CrowdStrike Lifts Outlook as AI-Driven Cybersecurity Demand Boosts 2Q Results

Dow Jones
2 hours ago
 

CrowdStrike swung to a profit and reported 26% revenue growth in the second quarter, as growing cybersecurity demand from artificial intelligence adoption propelled the company to what it described as its best quarter on record.

The results prompted the cybersecurity firm to lift its full-year outlook, saying it now expects full-year revenue of between $5.99 billion and $6.01 billion, up from a previous view of $5.91 billion to $5.96 billion.

The company projected adjusted earnings between $1.25 and $1.26 a share. CrowdStrike previously guided for adjusted earnings between $4.88 and $4.96 a share, prior to effecting a four-for-one stock split.

Analysts polled by FactSet are currently expecting full-year adjusted earnings of $1.23 a share on $5.94 billion in revenue.

"Q2 was the best quarter in CrowdStrike's history," Chief Executive George Kurtz said. "The Mythos moment translated into mass-market acceptance that AI adoption needs security, and that's CrowdStrike."

Shares in CrowdStrike jumped 11% to $210.71 in after-hours trading on Wednesday. The stock closed up 2.1% at $189.18, up 61% this year.

The company reported a second-quarter profit of $5.3 million, or 1 cent a share, compared with a loss of $70.2 million, or 7 cents a share, a year earlier.

Stripping out certain one-time items, adjusted earnings were 31 cents a share. Analysts polled by FactSet were expecting 29 cents a share.

Revenue rose to $1.47 billion, up from $1.17 billion a year prior. Analysts were expecting $1.44 billion in revenue.

For the current third quarter, the company is expecting revenue between $1.52 billion and $1.53 billion, with adjusted earnings of 31 cents a share.

Analysts are expecting adjusted earnings of 31 cents a share on $1.51 billion in revenue.

 
 

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