Rackspace (RXT) Earnings Beat Estimates

Rackspace Technology (NASDAQ:RXT), a provider of cloud computing and managed hosting services, released its earnings for the second quarter of fiscal 2025 on August 7, 2025. The headline from the report was that GAAP revenue reached $666 million, exceeding analyst expectations of $659.4 million (GAAP). However, non-GAAP earnings per share (EPS) came in at $(0.06), missing the consensus estimate of $(0.05) (non-GAAP). The results reflect tightening losses, improving profit metrics, and sequential progress on the company’s turnaround strategy, though top-line performance (GAAP revenue) still declined compared to last year.

Source: Analyst estimates provided by FactSet. Management expectations based on management's guidance, as provided in Q1 2025 earnings report.

Rackspace Technology delivers services that help businesses manage their public cloud, private cloud, and hybrid cloud environments. The company enables customers to run workloads on leading cloud platforms by offering technical support, consulting, and managed services. Its clients rely on both its technical platform, known as Rackspace Fabric, and its expertise navigating complex cloud infrastructure set-ups.

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Source Fool.com