RingCentral (NYSE:RNG) reported a robust performance for the second quarter of 2026, surpassing analyst expectations. Total revenue reached $657 million, marking a 5.9% increase compared to $620 million in the same period last year [1]. This performance exceeded previous projections that estimated revenue between $648 million and $653 million [2].
Subscription revenues reached $634 million, up 5.8% from $598.7 million year-over-year [3]. This figure outperformed the earlier guidance of $628 million to $633 million [4].
Non-GAAP metrics also showed strong momentum. Non-GAAP diluted EPS was recorded at $1.22, which is 15% higher than the $1.06 reported a year ago [6]. This result surpassed the company's guidance of $1.15 to $1.17 [7].
Customers utilizing at least one paid AI product now account for approximately 13% of annual recurring revenue (ARR), a figure that has doubled year-over-year [9].
To reward shareholders, RingCentral increased its dividends by 67%, moving from $0.075 to $0.125 [10]. The first payment at this new rate is tentatively scheduled for August 20, 2026, for shareholders of record as of August 6, 2026, though the company has noted these dates remain subject to formal confirmation [11].
The company also expanded its partnership with NiCE Ltd. NiCE will now resell RingCentral's unified communications as a service (UCaaS) solution, known as RingEx [12]. Additionally, RingCentral will continue to market and sell its solution, which utilizes NiCE's CXone technology, for another year [13].
Institutional interest showed notable shifts in the first quarter of 2026. The number of hedge funds holding positions in RingCentral decreased from 27 to 25 [14]. However, despite fewer firms, the total stake held by these hedge funds rose to $406 million, an increase of 17.7% from the previous quarter's $344.8 million [15].
Market reaction to the Q2 results was immediate; the stock climbed by as much as 27% during intra-day trading on Friday, reaching just 83 cents below its 52-week high [16].