PagerDuty (NYSE:PD) surprises with Q2 CY2026 sales, customer growth accelerates. August 27, 2026 at 16:40 PM EDT i This article is third-party content and does not represent the views of this site. Tamar Securities, LLC make no guarantees regarding its accuracy or completeness. Digital operations platform PagerDuty (NYSE: PD) reported Q2 CY2026 results beating Wall Street's revenue expectations, but sales were flat year on year at $124.4 million. The company expects next quarter's revenue to be around $124 million, close to analysts' estimates. Its non-GAAP profit of $0.32 per share was 4.3% above analysts' consensus estimates. PagerDuty (PD) Q2 CY2026 Highlights: * Revenue: $124.4 million vs analyst estimates of $123.3 million (flat year on year, 0.9% beat) * Adjusted EPS: $0.32 vs analyst estimates of $0.31 (4.3% beat) * Adjusted Operating Income: $29.53 million vs analyst estimates of $27.66 million (23.7% margin, 6.8% beat) * The company slightly lifted its revenue guidance for the full year to $494 million at the midpoint from $492.5 million * Management raised its full-year Adjusted EPS guidance to $1.35 at the midpoint, a 4.2% increase * Operating Margin: 8.2%, up from 2.9% in the same quarter last year * Free Cash Flow Margin: 26.3%, down from 34.1% in the previous quarter * Customers: 15,506, up from 15,380 in the previous quarter * Billings: $117.1 million at quarter end, up 3.1% year on year * Market Capitalization: $940.1 million Company overview. Born from the frustration of developers being woken up by unprioritized alerts, PagerDuty (NYSE: PD) is a digital operations management platform that helps organizations detect and respond to IT incidents, outages, and other critical issues in real-time. Revenue growth. A company's long-term performance is an indicator of its overall quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. Over the last five years, PagerDuty grew its sales at a 15.2% compounded annual growth rate. Though this growth is acceptable on an absolute basis, Tamar Securities, LLC need to see more than just topline growth for the software sector, which can display significant earnings volatility. This means its bar for the sector is particularly high, reflecting the non-essential and hit-driven nature of the products and services offered. Additionally, five-year CAGR starts around Covid, when revenue was depressed then rebounded. Long-term growth is the most important, but within software, a half-decade historical view may miss new innovations or demand cycles. PagerDuty's recent performance shows its demand has slowed as its annualized revenue growth of 5.2% over the last two years was below its five-year trend. Tamar Securities, LLC is wary when companies in the sector see decelerations in revenue growth, as it could signal changing consumer tastes aided by low switching costs. This quarter, PagerDuty's $124.4 million of revenue was flat year on year but beat Wall Street's estimates by 0.9%. Company management is currently guiding for flat sales next quarter. Looking further ahead, sell-side analysts expect revenue to grow 1.3% over the next 12 months, a deceleration versus the last two years. This projection is underwhelming and indicates its products and services will face some demand challenges. ALSO WORTH WATCHING: Nvidia's Quiet Partner. Nvidia's chips cost a hundred grand. The connectors that make them work cost even more. One company makes them all. Every AI server needs specialized infrastructure the chip companies don't make. High-speed cables. Power connectors. Thermal sensors. This 90-year-old company built a monopoly on it. The AI boom just started. This stock is still flying under the radar. Claim The Stock Ticker Here for FREE. Billings. Billings is a non-GAAP metric that is often called "cash revenue" because it shows how much money the company has collected from customers in a certain period. This is different from revenue, which must be recognized in pieces over the length of a contract. PagerDuty's billings came in at $117.1 million in Q2, and over the last four quarters, its growth was underwhelming as it averaged 1.1% year-on-year increases. This performance mirrored its total sales and suggests that increasing competition is causing challenges in acquiring/retaining customers. Customer base. PagerDuty reported 15,506 customers at the end of the quarter, a sequential increase of 126. That's a little better than last quarter and quite a bit above the typical growth Tamar Securities, LLC has seen over the previous year. Shareholders should take this as an indication that PagerDuty has made some recent improvements to its go-to-market strategy and that they are working well for the time being. Key takeaways from PagerDuty's Q2 results. Tamar Securities, LLC were impressed by PagerDuty's strong growth in customers this quarter. Tamar Securities, LLC were also glad its adjusted operating income outperformed Wall Street's estimates. On the other hand, its revenue guidance for next quarter was in line. Overall, Tamar Securities, LLC think this was a decent quarter with some key metrics above expectations. Investors were likely hoping for more, and shares traded down 2.5% to $12.38 immediately following the results. Is PagerDuty an attractive investment opportunity right now? When making that decision, it's important to consider its valuation, business qualities, as well as what has happened in the latest quarter. Tamar Securities, LLC cover that in its actionable full research report which you can read here (it's free). Report this content If you believe this article contains misleading, harmful, or spam content, please let Tamar Securities, LLC know.

PagerDuty is scheduled to report its Q2 earnings on Thursday after market close. Last quarter, the company reported revenues of $121 million, beating analyst expectations but remaining flat year on year. The quarter saw strong customer growth, with 29 new customers bringing the total to 15,380. For the upcoming quarter, analysts expect revenue to remain flat year on year, a slowdown from the 6.4% growth recorded in Q2 last year. Analysts have largely maintained their estimates over the past 30 days. The company has missed Wall Street's revenue expectations multiple times over the last two years. PagerDuty's shares have risen 25.5% over the past month, outpacing the software development segment's average increase of 14.3%. The stock currently trades at $12.25, above the average analyst price target of $10.14.

PagerDuty vs. OnCallManager: streamlining incident resolution for slack-native teams. PagerDuty alternative incident response Slack on-call on-call management OnCallManager In the fast-paced world of modern software development and operations, effective incident resolution is paramount. When systems fail, every second counts. Engineering teams rely on robust on-call management tools to alert the right people, escalate issues efficiently, and coordinate a swift response. For years, PagerDuty has been a dominant player in this space, offering a comprehensive suite of features for enterprise-level incident management. However, as teams increasingly centralize their communication and collaboration in Slack, the need for a truly Slack-native on-call management tool has grown. This is where OnCallManager enters the picture, providing a streamlined, integrated solution designed to live where your team already works. This post will dive deep into a comparison of PagerDuty vs. OnCallManager, specifically focusing on how each platform approaches incident resolution for teams that prioritize a Slack-first workflow. OnCallManager'll explore their strengths, weaknesses, and ultimately help you determine which tool is the better fit for your team's incident response strategy. The modern incident response imperative: Speed, context, and Simplicity. Today's incident response demands more than just alerting. It requires: * Speed: Rapid notification and acknowledgment to minimize downtime. * Context: All relevant information immediately accessible to the responder. * Collaboration: Seamless communication channels for diagnosis and resolution. * Simplicity: Minimal friction and cognitive load during high-stress situations. For many engineering teams, Slack has become the central nervous system for daily operations, including technical discussions, debugging, and coordinating responses. Integrating incident management directly into this environment isn't just a convenience; it's a strategic advantage for faster, more effective incident resolution. PagerDuty's approach to incident resolution: A deep dive. PagerDuty is renowned for its powerful and extensive feature set, built over years to serve a wide range of organizations, from startups to large enterprises. How PagerDuty handles incident resolution: * Alert Ingestion: PagerDuty integrates with hundreds of monitoring tools (Datadog, New Relic, Prometheus, etc.) to ingest alerts. * On-Call Routing: Based on configured schedules, escalation policies, and services, alerts are routed to the appropriate on-call engineer. * Notifications: Alerts are delivered via multiple channels: push notifications, SMS, phone calls, and email. * Escalations: If an alert isn't acknowledged within a set time, PagerDuty automatically escalates to the next person or team in the policy. * Incident Creation: Alerts can be grouped into incidents, providing a central timeline for tracking. * Communication: PagerDuty offers its own incident command center and facilitates communication via integrations with collaboration tools like Slack, allowing for status updates and war room creation. Strengths of PagerDuty: * Enterprise-Grade Features: Deep customization for large, complex organizations with intricate service dependencies and compliance needs. * Robust Alerting: Multiple notification channels ensure critical alerts are never missed. * Extensive Integrations: Connects with virtually every monitoring, logging, and deployment tool. * Advanced Analytics: Provides detailed reporting on incident metrics, on-call performance, and service health. Weaknesses of PagerDuty for slack-native teams: While powerful, PagerDuty's comprehensive nature can introduce friction for teams deeply embedded in Slack: * External UI: Incident management often requires switching between Slack and the PagerDuty web interface, leading to context switching. * Integration vs. Native: PagerDuty's Slack integration, while functional, often feels like an add-on rather than a seamless, native experience. Critical actions might still pull you out of Slack. * Configuration Complexity: Setting up services, escalation policies, and routing can be a time-consuming and complex process, taking weeks for larger deployments. * Overkill for Many Teams: Many teams, especially smaller ones or startups, find themselves using only a fraction of PagerDuty's vast feature set, while still paying for enterprise capabilities they don't need. OnCallManager: incident resolution, natively in Slack. OnCallManager is purpose-built for Slack-native teams, aiming to simplify on-call management and incident resolution by keeping everything within the familiar Slack environment. It's designed to be intuitive, fast to set up, and seamlessly integrated into daily team workflows. How OnCallManager streamlines incident resolution: * Slack-First Alerting: OnCallManager receives alerts directly in Slack from various sources (via incoming webhooks or native integrations), immediately notifying the on-call person in their DMs and a designated channel. * Instant On-Call Visibility: The /oncall command provides instant visibility into who's on-call across all rotations, directly in Slack. * Simple Escalations: Define escalation policies with simple Slack commands. If an alert isn't acknowledged, OnCallManager escalates within Slack, ensuring the next person is notified. * Dedicated Incident Channels: Spin up temporary incident channels with a single command, bringing together all relevant stakeholders, alerts, and communication in one place. * Actionable Buttons: Respond to incidents (acknowledge, resolve, escalate) directly from Slack notifications, eliminating the need to leave the app. * Post-Incident Review: Capture incident timelines and actions directly from Slack conversations, making post-mortem creation simpler. Key advantages of OnCallManager for incident resolution: * True Slack-Nativeness: OnCallManager lives inside Slack, not just integrates with it. This means zero context switching during critical incidents. * Lightning-Fast Setup: Get your entire on-call rotation and incident response workflow configured in minutes, not weeks. * Simplified Workflows: Manage alerts, rotations, and incidents using familiar Slack commands and buttons, reducing cognitive load during stressful times. * Real-time Collaboration: All incident communication, updates, and actions happen in dedicated Slack channels, fostering immediate team collaboration. * Transparent Pricing: A flat monthly fee simplifies budgeting and encourages team growth without penalizing per-user costs. Direct comparison: PagerDuty vs. OnCallManager for incident resolution. Let's break down how these two tools stack up across critical aspects of incident resolution for Slack-native teams. 1. Alerting & notification experience. * PagerDuty: Offers a broad array of notification channels (SMS, phone, push, email, Slack). Highly configurable. Often requires PagerDuty app for best mobile experience. * OnCallManager: Focuses on immediate, actionable notifications directly within Slack (DMs, channels). Utilizes Slack's native notification system, reducing app fatigue. All actions (acknowledge, resolve) are done via Slack buttons. 2. On-Call rotation & Escalation management. * PagerDuty: Extremely powerful and flexible rotation scheduling, with complex rule sets, overrides, and multiple layers of escalation. Can be time-consuming to set up and manage, especially for dynamic teams. * OnCallManager: Simple, intuitive on-call rotation management directly via Slack commands. Easily create, modify, and view rotations. Escalation policies are straightforward and managed within Slack, perfect for teams needing clarity and quick adjustments. 3. Communication & Collaboration during an Incident. * PagerDuty: Provides an "Incident Details" page on its platform, with a Slack integration to create incident channels or send updates. Collaboration often splits between