$AKAM

AKAMAI TECHNOLOGIES INC

CIK:0001086222|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Income Statement [Abstract]
Revenue	$ 1,099,682	$ 1,043,494	$ 2,173,292	$ 2,058,633
Costs and operating expenses:
Cost of revenue (exclusive of amortization of acquired intangible assets shown below)	485,932	426,535	957,231	845,480
Research and development	148,821	125,838	290,397	249,387
Sales and marketing	170,045	146,239	327,107	280,370
General and administrative	187,686	162,597	351,495	318,530
Amortization of acquired intangible assets	25,089	27,721	50,276	55,358
Restructuring charge	1,825	3,103	2,008	3,464
Total costs and operating expenses	1,019,398	892,033	1,978,514	1,752,589
Income from operations	80,284	151,461	194,778	306,044
Interest and marketable securities income, net	31,672	14,129	49,219	33,659
Interest expense	(9,078)	(8,201)	(17,335)	(14,951)
Other (expense) income, net	(2,851)	(5,451)	(4,637)	569
Income before provision for income taxes	100,027	151,938	222,025	325,321
Provision for income taxes	20,623	48,320	36,302	98,532
Net income	$ 79,404	$ 103,618	$ 185,723	$ 226,789
Net income per share:
Basic (in dollars per share)	$ 0.55	$ 0.72	$ 1.28	$ 1.54
Diluted (in dollars per share)	$ 0.52	$ 0.71	$ 1.22	$ 1.53
Shares used in per share calculations:
Basic (in shares)	144,660	144,757	144,965	146,905
Diluted (in shares)	153,686	145,249	151,854	148,156

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities:
Net income	$ 185,723	$ 226,789
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	369,288	349,483
Stock-based compensation	274,971	224,754
(Benefit) provision for deferred income taxes	(4,481)	44,063
Amortization of debt issuance costs	5,180	3,250
Gain on investments	0	(9,313)
Other non-cash reconciling items, net	6,425	3,982
Changes in operating assets and liabilities, net of effects of acquisitions:
Accounts receivable	(171,804)	(33,117)
Prepaid expenses and other current assets	(33,341)	(29,699)
Accounts payable and accrued expenses	(15,094)	(84,541)
Deferred revenue	53,986	23,117
Other current liabilities	(22,209)	(22,457)
Other non-current assets and liabilities	(9,870)	14,038
Net cash provided by operating activities	638,774	710,349
Cash flows from investing activities:
Cash (paid) received for business acquisitions, net of cash acquired	(37)	790
Cash paid for asset acquisition	0	(29,930)
Purchases of property and equipment	(246,613)	(263,312)
Capitalization of internal-use software development costs	(170,987)	(156,477)
Purchases of short- and long-term marketable securities	(2,268,108)	(669,795)
Proceeds from sales of short- and long-term marketable securities	5,837	266,004
Proceeds from maturities and redemptions of short- and long-term marketable securities	109,251	1,053,221
Other, net	(3,102)	(6,521)
Net cash (used in) provided by investing activities	(2,573,759)	193,980
Cash flows from financing activities:
Proceeds from borrowings under revolving credit facility	0	250,000
Repayment of borrowings under revolving credit facility	0	(250,000)
Proceeds from the issuance of convertible senior notes, net of issuance costs	3,452,749	1,702,188
Proceeds from the issuance of warrants related to convertible senior notes	657,125	330,855
Purchase of note hedge related to convertible senior notes	(893,725)	(605,820)
Repayment of convertible senior notes	0	(1,149,992)
Proceeds related to the issuance of common stock under stock plans	35,967	29,241
Employee taxes paid related to net share settlement of stock awards	(150,076)	(97,929)
Repurchases of common stock	(615,744)	(799,963)
Other, net	(1,459)	(2,035)
Net cash provided by (used in) financing activities	2,484,837	(593,455)
Effects of exchange rate changes on cash, cash equivalents and restricted cash	579	21,501
Net increase in cash, cash equivalents and restricted cash	550,431	332,375
Cash, cash equivalents and restricted cash at beginning of period	931,308	519,084
Cash, cash equivalents and restricted cash at end of period	1,481,739	851,459
Supplemental disclosures of cash flow information:
Cash paid for interest expense	11,994	11,380
Cash paid for operating lease liabilities	225,077	156,036
Non-cash activities:
Operating lease right-of-use assets obtained in exchange for operating lease liabilities	399,587	182,731
Purchases of property and equipment and capitalization of internal-use software development costs included in accounts payable and accrued expenses	191,192	75,565
Capitalization of stock-based compensation	75,752	63,918
Reconciliation of cash and cash equivalents, and restricted cash:
Cash and cash equivalents	1,480,257	850,302
Restricted cash	1,482	1,157
Cash, cash equivalents and restricted cash	$ 1,481,739	$ 851,459

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 1,480,257	$ 930,231
Marketable securities	1,875,130	256,302
Accounts receivable, net of reserves of $7,803 and $7,706 at June 30, 2026, and December 31, 2025, respectively	953,445	793,666
Prepaid expenses and other current assets	341,254	306,481
Total current assets	4,650,086	2,286,680
Marketable securities	1,260,918	733,228
Property and equipment, net	2,636,028	2,333,462
Operating lease right-of-use assets	1,689,018	1,469,700
Acquired intangible assets, net	564,281	614,542
Goodwill	3,202,854	3,206,525
Deferred income tax assets	852,383	622,776
Other assets	217,852	212,730
Total assets	15,073,420	11,479,643
Current liabilities:
Accounts payable	273,378	125,054
Accrued expenses	277,771	319,622
Deferred revenue	200,269	151,186
Convertible senior notes	1,705,576	0
Operating lease liabilities	370,448	336,613
Other current liabilities	13,777	35,043
Total current liabilities	2,841,219	967,518
Deferred revenue	21,337	17,088
Deferred income tax liabilities	40,077	31,089
Convertible senior notes	5,857,252	4,105,355
Operating lease liabilities	1,405,710	1,233,420
Other liabilities	159,308	147,802
Total liabilities	10,324,903	6,502,272
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.01 par value; 5,000,000 shares authorized; 700,000 shares designated as Series A Junior Participating Preferred Stock; no shares issued or outstanding	0	0
Common stock, $0.01 par value; 700,000,000 shares authorized; 153,403,797 shares issued and 143,591,450 shares outstanding at June 30, 2026, and 149,711,094 shares issued and 144,711,094 outstanding at December 31, 2025	1,534	1,497
Additional paid-in capital	2,289,038	2,080,487
Accumulated other comprehensive loss	(116,894)	(94,756)
Treasury stock, at cost, 9,812,347 shares at June 30, 2026, and 5,000,000 shares at December 31, 2025	(1,035,813)	(434,786)
Retained earnings	3,610,652	3,424,929
Total stockholders’ equity	4,748,517	4,977,371
Total liabilities and stockholders’ equity	$ 15,073,420	$ 11,479,643