Okta, Inc.

Filing receipts

“Cost of Revenue, Gross Profit and Gross Margin Three Months Ended April 30, 2026 2025 $ Change % Change (dollars in millions) Cost of revenue: Subscription $ 150 $ 136 $ 14 9 % Professional services and other 20 19 1 6 Total cost of revenue $ 170 $ 155 $ 15 9 % Gross profit $ 595 $ 533 $ 62 12 % Gross margin: Subscription 80 % 80 % Professional services and other (33) (27) Total gross margin 78 % 77 % Three months ended For the three months ended April 30, 2026, cost of subscription revenue increased primarily due to an increase in hosting fees of $8 million and labor costs of $3 million.”

“Sales and Marketing Expenses Three Months Ended April 30, 2026 2025 $ Change % Change (dollars in millions) Sales and marketing $ 278 $ 237 $ 41 18 % Percentage of revenue 36 % 34 % Three months ended For the three months ended April 30, 2026, sales and marketing expenses increased primarily due to increases in labor costs of $30 million, marketing costs of $6 million and travel costs of $3 million, offset by a decrease in stock-based compensation expense of $3 million.”

“This practice reduces our equity dilution rate and impacts liquidity as our cash requirements for these obligations are primarily driven by the market price of our Class A common stock at the time of vesting.”