Zscaler Posts Q2 Revenue Growth, Expands FY26 Outlook

(RTTNews) - Zscaler, Inc. (ZS) on Thursday reported strong revenue growth for its fiscal second quarter and first half of fiscal 2026, while net losses widened compared with the prior year period.

For the second quarter, revenue increased 26 percent to $815.8 million from $647.9 million a year earlier. For the first six months of fiscal 2026, revenue rose to $1.60 billion from $1.28 billion in the prior-year period.

The company posted a net loss of $34.3 million, or $0.21 per share, in the second quarter, compared with a net loss of $7.7 million, or $0.05 per share, a year earlier.

For the first half of fiscal 2026, net loss widened to $45.9 million, or $0.29 per diluted share, from $19.8 million, or $0.13 per share, in the prior-year period.

For the third quarter of fiscal 2026, Zscaler expects revenue of $834 million to $836 million, representing growth of 23%.

For the full fiscal year 2026, Zscaler raised its outlook and now expects annual recurring revenue of $3.73 billion to $3.75 billion, growth of 24%, up from prior guidance of $3.70 billion to $3.72 billion.

The company forecasts full-year revenue of approximately $3.31 billion to $3.32 billion, growth of 24%, up from previous guidance of $3.28 billion to $3.30 billion.

ZS is currently trading after market at $151.90, down $15.46 or 9.24 percent on the Nasdaq.