QUALYS, INC. (QLYS) FY2025 10-K Annual Report

Filed: Feb 20, 2026
Information Technology
Services-Prepackaged SoftwareSEC EDGAR

QUALYS, INC. (QLYS) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on Feb 20, 2026. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

QUALYS, INC. FY2025 10-K Analysis

Business Overview

  • Core business: cloud-based IT, security, compliance platform with integrated asset management, vulnerability detection, risk prioritization, and remediation
  • New emphasis on Enterprise TruRisk Management (ETM) with AI-driven workflows for unified risk quantification and automated remediation
  • Strategic shift to multi-cloud security with TotalCloud CNAPP, expanding coverage for hybrid-cloud environments and real-time defense
  • Revenue growth to $669.1M in 2025 from $607.6M in 2024; customer base exceeds 10,000 including majority of Forbes Global 100
  • Expansion of Private Cloud Platform (PCP) as a turnkey, subscription-based on-premises option for customers seeking private deployments

Management Discussion & Analysis

  • Revenue $669.1M in 2025, up 10% YoY from $607.6M in 2024, $61.6M increase driven 76% by existing customers and 24% by new customers
  • Operating margin 33% in 2025 vs 31% in 2024; net income margin 30% vs 29%; adjusted EBITDA margin steady at 47% in both years
  • Best performing segment: Partner channel revenue grew by 80% of the $61.6M increase; worst: direct sales only 20% of growth
  • Cash flow from operations $309.4M in 2025 vs $244.1M in 2024; share repurchases $183.4M in 2025; capex $5.0M; dividends not disclosed
  • Management expects continued revenue growth, plans $8-12M capex in 2026, ongoing share repurchases with additional $200M authorized in 2026

Risk Factors

  • Regulatory risk: Potential loss of FedRAMP authorization due to security breaches or incidents jeopardizing cloud platform compliance
  • Macroeconomic risk: Ongoing 2023-present economic weakness and geopolitical conflicts in Eastern Europe and Middle East impacting IT spending and operations
  • Operational risk: Dependency on 15 third-party shared cloud platforms without full redundancy risks service disruption and revenue loss
  • Competitive risk: Intense competition from CrowdStrike, Palo Alto Networks, Rapid7, Tenable, and Google-acquiring Wiz threatens market share and pricing
  • Financial risk: High fixed operating expenses paired with unpredictable long sales cycles (6-18+ months) heighten margin pressure with revenue shortfalls

QUALYS, INC. FY2025 Key Financial Metrics
XBRL

Revenue

$669M

+10.1% YoY

Net Income

$198M

+14.2% YoY

Gross Margin

82.8%

+120bp YoY

Operating Margin

33.2%

+236bp YoY

Net Margin

29.6%

+105bp YoY

ROE

35.3%

-106bp YoY

Total Assets

$1.1B

+12.5% YoY

EPS (Diluted)

$5.44

+17.0% YoY

Operating Cash Flow

$309M

+26.8% YoY

Source: XBRL data from QUALYS, INC. FY2025 10-K filing on SEC EDGAR. All figures in USD.

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