By Katherine Hamilton
Zscaler narrowed its loss in the second quarter and beat Wall Street's expectations with its full-year outlook.
The cybersecurity company posted a loss of $7.7 million, 5 cents a share, in the three-months ended Jan. 31, compared with a loss of $28.5 million, or 19 cents a share, a year earlier.
Stripping out certain one-time items, adjusted per-share earnings were 78 cents, ahead of the 69 cents forecast by analysts, according to FactSet.
Revenue rose 23% to $647.9 million. Analysts surveyed by FactSet forecast revenue of $634 million.
Adoption of AI is driving demand for Zscaler's platform, Chief Executive Jay Chaudhry said.
For the third quarter the company expects revenue of $665 million to $667 million, and adjusted per-share earnings of 75 cents to 76 cents. Analysts surveyed by FactSet expect $666.1 million in third-quarter revenue and 73 cents a share for adjusted earnings.
Zscaler expects to revenue of $2.64 billion to $2.65 billion in 2025, compared with Wall Street's estimate of $2.64 billion. It guided for adjusted earnings per share of $3.04 to $3.09 for the year, ahead of analysts' expectations of $2.98 a share.
Write to Katherine Hamilton at katherine.hamilton@wsj.com
(END) Dow Jones Newswires
March 05, 2025 16:36 ET (21:36 GMT)
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