Cloudflare, Inc. (NET): restructuring charge — Cloudflare Q1 revenue $639.8M +34% YoY; announces 20% workforce reduction

Cloudflare, Inc.

Q1 revenue $639.8M (+34% YoY); GAAP net loss $22.9M ($0.07 loss/share); non-GAAP net income $94.0M ($0.25 diluted EPS).
Non-GAAP income from operations $73.1M (11.4% margin); free cash flow $84.1M (13% of revenue).
Workforce reduction of ~20% as part of shift to agentic AI-first operating model; estimated charges $140-150M.
Majority of restructuring charges expected in Q2 2026; execution substantially complete by end of Q3 2026.
Cash and marketable securities $4.16B as of March 31, 2026.

Key facts

Extracted from this filing and checked against the source text.

Earnings Releases SEC 8-K Item 2.02 confidence 0.9

Cloudflare, Inc. reported the fiscal quarter ended March 31, 2026 results: revenue $639.8 million, net income $22.9 million, EPS $0.07.

Period: the fiscal quarter ended March 31, 2026
Revenue: $639.8 million
Net income: $22.9 million
EPS: $0.07
Result: reported results

Exact text from the filing

expressly set forth by specific reference in such filing. --- EX-99.1 (EX-99.1) --- Cloudflare Announces First Quarter 2026 Financial Results • First quarter revenue totaled $639.8 million, representing an increase of 34% year-over-year • GAAP loss from operations of $62.0 million, or 10% of total revenue, and non-GAAP income from operations of $73.1 million, or

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Restructurings & Charges SEC 8-K Item 2.05/2.06 confidence 0.9

Cloudflare, Inc. announced a restructuring with charges of between $140 million and $150 million (approximately 20%).

Type: restructuring
Charge: between $140 million and $150 million
Headcount: approximately 20%

Exact text from the filing

On May 7, 2026, the Company announced a plan (the “Plan”) designed to further accelerate its evolution to an agentic AI-first operating model. As part of the Plan, the Company expects to reduce its current workforce by approximately 20%. The Company currently estimates that it will incur charges of between $140 million and $150 million in connection with the Plan

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Cloudflare, Inc. filing history →

Source: SEC EDGAR

accession 0001477333-26-000033

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