Technology · NASDAQ: CRWD
CrowdStrike: how the business works
CrowdStrike sells subscriptions to Falcon, software that protects organizations' computers, cloud servers and logins from hackers, with revenue of $4.8 billion in FY2026.
By Hardik Bhandare · Checked against filings: . Editorial policy. Corrections
Follow CrowdStrike
Email me when CrowdStrike's page is updated after earnings.
We'll send a confirmation email first. See our privacy policy.
CrowdStrike Holdings, Inc. · Austin, Texas · Founded 2011
Updated for Q2 FY2027 · checked
- Revenue, FY2026
- $4.8B
- Net loss, FY2026
- −$162.5M
- Subscriptions, share of FY2026 revenue
- 94.9%
- Cash from operations, FY2026
- $1,612M
- Employees, Jan 31, 2026
- 10,698
The short version
CrowdStrike in 5 points
1 · What it sells
CrowdStrike sells subscriptions to Falcon, software that protects organizations' computers, cloud servers and logins from hackers, with $4.8 billion of revenue in FY2026.
2 · Who pays it
In FY2026 organizations paid 94.9% of CrowdStrike's revenue for Falcon subscriptions and 5.1% for professional services such as breach response, and no single customer or channel partner reached one-tenth of revenue.
3 · What it keeps from $100
Of every $100 that came in during FY2026, including $195.0 million of interest income, costs were $103.2, so CrowdStrike lost $3.2; its operating loss was $293.3 million.
4 · Where the operating profit comes from
CrowdStrike reports one segment and no profit by product, but subscriptions made up 94.9% of FY2026 revenue and its GAAP subscription gross margin was 78% in Q2 FY2027.
5 · The one thing to watch
In Q2 FY2027 CrowdStrike reported a GAAP operating loss of $33.2 million and non-GAAPThe company's own "adjusted" numbers, not the official (GAAP) ones. Always read them next to the official figure. Learn more operating income of $371.6 million, a gap mostly made up of $399.0 million of stock-based payPay given as shares instead of cash, which spreads ownership more thinly. Learn more and related payroll tax.
Sources: From CrowdStrike's FY2026 10-K, Q2 FY2027 10-Q and Q2 FY2027 earnings release · checked
See the full receipt and the management scorecard below
01Where the money goes · FY2026
Where does $100 of CrowdStrike's money go?
CrowdStrike · FY2026
Receipt for every $100
| Sales and marketing | $36.6 |
|---|---|
| Research and development | $27.7 |
| Running the service | $24.3 |
| General and administrative | $13.4 |
| Interest, other expense and co-investors' share | $0.6 |
| Income tax | $0.7 |
| Net loss (costs above money in) | −$3.2 |
| Total | $100 |
Each line = amount ÷ total money in × 100. Lines may not add to exactly $100 because of rounding.
How this is worked out
Cityfort calculation from the FY2026 10-K. Of every $100 that came in during FY2026 (revenue $4,812.0 million + interest income $195.0 million = $5,007.0 million). The lines are rounded, so they add up to $103.3; exact costs were $103.24 ($5,169.4 million ÷ $5,007.0 million), so the last line is a net loss of $3.2. Measured on revenue alone, the operating loss was $6.10 per $100. Stock-based pay ($1,096.7 million) sits inside the cost lines.
Each week: one company explained in 5 points, picked by earnings date.
Free, no tips, unsubscribe anytime.
We'll send a confirmation email. See our privacy policy.
02The business in one line
What does CrowdStrike do?
Organizations pay CrowdStrike subscription fees to guard their computers, cloud servers and logins; most of the money goes on sales, marketing and engineers, and in FY2026 costs were higher than revenue, so it reported an operating loss.
- Subscriptions were 94.9% of CrowdStrike's $4.8 billion of revenue in FY2026. Customers usually sign for one to three years and are billed at the start.
- Of every $100 that came in during FY2026, $36.6 went on sales and marketing, $27.7 on research and development and $24.3 on running the service.
03Who pays it
Who pays CrowdStrike?
Organizations subscribing to Falcon
95%
of revenue
Businesses and government bodies paying for the platform and its modules: $4,564.7 million, 94.9% of FY2026 revenue, and $1,400.3 million in Q2 FY2027.
Organizations buying professional services
5%
of revenue
Breach response, forensics, consulting and training: $247.3 million, 5.1% of FY2026 revenue.
- Organizations subscribing to Falcon95%
- Organizations buying professional services5%
How spread out the customers are
CrowdStrike's FY2026 10-K says no channel partner or direct customer was 10% or more of revenue in FY2024, FY2025 or FY2026. Shares are a Cityfort calculation from the FY2026 10-K. CrowdStrike says more than 88,000 organizations trusted it at Jan 31, 2026, counting customers of security service providers; that is not the same measure as its last disclosed subscription customer count, 29,000 at Jan 31, 2024.
04Why it makes money
Why does CrowdStrike make money?
Customers pay upfront for subscriptions, so cash arrives well before profit shows.
CrowdStrike usually bills at the start of a one- to three-year subscription and books the revenue over the term. Cash from operations was $1,612.3 million in FY2026, despite a GAAP operating loss. Stock-based pay of $1,096.7 million, a cost paid in shares, explains much of the gap. GAAP subscription gross margin was 78% in Q2 FY2027.
Gross profit per $100 of revenue
$73.6$74.7
FY2022 to FY2026
- A sensor goes on each customer device
- Data from all customers flows into one cloud
- That data helps spot attacks across customers
- Customers add modules on the same sensor
- Upfront billing brings in cash before revenue is booked
- Cash pays for engineers, sales and acquisitions
↺ Step 6 feeds back into step 1.
05The numbers · Consolidated · US$
How has CrowdStrike done?
Revenue
$4.8BFY2026
Revenue grew every year, from $1,451.6 million in FY2022 to $4,812.0 million in FY2026, and was $1,470.9 million in Q2 FY2027, up 25.8% from a year earlier.
US$
See the numbers
Net profit
−$163MFY2026
CrowdStrike had a GAAP operating loss in every year from FY2022 to FY2026, and FY2024's $72.2 million net income came from interest income; FY2024, FY2025 and the FY2026 quarters are as revised in the FY2026 10-K, and EPS is split-adjusted, with figures filed before the July 2026 4-for-1 split shown as filed ÷ 4 (Cityfort calculation from the 10-Ks and earnings releases).
US$
See the numbers
Profit kept per $100 of revenue
−$3.4FY2026
Gross profit was $74.67 per $100 of revenue in FY2026, while the operating loss was $6.10 per $100, after stock-based pay of $1,096.7 million, or 22.8% of revenue.
$ of profit per $100 of revenue (net margin)
See the numbers
Free cash flow
$1.3BFY2026
Free cash flow (cash from operations minus equipment purchases) was $1,310.2 million in FY2026, helped by $1,023.9 million more deferred revenue from upfront billing and by $1,096.7 million of stock-based pay that costs no cash.
US$ · cash from operations minus spending on plants and equipment
See the numbers
See all yearly numbers
EBITDA here = operating income plus depreciation and amortization (from the cash flow statement). Fiscal years are the company's own (January 31 (FY2026 = year ended Jan 31, 2026)). Net profit is the share belonging to the company's owners.
Download CrowdStrike's yearly and quarterly numbers (CSV, with source ids)
Learn: Fiscal years that don't end in December: Nvidia's FY2027 explained · Stock-based compensation and dilution: pay that becomes shares
Sources (11)
- Form 10-K, fiscal year 2024 (ended January 31, 2024)
- Form 10-K, fiscal year 2026 (ended January 31, 2026)
- Q3 fiscal 2025 earnings release (Form 8-K, Exhibit 99.1)
- Q4 and fiscal year 2026 earnings release (Form 8-K, Exhibit 99.1)
- Q4 and fiscal year 2025 earnings release (Form 8-K, Exhibit 99.1)
- Q1 fiscal 2027 earnings release (Form 8-K, Exhibit 99.1)
- Q1 fiscal 2026 earnings release (Form 8-K, Exhibit 99.1)
- Q2 fiscal 2027 earnings release (Form 8-K, Exhibit 99.1)
- Q2 fiscal 2026 earnings release (Form 8-K, Exhibit 99.1)
- Q3 fiscal 2026 earnings release (Form 8-K, Exhibit 99.1)
- Form 10-Q, Q2 fiscal 2027 (quarter ended July 31, 2026)
06Who runs it
Who runs CrowdStrike, and did they deliver?
George Kurtz
Co-founder, President and CEO · since 2011
CEO and director since November 2011; previously an executive at McAfee. FY2026 total pay was $247,579,143, 1,391 times the median employee's $178,015, driven by a special performance stock award in December 2025.
Michael Sentonas
President
Received a performance stock award with a target of 100,000 units (before the split) on Apr 16, 2026.
Burt W. Podbere
Chief Financial Officer · since 2015
CFO since September 2015; previously CFO of OpenDNS.
What they said, and what happened
3 too early to tell
Said on Aug 26, 2026
CrowdStrike targeted Q3 FY2027 revenue of $1,523.2–1,529.2 million and ending ARR of $6,184.4–6,188.4 million.
Too early to tellWhat happened
Q3 FY2027 ended Oct 31, 2026; results were not out in the documents read.
Said on Aug 26, 2026
CrowdStrike targeted FY2027 revenue of $5,991.1–6,011.1 million and ending ARR of $6,603.0–6,611.9 million.
Too early to tellWhat happened
FY2027 ends Jan 31, 2027. Revenue was $2,856.5 million in the first half (Cityfort calculation from the Q1 FY2027 and Q2 FY2027 earnings releases).
Said on Apr 6, 2026
CrowdStrike stated an ambition of $20 billion in ending ARR by FY2036.
Too early to tellWhat happened
Ending ARR was $5.84 billion at Jul 31, 2026.
Sources (7)
- Form 10-K, fiscal year 2026 (ended January 31, 2026)
- Definitive proxy statement (DEF 14A) for the 2026 annual meeting
- Form 8-K filed Dec 29, 2025 (Item 5.02: performance stock award to CEO George Kurtz)
- Form 8-K filed Apr 21, 2026 (Item 5.02: performance stock award to President Michael Sentonas)
- Q2 fiscal 2027 earnings release (Form 8-K, Exhibit 99.1)
- Q1 fiscal 2027 earnings release (Form 8-K, Exhibit 99.1)
- Form 8-K filed Apr 6, 2026 (Item 8.01: $500 million increase to the share repurchase program, Exhibit 99.1)
07What could go wrong
What could go wrong for CrowdStrike?
- Legal
Delta Air Lines lawsuit
Delta alleges computer trespass, breach of contract, fraud by omission, gross negligence and other claims over the July 19 Incident. It seeks unspecified damages, and the case continues. CrowdStrike says a loss cannot be estimated.
Watch Rulings or any settlement, in the legal note of each 10-Q.
- Regulation
DOJ and SEC information requests
The DOJ and SEC have asked for information on revenue recognition and ARR reporting for transactions with certain customers, the July 19 Incident and related matters. CrowdStrike says it is cooperating.
Watch Any update in the 10-Q legal note or an 8-K.
- Other
Stock-based pay behind the GAAP losses
Stock-based pay was $1,096.7 million in FY2026, 22.8% of revenue, and is the main gap between GAAP losses and non-GAAP profits. Diluted shares rose from 227.1 million in FY2022 to 250.6 million in FY2026, before the split.
Watch Stock-based pay as a share of revenue; with payroll tax it was 27.1% in Q2 FY2027.
- Competition
Larger competitors and pricing
CrowdStrike's 10-K says many competitors have more resources and broader product ranges, and may bundle products or cut prices. It names categories of rivals, not companies.
Watch Revenue and ARR against the company's stated ranges each quarter.
- Pricing
Customer packages after the July 19 Incident
After the incident CrowdStrike offered discounts, extra modules, professional services, flexible payment terms or longer subscriptions. Its 10-K says these packages have resulted, and are expected to keep resulting, in more contraction (customers renewing for smaller amounts) because of longer subscription terms, and in smaller upsell amounts.
Watch Gross margin and dollar-based net retention, 115% at Jan 31, 2026.
- Execution
Acquisitions and goodwill
Goodwill rose from $1,363.3 million at Jan 31, 2026 to $2,251.4 million at Jul 31, 2026, after buying SGNL for $627.9 million and Seraphic for $327.5 million in cash. CrowdStrike also agreed to buy XM Cyber's technology assets.
Watch Impairment charges and the acquisitions note in each 10-Q.
- Other
Net income leans on interest income
FY2024's $72.2 million net income came after a $19.1 million operating loss, with $148.9 million of interest income. In FY2026 interest income was $195.0 million. It depends on cash balances and interest rates.
Watch Operating income or loss each quarter, apart from interest income.
08Both sides
What do supporters and critics point to?
What supporters point to
- Revenue grew every year from $1,451.6 million in FY2022 to $4,812.0 million in FY2026, and rose 25.8% in Q2 FY2027.
- Cash from operations was $1,612.3 million in FY2026, and free cash flow $1,310.2 million.
- Cash exceeded debt by $4,267.6 million at Jul 31, 2026.
- CrowdStrike said ARR from Falcon Flex accounts exceeded $2.29 billion at Jul 31, 2026, up 101%.
- The securities class action and all derivative suits over the July 19 Incident were dismissed.
What critics point to
- CrowdStrike had a GAAP operating loss in every year from FY2022 to FY2026, $293.3 million in FY2026.
- Stock-based pay was $1,096.7 million in FY2026, 22.8% of revenue.
- Delta's lawsuit continues, and the DOJ and SEC have asked for information, including on ARR reporting.
- CrowdStrike revised FY2024 and FY2025 after finding an error in stock-based pay expense.
- CEO pay was $247,579,143 in FY2026, 1,391 times the median employee's.
09What to watch next
What should you watch next at CrowdStrike?
Next event
Q3 FY2027 results
Date not announced yet.
Revenue against the company's Q3 FY2027 range
CrowdStrike said on Aug 26, 2026 that it expects $1,523.2–1,529.2 million. Q2 FY2027 revenue was $1,470.9 million.
The gap between GAAP and non-GAAP
In Q2 FY2027 the GAAP operating loss was $33.2 million and non-GAAP operating income $371.6 million; stock-based pay and related payroll tax was $399.0 million.
Delta lawsuit and the DOJ and SEC requests
Both are described in the legal note of each 10-Q.
Ending ARR
$5.84 billion at Jul 31, 2026; CrowdStrike's FY2027 range is $6,603.0–6,611.9 million.
10Key dates
What are the key dates for CrowdStrike?
| Event | Date | Source |
|---|---|---|
| Fiscal 2027 endsThe Q3 FY2027 results date was not announced in the documents read. | Form 10-Q, Q2 fiscal 2027 (quarter ended July 31, 2026) | |
| Office lease from a company owned by the CEO startsAbout $2 million a year, per the 2026 proxy statement. | Definitive proxy statement (DEF 14A) for the 2026 annual meeting | |
| $750 million of 3.00% senior notes dueDue in February 2029, per the FY2026 10-K. | Not yet stated | Form 10-K, fiscal year 2026 (ended January 31, 2026) |
Learn: Fiscal years that don't end in December: Nvidia's FY2027 explained
11Key facts
Key facts about CrowdStrike
- What does CrowdStrike do?
- CrowdStrike Holdings, Inc. sells cybersecurity software called Falcon that protects organizations' computers, cloud servers and user logins from hackers. CrowdStrike had revenue of $4.8 billion in FY2026 (year ended Jan 31, 2026) and 10,698 employees at that date.
- How does CrowdStrike make money?
- CrowdStrike makes money mainly from subscriptions to its Falcon platform, which were $4,564.7 million, or 94.9%, of its $4,812.0 million of revenue in FY2026. Professional services such as breach response brought in $247.3 million, or 5.1%.
- What is CrowdStrike's business model?
- CrowdStrike's business model is selling subscriptions that usually run one to three years, priced mainly on the modules chosen and the number of devices covered. CrowdStrike generally bills at the start of the term, so at Jan 31, 2026 it held $3,421.1 million of deferred revenue due within a year and $1,332.4 million due later.
- Is CrowdStrike profitable?
- Not on a full-year GAAP basis. CrowdStrike reported a net loss of $162.5 million and an operating loss of $293.3 million in FY2026, and an operating loss in every year from FY2022 to FY2026. CrowdStrike had net income of $5.3 million in Q2 FY2027 (quarter ended Jul 31, 2026).
- What is CrowdStrike's revenue by segment?
- CrowdStrike reports one segment. By customer location in FY2026, CrowdStrike earned 67% of revenue in the United States, 16% in Europe, the Middle East and Africa, 10% in Asia-Pacific and 7% in other regions.
- How much does CrowdStrike earn from Falcon subscriptions?
- CrowdStrike's subscription revenue, mainly fees for the Falcon platform and its modules, was $4,564.7 million in FY2026, up from $3,761.5 million in FY2025. It was $1,400.3 million in Q2 FY2027, against $1,102.9 million in Q2 FY2026.
- How much does CrowdStrike earn from professional services?
- CrowdStrike earned $247.3 million from professional services in FY2026, 5.1% of revenue, up from $192.1 million in FY2025. These services include incident response, forensics, consulting and training.
- Who are CrowdStrike's customers?
- CrowdStrike sells to businesses and government organizations of all sizes, through its own sales team and channel partners. No customer or channel partner was 10% or more of CrowdStrike's revenue in FY2024, FY2025 or FY2026. CrowdStrike says more than 88,000 organizations trusted it at Jan 31, 2026, including customers of security service providers.
- Who owns CrowdStrike?
- CrowdStrike's 2026 proxy statementThe yearly filing about shareholder votes, the board and executive pay. Learn more names Vanguard Capital Management with 7.27% (Schedule 13GA filing by anyone who owns more than 5% of a company's shares and does not seek control. Learn more filed Apr 29, 2026) and BlackRock with 6.70% (as of Dec 31, 2023) as its largest holders. CrowdStrike's officers and directors held 1.67% on Apr 3, 2026.
- When did CrowdStrike split its stock?
- CrowdStrike split its stock 4-for-1 in July 2026: shareholders received three more shares for each share held after the close of business on Jul 1, 2026. CrowdStrike had 1,023,934,842 shares of common stock outstanding on Aug 20, 2026.
Sources (5)
Terms on this page
- Annual recurring revenue (ARR)
- Capital expenditures (capex)
- Debt-to-equity
- Earnings per share (EPS)
- EBITDA
- Free cash flow
- Market cap
- Net debt
- Net margin
- Remaining performance obligations (RPO)
Each explains the term in plain English, with the same number from other companies on Cityfort.
Go deeper
More detail from the same filings. Open any section.
12What it sells
12What it sells
What does CrowdStrike sell?
Falcon platform and sensor
A small program, the sensor, runs on each computer or cloud server and sends data to CrowdStrike's cloud, which looks for attacks. Customers add features as cloud modules: 32 at Jan 31, 2026.
Endpoint security
Antivirus plus detection and response for laptops, desktops and servers, to find and stop malware and hands-on attacks.
Cloud and identity protection
Protects workloads and apps in public clouds, and watches user accounts and logins for misuse.
Next-Gen SIEM and log management
Collects security logs from any source in one place so analysts can investigate and respond.
Falcon Complete (managed detection and response)
A subscription in which CrowdStrike's own experts monitor a customer's systems 24/7 and respond to attacks.
Charlotte AI
A generative AI module that automates routine investigation work for security analysts.
Falcon Flex
A licensing model: a customer commits to a larger spend upfront and draws it down across CrowdStrike products over time.
Professional services
Breach response, forensics, consulting and training: $247.3 million, or 5.1% of FY2026 revenue.
What it does
- Does: Charges subscription fees based mainly on the modules chosen and the number of devices covered
- Does: Sells through its own sales team and a network of channel partners and security service providers
- Does: Runs its cloud from co-location data centers in the US and Europe and from third-party data centers
- Does: Sends its own experts to investigate breaches, as a paid service
What it does not do
- Does not: Does not sell hardware: the sensor runs on the customer's existing devices
- Does not: Does not pay a dividend
- Does not: Does not report revenue by module or by type of customer
- Does not: Has not disclosed a subscription customer count since Jan 31, 2024, when it had 29,000
13How the money flows
13How the money flows · FY2026
How does money flow through CrowdStrike?
Money in
- Subscriptions$4.6B
- Professional services$247M
- Interest income$195M
The company
CrowdStrike
$5.0B came in
Money out
- Running the service (cost of revenue)$1.2B
- Sales and marketing$1.8B
- Research and development$1.4B
- General and administrative$670M
- Interest, other expense and co-investors' share$29.9M
- Income tax$34.2M
- Net loss attributable to CrowdStrike−$163M
- Customers paid CrowdStrike $4,812.0 million in FY2026; $4,564.7 million of it was subscriptions.
- Running the service cost $1,218.9 million, leaving gross profit of $3,593.1 million.
- Sales and marketing took $1,831.3 million, research and development $1,384.8 million, and general and administrative $670.3 million.
- That left an operating loss of $293.3 million. Interest income of $195.0 million on CrowdStrike's cash covered most of it.
- After $28.0 million of interest expense, $34.2 million of income tax and other small items, the net loss was $162.5 million.
14What it needs to run
14What it needs to run
What does CrowdStrike need to run?
Data centers
Co-location data centers in the US and Europe, plus third-party data centers there, run the Falcon cloud. Cost of revenue rises with hosting and data storage as customers add devices and modules.
People
10,698 full-time employees at Jan 31, 2026, up from 4,965 at Jan 31, 2022. Research centers outside the US include Romania, Israel and India.
Research and development
$1,384.8 million in FY2026, up from $371.3 million in FY2022.
Channel partners
CrowdStrike sells mainly through its sales team working with channel partners, and through managed security service providers.
15Where it sells
15Where it sells · FY2026
Where does CrowdStrike sell?
- United States67%
- Europe, Middle East and Africa16%
- Asia-Pacific10%
- Other7%
16Where growth could come from
16Where growth could come from
Where could CrowdStrike's growth come from?
CrowdStrike said on Aug 26, 2026 that it expects FY2027 revenue of $5,991.1–6,011.1 million and ending ARR of $6,603.0–6,611.9 million. It said it raised its FY2027 net new ARR growth outlook by 6.3 percentage points, to 34% at the midpoint.
Falcon Flex
WorkingOver $2.29B ARR, +101%
CrowdStrike said ending ARR from accounts that adopted Falcon Flex exceeded $2.29 billion at Jul 31, 2026, up 101% from a year earlier. Flex lets customers commit upfront and spread spending across products.
Status: Working, on track against what the company said.
New annual recurring revenue
Working$332.8M in Q2 FY2027
Net new ARR was $332.8 million in Q2 FY2027, against $221.1 million in Q2 FY2026. Ending ARR was $5.84 billion, up 25%, as stated.
Status: Working, on track against what the company said.
International sales
Working+26% in FY2026
International revenue grew from $1,270.7 million in FY2025 to $1,595.4 million in FY2026, according to the 10-K. The US was still 67% of revenue.
Status: Working, on track against what the company said.
Acquisitions
New$627.9M for SGNL
CrowdStrike closed SGNL ($627.9 million in cash, net) on Feb 20, 2026 and Seraphic ($327.5 million in cash, net) on Feb 3, 2026. In July 2026 it agreed to buy XM Cyber's technology assets for $145.0 million in cash and stock.
Status: New, recently announced.
Status compares progress with what the company itself said it would do: Working = on track against what the company said; Mixed = partly on track; Behind = behind the company's own plan; New = recently announced; Early = too early to judge.
17The company's own measures (non-GAAP)
17The company's own measures · FY2026 and Q2 FY2027
What do CrowdStrike's own measures show?
Official (GAAP): Loss from operations, FY2026
−$293M
Company's own measure: Non-GAAP income from operations, FY2026
$1.0B
CrowdStrike leaves out $1,130.6 million of stock-based pay and related payroll tax, plus amortization of acquired intangible assets, July 19 Incident costs and strategic plan charges.
Official (GAAP): Net loss attributable to CrowdStrike, FY2026
−$163M
Company's own measure: Non-GAAP net income attributable to CrowdStrike, FY2026
$957M
Leaves out the same costs and applies CrowdStrike's long-term non-GAAP tax rate. The company recast its FY2025 non-GAAP figures on this basis, so they differ from those first reported.
Official (GAAP): Loss from operations, Q2 FY2027
−$33.2M
Company's own measure: Non-GAAP income from operations, Q2 FY2027
$372M
Stock-based pay and related payroll tax was $399.0 million in the quarter, 27.1% of revenue (Cityfort calculation from the Q2 FY2027 earnings release).
Official (GAAP): Diluted EPS, Q2 FY2027
$0.01
Company's own measure: Non-GAAP diluted EPS, Q2 FY2027
$0.31
Non-GAAP net income per diluted share, after the 4-for-1 split, leaving out the same costs as non-GAAP operating income.
Official (GAAP): Net cash from operating activities, FY2026
$1.6B
Company's own measure: Free cash flow (company measure), FY2026
$1.2B
Cash from operations minus equipment purchases, capitalized internal-use software and deferred-compensation investments. This page's own free cash flowCash from operations minus spending on buildings and equipment. Learn more, which deducts only equipment purchases, was $1,310.2 million.
Official (GAAP): Remaining performance obligations, Jul 31, 2026
$10.7B
Company's own measure: Ending ARR, Jul 31, 2026
$5.8B
ARR (annual recurring revenue) is the yearly value of subscription contracts at period end, assuming renewal on existing terms. It is not revenue. It was up 25% from a year earlier, as stated.
Official (GAAP): Subscription revenue, Q2 FY2027
$1.4B
Company's own measure: Ending ARR from Falcon Flex accounts, Jul 31, 2026 (CrowdStrike says over this figure)
$2.3B
ARR from all accounts that have adopted the Falcon Flex licensing model, up 101% as stated. It sits inside total ending ARR.
Official (GAAP): Subscription revenue growth, FY2026
21.4%
Company's own measure: Dollar-based net retention, Jan 31, 2026
115%
ARR from customers of a year earlier compared with their ARR then, so it counts renewals, added modules and losses. The GAAP growth figure is a Cityfort calculation from the FY2026 10-K.
These are the company's own measures, defined by the company. They are not comparable across companies, and they are not added together. Each sits beside the nearest official (GAAP) figure.
Learn: Non-GAAP measures: what a company's "adjusted" numbers leave out · Stock-based compensation and dilution: pay that becomes shares
18Financial strength and debt
18Financial strength · Jul 31, 2026
How much debt does CrowdStrike have?
- Total debt$746M
- Cash and investments$5.0B
- Net cash (cash minus debt)$4.3B
- Net worth (shareholders' money)$5.1B
- Debt to equity
- 0.15×
- $ of debt for every $1 of shareholders' money
- Net cash is a Cityfort calculation from the Q2 FY2027 earnings release (cash and cash equivalents minus long-term debt). At Jan 31, 2026 it was $4,484.7 million (Cityfort calculation from the FY2026 10-K).
- The debt is $750 million of 3.00% senior notes due in February 2029, carried at $746.2 million; interest is $22.5 million a year. A $750 million revolving credit line expired undrawn on Jan 2, 2026.
- Interest cover is not shown because CrowdStrike had an operating loss.
- Deferred revenue, money billed but not yet earned, was $3,497.1 million due within a year and $1,345.1 million later at Jul 31, 2026.
- Goodwill rose to $2,251.4 million at Jul 31, 2026 from $1,363.3 million at Jan 31, 2026, after the SGNL and Seraphic purchases.
- Operating lease liabilities ($74.6 million at Jan 31, 2026) are not counted as debt here.
19Who owns it
19Who owns it · ownership as of Apr 3, 2026
Who owns CrowdStrike?
- Officers and directors (as a group), shares
- 1.7%
Share classes
Holders of 5% or more
From the company's proxy statement (DEF 14A), later Schedule 13G filings and the share counts on its latest annual or quarterly report. Each holder row shows the date of its own filing.
Learn: How to read a proxy statement (DEF 14A): Nvidia's 2026 proxy · Form 4 insider filings: who files, the codes and the footnotes
20What it does with profit
20What it does with profit
What does CrowdStrike do with its profit?
Buyback · Apr 6, 2026
Bought back 413,130 shares at an average of $364.57 (before the split), $150.6 million in total, under a $1.0 billion authorization from June 2025, which was raised to $1.5 billion on Apr 6, 2026.
$151M
Buyback · Jul 31, 2026
Repurchases were $175.6 million in the first half of FY2027, none in Q2. $1.3 billion of the authorization remained at Jul 31, 2026.
$176M
Money raised · Jan 20, 2021
Issued $750 million of 3.00% senior notes due 2029, at par.
$750M
21Governance signals
21Governance signals
What do CrowdStrike's governance filings show?
- Auditor
- PricewaterhouseCoopers LLP, since 2016
- Auditor changes
- None in the period covered
- Audit qualifications
- None reported
- Related-party dealings
- CrowdStrike leases aircraft from a company owned by CEO George Kurtz ($6,690,200 paid in FY2026) and paid about $77,420 to a hotel company he half owns. It expects to lease office space from another Kurtz company from Feb 1, 2027, at about $2 million a year. Two Falcon Funds are co-owned with Accel, where director Sameer Gandhi is an affiliate.
- Credit rating
- Not checked for this page
Flags to know about
regulatory
DOJ and SEC information requests
The DOJ and SEC have asked CrowdStrike for information on its revenue recognition and ARR reporting for transactions with certain customers, the July 19 Incident and related matters. CrowdStrike says it is cooperating.
other · Oct 25, 2024
Delta Air Lines lawsuit
Delta sued on Oct 25, 2024 in Georgia, alleging computer trespass, breach of contract, fraud by omission, gross negligence and other claims over the July 19 Incident. It seeks unspecified damages, and the case continues. Other suits over the incident were dismissed.
disclosure
Prior years revised
In Q4 FY2026 CrowdStrike found that it had expensed stock-based pay on some awards on the wrong schedule. It revised FY2024 net income from $89.3 million to $72.2 million and FY2025's net loss from $19.3 million to $15.2 million, calling the error immaterial.
other
CEO pay of $247.6 million
George Kurtz's FY2026 total pay was $247,579,143, or 1,391 times the median employee's, mainly from a special performance stock award with a target of 300,000 units (before the split) granted in December 2025.
related party
Leases from the CEO's companies
CrowdStrike paid $6,690,200 in FY2026 to lease aircraft from a company owned by George Kurtz, and plans an office lease from another of his companies from 2027.
other · Jun 17, 2026
Supermajority rules not ratified
At the Jun 17, 2026 annual meeting, an advisory vote to ratify the supermajority voting rules in CrowdStrike's charter and bylaws failed: 24.0 million votes for and 144.9 million against.
Sources (5)
- Form 10-K, fiscal year 2026 (ended January 31, 2026)
- Definitive proxy statement (DEF 14A) for the 2026 annual meeting
- Form 10-Q, Q2 fiscal 2027 (quarter ended July 31, 2026)
- Form 8-K filed Dec 29, 2025 (Item 5.02: performance stock award to CEO George Kurtz)
- Form 8-K filed Jun 22, 2026 (Items 5.03, 5.07: 2026 annual meeting results)
22What the market paid
22What the market paid · price as of Nov 5, 2026
What did the market pay for CrowdStrike on Nov 5, 2026?
Price as of Nov 5, 2026 (shown for education; prices change daily).
Price as of Nov 5, 2026: CrowdStrike closed at $217.20 on Nasdaq, after the July 2026 4-for-1 split. Times 1,023.9 million shares (Aug 20, 2026) that is a market value of about $222.4 billion (Cityfort calculation from the Nov 5, 2026 Nasdaq closing price and the Q2 FY2027 10-Q cover). P/E is not shown: net income was $45.0 million over the 12 months to Jul 31, 2026 (Cityfort calculation from the FY2026 10-K and the Q4 FY2026 to Q2 FY2027 earnings releases). Price-to-sales, market value ÷ revenue, was 41.2 on revenue of $5,396.1 million over those 12 months (Cityfort calculation from the Nov 5, 2026 Nasdaq closing price and the Q3 FY2026 to Q2 FY2027 earnings releases).
- Share price
- $217.20
- Market value (market cap)
- $222.4B
More price-based ratios · as of Nov 5, 2026
Each ratio divides a number from the company's filings by the market value or share price on Nov 5, 2026. Prices change daily, so these ratios do too.
Free cash flow yield
0.6%
$1.3B free cash flow (FY2026) ÷ $222.4B market value = 0.6%
Cityfort calculation from the FY2026 10-K and the Nov 5, 2026 closing price. Source: CRWD historical prices, Oct 27 to Nov 5, 2026 (closing price Nov 5, 2026); Form 10-Q, Q2 fiscal 2027 (quarter ended July 31, 2026); Form 10-K, fiscal year 2026 (ended January 31, 2026) and 4 more
What free cash flow means
Shares used for the market value: 1,023.9 million ($217.20 × 1,023.9 million shares ≈ $222.4B). Source: Form 10-Q, Q2 fiscal 2027 (quarter ended July 31, 2026); Form 8-K filed Dec 13, 2024 (Items 3.03, 5.03: Class B shares converted into Class A)
Source: CRWD historical prices, Oct 27 to Nov 5, 2026 (closing price Nov 5, 2026); Form 10-Q, Q2 fiscal 2027 (quarter ended July 31, 2026); Form 10-K, fiscal year 2026 (ended January 31, 2026) and 4 more
Sources (8)
- CRWD historical prices, Oct 27 to Nov 5, 2026 (closing price Nov 5, 2026)
- Form 10-Q, Q2 fiscal 2027 (quarter ended July 31, 2026)
- Form 10-K, fiscal year 2026 (ended January 31, 2026)
- Q3 fiscal 2026 earnings release (Form 8-K, Exhibit 99.1)
- Q4 and fiscal year 2026 earnings release (Form 8-K, Exhibit 99.1)
- Q1 fiscal 2027 earnings release (Form 8-K, Exhibit 99.1)
- Q2 fiscal 2027 earnings release (Form 8-K, Exhibit 99.1)
- Form 8-K filed Dec 13, 2024 (Items 3.03, 5.03: Class B shares converted into Class A)
23How it got here
23How it got here
How did CrowdStrike get here?
2011
Milestone
Founded
CrowdStrike was founded in 2011; co-founder George Kurtz has been CEO since November 2011.
2021
Milestone
$750 million of notes
CrowdStrike issued 3.00% senior notes due 2029 on Jan 20, 2021, its only long-term debt in 2026.
2024
Crisis
July 19 Incident
A content update for the Falcon sensor resulted in system crashes for certain Windows systems on Jul 19, 2024. Lawsuits and customer packages with discounts and longer terms followed.
2024
Crisis
Delta sues
Delta Air Lines filed suit on Oct 25, 2024 over the incident; the case continues.
2024
Milestone
One share class
All Class B shares were converted into Class A on Dec 11, 2024.
2025
Business-model change
Strategic plan
CrowdStrike said on May 7, 2025 that it would cut about 500 roles, 5% of its workforce, with $36–53 million of estimated charges.
2026
Milestone
SGNL and Seraphic
CrowdStrike closed the two acquisitions in February 2026 for $627.9 million and $327.5 million in cash, net.
2026
Milestone
Prior years revised
The FY2026 10-K, filed Mar 5, 2026, revised FY2024 and FY2025 for an error in timing of stock-based pay expense.
2026
Milestone
4-for-1 stock split
Shareholders of record on Jun 25, 2026 received three more shares for each share held after the close of business on Jul 1, 2026.
Sources (5)
- Form 10-K, fiscal year 2026 (ended January 31, 2026)
- Form 10-Q, Q2 fiscal 2027 (quarter ended July 31, 2026)
- Form 8-K filed Dec 13, 2024 (Items 3.03, 5.03: Class B shares converted into Class A)
- Form 8-K filed May 7, 2025 (Item 2.05: strategic plan, about 500 roles)
- Form 8-K filed Jun 3, 2026 (Item 8.01: four-for-one stock split)
24Sources and changes
Where every number on this page comes from
Sources (21 documents)
- S1Form 10-K, fiscal year 2026 (ended January 31, 2026) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Mar 5, 2026
- S3Form 10-K, fiscal year 2024 (ended January 31, 2024) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Mar 7, 2024
- S4Form 10-K, fiscal year 2023 (ended January 31, 2023) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Mar 9, 2023
- S5Form 10-Q, Q2 fiscal 2027 (quarter ended July 31, 2026) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Aug 27, 2026
- S7Q2 fiscal 2027 earnings release (Form 8-K, Exhibit 99.1) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Aug 26, 2026
- S8Q1 fiscal 2027 earnings release (Form 8-K, Exhibit 99.1) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Jun 3, 2026
- S9Q4 and fiscal year 2026 earnings release (Form 8-K, Exhibit 99.1) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Mar 3, 2026
- S10Q3 fiscal 2026 earnings release (Form 8-K, Exhibit 99.1) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Dec 2, 2025
- S11Q2 fiscal 2026 earnings release (Form 8-K, Exhibit 99.1) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Aug 27, 2025
- S12Q1 fiscal 2026 earnings release (Form 8-K, Exhibit 99.1) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Jun 3, 2025
- S13Q4 and fiscal year 2025 earnings release (Form 8-K, Exhibit 99.1) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Mar 4, 2025
- S14Q3 fiscal 2025 earnings release (Form 8-K, Exhibit 99.1) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Nov 26, 2024
- S15Definitive proxy statement (DEF 14A) for the 2026 annual meeting · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · May 5, 2026
- S16Form 8-K filed Jun 3, 2026 (Item 8.01: four-for-one stock split) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Jun 3, 2026
- S17Form 8-K filed Apr 6, 2026 (Item 8.01: $500 million increase to the share repurchase program, Exhibit 99.1) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Apr 6, 2026
- S18Form 8-K filed Dec 29, 2025 (Item 5.02: performance stock award to CEO George Kurtz) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Dec 29, 2025
- S19Form 8-K filed Apr 21, 2026 (Item 5.02: performance stock award to President Michael Sentonas) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Apr 21, 2026
- S20Form 8-K filed May 7, 2025 (Item 2.05: strategic plan, about 500 roles) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · May 7, 2025
- S21Form 8-K filed Dec 13, 2024 (Items 3.03, 5.03: Class B shares converted into Class A) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Dec 13, 2024
- S22Form 8-K filed Jun 22, 2026 (Items 5.03, 5.07: 2026 annual meeting results) · CrowdStrike Holdings, Inc. (SEC EDGAR) · Tier 1: company or exchange filing · Jun 22, 2026
- S23CRWD historical prices, Oct 27 to Nov 5, 2026 (closing price Nov 5, 2026) · Nasdaq · Tier 1: company or exchange filing · Nov 6, 2026
Changes to this page (v1 · Nov 6, 2026)
- v1 · Nov 6, 2026First version, through Q2 FY2027 (quarter ended Jul 31, 2026). (first version)
Numbers come only from tier 1 and tier 2 sources. Read how we research.
Disclaimer
For learning only. Cityfort is not a registered investment adviser or broker-dealer and does not recommend buying or selling any security. Prices shown are dated and may be out of date.
Investing in securities involves risk, including loss of capital. Before making any investment decision, do your own research and consider consulting a registered investment adviser or other qualified professional.
Cityfort, its owners and contributors may or may not hold securities of companies covered. Cityfort is not paid by any company it covers. Content is not an offer or solicitation to buy or sell any security, including in any initial public offering.
Read the positions policyRead the full disclaimerHide the full disclaimer
Cityfort publishes general educational content that explains how listed companies work. Cityfort is not registered with the US Securities and Exchange Commission or any state securities regulator as an investment adviser, and is not a broker-dealer or a member of FINRA. Cityfort does not provide investment, tax or legal advice, recommendations, ratings, price targets or any opinion on whether to buy, sell or hold any security. Nothing on the site is tailored to any person's circumstances.
All information is taken from publicly available sources, mainly company filings with the SEC, which are listed on each page with dates. We work to keep it accurate and correct errors publicly, but we do not guarantee that it is complete, accurate or up to date. Any market price or price-based ratio shown is dated, may be out of date by the time you read it, and is included only to explain concepts.
Statements by company management, including forward-looking statements and guidance, are reported as the company's statements, with their date and source; they are not our forecasts. Adjusted (non-GAAP) figures are the company's own measures and are shown next to the official (GAAP) figures.