Zscaler Inc ( ZS ) reported third-quarter financial results after the market close on Thursday. Here’s a look at the key details from the print.

Q3 Earnings: Zscaler ( ZS ) reported third-quarter revenue of $678.03 million, beating the consensus estimate of $666.86 million. The cybersecurity company reported adjusted earnings of 84 cents per share, beating analyst estimates of 75 cents per share, according to Benzinga Pro.

Total revenue was up 23% year-over-year. Deferred revenue increased 26% year-over-year to $1.99 billion. Calculated billings grew 25% year-over-year to $784.5 million.

Cash flow from operations totaled $211.1 million in the quarter. The company generated $119.5 million of free cash flow in the third quarter, down from 123.1 million in the prior year's quarter. Zscaler ( ZS ) ended the quarter with approximately $3.01 billion in cash, cash equivalents and short-term investments.

“We delivered outstanding third quarter results as an increasing number of customers adopt our expanding Zero Trust Exchange platform. We enable customers to realize Zero Trust Everywhere while lowering operational cost and complexity,” said Jay Chaudhry, chairman and CEO of Zscaler ( ZS ).

“The proliferation of AI in all aspects of business is increasing the need for our AI security. We empower customers to securely adopt both public GenAI apps and their own private AI apps, and we are increasing our investments in this area.”

Zscaler ( ZS ) announced that it appointed Kevin Rubin as CFO. Rubin will replace Remo Canessa, who announced the intention to retire last year.

Guidance: Zscaler ( ZS ) expects fourth-quarter revenue to be in the range of $705 million to $707 million versus estimates of $707.61 million. The company anticipates fourth-quarter adjusted earnings of 79 cents to 80 cents per share.

Zscaler ( ZS ) also raised its full-year 2025 outlook. The company now expects full-year revenue of $2.659 billion to $2.661 billion versus estimates of $2.65 billion. The company anticipates full-year adjusted earnings of $3.18 to $3.19 per share versus estimates of $3.07 per share.

Zscaler ( ZS ) executives are currently discuss the quarter on an earnings call that kicked off at 4:30 p.m. ET.

ZS Price Action: Zscaler ( ZS ) shares were up 5.73% in after-hours, trading at $265.50 at the time of publication on Thursday, according to Benzinga Pro.

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