CyberArk Software Earnings Report

CyberArk Software (NASDAQ: CYBR) shares rose 2.7% on Wednesday after the company reported much better-than-expected earnings for fiscal Q3 and issued positive guidance.

Q3 Performance

For the third quarter, the identity security company announced an earnings per share (EPS) of $0.94, significantly surpassing analyst expectations of $0.46. Revenue reached $240.1 million, exceeding the forecast of $234.1 million.

> "CyberArk reported strong results and outperformed guidance across all metrics. Our best-in-class execution and industry leadership in identity security is helping us deliver strong net new ARR, record revenue, and increased profitability and cash flow," said Matt Cohen, CyberArk’s CEO.

Cohen also highlighted that the company continues to execute its vision of securing every identity—human and machine—with appropriate privilege controls. Demand for their solutions remains strong as customers adopt their leading offerings across various sectors.

Q4 and Full-Year Projections

For Q4 2024, CyberArk anticipates EPS between $0.65 and $0.75, above the consensus estimate of $0.55. Revenue guidance for Q4 is set between $297 million and $303 million, surpassing the consensus of $259.1 million.

For the full year, net income per share is projected between $2.85 and $2.96, with non-GAAP free cash flow expected between $203 million and $213 million. Total revenue is forecasted in the range of $983 million to $989 million, reflecting an expected growth of 31% to 32% over 2023.

Analysts at Truist Securities noted, "We believe the company’s ability to manage all identity types in various deployment environments, increasing use cases, innovation, and high recurring revenue have positioned it strongly for durable growth going forward."

Similarly, BTIG analysts reiterated a Buy rating on CyberArk shares, noting it was a strong report amid a relatively soft earnings season for security software.

Leadership Changes

Alongside the earnings announcement, CyberArk revealed that CFO Josh Siegel will step down from his role on January 1, 2025, as part of a succession plan. Erica Smith, the current Deputy CFO, will take over the CFO role and join the executive team.