Core Insights - CyberArk Software (CYBR) reported strong first-quarter fiscal 2025 results with Annual Recurring Revenues (ARR) of $1.22 billion, an increase from $1.17 billion in the previous quarter, and a net new ARR of $46 million driven by subscription growth and identity security platform adoption [1][10] Group 1: Financial Performance - Subscription ARR surpassed $1.03 billion, accounting for nearly 85% of total ARR, with an addition of $51 million in net new subscription ARR, indicating enhanced financial stability and predictability [2][10] - CyberArk aims for full-year fiscal 2025 ARR to reach between $1.41 billion and $1.42 billion, reflecting approximately 21% year-over-year growth, supported by a robust subscription base and new customer additions [5] Group 2: Product Development and Strategy - CyberArk is expanding into artificial intelligence (AI) with its new "Secure AI Agent" product, designed to protect both autonomous and human-controlled AI systems, addressing the growing need for security in AI tools [2][3] - The company reported that machine identity products were featured in nine of the ten largest deals in the quarter, showcasing its capability to protect non-human identities [3] Group 3: Competitive Landscape - Competitors like Zscaler and SentinelOne are also experiencing growth, with Zscaler achieving $2.9 billion in ARR (23% year-over-year growth) and SentinelOne reaching $948 million in ARR (24% year-over-year growth) [6][7] - CyberArk's shares have gained 19.5% year-to-date, compared to the Zacks Security industry's growth of 22% [8] Group 4: Valuation Metrics - CyberArk trades at a forward price-to-sales ratio of 13.76, which is below the industry's average of 14.77, indicating potential valuation attractiveness [12]

CyberArk Software (CYBR) 2025 Conference Summary Industry Overview - **Industry**: Cybersecurity, specifically focusing on Identity Security and Privileged Access Management (PAM) [3][6] - **Market Trends**: Increasing attacks on both human and machine identities, with identity being recognized as the primary defense factor against adversaries [3][4][5] Core Company Insights - **Company Positioning**: CyberArk has evolved from traditional PAM to a broader identity security market, capturing significant demand due to the urgency of identity protection [3][5] - **Growth in PAM**: The core PAM market remains vibrant with substantial growth opportunities, particularly in modern use cases and among highly privileged users who are not fully secured [6][7][12] Customer Dynamics - **Customer Demand**: There is robust demand for identity security solutions, with customers increasingly seeking multi-product solutions that address high-priority areas [9][10] - **Expansion Opportunities**: CyberArk has established multi-year roadmaps with strategic customers, allowing for ongoing expansion within existing accounts [11][12] Competitive Landscape - **Emerging Competitors**: Non-traditional identity security players, such as CrowdStrike, are entering the identity space, but CyberArk differentiates itself through a preventative and deterministic approach to identity security [14][15][23] - **Consolidation of Trust**: Customers are looking for trusted vendors to reduce the number of cybersecurity vendors they engage with, emphasizing the importance of a unified identity security platform [20][21] Product Development and Innovation - **Identity Security Platform**: CyberArk is focused on creating a unified user experience across its identity security offerings, which is essential for effective deployment and management [22][19] - **Acquisition of Zillow**: The acquisition aims to enhance CyberArk's Identity Governance and Administration (IGA) capabilities, addressing the need for modern, efficient IGA solutions that integrate with existing identity security frameworks [40][41][44] Machine Identity and AI - **Machine Identity Security**: There is a growing recognition of the security importance of machine identities, with CyberArk positioned to address this need through its solutions [28][29][32] - **AI Integration**: CyberArk is actively working on incorporating AI into its solutions to enhance productivity and security, particularly in managing access to AI systems [34][36][38] Future Opportunities - **Market Potential**: There remains a significant opportunity for CyberArk to secure a large number of unsecured identities, both human and machine, as well as to expand its offerings in the evolving landscape of identity security [54][55] - **Long-term Vision**: The company is optimistic about its growth trajectory, with plans to deepen and broaden its solutions to meet the increasing demands of the market [55][56]

Financial Data and Key Metrics Changes - The company reported solid Q1 results with exceptional cash flow and record operating profitability and profit margin [16] - For Q2 FY '26, total revenue growth is expected to be 10%, with current RPO growth of 10% to 11%, and a non-GAAP operating margin of 26% [20] - For the full year FY '26, total revenue growth is projected at 9% to 10%, with a non-GAAP operating margin of 25% and a free cash flow margin of approximately 27% [20] Business Line Data and Key Metrics Changes - The governance portfolio, including Okta Identity Governance, lifecycle management, and workflows, has seen substantial growth, with workflow executions increasing nearly 400% over the past three years [8] - The Auth0 platform performed well, contributing positively to the overall results, particularly following a record Q4 [16][17] Market Data and Key Metrics Changes - The US public sector vertical has shown strength, with significant deals contributing to Q1 results, including federal contracts [18] - International markets experienced a deceleration compared to the US, but specific details on the impact were not disclosed [34] Company Strategy and Development Direction - The company is focused on product innovation, with new offerings such as Okta Identity Governance and Auth for GenAI, aimed at addressing evolving cyber threats and enhancing security [7][12] - Okta is positioning itself as a leader in identity security, emphasizing the importance of consolidating disparate identity systems for customers [14] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing strong customer conversations and the importance of identity solutions in the context of AI projects [26][30] - There is a cautious approach to guidance due to potential macroeconomic uncertainties, although no immediate impacts were observed in Q1 [28][30] Other Important Information - The company is committed to maintaining its investment levels despite a cautious macro outlook, indicating confidence in long-term growth opportunities [110] - The introduction of suite-based pricing for the Okta platform has shown positive results, with customers interested in purchasing multiple products [62] Q&A Session Summary Question: What factors influenced the additional conservatism in guidance? - Management noted that while Q1 results were strong, there is a cautious tone in the environment, prompting a conservative approach in guidance [28][30] Question: Was there any softness in April? - Management confirmed that there was no softness in April, and performance remained solid throughout the quarter [35] Question: How is the go-to-market specialization progressing? - Management reported a solid start to the specialization process, with strong performance in the Auth0 side and pipeline building [41][42] Question: What is the outlook for new logo pipeline in the workforce business? - Management expressed optimism about the new logo pipeline, highlighting the potential of new products to attract new customers [91][92] Question: How should investors interpret the guidance for CRPO? - Management explained that the guidance reflects a cautious approach due to macroeconomic factors, but emphasized that the underlying business remains strong [55][107]

Q1 FY26 Investor Presentation May 27, 2025 © Okta and/or its affiliates. All rights reserved. © Okta and/or its affiliates. All rights reserved. Confidential Information of Okta – For Recipient's Internal Use Only. Safe Harbor This presentation contains "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding our financial outlook, business strategy and plans, market trends and ...

Core Viewpoint - The rising U.S. budget deficit is impacting investor sentiment, leading to stock sell-offs, which may present buying opportunities for informed investors [1] Group 1: Uber Technologies (UBER) - Uber Technologies is highlighted as a stock pick following its Go-Get 2025 event, where it introduced new products aimed at user attraction [3][4] - Evercore analyst Mark Mahaney reiterated a buy rating on UBER with a price target of $115, noting the launch of Price Lock and Prepaid Pass as significant new offerings [4][5] - Mahaney believes Uber can sustain approximately 30% earnings growth, maintaining its position as one of Evercore's top "Longs" despite a solid year-to-date rally [7] Group 2: CyberArk Software (CYBR) - CyberArk Software reported better-than-expected Q1 2025 results, with subscription annual recurring revenue reaching $1.028 billion [8] - Baird analyst Shrenik Kothari reaffirmed a buy rating on CYBR, raising the price target to $460, citing strong performance across key metrics [9][10] - Kothari noted that CyberArk's identity security platform continues to attract customers, with no impact from macro pressures on deal flow [12] Group 3: Palo Alto Networks (PANW) - Palo Alto Networks delivered market-beating earnings and revenue for Q3 FY25, although its adjusted gross margin fell short of expectations [14] - TD Cowen analyst Shaul Eyal reiterated a buy rating on PANW with a price target of $230, highlighting strong results and significant product revenue growth [15][16] - Eyal expects Palo Alto to remain a market leader in next-gen firewalls and to expand into adjacent security markets, leveraging its large customer base for cross-selling opportunities [18]

Core Viewpoint - Okta is expected to report strong fiscal first-quarter 2026 results, with anticipated non-GAAP earnings of 76-77 cents per share and revenues between $678-$680 million, reflecting a 10% year-over-year growth [1][2]. Group 1: Earnings and Revenue Expectations - The Zacks Consensus Estimate for earnings has remained steady at 77 cents per share, indicating an 18.46% year-over-year growth [2]. - The consensus for revenues is pegged at $679.73 million, representing a 10.17% increase from the previous year [2]. Group 2: Customer Growth and Product Portfolio - Okta's expanding product portfolio, particularly in security and identity governance, is expected to drive client acquisition and top-line growth, with 19,650 customers and $4.215 billion in remaining performance obligations reported at the end of fiscal Q4 2025 [3]. - The number of customers with over $100 thousand in Annual Contract Value increased by 7% year-over-year to 4,800 [3]. Group 3: New Product Momentum - Continued momentum from new products such as Okta Identity Governance and Privileged Access is expected to contribute positively to the upcoming quarter, with over 20% of fiscal Q4 bookings coming from these offerings [4]. - Okta Identity Governance has rapidly gained traction, with over 1,300 customers contributing more than $100 million in annual contract value within two years of its launch [5]. Group 4: Partner Ecosystem - Okta benefits from a robust partner ecosystem, including major players like Amazon Web Services, Google, and Salesforce, which enhances its security capabilities [6][7]. - More than 70% of deals in fiscal Q4 2025 were influenced by partners, with Okta surpassing $1 billion in total contract value through its partnership with AWS [7]. Group 5: Stock Performance - Okta shares have outperformed the Zacks Computer & Technology sector, surging 54.9% year-to-date, while the sector has declined by 2% [8]. Group 6: Competitive Landscape - Despite strong product momentum, Okta faces stiff competition from CyberArk and Microsoft, both of which are expanding their presence in the identity and access management space [14]. - Microsoft's Entra identity offering serves over 900 million monthly active users, highlighting the competitive pressure in the market [15].

CyberArk Software Ltd. (CYBR) posted first-quarter 2025 non-GAAP earnings of 98 cents per share, which surpassed the Zacks Consensus Estimate by 24%. The figure improved 30.7% year over year.CyberArk’s first-quarter 2025 revenues of $317.6 million exceeded the consensus mark by 3.9%. The top line jumped 43.4% year over year, primarily driven by the company’s robust dominance in identity security and world-class execution levels at every step.The better-than-expected revenues led CyberArk to increase its 202 ...

Financial Data and Key Metrics Changes - The company achieved total Annual Recurring Revenue (ARR) of $1,215 million and revenue of $318 million, with an 18% operating margin [7][30] - Free cash flow generated was $96 million, reflecting strong operational performance [8][38] - Net new ARR increased to $46 million, up from $37 million in Q1 of the previous year [31] Business Line Data and Key Metrics Changes - Subscription ARR grew to $1,028 million, with subscription net new ARR of $51 million compared to $39 million in Q1 of last year [34] - Maintenance ARR was reported at $188 million, with a slight uptick in conversion activity noted [32][36] Market Data and Key Metrics Changes - Revenue from the Americas was $193.5 million, EMEA revenue was $93.8 million, and APJ revenue was $30.4 million, indicating strong growth across all regions [35] - Approximately 200 new logos were signed in Q1, with about half purchasing two or more solutions [36] Company Strategy and Development Direction - The company emphasizes the importance of identity security as a critical investment for organizations, especially in the current threat landscape [10][28] - The strategy focuses on a unified platform for securing every identity, including human, machine, and AI identities, with a strong emphasis on innovation [12][20] Management's Comments on Operating Environment and Future Outlook - Management noted that despite macroeconomic uncertainties, demand for identity security solutions remains robust [9][39] - The company is taking a prudent approach in its guidance for the full year, considering potential macroeconomic impacts [41][42] Other Important Information - The integration of Venafi and Zillow is progressing ahead of expectations, contributing positively to the company's performance [33][39] - The company has a strong balance sheet with approximately $776 million in cash, accounting for recent acquisitions [38][44] Q&A Session Summary Question: Customer willingness to buy multiple products - Management highlighted that customer conversations are increasingly focused on multi-product solutions, with many customers seeking comprehensive identity security strategies [53][55] Question: Maintenance business outlook - Management expects a gradual decline in maintenance ARR as customers transition to SaaS and subscription solutions, with an anticipated decrease of about $15 million [58][59] Question: Macro headwinds and guidance - Management confirmed no current macro headwinds but adopted a conservative approach in guidance due to broader economic uncertainties [66][67] Question: Sales capacity and Venafi integration - Management reported strong sales momentum for Venafi across various regions, indicating a positive reception from customers [68][69] Question: Adoption trends for Venafi and Zillow - Management noted universal interest in Venafi's solutions, while Zillow is in earlier stages of adoption with positive customer engagement [74][75] Question: Pricing strategy for nonhuman identities - Management indicated that pricing models may evolve as the number of nonhuman identities increases, but total deal size remains a key focus [82][84] Question: Competitive environment changes - Management observed no significant changes in competitive positioning, emphasizing the company's unique ability to address comprehensive identity security needs [95][98]

Financial Data and Key Metrics Changes - The company achieved total Annual Recurring Revenue (ARR) of $1,215 million, with revenue of $318 million, an 18% operating margin, and generated $96 million in free cash flow [6][30][38] - Net new ARR was $46 million, up from $37 million in Q1 of the previous year [30] - Subscription ARR grew to $1,028 million, with subscription net new ARR of $51 million compared to $39 million in Q1 of last year [32] - Total revenue reached $317.6 million, significantly beating guidance, with recurring revenue at $298.2 million, representing 94% of total revenue [33][34] Business Line Data and Key Metrics Changes - The integration of Venafi and Zillow contributed positively to Q1 results, with Venafi included in nine of the top ten deals [31] - The company reported strong organic and inorganic revenue growth across all regions, with approximately 200 new logos signed in Q1 [35] Market Data and Key Metrics Changes - Americas revenue was $193.5 million, EMEA revenue was $93.8 million, and APJ revenue was $30.4 million, indicating strong growth across all regions [34] - The company experienced a year-over-year double-digit percent increase in new business deal sizes in Q1 [35] Company Strategy and Development Direction - The company emphasizes the importance of identity security as a critical investment for organizations, especially in the current elevated threat landscape [7][27] - The strategy focuses on a unified platform for securing every identity, including human, machine, and AI identities, with a strong emphasis on innovation [12][19] - The company aims to consolidate fragmented security tools and modernize legacy systems, addressing the growing challenges of machine identities [11][27] Management's Comments on Operating Environment and Future Outlook - Management noted that despite ongoing macroeconomic uncertainty, there has been no impact on business performance, and demand for solutions remains robust [8][39] - The company is taking a prudent approach in its guidance for the full year 2025, considering potential macroeconomic impacts [39][64] Other Important Information - The company ended the quarter with approximately $776 million in cash, reflecting a strong balance sheet [38] - Adjusted free cash flow for the full year 2025 is expected to be in the range of $300 million to $310 million, representing a margin of 23% at the midpoint [43] Q&A Session Summary Question: Customer willingness to buy multiple products - Management indicated that conversations with customers are increasingly focused on multi-product solutions, with about 50% of new logos purchasing two or more solutions [50][55] Question: Maintenance business outlook - Management expects a slight decline in maintenance ARR but sees opportunities for growth as customer readiness increases [56][57] Question: Macro headwinds and guidance - Management clarified that there have been no observed macro headwinds, but a conservative approach was taken in guidance due to broader macroeconomic uncertainties [62][64] Question: Adoption trends for Venafi and Zillow - Management noted universal interest in Venafi across segments, while Zillow is in early stages with positive discussions about modern governance and administration [69][73] Question: Pricing strategy for nonhuman identities - Management discussed that as the number of machine identities increases, pricing models will evolve, but total deal size remains the key focus [78][80] Question: Competitive environment changes - Management stated that the competitive landscape remains stable, with CyberArk uniquely positioned to address comprehensive identity security needs [85][91]

May 2025 Investor Relations Presentation © 2025 CyberArk Software Ltd. All rights reserved. Cautionary Language Concerning Forward-Looking Statements This presentation contains forward-looking statements, which express the current beliefs and expectations of CyberArk's (the "Company") management. In some cases, forward-looking statements may be identified by terminology such as "believe," "may," "estimate," "continue," "anticipate," "intend," "should," "plan," "expect," "predict," "potential" or the negativ ...