Zscaler, Inc.

Zscaler reported solid fiscal Q4 results with revenue up 25% to $898.2m and ARR of $3.77bn (25% growth; 20% organic). Non-GAAP operating margin hit a record 24% and GAAP loss per share narrowed sharply. Management guided fiscal 2027 ARR to $4.396–4.426bn, implying mid-to-high teens ARR growth and raising concerns about decelerating recurring-revenue expansion. Intensifying competition from larger cybersecurity vendors and potential multiple compression are cited as key downside risks despite continued momentum in data security and AI security initiatives. » More on finance.yahoo.com

Zscaler closed fiscal 2026 with revenue of $898 million, ARR of $3.8 billion and 25% ARR growth, citing AI as "the largest tailwind" with Security for AI bookings up >50% sequentially and a 75% quarter‑over‑quarter pipeline expansion. Despite the momentum, fiscal 2027 revenue guidance of $3.908–3.938 billion implies growth of about 16.6–17.5%, reflecting management's concerns over a sales transition and the pace of new‑product adoption. Net new ARR excluding Red Canary grew 17% in Q4 and Red Canary is not expected to contribute net new ARR in fiscal 2027, while free cash flow margin guidance of 23–23.5% lags the 27% achieved in fiscal 2025. The company expects the larger financial impact from AI and new products may materialize in fiscal 2028 rather than 2027. » More on finance.yahoo.com

Warnings from Anthropic and Dario Amodei's call for a slower pace on powerful AI models highlight new safety risks from autonomous AI agents. That boosts demand for cybersecurity solutions, with Zscaler—provider of Zero Trust technology—potentially set to benefit directly. Zscaler counts more than 50% of Fortune 500 companies among its customers and processes roughly 750 billion transactions daily through the Zero Trust Exchange. » More on finanzen.net