Okta, Inc.

okta.com

What Do They Do?

Sells cloud-based identity tools that manage employee, contractor and partner access and help developers secure sign-ins for customer-facing applications.

How Do They Make Money?

Organizations pay for access to Okta's cloud platforms and support through multi-year subscriptions, typically invoiced annually in advance; they also pay for customer-specific integration and customization work as it is performed.

revenue

Segment	Share	Revenue	How money arrives
Subscription Recurring	98% FY2023: 97%		Recurring
Professional services and other Sold outright	2.2% FY2023: 3.4%		Sold outright

Who Are Their Customers?

Customers range from small organizations to large companies, universities, nonprofits and government agencies. They buy directly or through channel partners, while developers can sign up for self-service plans.

Do Revenues Turn Into Profits?

Yes. It kept 8 cents of every revenue dollar as net income in FY2026 and turned 30 cents into free cash flow.

Operating income, FY2026

5% of revenue

▲ Now profitable vs FY2025 (−$74M, −3%)

Net income, FY2026

8% of revenue

▲ +739% vs FY2025 ($28M, 1%)

Free cash flow, FY2026

30% of revenue

▲ +18% vs FY2025 ($742M, 28%)

How Are They Changing?

Since the FY2026 annual report

Latest quarter: Q2 FY2027, the three months to Jul 31, 2026

Revenue: ▲ +11%; vs $728M in Q2 FY2026
Net income: ▲ +73%; vs $67M in Q2 FY2026

Subscription share of revenue vs 97.7% in Q2 FY2026

Aug 26, 2026 Updated fiscal-year revenue outlook Revenue outlook is $3.216 billion to $3.226 billion; shifting professional services work to partners is expected to create an approximately one percentage point growth headwind.
May 28, 2026 Issued fiscal-year outlook with a services-partner shift The outlook called for $3.185 billion to $3.205 billion in revenue and an approximately one percentage point growth headwind from the shift.

Growing. Revenue grew 2.2x in 4 years, from $1.3B in FY2022 to $2.9B in FY2026, about 22% a year.

AI-agent identity The earlier report describes workforce and customer identity tools for employees, partners and customers; the latest adds capabilities to discover, secure and govern non-human identities and AI agents, with related products in early access and development.

Revenue over time

Subscription Professional services and other

$5B$2.5B$0

FY2022 FY2023 FY2024 FY2025 FY2026

Who Do They Compete With?

Competes with Microsoft

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