HubSpot's third quarter revenue of $948M beat estimates as operating margins expanded to 22.6%

HubSpot reported strong third quarter results characterized by significant beats on both top and bottom lines. Growth was underpinned by 18% subscription revenue expansion and continued efficiency gains, resulting in non-GAAP operating margins reaching 22.6%. The company raised its full-year 2026 guidance, now expecting a 21% non-GAAP operating margin.

Key Highlights

• Total revenue of $947.6 million grew 17% year-over-year, exceeding consensus estimates by over $22 million.
• Non-GAAP diluted EPS reached $3.81, significantly outperforming the analyst expectation of $3.27.
• Total customers increased 12% to 311,704, while average subscription revenue per customer grew 4% to $12,038.
• The company utilized its strong cash position to repurchase $237.2 million of common stock during the quarter.