How Schwab Network’s view on $ZS changed

The stock reversed course from its after-hours trading position following the results announcement, but Zscaler was lagging behind peers like CrowdStrike or Palo Alto Networks before these results.

It has not received the same level of attention on Wall Street as others in the field of cybersecurity.

Now, let's move on to a profit engine, Zscaler, which is on your radar today. This was one of the cybersecurity names that made it into its week of reporting. It did not achieve a similar performance to its peers.

Yes, it was a good report. I mean, look at exceeding earnings per share expectations, and exceeding revenue. They have exceeded their revenue growth figures, reaching $898.2 million .

This was a 25% year-on-year increase. Their free cash flow recorded a quarterly margin of approximately 6.8%. Free cash flow amounted to $779 million, with a profit margin of 23%.

Annual recurring revenue, I think, was a bright spot here. It rose by 25% year-on-year to reach approximately $3.77 billion. This is a positive thing. There are 785 clients who now generate more than $1 million in recurring revenue.

This represents an 18% year-on-year increase. There are 4,182 customers who generate more than $100,000 in recurring revenue. This is an increase of 20%. So, these are positive numbers.