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Palo Alto (PANW) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates
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For the quarter ended January 2024, Palo Alto Networks (PANW - Free Report) reported revenue of $1.98 billion, up 19.3% over the same period last year. EPS came in at $1.46, compared to $1.05 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $1.97 billion, representing a surprise of +0.22%. The company delivered an EPS surprise of +12.31%, with the consensus EPS estimate being $1.30.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Palo Alto performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Billings: $2.35 billion versus the 13-analyst average estimate of $2.36 billion.
RPO (Remaining Performance Obligation): $10.8 billion versus the five-analyst average estimate of $10.64 billion.
Revenue- Product: $390.70 million compared to the $361.71 million average estimate based on 14 analysts. The reported number represents a change of +10.7% year over year.
Revenue- Subscription and support: $1.58 billion compared to the $1.61 billion average estimate based on 14 analysts. The reported number represents a change of +21.7% year over year.
Revenue- Subscription and support- Support: $557.30 million compared to the $566.62 million average estimate based on four analysts. The reported number represents a change of +14.5% year over year.
Revenue- Subscription and support- Subscription: $1.03 billion versus $1.04 billion estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +26% change.
Subscription and support gross profit Non-?GAAP: $1.23 billion compared to the $1.23 billion average estimate based on 12 analysts.
Product gross profit Non-GAAP: $305.90 million compared to the $277.70 million average estimate based on 12 analysts.
Shares of Palo Alto have returned +6% over the past month versus the Zacks S&P 500 composite's +3.6% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.
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Palo Alto (PANW) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates
For the quarter ended January 2024, Palo Alto Networks (PANW - Free Report) reported revenue of $1.98 billion, up 19.3% over the same period last year. EPS came in at $1.46, compared to $1.05 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $1.97 billion, representing a surprise of +0.22%. The company delivered an EPS surprise of +12.31%, with the consensus EPS estimate being $1.30.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Palo Alto performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Billings: $2.35 billion versus the 13-analyst average estimate of $2.36 billion.
- RPO (Remaining Performance Obligation): $10.8 billion versus the five-analyst average estimate of $10.64 billion.
- Revenue- Product: $390.70 million compared to the $361.71 million average estimate based on 14 analysts. The reported number represents a change of +10.7% year over year.
- Revenue- Subscription and support: $1.58 billion compared to the $1.61 billion average estimate based on 14 analysts. The reported number represents a change of +21.7% year over year.
- Revenue- Subscription and support- Support: $557.30 million compared to the $566.62 million average estimate based on four analysts. The reported number represents a change of +14.5% year over year.
- Revenue- Subscription and support- Subscription: $1.03 billion versus $1.04 billion estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +26% change.
- Subscription and support gross profit Non-?GAAP: $1.23 billion compared to the $1.23 billion average estimate based on 12 analysts.
- Product gross profit Non-GAAP: $305.90 million compared to the $277.70 million average estimate based on 12 analysts.
View all Key Company Metrics for Palo Alto here>>>Shares of Palo Alto have returned +6% over the past month versus the Zacks S&P 500 composite's +3.6% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.