CrowdStrike Holdings Inc. shares surged more than 9% in after-hours trading after the cybersecurity company reported second-quarter earnings that exceeded analyst expectations and raised its full-year guidance.
The company posted adjusted earnings per share of $0.31, topping the $0.29 consensus estimate, while revenue reached $1.47 billion, above the $1.44 billion forecast. Record net new annual recurring revenue (ARR) totaled $333 million, up from $270 million in the prior-year period. Subscription gross margins also improved, with GAAP and non-GAAP figures rising to 78% and 81%, respectively.
For the full fiscal year 2027, CrowdStrike raised its net new ARR growth outlook by 630 basis points to a midpoint of 34%, citing accelerating demand. The company now projects earnings per share between $1.25 and $1.26, compared with the prior range of $1.22 to $1.24, and revenue in the $5.99 billion to $6.01 billion range, exceeding the $5.93 billion consensus.
Chief Executive Officer George Kurtz described the quarter as the best in the company’s history, highlighting strong performance in the Falcon Flex program and the growing adoption of AI-driven security solutions. "The Mythos moment translated into mass-market acceptance that AI adoption needs security," Kurtz said. "Every enterprise will run on AI, and securing it is the largest market opportunity in our history."
Chief Financial Officer Burt Podbere emphasized the company’s ability to exceed financial targets while maintaining robust margins, positioning CrowdStrike for sustained growth amid rising enterprise demand for cybersecurity solutions.
