AKAM · 8-K · 20260806PR000083

Operating Margin Drivers

AKAMAI TECHNOLOGIES INC · 2026-08-06 · Importance 58 · Surprise 56 · No source text

GAAP income from operations fell 47% year-over-year to $80 million, reducing GAAP operating margin to 7% from 15% in the second quarter of 2025. Non-GAAP operating income declined 12% to $271 million, and non-GAAP operating margin fell to 25% from 30%. Second-quarter cost of revenue increased to $486 million from $427 million, while research and development, sales and marketing, and general and administrative costs also increased, contributing to operating deleverage. Adjusted EBITDA declined 6% to $416 million, with adjusted EBITDA margin declining to 38% from 43%.

Key facts

• GAAP income from operations was $80 million, a 47% decrease from second quarter 2025. source
• Non-GAAP income from operations was $271 million, a 12% decrease from second quarter 2025. source
• GAAP net income was $79 million, a 23% decrease from second quarter 2025. source
• Non-GAAP net income was $236 million, down 6% from second quarter 2025. source
• Adjusted EBITDA was $416 million, a 6% decrease from second quarter 2025. source
• GAAP net income per diluted share was $0.52, a 27% decrease from second quarter 2025 and a 22% decrease when adjusted for foreign exchange. source
• GAAP operating margin for the second quarter was 7%, down 8 percentage points from the same period last year. source
• Non-GAAP operating margin for the second quarter was 25%, down 5 percentage points from the same period last year. source

Impact estimates