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Jan 31, 2022

Zscaler Q2 2022 Earnings Report

Delivered strong results driven by continued demand for Zero Trust security platform.

Key Takeaways

Zscaler reported strong second quarter fiscal year 2022 financial results, with revenue growing 63% year-over-year to $255.6 million and calculated billings growing 59% year-over-year to $367.7 million. The company's year-over-year revenue growth rate reached its highest level in three years, surpassing $1 billion in annualized revenue.

Revenue grew 63% year-over-year to $255.6 million.

Calculated billings grew 59% year-over-year to $367.7 million.

Deferred revenue grew 70% year-over-year to $759.9 million.

GAAP net loss was $100.4 million compared to $67.5 million in the second quarter of fiscal 2021.

Total Revenue
$256M
Previous year: $157M
+62.7%
EPS
$0.13
Previous year: $0.1
+30.0%
Calculated Billings
$368M
Previous year: $232M
+58.5%
Gross Profit
$198M
Previous year: $123M
+60.9%
Cash and Equivalents
$410M
Previous year: $95.3M
+329.8%
Free Cash Flow
$29.4M
Previous year: $18M
+63.6%
Total Assets
$2.42B
Previous year: $1.97B
+23.0%

Zscaler

Zscaler

Forward Guidance

For the third quarter of fiscal 2022, Zscaler expects total revenue of $270 million to $272 million and non-GAAP net income per share of approximately $0.10 to $0.11. For the full year fiscal 2022, the company expects total revenue of $1.045 billion to $1.05 billion and calculated billings of $1.365 billion to $1.37 billion.

Positive Outlook

  • Total revenue of $270 million to $272 million for Q3 2022
  • Non-GAAP income from operations of $19 million to $20 million for Q3 2022
  • Non-GAAP net income per share of approximately $0.10 to $0.11 for Q3 2022
  • Total revenue of $1.045 billion to $1.05 billion for FY 2022
  • Calculated billings of $1.365 billion to $1.37 billion for FY 2022

Challenges Ahead

  • Non-GAAP income from operations of $95 million to $98 million for FY 2022
  • Non-GAAP net income per share of $0.54 to $0.56 for FY 2022
  • Forward-looking statements are subject to risks and uncertainties.
  • Actual results may differ materially from statements made in the press release.
  • The duration and global impact of COVID-19 could affect business, operations, and financial results.