Palo Alto Networks Plunges 3.85% on Earnings Miss

Palo Alto Networks' stock price dropped by 3.85% in pre-market trading on May 21, 2025.

Palo Alto Networks reported its Q3 financial results, with cumulative revenue for the first three quarters of the 2025 fiscal year reaching $66.85 billion, a 14.51% increase from the same period last year. However, the company's net profit for the same period decreased by 60.35% to $8.80 billion, compared to $22.20 billion in the previous year. The company's earnings per share for the fiscal year stood at $1.33, down from $3.50 in the previous year.

In the third quarter of 2025, Palo Alto Networks generated revenue of $22.89 billion, with a gross profit of $16.70 billion. The company's operating income for the quarter was $2.18 billion, and its net profit was $2.62 billion. The basic earnings per share for the quarter was $0.39.

Palo Alto Networks, Inc. was established in Delaware in 2005. The company provides comprehensive network security products that enable enterprises, service providers, and government entities to maintain full visibility and protection across all locations. These products cover a wide range of use cases, allowing customers to secure their networks, remote employees, service edges, branch locations, public clouds, and private clouds, while enhancing their security operations centers.