Zscaler Q2 2023 Earnings Report
Key Takeaways
Zscaler announced strong Q2 fiscal year 2023 results, with revenue exceeding guidance and demonstrating operating leverage. Revenue grew 52% year-over-year to $387.6 million, and the company saw significant increases in both GAAP and non-GAAP net income.
Revenue increased by 52% year-over-year, reaching $387.6 million.
Calculated billings grew 34% year-over-year to $493.8 million.
GAAP net loss improved to $57.5 million compared to a net loss of $100.4 million in the same quarter last year.
Non-GAAP net income was $57.6 million, up from $19.2 million year-over-year.
Zscaler
Zscaler
Forward Guidance
For the third quarter of fiscal 2023, Zscaler expects total revenue of $396 million to $398 million and non-GAAP net income per share of approximately $0.39. For the full year fiscal 2023, the company expects total revenue of approximately $1.558 billion to $1.563 billion.
Positive Outlook
- Total revenue is expected to be between $396 million and $398 million for Q3 2023.
- Non-GAAP income from operations is projected to be between $55 million and $56 million for Q3 2023.
- Non-GAAP net income per share is expected to be approximately $0.39 for Q3 2023.
- Total revenue is projected to be approximately $1.558 billion to $1.563 billion for the full year fiscal 2023.
- Calculated billings are expected to be $1.935 billion to $1.945 billion for the full year fiscal 2023.
Challenges Ahead
- Guidance for non-GAAP income from operations excludes stock-based compensation expense.
- Guidance excludes amortization expense of acquired intangible assets.
- Guidance excludes amortization of debt discount and issuance costs.
- The company has not reconciled its expectations to non-GAAP income from operations.
- The company has not reconciled its expectations to non-GAAP net income per share to their most directly comparable GAAP measures because certain items are out of their control or cannot be reasonably predicted.