September 4, 2024 - $Zscaler (ZS.US)$ shares slumped 15.19% to $163.85 in pre-market trading on Wednesday. The company has announced financial results for its fiscal fourth quarter and fiscal year ended July 31, 2024.

Q4 Highlights

• Revenue: $592.9 million, an increase of 30% year-over-year.

• Income (loss) from operations: GAAP loss from operations was $27.0 million, or 5% of revenue, compared to $44.6 million, or 10% of revenue, in the fourth quarter of fiscal 2023. Non-GAAP income from operations was $127.5 million, or 22% of revenue, compared to $86.0 million, or 19% of revenue, in the fourth quarter of fiscal 2023.

• Net income (loss): GAAP net loss was $14.9 million, compared to $30.7 million in the fourth quarter of fiscal 2023. Non-GAAP net income was $140.6 million, compared to $100.9 million in the fourth quarter of fiscal 2023.

• Net income (loss) per share, diluted: GAAP net loss per share, diluted, was $0.10, compared to $0.21 in the fourth quarter of fiscal 2023. Non-GAAP net income per share was $0.88, compared to $0.64 in the fourth quarter of fiscal 2023.

Full Year Fiscal 2024 Financial Highlights

• Revenue: $2,167.8 million, an increase of 34% year-over-year.

• Income (loss) from operations: GAAP loss from operations was $121.5 million, or 6% of revenue, compared to $234.6 million, or 15% of revenue, in fiscal 2023. Non-GAAP income from operations was $442.2 million, or 20% of revenue, compared to $240.8 million, or 15% of revenue, in fiscal 2023.

• Net income (loss): GAAP net loss was $57.7 million, compared to $202.3 million in fiscal 2023. Non-GAAP net income was $508.1 million, compared to $277.0 million in fiscal 2023.

• Net income (loss) per share, diluted: GAAP net loss per share, diluted, was $0.39, compared to $1.40 in fiscal 2023. Non-GAAP net income per share was $3.19, compared to $1.79 in fiscal 2023.

Financial Outlook

For the first quarter of fiscal 2025, the company expect:

• Revenue of $604 million to $606 million.

• Non-GAAP income from operations of $114 million to $116 million.

• Non-GAAP net income per share of approximately $0.62 to $0.63, assuming approximately 164 million fully diluted shares outstanding and a non-GAAP tax rate of 23%.

For the full year fiscal 2025, the company expect:

• Revenue of approximately $2.60 billion to $2.62 billion.

• Calculated billings of $3.110 billion to $3.135 billion.

• Non-GAAP income from operations of $530 million to $540 million.

• Non-GAAP net income per share of $2.81 to $2.87, assuming approximately 164 million fully diluted shares outstanding and a non-GAAP tax rate of 23%.

About Zscaler

Zscaler accelerates digital transformation so customers can be more agile, efficient, resilient, and secure. The Zscaler Zero Trust Exchange™ platform protects thousands of customers from cyberattacks and data loss by securely connecting users, devices, and applications in any location. Distributed across more than 160 data centers globally, the SSE-based Zero Trust Exchange is the world’s largest in-line cloud security platform.