Zscaler jumped in after-hours trading on Wednesday after the cloud-based network security platform beat Wall Street’s first-quarter earnings expectations and offered strong quarterly and annual guidance.
Shares of the San Jose, Calif., company at last check were 12% higher near $164.
Zscaler reported non-GAAP net income of $20 million, or 14 cents a share, compared with $4.9 million, or 4 cents a share, in the year-earlier quarter. Revenue totaled $142.6 million, up 52% from a year earlier.
Analysts polled by FactSet were calling for earnings of 6 cents a share and revenue of $132.4 million.
Calculated billings grew 64% year-over-year to $144.7 million
Zscaler said it expected fiscal second-quarter earnings of 7 to 8 cents a share on revenue ranging from $146 million to $148 million. FactSet is looking for earnings of 7 cents a share and revenue of $140.2 million.
For fiscal 2021, the company is estimating earnings of 37 cents to 38 cents a share and revenue ranging from $608 million and $612 million. The FactSet consensus calls for earnings of 31 cents a share and sales of $588.1 million.
“Our customers are accelerating their digital transformation, and this drove our strong first-quarter results,” said Jay Chaudhry, chairman and chief executive of Zscaler.
“Organizations are turning to the Zscaler Zero Trust Exchange platform for the right security architecture, which can be implemented easily and rapidly. Our visibility and business momentum remain strong.”
During the quarter, the company unveileda strategic partnership with VMware to help companies simplify the adoption of a complete Secure Access Service Edge architecture and more effectively implement Zero Trust security.