UiPath, Inc. ( PATH ) shares are trading higher Friday after the company reported second quarter results above estimates and raised its fiscal year 2026 sales guidance.

What To Know: The company reported earnings per share of 15 cents, beating the consensus estimate of 8 cents. In addition, it reported sales of $362.00 million, beating the consensus estimate of $347.53 million.

Annualized recurring revenue climbed 11% year over year to $1.72 billion, while net new ARR totaled $31 million. UiPath ( PATH ) reported non-GAAP operating income of $62 million, compared with a GAAP operating loss of $20 million.

Cash from operations reached $42 million, with adjusted free cash flow of $45 million. The company ended the quarter with $1.52 billion in cash, cash equivalents and marketable securities. Management said gross margin held at 84% on a non-GAAP basis and 82% on a GAAP basis.

Following the earnings report, DA Davidson analyst Lucky Schreiner assumed a Neutral rating on UiPath ( PATH ) and a price target of $12.

Q3 Outlook: UiPath ( PATH ) sees sales from $390.00 million to $395.00 million, versus the consensus estimate of $384.67 million.

FY26 Outlook: The company raised its sales guidance from between $1.54 billion and $1.55 billion to between $1.571 billion and $1.576 billion, versus the consensus estimate of $1.56 billion.

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PATH Price Action: At the time of publication, UiPath ( PATH ) shares are trading 3.25% higher at $11.21, according to data from Benzinga Pro.

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