Shares of cybersecurity company Rubrik (RBRK 25.09%) skyrocketed on Friday after the company reported financial results for its fiscal fourth quarter of 2025. Rubrik stock was off to a rocky start this year, with shares down as much as 34% from 2025 highs. But it's taking back lost ground today. At 9:50 a.m. ET, Rubrik stock was up 25%.
Rubrik had its initial public offering (IPO) less than one year ago, and it's still unknown to many investors. That may start to change as the company is beating expectations. For Q4, it generated subscription revenue of $244 million, which was up a whopping 54% year over year and well ahead of management's revenue guidance of $231.5 million to $233.5 million.
Rubrik's scale is worth pointing out here. The company had annual recurring revenue of nearly $1.1 billion as of Jan. 31, which was up 39% from the same point in 2024. For perspective, cybersecurity peer SentinelOne has annual recurring revenue of $920 million, which was only up 27%. Therefore, Rubrik is both bigger and growing faster, which is certainly turning heads.
Rubrik is also attracting investor attention because it generates positive free cash flow. During its fiscal 2025, the company had free cash flow of $21.6 million compared with negative free cash flow of $24.5 million in fiscal 2024. In short, Rubrik stock is skyrocketing as investors get excited about its growth and profits.
Rubrik helps its customers protect enterprise data against cyberattacks. And management expects its business to continue growing in its fiscal 2026, which is already underway. It also expects to have another 24% jump, reaching between $1.35 billion and $1.36 billion. And it expects to generate free cash flow of between $45 million and $65 million, marking a second consecutive year of positive results on the bottom line.
If Rubrik can keep growing profitably like this, today might not be the last time that Rubrik shareholders have something to cheer about.
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