ZS reported a weaker quarter and gave weaker guidance then I was hoping for. We’ve now seen multiple quarters of execution challenges from the company.
Revenue grows 48% year-over-year to $93.6 million
Calculated billings grow 37% year-over-year to $88.3 million
Deferred revenue grows 49% year-over-year to $245.9 million
GAAP net loss of $17.1 million compared to GAAP net loss of $7.6 million on a year-over-year basis
Non-GAAP net income of $4.1 million compared to non-GAAP net income of $2.3 million on a year-over-year basis
I believe their technology is great, but it’s a heavy lift for customers to implement which seems to be creating a challenging environment.
I’m leaning more heavily towards companies with much easier implementations.
AYX, DDOG, CRWD, ZM, WORK, etc.
I’m expecting strong reports from CRWD, ZM, MDB, and OKTA and hoping for some nice surprises from ESTC, PD, and WORK over the next two weeks.
Have a great night/day,