By Katherine Hamilton
Okta swung to a profit in the fourth quarter, beating analysts' expectations with its most recent earnings and its outlook for the year ahead.
The identity and access management company posted a profit of $23 million, or 13 cents a share, in the three months ended Jan. 31, compared with a loss of $44 million, or 26 cents a share, a year earlier.
Stripping out certain one-time items, adjusted per-share earnings were 78 cents, ahead of the 74 cents forecast by analysts, according to FactSet.
Revenue rose 13% to $682 million. Analysts surveyed by FactSet forecast revenue of $668.9 million.
Remaining performance obligations, which represents subscription backlog, increased 25% from the prior year.
"In a rapidly evolving IT and security landscape, organizations are turning to Okta as their identity partner," Chief Executive Todd McKinnon said.
In the upcoming year 2026, the San Francisco company expects revenue to be $2.85 billion to $2.86 billion, ahead of the $2.79 billion analysts are estimating. Okta guided for adjusted earnings of $3.15 a share to $3.20 a share, also beating Wall Street's expected $2.93 a share.
Shares rose 14.7% to $100 in after-hours trading.
Write to Katherine Hamilton at katherine.hamilton@wsj.com
(END) Dow Jones Newswires
March 03, 2025 16:37 ET (21:37 GMT)
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