ZS Latest Report

Zscaler's Financial Performance

Zscaler (stock code: ZS) reported a total operating revenue of RMB647.9 million as of January 31, 2025, up 23.33% YoY. This growth reflects the rising demand for the company's cloud security solutions and its proactive market expansion strategy.

Key Financial Data

1. Zscaler's operating revenue grew 23.33% YoY, demonstrating its strong performance in the cloud security market.

2. The continuous rise in market demand, especially in the context of accelerated digital transformation, is a major factor driving revenue growth.

3. The launch of new products and the enhancement of existing services may have attracted more customers, supporting revenue growth.

4. Optimized marketing and sales strategies may have improved customer acquisition and retention rates, driving revenue growth.

5. The overall growth of the cybersecurity industry also positively impacted Zscaler's performance.

Peer Comparison

1. Industry-wide analysis: The current demand for the cloud security industry is continuously rising, especially in the context of remote work and cloud computing adoption, and is expected to maintain high growth in the next few years. According to research, the global cloud security market is estimated to reach USD13.15 billion in 2023, up 23.4% YoY [source](https://www.sohu.com/a/747517644_104421).

2. Peer evaluation analysis: Compared to other companies in the same industry, Zscaler's operating revenue growth is relatively fast, demonstrating its competitiveness in the market. Compared to major competitors such as Palo Alto Networks and CrowdStrike, Zscaler's focus on cloud security enables it to effectively seize market opportunities and demonstrate strong growth potential.

Summary

Zscaler's operating revenue growth is mainly driven by the increase in market demand, the launch of new products, and optimized marketing strategies. Its growth performance is outstanding compared to its peers, reflecting its strong competitiveness in the cloud security market.

Opportunities

1. The continuously growing cloud security market provides Zscaler with a larger market space and opportunities.

2. The launch of new products such as asset exposure management can help the company expand its customer base and enhance customer loyalty.

3. Further optimization of sales and marketing strategies can help improve customer acquisition and retention rates, driving revenue growth.

Risks

1. Intensified competition in the industry may pose a threat to Zscaler's market share.

2. If market demand weakens or the economy is sluggish, it may affect the company's revenue growth.

3. Technological changes and changes in customer needs may lead to a decline in the competitiveness of existing products and services.