Zscaler Reports Q2 Results: EPS Beat, Revenue Beat

Zscaler, Inc. ZS reported its second-quarter financial results after the bell Thursday. Here's a look at the highlights.

The Details:

The company reported quarterly earnings of 76 cents per share, beating the analyst consensus estimate of 58 cents.

Quarterly sales came in at $525 million which beat the analyst consensus estimate of $507.14 million and is a 35.45% increase over sales of $387.6 million from the same period last year.

Calculated billings grew 27% year-over-year to $627.6 million, and deferred revenue grew 35% year-over-year to $1.502 billion.

“We delivered strong Q2 results, with billings, revenue and operating profit all coming in above our guidance as customer interest in the Zscaler Zero Trust Exchange platform remains high,” said Jay Chaudhry, CEO of Zscaler.

“An increasing number of customers are realizing the shortcomings of traditional firewall-based security and are engaging with us to transform their legacy security to Zero Trust architecture,” Chaudhry added.

Outlook: 

Zscaler sees third-quarter non-GAAP income from operations between $98 million and $100 million and net income per share of between 64 cents and 65 cents.

The company expects fiscal year 2024 non-GAAP income from operations between $395 million and $400 million and net income per share between $2.73 and $2.77.

Related News: Okta Stock Soars On Q4 Results: What’s Going On?

ZS Price Action: According to Benzinga Pro, Zscaler shares are trading down 4.94% after-hours at $230.00 at the time of publication.

Image: Brian Penny from Pixabay