06:32 AM EST, 03/04/2025 (MT Newswires) -- Okta ( OKTA ) shares spiked early Tuesday as the company lifted its full-year revenue outlook and posted stronger-than-expected fiscal fourth-quarter results.

The cloud-based access management platform company now anticipates revenue to be in a range of $2.85 billion to $2.86 billion for fiscal 2026, representing annual growth of 9% to 10%, it said late Monday. During a third-quarter earnings call in December, Chief Financial Officer Brett Tighe said the company was estimating revenue of $2.77 billion to $2.78 billion, reflecting a year-over-year gain of 7%. The current consensus on FactSet is for $2.83 billion.

"We're taking a prudent approach to forward guidance that factors in our previously announced go to market specialization," Tighe said on a Monday conference call, according to a FactSet transcript. "We remain focused on reigniting growth and driving spend, efficiencies and cash flow."

Adjusted earnings are pegged to come in between $3.15 and $3.20 per share for the ongoing fiscal year, while the Street is looking for $3.11. In fiscal 2025, adjusted EPS soared to $2.81 from $1.60 in the previous fiscal year. The stock climbed 16% in the most recent premarket activity.

Last month, Okta ( OKTA ) disclosed in a regulatory filing with the Securities and Exchange Commission that it will lay off 180 employees, or 3% of its total workforce. The move was part of the company's ongoing assessment to optimize its cost structure and reallocate dollars and resources to growth priorities, Tighe said on the call.

Okta ( OKTA ) posted adjusted EPS of $0.78 for the quarter ended Jan. 31, up from $0.63 the year before, ahead of the average analyst estimate of $0.74. Revenue advanced 13% year over year to $682 million, topping the Street's view for $668.9 million. Subscription revenue inclined to $670 million from $591 million in the prior-year quarter.

Remaining performance obligations, or RPO, jumped 25% to $4.22 billion driven by an increase in weighted average term length for fourth-quarter deals, which "reached a multi-year high," Tighe told analysts. The company's bookings crossed $1 billion in total contract value for the first time during the quarter, Tighe said. Current RPO grew 15% to $2.25 billion.

For the current three-month period, Okta ( OKTA ) expects adjusted EPS of $0.76 to $0.77 on revenue of $678 million to $680 million. The market's current forecast is for non-GAAP EPS of $0.75 and sales of $676.9 million. The company expects to pay the cash impact of about $11 million related to last month's job cuts in the ongoing quarter, according to Tighe.