TLDR
- monday.com reported Q1 revenue of $351.3 million, up 24.5% year on year, beating estimates by 3.6%
- Adjusted EPS came in at $1.15, a 23.4% beat versus the $0.93 consensus estimate
- Adjusted operating income beat estimates by 28.9%, with margins improving to 14%
- Full-year revenue guidance was raised slightly to $1.47 billion at the midpoint
- MNDY stock jumped 20.9% to $87.28 immediately after the results
monday.com (MNDY) delivered a strong Q1 CY2026 earnings report, sending the stock up 20.9% to $87.28 in after-hours trading.
Revenue came in at $351.3 million, up 24.5% year on year and ahead of the $339.1 million Wall Street had expected. That’s a 3.6% beat on the top line.
Adjusted EPS landed at $1.15, well above the $0.93 consensus estimate — a 23.4% beat. A year ago, the company earned $1.10 per share on an adjusted basis.
$MNDY (monday) #earnings are out: pic.twitter.com/QFrr2COX1M
— The Earnings Correspondent (@earnings_guy) May 11, 2026
This marks the fourth consecutive quarter that monday.com has beaten both revenue and EPS estimates.
Adjusted operating income hit $49.04 million, against estimates of $38.06 million — a 28.9% beat. Operating margin came in at 14%, with the overall operating margin improving to 5.6% from 3.5% in the same quarter last year.
Free cash flow margin jumped to 29.3%, up sharply from 17% in the prior quarter. That’s a number worth paying attention to.
CFO Eliran Glazer called it “a strong quarter across every financial dimension, with revenue, margins and cash flow all coming in ahead of expectations.”
Customer Metrics Hold Steady
The company ended Q1 with 4,547 customers paying more than $50,000 annually. Net revenue retention came in at 114%, matching the prior quarter.
That retention figure means monday.com would have grown revenue by 14.5% even without adding a single new customer over the past 12 months — a solid sign of stickiness.
Billings reached $396.9 million, up 21.6% year on year, though that growth lagged total revenue growth — something to watch as it could indicate a slower cash collection pace going forward.
Guidance Gets a Nudge Higher
For Q2, management guided for revenue of around $355 million, roughly in line with analyst expectations of $352.5 million. Full-year revenue guidance was lifted slightly to $1.47 billion at the midpoint, up from the prior $1.46 billion.
Analysts currently expect revenue to grow 16.6% over the next 12 months — a step down from the two-year trend of 28.8%, but still above the sector average.
The current consensus EPS estimate for Q2 stands at $0.97 on revenue of $352.5 million. For the full fiscal year, estimates sit at $4.15 per share on $1.46 billion in revenue.
Despite today’s jump, MNDY is still down about 51.2% year to date, compared to an 8.1% gain for the S&P 500.
Zacks currently holds a Rank #3 (Hold) on the stock, suggesting in-line market performance near term.
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