Palo Alto Networks PANW fiscal Q4 revenue up 34 percent to 3.4 billion on AI security demand, posts net loss on CyberArk acquisition costs
Palo Alto Networks $PANW fiscal Q4 revenue rose 34% to $3.4 billion as firms buy more security against AI-powered threats, up from 31% growth the prior quarter. Full-year revenue hit $11.5 billion, up 24%. The quarter still posted a net loss on CyberArk deal costs.
Palo Alto Networks $PANW reported fiscal fourth-quarter revenue of $3.4 billion, up 34% from a year earlier and an acceleration from 31% growth in the prior quarter. CEO Nikesh Arora attributed the pickup to companies increasing cybersecurity spending to defend against AI-powered threats. For the full fiscal year, revenue reached $11.5 billion, up 24%, while next-generation security recurring revenue climbed 63% to $9.1 billion. Despite the growth, the company posted a net loss for the quarter, compared with net income a year earlier, largely due to costs tied to its $25 billion acquisition of CyberArk. One AI agent-security product has grown past $120 million in annual recurring revenue, and its XSIAM threat-detection platform surpassed $700 million, up from $400 million a year prior. The numbers suggest AI is now as much a cybersecurity sales driver for the industry as it is a threat vector companies must defend against. Per company earnings release, CNBC.