A well-received quarterly earnings report was the news propelling SentinelOne's (S 6.50%) shares higher on Friday. In late-session trading the cybersecurity stock was up nearly 7% in value, a rate that looked particularly good given the S&P 500 index's 0.7% dip.
A $1 billion quarter
SentinelOne's second quarter of fiscal 2026 saw the company book just over $242 million in revenue for a rather impressive 22% improvement year over year. Zooming out some, annualized recurring revenue (ARR) rose by 24% to $1 billion, the first time it has reached the 10-figure level.
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The company also pointed out that the number of clients with ARR of $100,000 or more increased by 24%, to a total of 1,513.
On the bottom line, non-GAAP (adjusted) net income more than tripled, to $13.2 million ($0.04 per share), from the year-ago result of $3.5 million.
SentinelOne essentially met the consensus analyst estimate for revenue. It did edge past the average pundit forecast for adjusted net profit, which was $0.03 per share.
In its earnings release, SentinelOne attributed the improvements to its integration of technologies that resonate with clients, including artificial intelligence (AI).
It quoted CEO Tomer Weingarten as saying that its "results highlight the momentum of our AI-powered platform, strengthening competitive position, and growing product differentiation."
NYSE: S
Key Data Points
In-line revenue guidance
SentinelOne also proffered guidance for both its current (third) quarter and the entirety of fiscal 2026. For the latter period, it's forecasting revenue of $998 million to slightly over $1 billion, with adjusted operating margin landing at 3%. The consensus analyst estimate for revenue is slightly under $999 million.
The company did not provide any bottom-line guidance.
