Palo Alto(PANW) - 2025 Q1 - Quarterly Results

Revenue Growth - Fiscal first quarter revenue grew 14% year over year to $2.1 billion[2][3] - For fiscal second quarter 2025, total revenue is expected to be in the range of $2.22 billion to $2.25 billion, representing year-over-year growth of 12% to 14%[8] - For fiscal year 2025, total revenue is expected to be in the range of $9.12 billion to $9.17 billion, representing year-over-year growth of 14%[10] - Total revenue for Q3 2024 increased to $2,138.8 million, up 13.9% from $1,878.1 million in Q3 2023[31] - Subscription and support revenue grew to $1,785.0 million, a 16.1% increase from $1,537.0 million in the same period last year[31] Next-Generation Security ARR - Next-Generation Security ARR grew 40% year over year to $4.5 billion[2] - For fiscal second quarter 2025, Next-Generation Security ARR is expected to be $4.70 billion to $4.75 billion, representing year-over-year growth of 35% to 36%[8] - For fiscal year 2025, Next-Generation Security ARR is expected to be $5.52 billion to $5.57 billion, representing year-over-year growth of 31% to 32%[10] Net Income and Earnings - GAAP net income for the fiscal first quarter 2025 was $350.7 million, or $0.99 per diluted share[3] - Non-GAAP net income for the fiscal first quarter 2025 was $544.9 million, or $1.56 per diluted share[4] - Net income for Q3 2024 rose to $350.7 million, compared to $194.2 million in Q3 2023, an 80.6% increase[31] - Non-GAAP net income per share, diluted, was $1.56, compared to $1.38 in the same period last year[34] Operating Performance - Non-GAAP operating margin for fiscal year 2025 is expected to be in the range of 27.5% to 28.0%[10] - Non-GAAP operating income reached $616.2 million, up 16.4% from $529.3 million in Q3 2023[34] Financial Position - Remaining performance obligation grew 20% year over year to $12.6 billion[2] - Cash and cash equivalents increased to $2,282.8 million, up from $1,535.2 million in the previous quarter[37] - Goodwill increased to $4,050.8 million, reflecting significant acquisition activity[37] - Total deferred revenue stood at $11,093.6 million, with $5,507.7 million in current liabilities and $5,585.9 million in long-term liabilities[37] - Total assets grew to $20,374.6 million, up from $19,990.9 million in the previous quarter[37] Research and Development - Research and development expenses increased to $480.4 million, up 17.3% from $409.5 million in Q3 2023[31]