SentinelOne Inc - Class A
Q2 2025 Earnings
Did S Beat Earnings? Q2 2025 Results
SentinelOne delivered a strong second quarter for fiscal year 2025, beating consensus estimates on both the top and bottom lines as accelerating platform adoption and margin discipline defined the period. Revenue came in at $198.94 million, edging past the $197.45 million consensus by 0.75% and growing 33.1% year-over-year, while non-GAAP EPS of $0.01 topped the $0.00 consensus estimate, reflecting a swing from a non-GAAP net loss of $24.61 million in the year-ago quarter. Annualized recurring revenue reached $806 million, up 32% year-over-year, as the company benefited from what management described as a distinct rise in customer interest following high-profile security failures at a larger endpoint competitor. Non-GAAP gross margin expanded to 80%, up from 77% a year ago, driven by data processing efficiencies and deeper adoption of the Singularity Platform. Looking ahead, SentinelOne raised its full-year FY2025 revenue guidance to approximately $815 million, implying 31% growth, and guided Q3 revenue to approximately $209.50 million, with management expecting new business momentum to build through the second half of the year.
- 33% year-over-year revenue growth driven by broad-based demand across businesses of all sizes and geographies
- ARR grew 32% y/y to $806 million with double-digit net new ARR outperformance versus expectations
- Non-GAAP gross margin expanded to 80% from 77% driven by increasing scale, data efficiencies, and platform adoption
- 12th consecutive quarter of double-digit operating margin improvement
- Endpoint security continues as significant growth driver with fastest market share gains among top 10 vendors per IDC
- International revenue represented 37% of total revenue, growing 36% y/y
- Emerging solutions (Data, Purple AI, Cloud) outpaced overall company growth rate
“Based on strong execution and broad based demand, SentinelOne delivered exceptional results with industry-leading growth and our first ever quarter of positive net income and earnings per share.”
SentinelOne CEO, on the earnings call
Forward Guidance & Outlook
SentinelOne raised its full-year FY2025 revenue guidance to approximately $815 million (reflecting 31% y/y growth), up from the prior range of $808-$815 million. Q3 FY2025 revenue is expected to be approximately $209.5 million (28% y/y growth). Non-GAAP gross margin is expected at approximately 79% for both Q3 and full-year FY2025. Non-GAAP operating margin is guided at (3)% for Q3 and (5)% to (3)% for full-year FY2025, representing approximately 15 percentage points of y/y improvement. The company expects new business growth trends to improve in the second half of the year, supported by increasing enterprise interest in its Singularity Platform and differentiated AI architecture.
S YoY Financials
Figures from SEC filings and company reports. Not investment advice.