Zscaler $ZS Earnings:
EPS of $0.25 beating expectations of $0.20
Rev of $318.10M beating expectations of $305.41M
$340M next Q guidance vs $325M consensus (4% raise)
- Revenue grows 61% year-over-year to $318.1 million
- Calculated billings grows 57% year-over-year to $520.4 million
- Deferred revenue grows 62% year-over-year to $1,021.1 million
- 79% GM
- 24% FCF Margin
I’m long $ZS
Looks good. That 24% FCF margin as well.
Nice quarter and fiscal year capper for ZScaler. They're guiding for next FY at 37% revenue growth but take that with a grain of "management sandbags guidance" salt. They came into this FY guiding for 40% growth and finished with 62%. Previous FY was 36% guidance and finished with 56%.
Full year margins were pretty much the same YoY, FCF/sh jumped from $1.06 to $1.64, dilution was just 3.9%, DBNRR was down from 128% to 125% but 125% is higher than every year prior so they've done a great job retaining their COVID bump, calculated billing was up 59%, customers generating >$100,000 ARR was up 41% while $1M ARR customers was up 62%.
I'd love to see management start releasing module usage information a la Crowdstrike.
I'm also long ZS.
They announced new government contracts in the conference call as well. Which makes sense given that they recently achieved the distinguished FedRAMP High Authorization