Rackspace Technology (RXT) Earnings: Q3 2026 Results

The quarter ended September 30, 2026 and Rackspace Technology published the results on November 9, 2026. Revenue and diluted EPS are shown against Q3 2025, the same quarter a year earlier, which takes seasonal swings out of the comparison. Rackspace Technology reports EPS two ways: GAAP, under the accounting rules every US filer follows, and Non-GAAP EPS, which leaves out items the company considers outside its operating results. The release reconciles the two, and when they diverge, the reconciliation says why.

• Q1 2026 GAAP diluted EPS of $0.03 includes a $55.8 million gain on debt extinguishment, as reported in that quarter's release; Rackspace Technology excludes such gains from its non-GAAP figures.

Source: Rackspace Technology Q3 2026 results, November 9, 2026. Also in the Form 10-Q for the quarter ended September 30, 2026. Figures as reported; checked against the release on November 10, 2026.

How Rackspace Technology splits revenue in its own release, under its own labels, for Q3 2026 against Q3 2025. Indented lines are parts of the line above them.

• Rackspace Technology's Public Cloud revenue was $349 million in Q3 2026, down 17% from $422 million in Q3 2025, 57% of total revenue.
• Rackspace Technology's Private Cloud revenue was $260 million in Q3 2026, up 4% from $250 million in Q3 2025, 43% of total revenue.

Segment lines are the figures writers cite most often, because they show where the growth in a quarter came from. Companies redraw their segments from time to time and restate the prior year to match, so a year-ago figure here can differ from the one printed a year ago. When that has happened, the note above says so.

From the earnings release

Rackspace Technology gives a full-year outlook only, not a quarterly one. In this release it raised the revenue range by $35 million at the midpoint and kept its profit outlook.

In its Q3 2026 release, Rackspace Technology said:

“Total Revenue $2,510-$2,560 million”

“Private Cloud Revenue $995-$1,015 million”

“Public Cloud Revenue $1,515-$1,545 million”

“Non-GAAP Operating Profit $125-$135 million”

Source: Rackspace Technology Q3 2026 release, Nov 9, 2026.

This is the company's own guidance as of Nov 9, 2026, quoted as given. Walnut does not make forecasts of its own. Analyst estimates for the coming quarters are on the RXT forecast page.

Revenue and diluted EPS for the last 5 quarters. Each date links to that quarter's release.

GAAP revenue and diluted EPS, each as first reported in that quarter's release.

We do not hold a confirmed date for Rackspace Technology's next report. Companies post the date on their investor relations site a few weeks ahead, usually with the time of the conference call.

Each quarter keeps its own page with the figures as reported, so a link to one stays pointed at the same numbers after the next report.

• Q3 2026 (this page), reported Nov 9, 2026

Rackspace Technology reports two segments. Public Cloud, which provides managed services and professional services for customer environments on AWS, Microsoft Azure and Google Cloud, had revenue of $349.1 million in Q3 2026, down 17.2% from $421.6 million. Private Cloud, which runs customer environments in Rackspace's own data centers or in customer and colocation facilities, had revenue of $260.0 million, up 4.2% from $249.6 million. (Rackspace Technology Q3 2026 release, Nov 9, 2026; Rackspace Technology Form 10-Q, Q3 2026, Nov 9, 2026)

Total revenue fell 9.3% to $609.1 million, or 9.2% in constant currency. The 10-Q puts the Public Cloud decline down to lower services and lower infrastructure resale revenue, and the Private Cloud increase largely down to customer contracts that include embedded sales-type lease arrangements for hardware. (Rackspace Technology Q3 2026 release, Nov 9, 2026; Rackspace Technology Form 10-Q, Q3 2026, Nov 9, 2026)

Rackspace Technology says it expects to keep de-emphasizing or exiting lower-margin infrastructure resale in Public Cloud as hyperscalers move customers to direct contracts, and it may exit some colocation and basic hosting arrangements in Private Cloud to keep capacity for Enterprise AI. It says that strategy will need significant upfront capital, including GPU-related costs. Capital expenditures were $104 million in the quarter, against $34 million a year earlier. (Rackspace Technology Form 10-Q, Q3 2026, Nov 9, 2026; Rackspace Technology Q3 2026 release, Nov 9, 2026)

Rackspace Technology's customer base is broad. At December 31, 2025 it served over 75,000 customers in over 120 countries, and no customer was 6% or more of total revenue in 2025. At September 30, 2026 its remaining performance obligations were $850.3 million, about 11% of which it expects to recognize in the rest of 2026. (Rackspace Technology Form 10-K, 2025, Mar 6, 2026; Rackspace Technology Form 10-Q, Q3 2026, Nov 9, 2026)

Rackspace Technology lost $(0.21) per diluted share under GAAP in Q3 2026, a net loss of $53.5 million, against $(0.28) a year earlier. Its non-GAAP loss per share was $(0.06), against $(0.05). Non-GAAP results exclude $31.2 million of amortization of intangible assets from acquisitions, $13.1 million of restructuring and transformation expenses and $4.0 million of share-based compensation, and also remove an $18.2 million interest expense benefit from the accounting for its March 2024 refinancing. (Rackspace Technology Q3 2026 release, Nov 9, 2026)

Interest expense rose to $35.5 million from $21.2 million, which the 10-Q attributes to an interest rate swap that matured in February 2026 and to borrowings on the revolving credit facility. Rackspace Technology applies a structural non-GAAP tax rate of 26% to every period. (Rackspace Technology Form 10-Q, Q3 2026, Nov 9, 2026; Rackspace Technology Q3 2026 release, Nov 9, 2026)

The share count is rising. Basic and diluted weighted average shares were 256.3 million, against 240.4 million a year earlier. In the quarter Rackspace Technology sold 2.8 million shares under its at-the-market program for net proceeds of $12.2 million, and it issued 2.2 million shares to Palantir in July and 3.8 million more in October as non-cash consideration. (Rackspace Technology Q3 2026 release, Nov 9, 2026; Rackspace Technology Form 10-Q, Q3 2026, Nov 9, 2026)

Diluted EPS divides net income by the weighted average number of shares outstanding in the quarter, plus the shares that options and other equity awards could add. Buybacks shrink that count and lift EPS for the same profit; share issuance and stock awards enlarge it.

Rackspace Technology gives a full-year outlook in its release. For 2026 it now guides total revenue of $2,510 - $2,560 million, with Private Cloud revenue of $995 - $1,015 million and Public Cloud revenue of $1,515 - $1,545 million, and it kept Non-GAAP Operating Profit at $125 - $135 million, Adjusted EBITDA at $285 - $295 million and a Non-GAAP loss per share of ($0.25) - ($0.30). (Rackspace Technology Q3 2026 release, Nov 9, 2026)

Rackspace Technology's share count guidance of 265 - 275 million excludes any dilution from the at-the-market program. The 10-Q says it expects near-term margin pressure because some Enterprise AI investments will come before that revenue ramps. (Rackspace Technology Q3 2026 release, Nov 9, 2026; Rackspace Technology Form 10-Q, Q3 2026, Nov 9, 2026)

A consensus figure is the average of the models published by the analysts who cover Rackspace Technology, collected by a data provider and revised up to the day of the report. A quarter that lands above it says how expectations were set as much as how the business did, and the share price on the day also reflects the guidance and the lines no consensus covers.

The consensus figures on this page are Yahoo Finance's, as pulled on the date shown. Each comes with the number of analysts behind it; the smaller that number, the more one revised estimate can move the average.

The figures below are the ones Rackspace Technology's own release and filings put weight on for Q3 2026, with the latest reported value for each.

What the quarter means for a holding is a separate question from what it reported. The case for and against owning RXT is on is RXT a buy or a sell?, what analysts expect next is on the RXT forecast, and what the company does is on the Rackspace Technology (RXT) stock page.

Every number on this page can be traced to a document Rackspace Technology published. Checking one takes a couple of minutes, and it is worth doing before you quote a figure anywhere.

• The results release is the document linked in the source line above. Companies publish it on their investor relations site at the moment results go out, and it carries the headline tables: revenue, operating income, net income and EPS for the quarter and the year-ago quarter.
• The same release is filed with the SEC as Exhibit 99.1 to a Form 8-K under Item 2.02, usually on the day of the report. The SEC copy does not change after the fact, which makes it the safer thing to link when you cite a number.
• The quarterly report (Form 10-Q) follows within a few weeks and carries the full financial statements, the segment note and management's discussion of what changed. The fourth quarter is covered by the annual report (Form 10-K) instead.
• Restated comparisons are flagged in the notes on this page. When a company redraws its segments or changes how it adjusts EPS, it restates the year-ago column, so the year-ago figure in a new release can differ from the one printed a year ago. This page always uses the comparison in the newer release, because that is the like-for-like one.

A walk-through of every line in a release, with what each one tells you, is in how to read an earnings report.