Zscaler Reports Improved Earnings and Strong Revenue Growth

Zscaler, Inc. posted earnings highlighting significant improvements in EPS and revenue compared to the previous year. The company projects continued growth for the upcoming quarters, which could positively influence investor sentiment.

Date: 03-12-2024

AI Rating: 7

Zscaler, Inc. has presented a robust set of earnings results for Q1, demonstrating substantial improvement over the prior year. This is particularly evident in the company’s earnings and revenue figures.

The company reported a loss of $12.05 million in Q1, a notable reduction from a loss of $33.48 million in the same period last year. This indicates a positive trend in cost management and operational performance. Furthermore, the Earnings Per Share (EPS) reflects a significant improvement, with EPS reported at -$0.08 compared to -$0.23 in the same period last year. This change in EPS suggests that the company is moving towards profitability.

On the revenue front, Zscaler reported $627.96 million, up from $496.70 million a year ago. This represents a strong revenue growth trajectory that could enhance investor confidence about the company’s market position and scalability.

Looking ahead, the company provided guidance for the next quarter indicating an expected EPS of between $0.68 and $0.69, along with projected revenue between $633 and $635 million. Moreover, the full-year EPS guidance ranges from $2.94 to $2.99, while full-year revenue is expected to be between $2.623 billion and $2.643 billion. This positive outlook supports the potential for continued investor interest and stock price appreciation.

Stocks: ZS