Zscaler (ZS) Q4 2025 Earnings
How Did ZS Stock React to Q4 2025 Earnings?
S&P 500 over the same 30 days: +3.96%.
Did ZS Beat Earnings? Q4 2025 Results
Yes. Zscaler reported Q4 2025 earnings of $0.89 a share on Sep 2, 2025, beating the $0.80 consensus estimate by 11.0%. Revenue was $719.2M against a $707.1M estimate.
Zscaler closed fiscal 2025 on a high note, delivering a fourth quarter that beat Wall Street on both the top and bottom lines and reinforced the company's standing as a centerpiece of enterprise cloud security. Non-GAAP EPS of $0.89 cleared the $0.80 consensus by 11.25%, while revenue of $719.23 million topped estimates by 1.71% and grew 21.3% year over year, driven in large part by annual recurring revenue crossing the $3.02 billion threshold, a 22% year-over-year gain that signals durable demand for Zero Trust and AI-driven security architectures. Calculated billings surged 32% to $1.20 billion, and deferred revenue climbed to $2.47 billion, providing substantial forward visibility heading into fiscal 2026. <a href="https://247wallst.com/investing/2025/09/02/live-will-zscaler-surge-after-earnings/">Investors watching the print</a> will also note that management guided full-year fiscal 2026 revenue of roughly $3.27 billion to $3.28 billion, representing approximately 22% growth at the midpoint, with non-GAAP EPS of $3.64 to $3.68, implying continued margin expansion as enterprise adoption of AI security solutions accelerates.
- 21% year-over-year revenue growth driven by Zero Trust and AI security demand
- 32% year-over-year calculated billings growth to $1.2 billion
- 22% ARR growth reaching $3.015 billion milestone
- 30% year-over-year deferred revenue growth indicating strong forward visibility
- Highest ever non-GAAP operating margin for a quarter at 22%
“We had an outstanding Q4, in which we achieved a new milestone of more than $3 billion of Annual Recurring Revenue while achieving our highest ever operating margin for a quarter. We believe Zscaler's Zero Trust and AI security solutions are imperative in today's world and are driving robust demand.”
Zscaler CEO, on the earnings call
What Was Zscaler's Outlook in Q4 2025?
For Q1 fiscal 2026, Zscaler expects revenue of $772 million to $774 million, non-GAAP operating income of $166 million to $168 million, and non-GAAP EPS of approximately $0.85 to $0.86 on ~167 million diluted shares. For full-year fiscal 2026, the company expects ARR of $3.676 billion to $3.698 billion, revenue of approximately $3.265 billion to $3.284 billion, non-GAAP operating income of $728 million to $736 million, and non-GAAP EPS of $3.64 to $3.68 on approximately 169 million diluted shares, all assuming a 23% non-GAAP tax rate.
ZS YoY Financials
| Metric | Q4 2025 | Q4 2024 | Year over year |
|---|---|---|---|
| Revenue | $719.2M | $592.9M | +21.3% |
| Gross Profit | $547.0M | $462.1M | +18.4% |
| Operating Income | −$32.2M | −$43.3M | −25.6% |
| Net Income | −$17.6M | −$21.5M | −18.2% |
Figures from SEC filings and company reports. Not investment advice.