Palo Alto Jumps on Q3 Numbers

Palo Alto Networks (NASDAQ:PANW) shares rose Friday after the network security hardware maker announced fiscal third-quarter results that came in stronger than analysts had expected.

Earnings Per Share reportedly came in at $1.79, better than the $1.68 per share expected by analysts. Revenues registered at $1.39 billion, vs. $1.36 billion, expected by analysts.

Palo Alto Networks said revenue grew 29% year-over-year in the quarter, which ended on April 30, according to a statement. Revenue jumped 30% in the prior quarter.

“We saw strong top-line growth in Q3, which is a testament to our teams’ consistent execution in capitalizing on the strong cybersecurity demand trends,” Palo Alto Networks CEO Nikesh Arora was quoted as saying in the statement.

Palo Alto Networks has observed Russian cyberattacks since the war broke out during the quarter, and it’s seeing greater interest in protection from corporations and government agencies across Europe, Arora told analysts on a conference call.

In the quarter, Palo Alto announced a next-generation firewall tool available exclusively through Amazon’s (NASDAQ:AMZN) public cloud. The company also announced a tool to help companies detect vulnerabilities in software supply chains following issues stemming from malicious updates to SolarWinds’ Orion software.

Executives raised their guidance for the full fiscal year. They now expect adjusted earnings of $7.43 to $7.46 per share on $5.481 billion to $5.501 billion in revenue. Analysts had been looking for $7.29 in adjusted earnings per share on $5.46 billion in revenue.

PANW shares popped $42.44, or 9.7%, to $478.81 first thing Friday.