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The Markets
by Proactive
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The Markets
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Proactive UK has moved.
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Tech

Zscaler likely to post strong 4Q growth as adoption of its security platform continues to scale

Zscaler Inc. (NASDAQ:ZS) is likely to reveal a strong rise in revenue and earnings when it reports fourth-quarter results after the closing bell on Tuesday, September 5.

The cloud security company is expected to report a 35% year-over-year (YoY) increase in revenue to $431 million for the three months to July 31, 2023, as it expanded its customer base on the back of the rising adoption of its cloud-delivered solutions for protecting user devices and data.

Combined with improving gross margins, adjusted earnings for the quarter are expected to be 96% higher YoY at $0.49 - in line with the company’s own guidance.

When it released 3Q results in June, the company said its Zero Trust security platform continued to drive customer adoption across all sectors globally.

Ahead of its results, Zscaler’s shares closed 1.5% higher at $158.38 on Friday.

Contact the author at stephen.gunnion@proactiveinvestors.com

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