Elastic vs Redis: Revenue, Profit and Business Model
Elastic reported $1.7B of revenue in FY2026 and $367.8M of net income. Redis reported $300M of revenue in FY2025 and — of net income.
Latest financial snapshot
Financial summary
Elastic
Elastic's revenue grew from $862 million in fiscal 2022 to $1.739 billion in fiscal 2026. FY2026 subscription revenue was $1.634 billion (+18%), and sales-led subscription revenue, which excludes monthly self-serve cloud, was $1.438 billion (+20%). Non-GAAP operating income reached $285 million (16.4% margin) and adjusted free cash flow $346 million (20% margin), though GAAP operating loss was $33 million. GAAP net income of $367.8 million was lifted by a fourth-quarter income tax benefit, since the company's operations were not profitable on a GAAP basis. In Q1 FY2027 (ended July 31, 2026) revenue rose 15% to $478 million, cRPO grew 21% to $1.153 billion, and Elastic raised FY2027 revenue guidance to $1.998-$2.010 billion.
Redis
Redis is private and does not publish audited results, so ARR disclosures are the main financial signal. The company said in January 2026 that ARR had passed $300 million and that its count of $1M+ customers had grown more than 20% year over year. Its last priced funding round was a $110 million Series G in April 2021 at a valuation above $2 billion, led by Tiger Global with SoftBank Vision Fund 2 participating. Profitability, cash flow and revenue by product have not been disclosed.
Revenue and profit by year
Elastic
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2026 | $1.7B | $367.8M | 21.1% | +17.3% | Source |
| FY2025 | $1.5B | -$108.1M | -7.3% | +17.0% | Source |
| FY2024 | $1.3B | $61.7M | 4.9% | +18.6% | Source |
| FY2023 | $1.1B | -$236.2M | -22.1% | +24.0% | Source |
| FY2022 | $862.4M | -$203.8M | -23.6% | — | Source |
Redis
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $300M | — | 0.0% | — | Source |
Where the revenue comes from
Elastic
- Subscriptions (Elastic Cloud and self-managed)~94%
FY2026 subscription revenue of $1.634 billion from managed Elastic Cloud on AWS, Azure and Google Cloud and from self-managed licenses with support.
- Professional services~6%
Consulting, implementation and training, about $105 million in FY2026.
Redis
No segment breakdown is published.
Business model and strategy
Elastic
How it makes money
Elastic is a B2B software company with an open-core model. Its core Elasticsearch and Kibana code is free to download, and the company makes money by selling paid subscriptions that add advanced features (machine learning, security analytics, AI assistants, enterprise support) and by running the software for customers as Elastic Cloud on AWS, Microsoft Azure and Google Cloud.
Growth strategy
Elastic's strategy is to make Elasticsearch the retrieval layer for enterprise AI while consolidating observability and security tools onto the same platform. Recent moves include buying Jina AI (embeddings and rerankers) and Keep (AIOps alert management) in 2025, launching Elastic Workflows and Agent Builder for agentic automation, and releasing a serverless vector database in September 2026.
Competitive advantage
Elastic's main edge is that one data store handles text search, vector search, analytics, logs and security events. Elasticsearch is built on Apache Lucene's inverted index, which makes full-text search across very large unstructured datasets fast, and the company has added dense vector search, hybrid ranking (BM25 plus vectors with reciprocal rank fusion), the ES|QL query language and Jina AI embedding and reranker…
Redis
How it makes money
Redis follows an open-core model. The Redis engine is free to download, while the company charges for Redis Cloud, a managed database service billed by memory, throughput and features on AWS, Google Cloud and Azure, and for Redis Software, a self-managed subscription for on-premises and private-cloud deployments.
Growth strategy
Growth rests on moving customers from free Redis to Redis Cloud, expanding large accounts (50+ spend over $1M a year), and selling AI features such as vector search, semantic caching and feature stores. Cloud marketplace listings on AWS, Google Cloud and Azure let enterprises buy Redis against existing cloud commitments.
Competitive advantage
Redis's advantages are developer familiarity built over 15+ years, sub-millisecond in-memory performance, a broad set of data structures in one engine (strings, hashes, streams, JSON, search, vectors), and paid features the community edition lacks, such as Active-Active replication based on CRDTs and Redis Flex tiering.
Questions about Elastic vs Redis
Which company has higher revenue — Elastic or Redis, Inc.?
Elastic reported $1.7B (FY2026), while Redis, Inc. reported $300.0M (FY2025). By last reported revenue, Elastic is the larger business, with Redis, Inc. reporting a smaller revenue base. Note: these are from different fiscal years and are not a direct like-for-like comparison.
What is the market cap of Elastic vs Redis, Inc.?
Elastic has a market capitalisation of $9.3B. A public market cap figure for Redis, Inc. was not available (it may be privately held).
Which is more financially efficient — Elastic or Redis, Inc.?
Elastic generates $433k / employee in revenue per employee, while Redis, Inc. generates $231k / employee. Elastic shows higher revenue efficiency per headcount, though this reflects business model differences — capital-light software companies routinely outperform labour-intensive manufacturers on this metric.
How do Elastic and Redis, Inc. make money?
Elastic and Redis, Inc. generate revenue in fundamentally different ways. Elastic: Elastic is a B2B software company with an open-core model. Redis, Inc.: Redis follows an open-core model.
Is Elastic bigger than Redis, Inc.?
By last reported revenue, Elastic ($1.7B (FY2026)) is the larger company compared to Redis, Inc. ($300.0M (FY2025)). Revenue scale is one dimension of size — market capitalisation, employee count, and geographic reach are also relevant depending on the context.
Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the Elastic vs Redis overview