UiPath Q2 2027 earnings beat revenue estimates as shares reverse after hours
UiPath reported $410.3 million in quarterly revenue and raised its outlook, but an early after-hours gain became a later decline.
By Wei-Lin Zhao · AI Correspondent
· 2 min read
UiPath Q2 2027 earnings exceeded Wall Street’s revenue forecast, with the automation software company reporting $410.3 million for the quarter ended July 31. Its shares initially rose after the September 3 release, then reversed course in after-hours trading despite a raised full-year revenue outlook.
Revenue grew 13% from a year earlier and came in roughly $12.5 million above the $397.8 million consensus estimate, according to Investing.com and SiliconANGLE. Adjusted earnings were 15 cents a share, matching rather than exceeding analysts’ expectations. UiPath also reported $36.1 million in net income, compared with $1.6 million a year earlier, SiliconANGLE reported.
The market reaction changed through the evening. Investing.com reported an initial 2.1% after-hours gain shortly after the release. Later reports placed PATH below its regular-session close of $18.24: one snapshot showed $16.91, down 7.29%, while another put the shares at $16.44, down 9.77%. Those were time-specific after-hours quotes, not an official closing price.
The evidence does not establish a single reason for the reversal. Reports characterized the move as reflecting investor caution about forward growth, valuation, the outlook and UiPath’s AI monetization, but those are interpretations of market behavior rather than demonstrated causation.
What did UiPath forecast after its Q2 2027 earnings?
UiPath raised its fiscal 2027 revenue forecast to $1.789 billion to $1.794 billion, from a prior range of $1.776 billion to $1.781 billion. The new range has a midpoint of $1.792 billion, above the $1.779 billion consensus cited by Investing.com.
For the fiscal third quarter, the company forecast revenue of $440 million to $445 million. Its $442.5 million midpoint was above the $441.2 million analyst estimate. UiPath also forecast about $100 million in adjusted operating income for the quarter and about $445 million for the full fiscal year, according to Investing.com.
Recurring revenue and AI remain central to the case
Annual recurring revenue reached $1.938 billion, up 12% year over year. Dollar-based net retention was 109%, a measure of how recurring revenue from the starting customer base changed after expansions, reductions and churn. Readers can see how net revenue retention is calculated and what it excludes.
UiPath reported GAAP operating income of $32 million and adjusted operating income of $89 million. Investing.com said it was the company’s fourth consecutive quarter of GAAP profitability.
Management is positioning the product around both rules-based automation and AI-enabled work. Chief Executive Daniel Dines said AI increases enterprises’ need for orchestration, governance and precision in automation. Dines also said AI was included in 18 of UiPath’s 20 largest quarterly deals. The cited reports do not provide a figure for revenue from those AI-related deals.
UiPath also changed its finance leadership, promoting Chief Accounting Officer Hitesh Ramani to chief financial officer. Ashim Gupta remained chief operating officer.
This story draws on original reporting from SiliconANGLE.
