Check Point Software (NASDAQ:CHKP) reports second-quarter results that top analyst estimates for profit with a softer revenue beat amid a heightened environment for ransomware attacks such as Colonial Pipeline and food distributor JBS.
Second-quarter revenue was up 4% year-over-year to $526.1M, about $2M ahead of consensus estimates. Earnings of $1.61 per share topped estimates by $0.05.
Software updates and maintenance revenue of $223.3M came in above the $222.8M that analysts expected.
Operating income totaled $257M or 49% of overall revenues.
Deferred revenues increased 10% to $1.47B.
Cash flow from operations totaled $264M, up 4%.
“We had a good second quarter. Strong execution drove double-digit growth across CloudGuard and Harmony, and triple-digit growth in Infinity platform sales. Overall we grew our security subscription revenues by 12 percent,” says Check Point founder and CEO Gil Shwed. “We’ve seen a 93 percent increase in ransomware attacks, as Gen V attacks are now the new norm. We believe organizations can stop the next cyber pandemic by adopting a prevention-first approach to security across the network, cloud and remote users.”
Earlier this month, Check Point extended its multi-cloud support with a new CloudGuard integration with Alibaba Cloud.