"Zscaler Second Quarter 2025 Earnings: Beats Expectations"

Zscaler Second Quarter 2025 Earnings: Beats Expectations

BUY NOW! Zscaler, the leader in cloud security, just reported its second-quarter fiscal 2025 earnings, and the numbers are ON FIRE! Revenue grew 23% year-over-year to $647.9 million, calculated billings grew 18% to $742.7 million, and deferred revenue skyrocketed 25% to $1,878.5 million. This is a NO-BRAINER for investors looking to capitalize on the growing demand for Zero Trust and AI-driven solutions.

WHY ZSCALER IS A WINNER

1. Growth, Growth, Growth! Zscaler's revenue growth of 23% year-over-year is a testament to its leadership in the cloud security sector. The company's calculated billings and deferred revenue also saw significant increases, indicating strong customer demand and a robust pipeline of future revenues.

2. Zero Trust and AI Integration Zscaler is at the forefront of the industry by combining AI with Zero Trust architecture. This innovative approach allows the company to deliver key innovations that secure customers' use of AI applications, creating new avenues of growth. The introduction of the industry’s first Zero Trust Segmentation solution for branches and cloud environments is a game-changer, improving customers’ security posture while cutting costs.

3. Strong Financial Performance Zscaler's non-GAAP operating income increased by 36%, driving a 2 percentage point improvement in operating margin to nearly 22%. The company's free cash flow margin was a record 22% for Q2, and it generated operating and free cash flows of $179.4 million and $143.4 million, respectively. This strong financial performance supports the company's ability to invest in growth initiatives and maintain a competitive edge.

4. Customer Retention and Expansion Zscaler's net retention rate improved to 115%, driven by the sale of bigger bundles and strong upsells. The company had 620 customers with $1 million or higher annualized recurring revenues (ARR) and 3,291 customers with ARR of more than $100,000 at the end of the second quarter. This customer base indicates a strong retention and expansion strategy.

WHAT THE NUMBERS SAY



DO THIS!

1. Buy Zscaler Stock With its strong financial performance, innovative product offerings, and leadership in the cloud security sector, Zscaler is a MUST-OWN stock for investors looking to capitalize on the growing demand for Zero Trust and AI-driven solutions.

2. Stay Tuned for Future Earnings Zscaler's guidance for the third quarter of fiscal 2025 is impressive, with expected revenue of $665 million to $667 million and non-GAAP income from operations of $140 million to $142 million. Keep an eye on this stock as it continues to deliver strong results.

3. Diversify Your Portfolio While Zscaler is a strong performer, it's always a good idea to diversify your portfolio. Consider adding other cloud security stocks to your holdings to spread risk and maximize returns.

DON'T MISS OUT!

Zscaler's second-quarter fiscal 2025 earnings report is a HOME RUN for the company and its investors. With its strong financial performance, innovative product offerings, and leadership in the cloud security sector, Zscaler is a MUST-OWN stock for investors looking to capitalize on the growing demand for Zero Trust and AI-driven solutions. BUY NOW and don't miss out on this opportunity to own a piece of the future of cloud security!