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RingCentral RNG Amortization of deferred commissions

Amortization of deferred commissions at other companies

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Other financials

Income statement

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Revenue$657.0M+5.9%
Gross profit$472.3M+7.0%
Operating income$50.3M+36.0%
Net income$39.1M+196%
EPS (diluted)$0.45+221%

Balance sheet

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Cash & equivalents$106.0M-34.9%
Total debt$1.2B-10.6%
Total equity-$610.4M-25.4%
Total assets$1.4B-14.0%

Cash flow

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Operating cash flow$206.4M+23.3%
CapEx$10.6M+18.2%
Free cash flow$195.8M+23.6%

Valuation

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Market cap$5.18B+115%
Enterprise value$6.24B+76.5%
P/E47×
P/S+1.0×

Profitability

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Gross margin71.8%+1.1pp
Operating margin6.7%+4.0pp
Net margin4.3%+3.9pp
FCF margin24.7%+2.3pp

Returns & leverage

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Return on equity-402.5%
Debt / equity
Current ratio1.1×+0.5×

Where this comes from

Reported directly by RingCentral in its filing.

Tagged under the XBRL concept us-gaap:AmortizationOfDeferredSalesCommissions.

The source filing: RingCentral’s 10-Q, filed July 23, 2026.

Filed
Jul 23, 2026, 5:10 PM EDT
Fiscal quarter
Q2 FY2026
Calendar quarter
Q2 2026
Accession
0001384905-26-000046

Amortization expense for the deferred and prepaid sales commission costs was $39.3 million and $41.1 million for the three months ended June 30, 2026 and 2025, respectively, and $78.7 million and $81.9 million for the six months ended June 30, 2026 and 2025, respectively. There was no impairment loss in relation to the deferred commissions costs capitalized for the periods presented.

Item 1. Financial Statements (unaudited)

FAQ

What is RingCentral's amortization of deferred commissions?
RingCentral (RNG) reported amortization of deferred commissions of $39.3M in Q2 2026.
How has RingCentral's amortization of deferred commissions changed year-over-year?
RingCentral's amortization of deferred commissions decreased by 4.4% year-over-year, from $41.1M to $39.3M.
What is the long-term trend for RingCentral's amortization of deferred commissions?
Over 4 years (2021 to 2025), RingCentral's amortization of deferred commissions has grown at a 21.8% compound annual growth rate (CAGR), from $74.2M to $163.54M.
What does amortization of deferred commissions mean?
Reflects the systematic expensing of capitalized sales commission costs over the expected period of benefit for customer contracts. As a non-cash charge, it reconciles the timing difference between cash payments to sales teams and the recognition of related revenue. High levels indicate significant historical investment in customer acquisition.

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