NICE Ltd American Depositary Shares
NICE · Nasdaq
NICE · Nasdaq
Reports Nov 4, 2026, before the open.
Consensus is $2.10 EPS for Sep 2026 across 7 estimates, ranging $2.04 to $2.23.
NICE delivered $782.3 million of Q2 revenue, up 7.6% year over year and above the high end of its own guidance range. Cloud revenue grew 12.6% to $609.0 million, while international revenue increased 22% (21% in constant currency). The supplied expectations snapshot shows EPS of $1.95 against $2.13 consensus, an 8.45% miss. That figure does not match the release’s reported diluted GAAP EPS of $1.40 or non-GAAP EPS of $2.70, so the supplied EPS comparison appears to use a different basis. The release says non-GAAP EPS reached the high end of company guidance; it provides no Q1 comparison figures for assessing sequential momentum.
The defining tension was growing cloud and AI demand against weaker margins and lower year-over-year earnings. Management cited record second-quarter cloud ACV bookings, an all-time record for AI bookings and AI ARR of $362 million, now 15% of cloud revenue. Yet non-GAAP operating margin contracted to 25.3% from 30.2%, and non-GAAP diluted EPS fell to $2.70 from $3.01. NICE reiterated full-year revenue guidance of $3.17 billion–$3.19 billion and raised its non-GAAP EPS outlook to $11.06–$11.26. Operating cash flow improved to $122.7 million from $61.3 million a year earlier.
Cloud was the main growth engine, rising 12.6% year over year to $609.0 million and accounting for most of NICE’s $782.3 million in quarterly revenue. Management said new cloud ACV bookings reached a Q2 record and AI bookings set an all-time quarterly record, with strong momentum at Cognigy. AI ARR reached $362 million, or 15% of cloud revenue. NICE is integrating Cognigy natively into its CXone customer experience platform, positioning AI as an increasingly embedded part of the offering rather than a standalone experiment. The release did not quantify bookings or provide a quarter-on-quarter comparison.
Revenue growth did not translate into higher reported profit. GAAP gross margin declined to 64.0% from 66.8%, and GAAP operating margin fell to 13.3% from 22.1%; GAAP operating income was $104.0 million versus $160.6 million. On the company’s non-GAAP basis, gross margin was 68.4% versus 69.3%, operating margin was 25.3% versus 30.2%, and operating income was $198.0 million versus $219.7 million. Non-GAAP diluted EPS was $2.70, down from $3.01, while GAAP diluted EPS was $1.40 versus $2.96. The supplied consensus comparison instead lists reported EPS of $1.95 versus $2.13; the release does not identify or reconcile that measure, so it is not directly comparable with either release figure.
