What happened
Shares of CyberArk Software (CYBR +0.00%) have jumped today, up by 9% as of noon EST, after the company reported third-quarter earnings. The cybersecurity specialist easily crushed profit expectations.
So what
Revenue in the third quarter increased 31% to $84.7 million, which included $46.1 million in license revenue and $38.5 million in maintenance and professional services revenue. That all resulted in non-GAAP net income of $17.8 million, or $0.48 per share. Analysts were expecting CyberArk to post revenue of $78.7 million with an adjusted profit of $0.27 per share.
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CyberArk finished the quarter with $410 million in cash on the balance sheet, while deferred revenue -- an important metric for software-as-a-service (SaaS) companies -- rose 29% to $136 million.
Now what
"We exceeded our financial outlook across all guided metrics, while generating record revenue and non-GAAP operating income in the third quarter," CEO Udi Mokady said in a statement. "Our strong results reflect our success executing our growth strategy across sales and marketing as well as delivering innovative solutions that help strengthen customers' overall security posture on premises, in the cloud and across the DevOps pipeline. Given our strong leadership position in the privileged access security market and our performance year to date, we are pleased to raise our full year guidance for 2018."
In terms of outlook, CyberArk guided for fourth-quarter revenue of $94.75 million to $96.25 million, which should translate into adjusted earnings per share of $0.58 to $0.60. Both top- and bottom-line forecasts are ahead of consensus estimates, which call for $94.7 million in sales and an adjusted profit of $0.51 per share.
