TRMB · Q2 2026 Earnings

Bullish

Trimble Inc.

Reported August 12, 2026

30-second summary

Trimble printed Q2 revenue of $972M (+11% YoY, +2.1% above consensus of $952M), non-GAAP EPS of $0.86 clearing the $0.82 high end of guide by $0.04, and ARR of $2.51B growing 14% reported / 12% organic. Management raised the FY26 revenue midpoint by $50M to $3.925B and lifted non-GAAP EPS midpoint by $0.10 to $3.65 — but the FY26 GAAP EPS guide swung from a +$2.13 midpoint to a −$0.095 midpoint, a $2.23 shift that the release does not explain and that the non-GAAP raise papers over. AECO revenue +10.9%, Field Systems +12.7%, and non-GAAP operating margin of 26.8% keep the "3-4-30" bridge intact.

Headline numbers

EPS

Q2 FY2026

$0.86

+7.5% vs est.

Revenue

Q2 FY2026

$0.97B

+11.0% YoY

+2.1% vs est.

Gross margin

Q2 FY2026

69.4%

Operating margin

Q2 FY2026

13.6%

Key financials

Q2 FY2026

Metric	Q2 FY2026	Q2 FY2025	YoY	Q1 FY2026	QoQ
Revenue	$0.97B	$0.88B	+11.0%	$0.94B	+3.4%
EPS	$0.86	$0.71	+21.1%	$0.79	+8.9%
Gross margin	69.4%	68.3%	+110bps	68.8%	+60bps
Operating margin	13.6%	14.6%	-100bps	15.3%	-170bps

Guidance

Trimble raised full-year FY2026 revenue and non-GAAP EPS guidance on strong Q2 beat, though GAAP EPS swung to a loss range due to amortization and non-recurring charges.

Guidance is issued for both next quarter and the full year. Both may appear below.

Actuals vs prior guidance

Metric	Period	Prior guide	Actual	Δ	Result
Revenue	Q2 FY2026	$938M to $963M	$972M	+$9M to +$34M above guide	Beat
Non-GAAP EPS	Q2 FY2026	$0.78 to $0.82	$0.86	+$0.04 to +$0.08 above guide	Beat

New guidance

Metric	Period	Guide	YoY
Revenue	Q3 FY2026	$953M to $978M	+5.9% to +8.7% YoY
Non-GAAP EPS	Q3 FY2026	$0.83 to $0.88	—
GAAP EPS	Q3 FY2026	$0.39 to $0.44	—

Changes to prior guidance

Metric	Period	Prior guide	New guide	Δ	Result
Revenue	FY2026	$3,835M to $3,915M	$3,900M to $3,950M	+$65M to +$115M at midpoint	Raised
Non-GAAP EPS	FY2026	$3.47 to $3.64	$3.60 to $3.70	+$0.13 to +$0.23 at midpoint	Raised
GAAP EPS	FY2026	$2.05 to $2.21	$(0.07) to $(0.12)	From +$2.13 midpoint to -$0.095 midpoint; -$2.225 shift	Lowered

Segment performance

Q2 FY2026

Segment	Q2 FY2026	Q2 FY2025	YoY
AECO	$0.389B	$0.35B	+10.9%
Field Systems	$0.443B	$0.393B	+12.7%
Transportation & Logistics	$0.141B	$0.133B	+6.3%

Platform metrics

Q2 FY2026

Segment	Q2 FY2026	Q2 FY2025	YoY
Annualized Recurring Revenue (ARR)	$2.51 billion	$2.21 billion	—
ARR Growth YoY	14%	—	—
ARR Organic Growth	12%	13%	—
Organic Revenue Growth	10%	8%	—

Profitability

Q2 FY2026

Segment	Q2 FY2026	Q2 FY2025	YoY
Non-GAAP Gross Margin	71.8%	—	—
Non-GAAP Operating Margin	26.8%	25.4%	—
Adjusted EBITDA	$278.0 million	$239.9 million	—
Adjusted EBITDA Margin	28.6%	27.4%	—

Management tone

No transcript was available for this quarter; tone analysis is skipped. The press release language — "record annualized recurring revenue," "Connect & Scale strategy building momentum," "second quarter results exceeded expectations" — reads as continuation of the confidence posture set in Q1. Cross-quarter tone comparison will resume next quarter when transcript data returns.

Answers to last quarter's watch list

ARR growth holding at 13%+ in Q2 — Q2 ARR of $2.51B grew 14% reported and 12% organic, a 100bps step-down from Q1's 13% organic pace. Reported growth cleared the bar, organic did not. The press-release-vs-transcript reconciliation cannot be assessed without transcript access.

Continue monitoring

Field Systems back-half deceleration — Field Systems grew 12.7% reported in Q2, holding double digits through the tougher comp Phil flagged in Q1. This is the clearest positive resolution on the print.

Resolved positively

AI revenue disclosure cadence regression — the press release does not refresh the $100M+ AI-enabled revenue marker from Q4 or provide any quantified AI bridge. Two consecutive quarters without an updated AI revenue figure now confirms the regression risk flagged last quarter.

Resolved negatively

Hybrid monetization model proof points — no consumption-based or outcome-based revenue break-out in the press release. All subscription revenue remains bundled in Subscription & Services.

Continue monitoring

FY26 EBITDA margin trajectory vs the 29.7% guide — Q2 adj. EBITDA margin printed 28.6%, above the 27.7% Q2 guide. Non-GAAP operating margin of 26.8% is up from Q1's 25.9%. The FY26 EBITDA margin guide was not explicitly re-stated in the release excerpts, but the trajectory is consistent with holding the 29.7% guide.

Resolved positively

T&L margin durability at 24%+ — the release does not disclose T&L segment operating margin at the level of precision needed to verify durability. Q2 T&L revenue grew 6.2% reported, but segment margin disclosure is pending.

Continue monitoring

What to watch into next quarter

GAAP EPS reconciliation and the $471.7M net loss driver — the FY26 GAAP EPS guide swung from +$2.13 midpoint to −$0.095 midpoint. Watch whether the Q3 release itemizes the Q2 charges (impairment, restructuring, or acquisition amortization) and whether the FY26 GAAP loss guide holds or deteriorates further

AECO revenue growth stabilization at ≥11% — Q2 revenue growth of 10.9% is a sharp step-down from Q1's 16.6%. Watch whether Q3 AECO revenue holds double digits or continues to compress toward the company-level 13% ARR bar

Organic ARR growth re-acceleration to 13%+ — organic ARR growth stepped down to 12% in Q2 from 13% in Q1. Watch whether Q3 reverses the trend or confirms a durable step-down against the 13% FY guide

AI revenue disclosure refresh — two consecutive quarters without an updated $100M+ marker. Watch whether Q3 reintroduces a quantified AI revenue figure or the metric is quietly retired

Q3 revenue landing above the $965.5M midpoint — the Q3 guide implies YoY growth of +5.9% to +8.7% off the Q3 FY25 base of $901M — a material step-down from Q2's 11%. Watch whether this proves conservative (as Q1 and Q2 guides did) or reflects a genuine growth-rate reset

FY26 EBITDA margin guide reaffirmation — the release excerpts do not explicitly re-state the 29.7% FY26 EBITDA margin guide. Watch whether the full guidance document holds the margin trajectory alongside the raised non-GAAP EPS

Sources

Trimble Inc. Q2 2026 Press Release (Form 8-K Exhibit 99.1), SEC EDGAR: https://www.sec.gov/Archives/edgar/data/864749/000086474926000106/a2026q2-8kex991_00version.htm
Trimble Q1 2026 Press Release (prior-quarter guidance baseline), SEC EDGAR: https://www.sec.gov/Archives/edgar/data/864749/000086474926000061/a2026q1-8kex991.htm
Consensus estimates via Tradefeeds as of 2026-08-12

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