Zscaler Inc banner

Zscaler Inc
NASDAQ:ZS

Watchlist Manager
Zscaler Inc Logo
Zscaler Inc
NASDAQ:ZS
Watchlist
Price: 171.96 USD -0.37% Market Closed
Market Cap: $27.4B

Zscaler Inc
Investor Relations

Zscaler Inc., founded in 2007 by Jay Chaudhry, emerged as a transformative player in the cybersecurity landscape, responding to the escalating demand for secure cloud-based solutions. Operating at the convergence of cloud computing and security, Zscaler was designed to protect today's dynamic, borderless enterprise environments. The company's cloud-native architecture facilitates secure internet and private application access, effectively eliminating the need for traditional on-premises security hardware. By routing user traffic through its global network of data centers, Zscaler ensures seamless and secure connectivity without the traditional bottlenecks or vulnerabilities associated with legacy systems. This innovative approach positions Zscaler as a pioneer in Secure Access Service Edge (SASE) solutions, an increasingly critical paradigm shift in cybersecurity.

Monetization for Zscaler revolves around a subscription-based model, where enterprises pay for access to its comprehensive suite of security services. These subscriptions generally reflect the scale and complexity of the client's IT environment, leading to a recurring revenue stream that is highly attractive in today’s tech economy. Its offerings are organized around core platforms like Zscaler Internet Access (ZIA) and Zscaler Private Access (ZPA), each catering to specific facets of security needs, from protecting against internet-borne threats to enabling secure access to internal applications. As digital transformation accelerates across industries, Zscaler's revenue has surged, driven by the augmentation of network security requirements and the widespread adoption of cloud services. The company's business model not only aligns with the evolving enterprise IT strategies but also provides scalability, enabling it to capture a growing market share in the cybersecurity sector.

Show more
Loading
No Stocks Selected

Compare the stock's returns with its benchmark index and competitors. Gain insights into its relative performance over time.

Select Stock to Compare
Last Earnings Call
Fiscal Period
Q1 2026
Call Date
Nov 25, 2025
AI Summary
Q1 2026

Revenue Beat: Zscaler reported Q1 revenue of $788 million, up 26% year-over-year and 10% sequentially, exceeding the high end of guidance.

ARR Growth: Total annual recurring revenue (ARR) grew 26% year-over-year to over $3.2 billion, with strong momentum across all three growth pillars.

AI Security Outperformance: AI Security ARR grew over 80% year-over-year, surpassing the $400 million FY26 target three quarters early and expected to exceed $0.5 billion by fiscal year-end.

Strong Free Cash Flow: Free cash flow margin was 52% for the quarter.

Guidance Raised: Full-year revenue and ARR guidance increased; FY26 revenue expected between $3.282 billion and $3.301 billion, and ARR between $3.698 billion and $3.718 billion.

Strategic Wins: Achieved Zero Trust Everywhere goal of 450+ customers ahead of schedule; notable large deals and upsells driven by Z-Flex program.

Margin Discipline: Operating margin was 21.8%, and gross margin was 79.9% as new products are optimized for go-to-market over margins initially.

Demand Drivers: Zero Trust and AI Security remain top spending priorities for customers amid tight IT budgets.

Key Financials
Revenue
$788 million
Annual Recurring Revenue
$3.2 billion
Free Cash Flow Margin
52%
Gross Margin
79.9%
Operating Expenses
$458 million
Operating Margin
21.8%
Remaining Performance Obligation
$5.9 billion
Customers Over $1M ARR
698
Customers Over $100K ARR
3,754
AI Security ARR
over $400 million
Data Security Everywhere ARR
$450 million
Z-Flex TCV
over $175 million
Cash, Cash Equivalents, and Short-term Investments
$3.3 billion
Earnings Call Recording
Other Earnings Calls

Management

Mr. Jagtar Singh Chaudhry
Co-Founder, CEO & Chairman of the Board
No Bio Available
Ms. Praniti Lakhwara
Chief Information Officer
No Bio Available
Mr. Ashwin Kesireddy
Vice President of Investor Relations & Strategic Finance
No Bio Available
Ms. Natalia Wodecki
Global Public Relations Director
No Bio Available
Ms. Joyce Kim
Chief Marketing Officer
No Bio Available
Mr. Brendan Castle
Chief People Officer
No Bio Available
Mr. Patrick Foxhoven
Chief Innovation Officer & Executive VP
No Bio Available
Mr. Punit Minocha
Executive Vice President of Business Development & Corporate Strategy
No Bio Available
Mr. Larry Biagini
Chief Technology Evangelist
No Bio Available
Ms. Kavitha Mariappan
Executive Vice President of Customer Experience & Transformation
No Bio Available

Contacts

Address
CALIFORNIA
San Jose
120 Holger Way,
Contacts
+14085330288.0
www.zscaler.com