INTA — Intapp, Inc.

INTA Q2 2026 Earnings Call Summary

1. Key Financial Results and Metrics:

• Total Revenue: $140.2 million, up 16% year-over-year.
• SaaS Revenue: $102.5 million, up 28% year-over-year, representing 73% of total revenue.
• Cloud ARR: $434 million, a 31% increase year-over-year, accounting for 81% of total ARR of $535 million.
• Non-GAAP Gross Margin: 78.1%, up from 76.7% a year ago.
• Non-GAAP Operating Income: $27.7 million, up from $18.9 million year-over-year.
• Free Cash Flow: $22.2 million.
• Non-GAAP EPS: $0.33.
• Net Revenue Retention Rate: 124%.
• Remaining Performance Obligations: $777.1 million, up 26% year-over-year.

2. Strategic Updates and Business Highlights:

• Continued focus on vertical AI solutions tailored for highly regulated industries, enhancing compliance and operational efficiency.
• Significant client wins and expansions, particularly in the legal and financial services sectors, with notable migrations to cloud solutions.
• Strong growth in the partner ecosystem, particularly with Microsoft, which contributed to several large deals and shortened sales cycles.
• Introduction of over 70 new AI capabilities in the DealCloud platform, enhancing productivity and compliance.
• Ongoing investments in R&D and product-led growth strategies to drive future innovation and client engagement.

3. Forward Guidance and Outlook:

• Q3 2026 Guidance: SaaS revenue expected between $105 million and $106 million; total revenue between $143.8 million and $144.8 million; non-GAAP operating income between $23.1 million and $24.1 million; non-GAAP EPS between $0.27 and $0.29.
• Full Year 2026 Guidance: SaaS revenue between $415 million and $419 million; total revenue between $570.3 million and $574.3 million; non-GAAP operating income between $99.9 million and $103.9 million; non-GAAP EPS between $1.20 and $1.24.

4. Bad News, Challenges, or Points of Concern:

• Decline in license revenue, which was down 9% year-over-year, consistent with the ongoing shift to cloud solutions.
• Professional services revenue also decreased by 7% year-over-year, indicating potential challenges in this segment.
• The competitive landscape is evolving, with new entrants in AI solutions potentially impacting market dynamics.
• Concerns about clients' internal experimentation with AI tools, which could lead to increased competition for Intapp’s offerings.

5. Notable Q&A Insights:

• Management emphasized the importance of their unique focus on the "business of law" rather than just legal practice, positioning Intapp as a partner for firms looking to modernize and leverage AI.
• Discussion on the balance between utilizing third-party partnerships and safeguarding proprietary data highlighted the company's commitment to data governance.
• Insights into customer motivations for adopting AI solutions revealed a strong desire for efficiency and enhanced capabilities, with many firms allocating specific budgets for AI initiatives.
• The partnership with Microsoft was noted as a significant advantage, helping to de-risk deal cycles and drive larger enterprise engagements.
• Management expressed optimism about the future of AI within their offerings, with plans for a major product release at the upcoming Intapp Amplify event, which is expected to enhance their market position significantly.

This summary encapsulates the key aspects of Intapp's Q2 2026 earnings call, highlighting both the strengths and challenges faced by the company as it navigates a rapidly evolving market landscape.