Palo Alto Networks posted its third-quarter fiscal 2022 results, where earnings grew year-over-year and also surpassed Zacks Consensus Estimates. Revenues, too, topped expectations.
The cybersecurity company’s non-GAAP earnings rose +29.7% from the year-ago quarter to $1.79 per share, well above the Zacks Consensus Estimate of $1.67.
Palo Alto’s fiscal third-quarter revenues of $1.39 billion also surpassed the Zacks Consensus Estimate of $1.36 billion. The top line is +29% higher from the year-ago quarter.
Revenues from the company’s Product segment surged +22% year over year to $351.5 million (25.3% of total revenues). Subscription and support revenues grew +31.9% year over year to $1035.2 million (74.7% of total revenues).
Billings grew +40% to $1.80 billion.
Looking ahead, the company now projects fiscal 2022 revenues of $5.481-$5.501 billion, thereby implying growth of around 29% from the fiscal 2021. In its prior forecast, the expectation was $5.425 billion - $5.475 billion, which indicated year-over-year growth of 27-29%.
Total billings projection is now $7.106-$7.136 billion for fiscal 2022, indicating year-over-year increase of 30-31%. Prior estimates from the company was in the range of $6.80-$6.85 billion, implying a 25-26% increase from the year-ago quarter.
The company boosted its non-GAAP earnings forecast range to $7.43-$7.46 per share, vs. prior forecast of $7.23-$7.30 per share
It reaffirmed non-GAAP adjusted free cash flow margin forecast of 32-33%.