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Zscaler Slid Slightly in Premarket Trading After Beat-and-raise Earnings

Dow Jones2023-09-06

Zscaler Inc. slid slightly in premarket trading.

The company forecast adjusted earnings of about 48 to 49 cents a share on revenue of $472 million to $474 million for the fiscal first quarter. Analysts surveyed by FactSet had estimated 45 cents a share on revenue of $464.8 million and billings of $434.1 million for the quarter.

The company forecast full-year earnings of $2.20 to $2.25 a share on revenue of $2.05 billion to $2.07 billion and billings of $2.52 billion to $2.56 billion. Analysts had forecast $2.11 a share on revenue of $2.05 billion and billings of $2.47 billion.

The company reported a fiscal fourth-quarter loss of $30.7 million, or 21 cents a share, compared with a loss of $97.7 million, or 69 cents a share, in the year-ago period. Adjusted net income, which excludes stock-based compensation and other items, was 64 cents a share, compared with 25 cents a share in the year-ago period.

Revenue rose to $455 million from $318.1 million in the year-ago quarter, the company said, as billings grew 38% to $719.3 million.

The company had forecast adjusted earnings of about 49 cents a share on revenue of $429 million to $431 million, while analysts surveyed by FactSet had estimated 49 cents a share on revenue of $430.4 million and billings of $657.5 million for the quarter.

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