Palo Alto Networks ( (PANW) ) has released its Q1 earnings. Here is a breakdown of the information Palo Alto Networks presented to its investors.
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Palo Alto Networks is a global leader in cybersecurity, offering AI-powered solutions for network security, cloud security, and security operations, with a focus on platformization for comprehensive protection.
In its fiscal first quarter of 2025, Palo Alto Networks reported a 14% increase in total revenue, reaching $2.1 billion, while its Next-Generation Security Annual Recurring Revenue (ARR) saw a significant 40% growth to $4.5 billion. The company’s remaining performance obligation also grew by 20% to $12.6 billion.
Key financial highlights include a GAAP net income of $350.7 million, or $0.99 per diluted share, and a non-GAAP net income of $544.9 million, or $1.56 per diluted share. The company also announced a two-for-one stock split, increasing its authorized shares of common stock to 2 billion.
Looking ahead, Palo Alto Networks has raised its guidance for the fiscal year 2025. The company expects continued growth in its Next-Generation Security ARR, revenue, and non-GAAP earnings per share, reflecting its strategic focus on platformization.
Management’s outlook remains positive, with expectations of sustained growth driven by the increasing market realization of the benefits of its platformization strategy, which is anticipated to be a key trend in the cybersecurity industry for years to come.