George Kurtz, co-founder and CEO of Crowdstrike Holdings Inc. in a Bloomberg Technology TV interview at the RSA conference held in San Francisco on April 26, 2023.
David Paul Morris | Bloomberg | Getty Images
Cloud Strike Shares fell by about 9% in Tuesday’s extension transaction after cybersecurity software providers issued disappointing revenue guidance.
Compared to LSEG estimates, the company reported:
Earnings per share: $1.03. This number doesn’t seem to rival the analyst estimates. revenue: $1.06 billion vs. $1.03 billion
Revenues rose 25% from $845.3 million a year ago, with the company posting a net loss of $92.3 billion, or 37 cents per share. In the same period last year, the company recorded net income of $53.7 million, or 22 cents per share.
CrowdStrike said it expects revenues, excluding some items, to range between $3.33 to $3.45 per share for the year, with analysts voted by LSEG not reaching the expected $4.42. First quarter revenue is expected to be between 64 cents and 66 cents per share, compared to an average estimate of 95 cents.
Despite the drop outside of business hours, Cloud Strike has smashed through several metrics from Wall Street. The company records recurring revenues of $4.24 billion per year, reflecting 23% growth. This exceeded the $42.1 billion estimate from analysts surveyed by StreetAccount and included $224 million in annual recurring revenue.
Revenue guidance was roughly in line with estimates. CrowdStrike said it expects revenues of between $4.74 billion and $4.81 billion a year, compared to an estimated LSEG of $4.777 billion.
The revenue release comes almost eight months after technology updates from the company led to a global IT halt that disrupts the grounded flights, companies and led to class action lawsuits.
CEO George Kurtz said in a press release that artificial intelligence is becoming more important in halting cyberattacks.
“As companies of all sizes are adopting AI rapidly, we need a cybersecurity AI native platform to stop violations,” Kurtz said.
