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Rackspace Technology, Inc. RXT Public Cloud — Cost of Revenue

Other segment segments

Private Cloud
$150.2M-4.5%

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Other financials

Income statement

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Revenue$678.1M+1.9%
Gross profit$119.1M-6.1%
Operating income-$17.8M+53.6%
Net income$8.3M+112%
EPS (diluted)$0.03+110%

Balance sheet

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Cash & equivalents$96.0M-26.8%
Total debt$3.2B-3.1%
Total equity-$1.2B-13.4%
Total assets$2.8B-6.8%

Cash flow

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Operating cash flow$5.1M-59.5%
CapEx$14.5M+74.7%
Free cash flow-$9.4M-319%

Valuation

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Market cap$1.81B-39.7%
Enterprise value$4.89B-6.3%
P/S0.7×-0.4×

Profitability

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Gross margin18.5%-1.0pp
Operating margin-3%-1.2pp
Net margin-5.4%-1.8pp
FCF margin2.8%

Returns & leverage

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Return on equity-205.2%-222pp
Debt / equity117.7×+115×
Current ratio0.7×-0.1×

Where this comes from

Reported directly by Rackspace Technology, Inc. in its filing.

Tagged under the XBRL concept us-gaap:CostOfRevenue.

The official record: Rackspace Technology, Inc.’s 10-Q, filed May 8, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Rackspace Technology, Inc.'s public cloud — cost of revenue?
Rackspace Technology, Inc. (RXT) reported public cloud — cost of revenue of $353.9M in Q1 2026.
How has Rackspace Technology, Inc.'s public cloud — cost of revenue changed year-over-year?
Rackspace Technology, Inc.'s public cloud — cost of revenue increased by 8.4% year-over-year, from $326.4M to $353.9M.
What is the long-term trend for Rackspace Technology, Inc.'s public cloud — cost of revenue?
Over 3 years (2022 to 2025), Rackspace Technology, Inc.'s public cloud — cost of revenue has grown at a 1.8% compound annual growth rate (CAGR), from $1.26B to $1.33B.
What does public cloud — cost of revenue mean?
Includes the direct costs associated with providing public cloud services, such as data center capacity, infrastructure maintenance, and direct technical support labor. Monitoring this metric is essential for evaluating the direct cost structure and gross margin efficiency of the cloud service delivery model. It highlights the segment's ability to scale operations profitably.