Palo Alto Networks announced financial results for the quarter ended January 31, 2021. The results beat the company’s estimates. Total revenue for the quarter grew 25% year over year to $1.0 billion, compared with total revenue of $816.7 million for the fiscal second quarter 2020. The company also stated that the quarter billings grows 22% year over year to $1.2 billion and deferred revenue grows 30% year over year to $4.2 billion.
$1 billion quarter
For the fiscal third quarter 2021, the company expects:
- Total billings in the range of $1.22 billion to $1.24 billion, representing year-over-year growth of between 20% and 22%.
- Total revenue in the range of $1.05 billion to $1.06 billion, representing year-over-year growth of between 21% and 22%.
- Diluted non-GAAP net income per share in the range of $1.27 to $1.29, which incorporates net expenses related to the proposed acquisition of Bridgecrew, using 100 million to 102 million shares.
For the fiscal year 2021, the company is raising guidance and expects:
- Total billings in the range of $5.13 billion to $5.18 billion, representing year-over-year growth of between 19% and 20%.
- Total revenue in the range of $4.15 billion to $4.20 billion, representing year-over-year growth of between 22% and 23%.
- Diluted non-GAAP net income per share in the range of $5.80 to $5.90, which incorporates net expenses related to the proposed acquisition of Bridgecrew, using 99 million to 101 million shares.
- Adjusted free cash flow margin of approximately 29%, which includes net expenses and acquisition transaction costs attributable to the proposed acquisition of Bridgecrew.
Nikesh Arora, Chairman and CEO, Palo Alto Networks, said,
“The momentum in the business continues to be strong, with second quarter revenue growth of 25% year over year to over 1 billion USD, driven by strong execution across the board. Events like the SolarStorm attack highlight the importance of cybersecurity, and Palo Alto Networks is well positioned to protect our customers with best-of-breed solutions. We are excited about the bets that we have made in SASE, Cloud and AI. Our three-platform strategy is paying off.”