What happened

Shares of Forescout Technologies (FSCT) have jumped today, up by 12% as of 11 a.m. EST, after the company reported fourth-quarter earnings results. The cybersecurity specialist crushed expectations and issued a strong forecast for 2019.

So what

Revenue in the fourth quarter increased 35% to $84.7 million, well ahead of the consensus estimate that called for $77.8 million in sales. That translated into a non-GAAP net loss of $0.4 million, or $0.01 per share, which was much better than the $0.25 per share in adjusted losses that analysts were expecting. Forescout generated $5.2 million in free cash flow during the quarter.

Person typing on a laptop with a cybersecurity icon

Image source: Getty Images.

"We had an outstanding fourth quarter, finishing out our first full year as a publicly traded company on a high note with strong revenue growth and positive cash flow for the year," CEO Michael DeCesare said in a statement. "The quarter was marked by a record number of new customer additions, some marquee customer wins across a diverse mix of industry verticals, strong international growth, and large expansion deals with notable existing customers."

Check out the latest Forescout earnings call transcript.

Now what

Forescout also issued guidance for the first quarter and full-year 2019. Revenue in the first quarter is expected to be $71.9 million to $74.9 million, which should lead to a non-GAAP operating loss of $17.7 million to $18.7 million and a non-GAAP net loss per share of $0.43 to $0.45. The Street is expecting the company to post $71.6 million in sales and an adjusted loss of $0.33 per share in the first quarter.

The full-year 2019 outlook sees revenue of $363.1 million to $373.1 million, easily topping expectations of $347.8 million in sales. That should lead to a non-GAAP operating loss of $12 million to $16 million, and a non-GAAP net loss of $0.37 to $0.45 per share, while analysts are modeling for an adjusted loss of $0.43 per share.