non-GAAP operating cash flow is defined as cash and cash equivalents provided by or used in operating activities plus payment of restructuring charges. Non-GAAP free cash flow is defined as cash and cash equivalents provided by or used in operating activities less purchases of property and equipment and capitalization of software development costs, plus payment of restructuring charges. Although non-GAAP operating cash flow and non-GAAP free cash flow are not residual cash flow available for our discretionary expenditures, we believe information regarding non-GAAP operating cash flow and non-GAAP free cash flow provide useful information to investors in understanding and evaluating the strength of our liquidity and provides a comparable framework for assessing how our business performed when compared to prior periods which were not impacted by restructuring charges paid from operating cash flow.


Constant currency amounts are presented to provide a framework for assessing our operating performance excluding the effect of foreign exchange rate fluctuations. To exclude the effect of foreign currency rate fluctuations, current period results for entities reporting in currencies other than U.S. Dollars (“USD”) are converted into USD at the average exchange rates for the comparative period rather than the actual average exchange rates in effect during the respective periods.


Management believes that these non-GAAP financial measures provide additional means of evaluating period-over-period operating performance. Specifically, these non-GAAP financial measures provide management with additional means to understand and evaluate the operating results and trends in our ongoing business by eliminating certain non-cash expenses and other items that management believes might otherwise make comparisons of our ongoing business with prior periods more difficult, obscure trends in ongoing operations, or reduce management’s ability to make useful forecasts. In addition, management understands that some investors and financial analysts find this information helpful in analyzing our financial and operational performance and comparing this performance to our peers and competitors. However, these non-GAAP financial measures have limitations as an analytical tool and are not intended to be an alternative to financial measures prepared in accordance with GAAP. In addition, it should be noted that these non-GAAP financial measures may be different from non-GAAP measures used by other companies. We intend to provide these non-GAAP financial measures as part of our future earnings discussions and, therefore, the inclusion of these non-GAAP financial measures will provide consistency in our financial reporting. Management may, however, utilize other measures to illustrate performance in the future. Investors are encouraged to review the reconciliation of these non-GAAP measures to their most directly comparable GAAP financial measures. A reconciliation of our non-GAAP financial measures to their most directly comparable GAAP measures has been provided in the financial statement tables included above in this press release.


These non-GAAP measures exclude stock-based compensation, amortization of acquired intangible assets, acquisition related expenses, disposition related income, interest expense for the amortization of one-time upfront debt issuance costs, gain or impairment losses on strategic investments, restructuring charges, and account for the income tax effects of the exclusion of these non-GAAP items. We believe investors may want to incorporate the effects of these items in order to compare our financial performance with that of other companies and between time periods:




A.







Stock-based compensation is a non-cash expense accounted for in accordance with FASB ASC Topic 718. We believe that the exclusion of stock-based compensation expense allows for financial results that are more indicative of our operational performance and provide for a useful comparison of our operating results to prior periods and to our peer companies because stock-based compensation expense varies from period to period and company to company due to such things as differing valuation methodologies and changes in stock price.








 







 








B.







Expense for the amortization of acquired intangible assets is excluded from non-GAAP expense and income measures as HubSpot views amortization of these assets as arising from pre-acquisition activities determined at the time of an acquisition. While these intangible assets are evaluated for impairment regularly, amortization of the cost of purchased intangibles is a non-cash expense that is not typically affected by operations during any particular period. Valuation and subsequent amortization of intangible assets can also be inconsistent in amount and frequency because they can significantly vary based on the timing and size of acquisitions and the inherently subjective nature of the degree to which a purchase price is allocated to intangible assets. We believe that the exclusion of this amortization expense provides for a useful comparison of our operating results to prior periods, for which we have historically excluded amortization expense, and to our peer companies, which commonly exclude acquired intangible asset amortization. It is important to note that although we exclude amortization of acquired intangible assets from our non-GAAP expense and income measures, revenue generated from such intangibles is included within our non-GAAP income measures. The use of these intangible assets contributed to our revenues earned during the periods presented and will contribute to future periods as well.








 







 








C.







Acquisition related expenses, such as transaction costs, retention payments, and holdback payments, and disposition related income, such as proceeds from sale of assets, are transactions that are not necessarily reflective of our operational performance during a period. We believe that the exclusion of these expenses and income provides for a useful comparison of our operating results to prior periods and to our peer companies, which commonly exclude these expenses and income. Payments for acquisition related expenses are included in our non-GAAP operating cash flow and free cash flow.








 







 








D.







In June 2020, we issued $460 million of convertible notes due in 2025 with a coupon interest rate of 0.375%. The issuance cost of the debt is amortized as interest expense over the remaining term of the debt. We believe the exclusion of this interest expense for one-time upfront issuance costs provides for a useful comparison of our operating results to prior periods and to our peer companies. The Notes matured in June 2025 and we do not expect more expense to be recognized.








 







 








E.







Strategic investments consist of non-controlling equity investments in privately held companies. The recognition of gains, impairment losses, or the proportionate share of net earnings can vary significantly across periods and we do not view them to be indicative of our fundamental operating activities and believe the exclusion provides for a useful comparison of our operating results to prior periods and to our peer companies.








 







 








F.







Restructuring charges are related to severance, employee related benefits, facilities and other costs associated with the restructuring plan implemented in January 2023. Restructuring charges fluctuate in amount and frequency and are not reflective of our core business operating results. In addition to the restructuring charges related to facilities we abandoned during the year ended 2023, through 2027, we expect to both incur incremental restructuring charges and make cash payments related to such facilities. The abandonment of facilities is part of the restructuring plan we authorized on January 25, 2023 and is intended to consolidate our lease space and create higher density across our workspaces. The incremental charges we expect to incur relate to continuing costs for the abandoned facilities and are expected to be in the range of $8-9 million. We also expect to make cash payments of approximately $27 million in fixed rent payments for the abandoned facilities that will be made in monthly installments through 2027, for which we have taken the full restructuring charge during the year ended 2023. We plan on excluding both the incremental charges and cash payments and the related restructuring cash rent payments from our non-GAAP earnings, operating cash flow, and free cash flow metrics. We believe exclusion of these charges and cash payments provides useful information to investors in understanding and evaluating the strength of earnings and liquidity and provides a comparable framework for assessing how our business performed when compared to prior periods which were not impacted by excluded restructuring charges paid from operating cash flow.








 







 








G.







The effects of income taxes on non-GAAP items reflect a fixed long-term projected tax rate of 20% to provide better consistency across reporting periods. To determine this long-term non-GAAP tax rate, we exclude the impact of other non-GAAP adjustments and take into account other factors such as our current operating structure and existing tax positions in various jurisdictions. We will periodically reevaluate this tax rate, as necessary, for significant events such as relevant tax law changes and material changes in our forecasted geographic earnings mix.









 





Beginning in 2026, we are updating our fixed long-term projected tax rate from 20% to 15% to reflect regulatory changes from the One Big Beautiful Bill that was signed into law on July 4, 2025. For comparative purposes, our non-GAAP net income and non-GAAP net income per share for the year-ended December 31, 2025 and each of the four quarters of 2025 are shown below as if we had adopted the 15% long-term projected tax rate in 2025.









 






Three months ended






 






 






Year ended






 








 






 






March 31,

2025






 






 






June 30,

2025






 






 






September 30,

2025






 






 






December 31,

2025






 






 






December 31,

2025






 








 






Non-GAAP net income (1)






$






101,901






 






 






$






124,629






 






 






$






149,025






 






 






$






172,682






 






 






$






548,237






 








 






 






 






 






 






 






 






 






 






 






 






 






 






 






 






 








 






Non-GAAP net income per share:






 






 






 






 






 






 






 






 






 






 






 






 






 






 








 






Basic (2)






$






1.95






 






 






$






2.37






 






 






$






2.84






 






 






$






3.29






 






 






$






10.45






 








 






Diluted (3)






$






1.89






 






 






$






2.33






 






 






$






2.83






 






 






$






3.29






 






 






$






10.31






 



























 



(1) Non-GAAP net income was $95.9 million, $117.3 million, $140.3 million, and $162.5 million for the three months ended March 31, 2025, June 30, 2025, September 30, 2025, and December 31, 2025, respectively, and $516.0 million for the year ended December 31, 2025.




 




(2) Non-GAAP basic net income per share was $1.84, $2.23, $2.67, and $3.10 for the three months ended March 31, 2025, June 30, 2025, September 30, 2025, and December 31, 2025, respectively, and $9.84 for the year ended December 31, 2025.




 




(3) Non-GAAP diluted net income per share was $1.78, $2.19, $2.66, and $3.09 for the three months ended March 31, 2025, June 30, 2025, September 30, 2025, and December 31, 2025, respectively, and $9.70 for the year ended December 31, 2025.







 

View source version on businesswire.com: https://www.businesswire.com/news/home/20260211469584/en/
Investor Relations Contact:

investors@hubspot.com
Media Contact:

media@hubspot.com


Original: HubSpot Reports Strong Q4 and Full Year 2025 Results