N-able, Inc.

What they do

N-able provides a multi-tenant, enterprise-grade software platform covering Unified Endpoint Management, Security Operations, and Data Protection. It sells primarily through Managed Service Providers, Value Added Resellers, distributors, and other channel partners. Customers are typically organizations with up to 2,500 employees, and revenue is generated through subscriptions. Approximately half of revenue comes from outside the U.S.

Revenue drivers

• Subscription revenue — Represents the vast majority of total revenue; $137.1 million in Q2 2026 (99% of total revenue), growing 6.1% year-over-year.
• Customers with ARR over $50,000 — Grew from 2,349 as of December 31, 2024 to 2,671 as of December 31, 2025 (13.7% increase), representing approximately 61% of total ARR in 2025.
• International revenue — Generated 50.4% of total revenue in 2025, with similar percentages in 2024 (51.8%) and 2023 (51.2%).

Recent performance

For Q2 2026, total revenue was $138.2 million, up 5.9% year-over-year on a reported basis (4.7% constant currency). GAAP net income was $1.8 million, or $0.01 per diluted share; non-GAAP net income was $18.7 million, or $0.10 per diluted share. Adjusted EBITDA was $39.9 million, a margin of 28.9%. Total ARR was $544.5 million, up 6.0% year-over-year (5.7% constant currency). For full-year 2025, revenue was $508.8 million (up 9.3% from 2024), but net income was a loss of $18.8 million, versus income of $30.7 million in 2024.

Strategy

Management states it is aligning resources to higher-priority growth opportunities, which includes the appointment of Russell Rosa as Chief Revenue Officer. It is sharpening product roadmaps to bring new products to market faster, particularly around AI-driven cybersecurity (e.g., launch of Shadow AI Visibility). It opened a Global Capability Centre in Bengaluru, India to expand engineering and security operations. The company intends to be active with its share repurchase program, reflecting conviction in long-term value. The overall approach remains a partner-led, land-and-expand model, pushing further upmarket.

Risks

• Subscriber renewal reliance — Business depends on customers renewing subscription agreements; if renewal rates decline, revenue and operating results could be adversely affected.
• Competitive market pressure — Operates in highly competitive markets, which could make it difficult to acquire and retain customers at historical rates.
• AI-related execution risk — If the company fails to successfully incorporate AI-powered features, market them, or realize expected efficiencies, growth and profitability could be harmed.
• Macroeconomic and geopolitical headwinds — Economic uncertainty, tariffs, inflation, and geopolitical conflicts could cause customers to reduce or delay IT spending, impacting results.

Outlook

For full-year 2026, management updated ARR guidance to $562 million to $565 million. The company continues to expect disciplined profitability and growth, while executing strategic initiatives in cybersecurity and AI. Management also expects to be active with share repurchases. Specific revenue or EPS guidance was not provided in the excerpts.