Zscaler Reports Strong Q1 Fiscal 2025 Results, Seeing Significant Revenue and Billings Growth

Zscaler Inc. (NASDAQ: ZS) has released its first-quarter fiscal 2025 financial results, showcasing robust growth across several key metrics. The company reported a 26% year-over-year increase in revenue, reaching $628.0 million. Calculated billings also saw a 13% increase to $516.7 million, while deferred revenue grew by 27% to $1,783.7 million.

Zscaler reduced its GAAP net loss to $12.1 million from $33.5 million in the same period last year. Non-GAAP net income for the quarter was $124.3 million. The company generated $291.9 million in free cash flow, which represents 46% of its revenue. Notably, Zscaler’s cloud security platform processed over half a trillion daily transactions, marking a significant operational milestone.

For the second quarter of fiscal 2025, Zscaler expects revenue to be between $633-635 million and non-GAAP net income per share to range from $0.68 to $0.69. These projections indicate continued confidence in the company’s growth trajectory.

In related news, the Healthcare of Ontario Pension Plan Trust Fund reduced its position in Zscaler shares by 28.2% during the third quarter, selling 3,885 shares. However, other institutional investors, such as DekaBank Deutsche Girozentrale, increased their holdings in the company during the same period.