Cloudflare (NET) Gross Margin (2018 - 2026)
Cloudflare (NET) posted Gross Margin of 71.21% for Q1 2026, down 3.3% sequentially from 73.64% in Q4 2025, and down 466.0% YoY from 19.46% in Q1 2025.
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Cloudflare (NET) Gross Margin (2018 - 2026) Analysis & Trends
Cloudflare has reported Gross Margin for 9 years, with the latest figure at 71.21% in Q1 2026.
- Quarterly Gross Margin fell 466.0% year-over-year to 71.21% in Q1 2026, while the trailing twelve-month figure through Mar 2026 was 73.33% (down 355.0% YoY) and the FY2025 annual result came in at 74.51%, down 280.0% from the prior year.
- Gross Margin slipped to 71.21% in Q1 2026 per NET's latest filing, from 73.64% in the prior quarter.
- Over five years, Gross Margin peaked at 77.82% in Q1 2022 and troughed at 71.21% in Q1 2026.
- A 5-year average of 75.83% and a median of 75.88% in 2025 frame the typical range for Gross Margin.
- The sharpest annual moves came in 2024 and 2026: Gross Margin jumped 219 bps in 2024, then plunged 466 bps in 2026.
- Over 5 years, Gross Margin stood at 75.32% in 2022, then increased by 2 bps to 77.02% in 2023, then fell by 1 bps to 76.37% in 2024, then dropped by 4 bps to 73.64% in 2025, then dropped by 3 bps to 71.21% in 2026.
- According to Business Quant data, Gross Margin over the past three periods registered 71.21%, 73.64%, and 73.97% for Q1 2026, Q4 2025, and Q3 2025 respectively.
Peer Set
Peer Comparison
| # | Company | Market Cap | Enterprise Value | Gross Profit (Qtr) | Gross Margin (Qtr) |
|---|---|---|---|---|---|
| 1 | Microsoft | 3,713.76 Bn | 3,581.01 Bn | 60.48 Bn | 67.20% |
| 2 | Oracle | 450.04 Bn | 418.14 Bn | - | - |
| 3 | Palantir Technologies | 418.31 Bn | 408.90 Bn | 1.64 Bn | 84.66% |
| 4 | Palo Alto Networks | 267.65 Bn | 264.54 Bn | 2.03 Bn | 67.55% |
| 5 | CrowdStrike Holdings | 216.60 Bn | 211.59 Bn | 1.10 Bn | 74.57% |
| 6 | Fortinet | 114.71 Bn | 110.64 Bn | 1.64 Bn | 80.24% |
| 7 | Cloudflare | 99.23 Bn | 95.07 Bn | 499.52 Mn | 71.76% |
| 8 | Synopsys | 75.15 Bn | 71.55 Bn | 1.80 Bn | 72.57% |
| 9 | Block | 49.78 Bn | 43.36 Bn | 3.17 Bn | 47.84% |
| 10 | CoreWeave | 48.53 Bn | 42.99 Bn | 1.70 Bn | 65.86% |
Historic Data
Download Data
Historic Data
| Date | Value |
|---|---|
| Jun 30, 2026 | 71.76% |
| Mar 31, 2026 | 71.21% |
| Dec 31, 2025 | 73.64% |
| Sep 30, 2025 | 73.97% |
| Jun 30, 2025 | 74.88% |
| Mar 31, 2025 | 75.88% |
| Dec 31, 2024 | 76.37% |
| Sep 30, 2024 | 77.69% |
| Jun 30, 2024 | 77.80% |
| Mar 31, 2024 | 77.54% |
| Dec 31, 2023 | 77.02% |
| Sep 30, 2023 | 76.74% |
| Jun 30, 2023 | 75.62% |
| Mar 31, 2023 | 75.73% |
| Dec 31, 2022 | 75.32% |
| Sep 30, 2022 | 75.59% |
| Jun 30, 2022 | 76.20% |
| Mar 31, 2022 | 77.82% |
| Dec 31, 2021 | 78.05% |
| Sep 30, 2021 | 78.23% |