2025 Third Quarter Financial Results Roei Golan CFO October 28, 2025 Kip E. Meintzer Global Head of IR ©2025 Check Point Software Technologies Ltd. 1 Nadav Zafrir CEO Forward Looking Statement Q3-25 Revenues & EPS This presentation may contain certain forward-looking statements. These forward-looking statements generally relate to future events or our future financial or operating performance. Forward-looking statements in this report include, but are not limited to: Non-GAAP** Our expectations regarding ou ...

Check Point Software (CHKP) came out with quarterly earnings of $3.94 per share, beating the Zacks Consensus Estimate of $2.45 per share. This compares to earnings of $2.25 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +60.82%. A quarter ago, it was expected that this data security company would post earnings of $2.36 per share when it actually produced earnings of $2.37, delivering a surprise of +0.42%.Over the last four qu ...

Core Insights - Check Point Software Technologies reported strong financial results for Q3 2025, driven by increased demand for its security portfolio and the strategic acquisition of Lakera to enhance its AI capabilities [3][4][7]. Financial Highlights - Earnings per diluted share (EPS) for Q3 2025 were $3.94 (Non-GAAP) and $3.28 (GAAP), compared to $2.25 and $1.83 in Q3 2024, reflecting a significant year-over-year increase of 75% and 79% respectively [4][11]. - Total revenues reached $678 million, marking a 7% increase year-over-year, while calculated billings were $672 million, a 20% increase [11]. - Security subscriptions revenues were $305 million, a 10% increase year-over-year [11]. Cash Flow and Financial Position - Cash flow from operations in Q3 2025 was $241 million, which included a one-time tax payment of approximately $66 million; excluding this payment, cash flow increased by 23% compared to Q3 2024 [6]. - As of September 30, 2025, cash balances, marketable securities, and short-term deposits totaled $2,817 million, slightly down from $2,873 million a year earlier [5][23]. Strategic Developments - The acquisition of Lakera, completed on October 22, 2025, positions Check Point to deliver a comprehensive AI-powered security platform, enhancing its capabilities in next-generation cyber defense [3][7]. - The company executed a share repurchase program, buying back approximately 1.6 million shares for about $325 million during Q3 2025 [5]. Operational Metrics - GAAP operating income was $199 million, representing 29% of total revenues, while Non-GAAP operating income was $282 million, or 42% of total revenues [11]. - The company reported a net income of $358.7 million for Q3 2025, compared to $206.9 million in Q3 2024 [18].

Core Insights - Check Point Software Technologies Ltd. has announced a multi-year partnership with Harris Blitzer Sports & Entertainment (HBSE) and the Washington Commanders to enhance cybersecurity for major sports properties, including the Philadelphia 76ers and New Jersey Devils [1][2][3] - The partnership will involve Check Point becoming the presenting partner of the Prudential Center's VIP West Entrance and the Check Point Bar & Grill, enhancing the visibility of Check Point's brand [1] - This collaboration aims to fortify HBSE's infrastructure and improve cybersecurity defenses across its digital platforms, reflecting the increasing reliance of sports organizations on digital solutions [2][3] Company Overview - Check Point is recognized as a leader in cybersecurity solutions, utilizing AI-powered technologies to protect over 100,000 organizations globally [5] - The company's Infinity Platform integrates management across on-premises, cloud, and workspace environments, providing flexibility and scalability for enterprises [5] Industry Context - The partnership highlights the growing importance of cybersecurity in the sports and entertainment sector, as organizations increasingly depend on data and digital connectivity to enhance fan experiences [3] - HBSE's diverse portfolio includes prominent franchises across various sports leagues, indicating a significant market presence and potential for brand activation through partnerships [6]

Core Insights - Check Point Software Technologies Ltd. has been recognized in Newsweek and Statista's ranking of America's Most Reliable Companies 2026, highlighting its trustworthiness and client satisfaction in the B2B sector [1][2] - The ranking is based on over 80,000 evaluations from more than 2,400 decision-makers, assessing companies on metrics such as likelihood of recommendation and reputation for dependability [2] - Check Point has a strong reputation for delivering reliable cyber security solutions, blocking 99.9% of malware and 99.7% of phishing attacks, with only 1 reported vulnerability compared to 10X - 23X more from other leading vendors [3] Company Achievements - In addition to the recent recognition, Check Point has also been featured in Fast Company's Next Big Things in Tech 2025 and named one of the World's Best Companies of 2025 by TIME and Statista [4] - The company utilizes AI-powered cyber security solutions to protect over 100,000 organizations globally, employing a prevention-first approach through its Infinity Platform [5]

Core Viewpoint - Check Point Software Technologies (NASDAQ: CHKP) is set to report its Q3 2025 earnings on October 28, 2025, before the market opens, with analysts showing mixed expectations regarding earnings per share (EPS) revisions [1] Summary by Category Earnings Expectations - Analysts have made 18 upward revisions and 14 downward revisions to EPS in the last 90 days, indicating a divided outlook on the company's performance [1] Analyst Background - Michael Del Monte, a buy-side equity analyst with over 5 years of experience, emphasizes that investment recommendations should consider the entire investment ecosystem rather than evaluating a company in isolation [1]

Core Insights - Gil Shwed, the executive chairman of Check Point Software Technologies Ltd., holds a 24.6% stake in the company, making him the largest shareholder, although this is a slight decrease from 25.2% at the end of the second quarter [1] - During the third quarter, Shwed sold over 1 million shares, estimated to be worth approximately $205 million at average trading prices, or up to $235 million at peak prices [2] - As of the end of the third quarter, Shwed owned about 26.8 million shares valued at $5.2 billion, while Check Point's total market capitalization stands at $20.8 billion [2] Company Management - Gil Shwed transitioned from CEO to executive chairman in December 2024, with Nadav Zafrir taking over as CEO [3] - Shwed has primarily received equity compensation, waiving his salary except for the minimum legal requirement, leading to a gradual increase in his shareholding [3] - In 2024, Shwed's salary cost was reported at $14.4 million, a reduction from previous years where equity compensation ranged from $17.9 million to $26.1 million [3]

Core Insights - Check Point Software Technologies Ltd. has been recognized in Fast Company's Next Big Things in Tech 2025 list for its innovative cybersecurity solutions aimed at protecting public blockchains from emerging cyber threats [1][2] - The company's blockchain solution offers enterprise-grade, compliance-ready security, marking a shift from reactive threat detection to proactive in-chain prevention [2] - Check Point has received multiple accolades, including being named one of the World's Best Companies of 2025 by TIME and Statista, and one of America's Best Cybersecurity Companies by Newsweek and Statista [4] Company Innovations - Check Point's blockchain security solution is now active on the Cardano mainnet, providing real-time threat prevention capabilities [2] - The solution is designed to protect users, digital assets, and infrastructure before cyber attacks can occur, ensuring trust and safety in decentralized ecosystems [2] - The company employs a prevention-first approach through its Infinity Platform, which integrates management across on-premises, cloud, and workspace environments [6] Industry Recognition - Fast Company's list features a diverse array of technologies with the potential to revolutionize consumer and business lives [3] - The recognition serves as both a snapshot of current technology trends and a prediction of future developments in the tech industry [4]

Core Insights - Check Point Software Technologies Ltd. will release its financial results for Q3 2025 on October 28, 2025, before U.S. markets open [1] - A video conference call for the investment community will be held at 8:30 AM EST/5:30 AM PST on the same day [1] Company Overview - Check Point is a leading provider of cyber security solutions, protecting over 100,000 organizations globally [2] - The company utilizes AI-powered solutions and its Infinity Platform to deliver industry-leading security efficacy while reducing risk [2] - Check Point's hybrid mesh network architecture with SASE at its core unifies management across on-premises, cloud, and workspace environments [2]

Core Insights - Check Point Software Technologies and Wiz have launched a unified Cloud Security Solution that integrates Check Point's cloud network security with Wiz's Cloud-Native Application Protection Platform (CNAPP) to address modern cloud security challenges [1][2] Group 1: Partnership and Solution Overview - The partnership aims to provide a prevention-first model that enhances security from code to cloud, offering real-time visibility and risk-aware remediation [2] - The integrated solution is designed to help organizations manage the complexities of hyperconnected and distributed networks, which increase the attack surface [2][3] Group 2: Features and Capabilities - The new solution allows customers to gain visibility into CloudGuard gateway configurations directly within the Wiz platform, integrating third-party virtual firewall policies into risk assessment tools [3] - Companies can automate gateway-based remediation flows, significantly reducing exposure times from hours to minutes [3] Group 3: Performance Metrics - Check Point achieved a perfect 100% block rate with zero false positives in independent testing, along with a 99.9% block rate against Zero+1 day malware and a 99.7% prevention rate for phishing [4]