CrowdStrike’s stock climbed more than 11% in extended trading following the release of stronger-than-expected fiscal second-quarter earnings. The cybersecurity company reported revenue of $1.17 billion year over year, representing a 26% increase, and CEO George Kurtz characterized the quarter as the strongest in company history.
The company attributed much of its growth momentum to increased enterprise demand for security solutions tied to artificial intelligence threats. Kurtz highlighted what he termed the “Mythos moment,” referencing Anthropic’s release of an advanced model capable of identifying previously unknown software vulnerabilities, as a catalyst for widespread market acceptance that AI adoption requires robust security infrastructure. Annual recurring revenue grew 25% year over year to $5.84 billion, including record net new annual recurring revenue of $333 million. The company swung to profitability, reporting net income of $5.3 million, or 1 cent per share, compared with a net loss of $70.2 million, or 7 cents per share, in the prior year.
CrowdStrike’s Falcon Flex offering, which enables customers to deploy and interchange different security tools within a unified platform, more than doubled compared with the same period a year ago. The company added 935 Flex accounts during the quarter, and these accounts represented its ten largest deals by transaction value. Finance Chief Burt Podbere noted that the platform approach is enabling larger, longer-term contract wins by delivering better outcomes at reduced costs for customers.
The company raised its full-year revenue guidance to a range of $5.99 billion to $6.01 billion and adjusted earnings per share between $1.25 and $1.26, both exceeding analyst estimates. For the third quarter, CrowdStrike projected revenue between $1.52 billion and $1.53 billion and adjusted earnings per share of 31 cents, figures largely aligned with market expectations. The stock has appreciated more than 61% through the year as agentic artificial intelligence applications have spurred heightened demand for cybersecurity solutions across the sector.
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