Allot Q1 Revenue Rises 14% to $26.4M with 71% SECaaS Growth
Allot reported Q1 2026 revenue of $26.4 million, up 14% year-over-year, driven by a 71% surge in Security-as-a-Service revenue to $8.7 million. The company generated record operating cash flow of $10.6 million and moved to GAAP operating income of $1.5 million versus a loss last year.
1. Financial Results
Allot posted Q1 2026 revenues of $26.4 million, a 14% increase from $23.2 million in Q1 2025, alongside GAAP net income of $1.9 million versus a $0.3 million net loss last year.
2. SECaaS Segment Growth
Security-as-a-Service revenues rose 71% to $8.7 million, while SECaaS annual recurring revenue reached $33.7 million, up 59% year-over-year, driving recurring revenues to 67% of total.
3. Margin and Profit Improvement
GAAP operating income turned positive at $1.5 million (5.8% margin) versus a $0.7 million loss in Q1 2025, and non-GAAP operating income climbed to $2.6 million (9.9% margin), with gross margins expanding to 70.9% GAAP and 71.3% non-GAAP.
4. Outlook and Guidance
Management reaffirmed full-year 2026 revenue guidance of $113 million to $117 million and now projects at least 40% growth in SECaaS revenues, noting strong visibility toward the upper end of the range.