Zscaler (ZS, Financial) continues to climb on Friday, surging 9% on regular trading Friday, following a Q3 fiscal 2025 beat, with revenue up 23% year-over-year to $678 million versus the $667.1 million consensus and adjusted EPS of $0.84 topping the $0.76 estimate. G
AAP net loss narrowed to $0.03 per share, well ahead of the $0.12 loss forecast. Looking ahead, Zscaler guided Q4 revenue of $705 million–$707 million (versus $707.2 million expected) and EPS of $0.79–$0.80 (vs. $0.77), and reiterated full-year revenue of $2.659 billion–$2.661 billion.
CEO Jay Chaudhry said surging AI adoption is driving demand for Zscaler's AI-centric security, noting investments to secure both public generative-AI apps and private models. The company also named Kevin Rubin—veteran CFO of BetterUp and Alteryx—as its new finance chief, aiming to propel Zscaler past $5 billion in ARR.
Investors should care because strong beats, healthy guidance and Zscaler's AI security push signal durable growth in the cloud-security market as enterprises race to protect new AI deployments.
