Rackspace Technology, Inc.

For the period ended Mar 31, 2026. Filed May 8, 2026.

About this filing

A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Mar 31, 2026 · Filed May 8, 2026

RXT$2.72+7.5%Stored close · as of Nov 9, 2026

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Contents

Item 1. Unaudited Condensed Consolidated Balance Sheets as of December 31, 2025 and March 31, 2026

CONDENSED CONSOLIDATED BALANCE SHEETS

(In millions, except per share data)	December 31,2025	March 31,2026
ASSETS
Current assets:
Cash and cash equivalents	$105.8	$93.6
Accounts receivable, net of allowance for credit losses and accrued customer credits of $12.2 and $10.7, respectively	266.5	265.8
Prepaid expenses	84.4	129.3
Other current assets	61.1	46.4
Total current assets	517.8	535.1
Property, equipment and software, net	596.3	587.1
Goodwill, net	740.1	738.8
Intangible assets, net	698.3	667.1
Operating right-of-use assets	144.6	133.0
Other non-current assets	102.7	104.3
Total assets	$2,799.8	$2,765.4
LIABILITIES AND STOCKHOLDERS' DEFICIT
Current liabilities:
Accounts payable and accrued expenses	$413.9	$413.6
Accrued compensation and benefits	85.4	70.1
Deferred revenue	94.6	130.4
Debt	27.3	26.6
Accrued interest	5.4	5.2
Operating lease liabilities	54.7	53.8
Finance lease liabilities	48.0	52.8
Financing obligations	14.0	10.0
Other current liabilities	23.4	23.1
Total current liabilities	766.7	785.6
Non-current liabilities:
Debt	2,718.7	2,681.9
Operating lease liabilities	84.2	75.8
Finance lease liabilities	297.7	287.5
Financing obligations	39.3	38.9
Deferred income taxes	34.7	35.1
Other non-current liabilities	78.0	77.3
Total liabilities	4,019.3	3,982.1
Commitments and Contingencies (Note 8)
Stockholders' deficit:
Preferred stock, $0.01 par value per share: 5.0 shares authorized; no shares issued or outstanding	—	—
Common stock, $0.01 par value per share: 1,495.0 shares authorized; 248.4 and 252.2 shares issued; 245.3 and 249.1 shares outstanding, respectively	2.5	2.5
Additional paid-in capital	2,709.7	2,713.5
Accumulated other comprehensive income (loss)	7.5	(1.8)
Accumulated deficit	(3,908.2)	(3,899.9)
Treasury stock, at cost; 3.1 shares held	(31.0)	(31.0)
Total stockholders' deficit	(1,219.5)	(1,216.7)
Total liabilities and stockholders' deficit	$2,799.8	$2,765.4

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS

	Three Months Ended March 31,
(In millions, except per share data)	2025	2026
Revenue	$665.4	$678.1
Cost of revenue	(538.5)	(559.0)
Gross profit	126.9	119.1
Selling, general and administrative expenses	(165.3)	(136.9)
Loss from operations	(38.4)	(17.8)
Other income (expense):
Interest expense	(19.4)	(26.2)
Loss on investments, net	(0.1)	(0.1)
Gain on debt extinguishment	—	55.8
Other expense, net	(5.4)	(3.5)
Total other income (expense)	(24.9)	26.0
Income (loss) before income taxes	(63.3)	8.2
Benefit (provision) for income taxes	(8.2)	0.1
Net income (loss)	$(71.5)	$8.3
Other comprehensive income (loss), net of tax
Foreign currency translation adjustments	$3.6	$(6.8)
Unrealized loss on derivative contracts	(0.1)	—
Amount reclassified from accumulated other comprehensive income (loss) to earnings	(8.5)	(2.5)
Other comprehensive loss	(5.0)	(9.3)
Comprehensive loss	$(76.5)	$(1.0)
Net earnings (loss) per share:
Basic	$(0.31)	$0.03
Diluted	$(0.31)	$0.03
Weighted average number of shares outstanding:
Basic	231.9	246.3
Diluted	231.9	249.7

ContentsView on SEC.gov

The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.