Rackspace Technology Reports Third Quarter 2026 Financial Results

Rackspace Technology reported third-quarter 2026 revenue of $609 million, down 9.3% year over year. Private Cloud revenue rose 4.2% to $260 million, while Public Cloud revenue declined 17.2% to $349 million; operating loss narrowed to $13 million from $34 million, and non-GAAP operating profit increased 12.2% to $36 million. The company raised the midpoint of its 2026 revenue guidance by $35 million while maintaining its profit and Adjusted EBITDA outlook. CEO Gajen Kandiah said Rackspace is shifting toward executing its enterprise AI infrastructure strategy and converting capacity into customer commitments.