CrowdStrike Holdings, a leading security software company, has announced better-than-expected financial results for the fiscal second quarter. The company's revenue reached $731.6 million, marking a 37% increase from the previous year. This exceeded the company's guidance range and also surpassed the Wall Street consensus forecast.
On an adjusted basis, CrowdStrike earned 74 cents per share, surpassing both the company's guidance and the Street consensus. The company's annual recurring revenue also saw a significant increase, reaching $2.93 billion, a growth of 37%. Additionally, free cash flow rose to $188.7 million, up from $135.8 million in the same quarter last year.
Looking ahead to the third quarter, CrowdStrike expects revenue to range between $775.4 million and $778 million. Adjusted profits for the quarter are projected to be 74 cents per share. These figures are in line with or slightly above the Wall Street consensus estimates.
For the full fiscal year of January 2024, the company now forecasts revenue to be between $3.03 billion and $3.04 billion. On an adjusted basis, profits are expected to be between $2.80 and $2.84 per share. This updated outlook shows an increase from the company's previous forecast and reflects their strong performance and growth prospects.
Analyst Matthew Hedberg from RBC Capital Markets reacted positively to CrowdStrike's results, noting that all headline metrics exceeded expectations. He specifically highlighted the company's impressive profitability.
Despite the positive financial results, CrowdStrike's stock only experienced a modest 0.5% increase in after-hours trading, reaching $149.95.
