Shares of cybersecurity firm Zscaler plunged more than 30 percent on May 27 local time.
Quarterly results beat expectations, but the guidance fell short of what the market had hoped for, CNBC reported.
Zscaler projected fiscal 2027 annual recurring revenue (ARR) growth of 16 to 17 percent year on year, the report said. That was below StreetAccount estimates. Its revenue outlook for the current quarter was also $875 million to $878 million, slightly below FactSet’s forecast of $878.6 million.
Zscaler CEO Jay Chaudhry (제이 차우드리) told CNBC, "We are forecasting conservatively but the opportunity is tremendous," adding, "Mythos is increasing demand for cybersecurity. The need for cybersecurity is at an all-time high." Zscaler is participating in Anthropic’s Project Glasswing.
Zscaler posted adjusted earnings per share of $1.08 and revenue of $850 million in the previous quarter, beating analysts’ expectations of $1.01 per share and about $835 million in revenue.
Zscaler shares have fallen by nearly half over the past year.
Chi-gyu Hwang
delight@d-today.co.kr