Skip to main content

Zscaler Inc. (ZS) - Get Zscaler Inc. Report soared 18.62% to $58.93 Friday after the cloud security company beat Wall Street's second-quarter adjusted earnings and revenue expectations.

The San Jose-based company reported a second-quarter loss of $3.6 million, or 3 cents a share, compared with a loss of $9.1 million, or 29 cents a share, a year ago. Adjusted earnings were 9 cents a share, beating analysts' expectations of a loss of 1 cent.

Revenue totaled $74.3 million, up from $45 million in the year-ago quarter, and beat Wall Street's estimates of $66.4 million. Calculated billings grew 74% year over year to $115 million.

For the third quarter, Zscaler expects adjusted earnings of 1 cent a share on revenue of $74 million to $75 million, while Wall Street is looking for a loss of 2 cents a share on revenue of $68.6 million.

Scroll to Continue

TheStreet Recommends

For fiscal 2019, the company said that it expects total revenue of $289 million to $291 million and calculated billings of $365 million to $370 million.

"We are seeing success in disrupting the traditional network security market, with a globally distributed cloud security platform that consistently applies policies and protections no matter the device or location," Jay Chaudhry, chairman and CEO of Zscaler, said in a statement. We are increasingly viewed as a strategic foundation to our customers' network and security transformation towards a cloud and mobile first world."