Abstract

Cellebrite DI Ltd is scheduled to report its second-quarter 2026 results on August 13, 2026 Pre-Mkt; this preview outlines consensus expectations for revenue, profitability, and EPS, reviews the last quarter, and analyzes the key product catalysts and investor debates shaping the upcoming print.

Market Forecast

Consensus expects Cellebrite DI Ltd’s second-quarter 2026 revenue to be 131.87 million US dollars, up 17.53% year over year, with adjusted EPS at 0.11, up 6.16% year over year; EBIT is projected at 28.48 million US dollars, up 14.01% year over year. The company maintained a full-year revenue framework of high-teen growth in its prior update, and there is no explicit consensus margin forecast for the quarter. The main commercial engine remains the recurring software mix and multi-year deployments, with management highlighting continued acceleration in annual recurring revenue and expanded product availability across its cloud portfolio. The most promising line, Subscription Services, generated 96.55 million US dollars last quarter and is positioned to contribute the bulk of the quarter’s expected 17.53% year-over-year revenue growth through broader seat expansion, renewals, and new modules.

Last Quarter Review

Cellebrite DI Ltd delivered first-quarter 2026 revenue of 128.30 million US dollars (up 19.30% year over year), a gross profit margin of 82.53%, GAAP net income attributable to shareholders of 10.94 million US dollars with a net profit margin of 8.53%, and adjusted EPS of 0.12 (up 20.00% year over year). A notable operational highlight was EBIT of 28.59 million US dollars, up 30.11% year over year, while adjusted EPS and revenue both exceeded consensus. Sequentially, GAAP net income moderated compared with the prior quarter, consistent with the company’s multi-quarter investment cadence and revenue seasonality. On business mix, Subscription Services represented 96.55 million US dollars (approximately 75% of quarterly revenue), with Term Licenses at 21.30 million US dollars, Professional Services at 6.78 million US dollars, and Perpetual Licenses and Other at 3.67 million US dollars; the heavier subscription mix underpinned the quarter’s higher gross margin profile.

Current Quarter Outlook

Main business: Recurring platform and multi-product expansion

The quarter’s setup is anchored by the company’s recurring software platform, where Subscription Services accounted for 96.55 million US dollars in the prior quarter. Consensus expects company-level revenue growth of 17.53% year over year this quarter, and that growth is anticipated to be driven by subscription seat expansion, improved renewal rates, and continued adoption of bundled offerings. The pipeline for multi-year engagements within public sector and enterprise channels remains an important component of near-term bookings that can flow into annual recurring revenue and set a steady cadence for the back half of the year. Profitability dynamics should continue to reflect the subscription-heavy mix. Last quarter’s gross profit margin was 82.53%, and while there is no explicit consensus margin forecast for the current quarter, the combination of software revenue weighting and operating discipline supports the view that EBIT can expand year over year, with consensus calling for 28.48 million US dollars (+14.01% year over year). Management has emphasized expanding platform modules such as evidence management and workflow solutions, which can deepen account penetration and raise average deal size, and consensus EPS of 0.11 (+6.16% year over year) implies that operating leverage remains intact even as the company invests in innovation and go-to-market. Execution will be judged on the quality of ARR additions and the mix of new versus expansion business. Investors will focus on indicators such as net retention, renewal timing, and the proportion of contracts signed on multi-year terms. Any data indicating broader adoption of the platform around adjacent modules, or stronger-than-expected migration to cloud-delivered services, would reinforce the recurring revenue trajectory implied by the full-year framework.

Most promising business: Advanced solutions, cloud authorizations, and AI-enhanced modules

The current quarter features meaningful catalysts across advanced solutions and cloud offerings. Management has highlighted expanded product availability and platform modules that integrate with investigative workflows, including early-access AI capabilities, with encouraging feedback in pilot deployments. The company is pursuing a broader rollout of AI-driven analytics and case management features designed to compress analyst time, surface relevant digital artifacts more efficiently, and scale to larger, multi-stakeholder investigations. This orientation makes the AI layer a potential uplift for deal sizes as customers standardize on expanded bundles. Progress in regulated cloud environments remains a key commercial pivot. The company has articulated strengthened readiness for public sector cloud workloads and has referenced heightened demand for secure, compliant deployments. This foundation is tactically relevant in the quarter because it opens opportunities within sensitive workloads where customers require elevated authorization standards. The operational manifestation of this is visible in a growing backlog of public-sector opportunities and a clearer commercialization path for modules that run in controlled cloud environments. Cross-solution integrations add incremental upside potential. The company recently expanded its exclusive partnership with SkySafe to bring real-time and historical drone detection and airspace intelligence into its digital investigations platform. That combination allows customers to correlate drone telemetry with mobile and endpoint artifacts during investigations, which can enhance the value of platform analytics. While near-term revenue from this integration is unlikely to be separately disclosed, the partnership is positioned to strengthen platform stickiness and could serve as a differentiator in competitive evaluations this quarter and beyond.

What will move the stock this quarter

Revenue growth stamina and the composition of bookings are the central equity debates for the print. With consensus modeling 131.87 million US dollars in revenue (+17.53% year over year), investors will parse whether outperformance, if any, is driven by net-new logos versus expansions, and whether the subscription mix continues to rise as a percentage of total revenue. An upside outcome featuring robust ARR adds, healthy net retention, and a high proportion of multi-year agreements would tend to support a constructive read-through for the back half and the full-year outlook. Guidance communication and the alignment of second-half phasing will also be impactful. The company’s prior full-year revenue framework indicates high-teen growth for 2026, and investors will look for reiteration and further specificity around the contribution of newer modules and cloud deployments. Commentary around the cadence of public sector budgets and timing of larger deals is likely to influence near-term sentiment, especially if management highlights pipeline conversion within regulated cloud environments or notes any pushes tied to customer procurement cycles. Profitability and cash conversion will remain under scrutiny given last quarter’s strong gross margin and EBIT performance. Consensus expects EBIT of 28.48 million US dollars (+14.01% year over year) and adjusted EPS of 0.11 (+6.16% year over year). Investors will watch for signals on operating expense growth relative to revenue and whether efficiency gains from a unified platform are offset by higher go-to-market or R&D investments tied to AI features. Any update on free cash flow trajectory, bookings-to-billings conversion, and deferred revenue trends can shape views on sustainability of margin expansion into the second half of 2026.

Analyst Opinions

Based on the collected views during the period from January 1, 2026 through August 6, 2026, the balance of opinions is bullish (bullish 100%, bearish 0%). A notable view comes from TD Cowen, where analyst Shaul Eyal reiterated a Buy rating and a 23.00 US dollars price target, citing the durability of recurring revenue and the commercialization path for product innovation. The positive stance centers on three main pillars. First, analysts point to the predictable revenue profile implied by the subscription mix and the company’s demonstrated ability to grow revenue at a high-teen rate year over year. Consensus for the current quarter at 131.87 million US dollars (+17.53% year over year) fits that pattern and is viewed as achievable given the mix of multi-year deals and subscription seat expansions reported over recent quarters. Second, the product roadmap is seen as a compounding driver of platform value. Early-access AI features, expanded evidence management capabilities, and integrations such as the SkySafe alliance are framed by bullish analysts as a way to expand use cases, deepen customer engagement, and incrementally lift average deal values. Third, the strengthening of cloud-readiness for sensitive workloads provides a route into larger deployments with customers that require elevated controls, which can support both growth and retention over time. In the near term, bullish analysts indicate they will evaluate the quality of ARR adds and the share of short-cycle versus longer-term commitments to gauge durability. They also emphasize that last quarter’s financial performance demonstrated solid operating execution: revenue up 19.30% year over year to 128.30 million US dollars, adjusted EPS up 20.00% year over year to 0.12, and EBIT up 30.11% year over year to 28.59 million US dollars. With consensus modeling EBIT of 28.48 million US dollars this quarter (+14.01% year over year) and adjusted EPS of 0.11 (+6.16% year over year), the majority view is that operating leverage can continue if top-line momentum persists and mix stays favorable. From a market standpoint, bulls acknowledge that the shares have been trading at a premium multiple reflective of growth and margin quality, but see scope for that multiple to be sustained if guidance is reiterated and the company highlights visible second-half catalysts. Specifically, analysts will look for management to discuss customer adoption trends for AI-enhanced modules, the pace of deployments in controlled cloud environments, and early signals from newer integrations that expand analytical context. Detail on cross-sell from recent product additions and any commentary on win rates in competitive evaluations would further support the positive thesis if constructive. On balance, the institutional preview tilts in favor of continued growth with improving operating consistency. The bullish camp expects the August 13, 2026 Pre-Mkt report to show revenue and profitability tracking close to consensus, with management providing constructive color on ARR acceleration, the expanding contribution from newer modules and integrations, and the phasing of second-half opportunities. As such, the majority of the collected opinions favor the view that the company remains positioned to meet or modestly exceed current-quarter expectations while maintaining a trajectory consistent with its full-year revenue framework.