Newton, Mass. and Petach Tikvah, Israel – November 3, 2016 – CyberArk (NASDAQ: CYBR), the company that protects organizations from cyber attacks that have made their way inside the network perimeter, today announced record financial results for the third quarter ended September 30, 2016.
“CyberArk’s record revenues in the third quarter were driven by strong global demand across verticals as organizations continue to prioritize privileged account security,” said Udi Mokady, CyberArk Chairman and CEO. “Our results demonstrate that companies of all sizes are choosing CyberArk as a strategic partner to help protect their most valuable assets on premise and in the cloud. Our investments in product innovation, expanding our sales and marketing engine and growing our partner ecosystem, are strengthening our position as the leader in privileged account security.”
Financial Highlights for the Third Quarter Ended September 30, 2016
- Total revenue was $55.0 million, up 37% compared with the third quarter of 2015.
- License revenue was $33.3 million, up 34% compared with the third quarter of 2015.
- Maintenance and Professional Services revenue was $21.7 million, up 42% from the third quarter of 2015.
- GAAP operating income was $8.1 million for the quarter, compared to $8.3 million in the third quarter of 2015.
- Non-GAAP operating income was $14.3 million for the quarter, up from $11.1 million in the third quarter of 2015.
- GAAP net income was $7.1 million, or $0.20 per diluted share, compared to GAAP net income of $6.8 million, or $0.19 per diluted share, in the third quarter of 2015.
- Non-GAAP net income was $11.8 million, or $0.33 per diluted share, compared to $9.2 million, or $0.26 per diluted share, in the third quarter of 2015.
The tables at the end of this press release include a reconciliation of GAAP to non-GAAP operating income and net income for the three months and nine months ended September 30, 2016 and 2015. An explanation of these measures is also included below under the heading “Non-GAAP Financial Measures.”
Balance Sheet and Cash Flow:
- As of September 30, 2016, CyberArk had $274.6 million in cash, cash equivalents, marketable securities and short-term deposits, compared to $238.3 million as of December 31, 2015.
- During the first nine months of 2016, the Company generated $36.2 million in cash flow from operations, compared to $40.3 million in the first nine months of 2015.
Based on information available as of November 3, 2016, CyberArk is issuing guidance for the fourth quarter and full year 2016 as indicated below.
Fourth Quarter 2016:
- Total revenue is expected to be in the range of $62.0 million to $63.0 million which represents 20% to 22% year-over-year growth.
- Non-GAAP operating income is expected to be in the range of $14.7 million to $15.5 million.
Non-GAAP net income per share is expected to be in the range of $0.31 to $0.33 per diluted share. This assumes 36.2 million weighted average diluted shares.
Full Year 2016:
- Total revenue is expected to be in the range of $214.3 million to $215.3 million which represents 33% to 34% year-over-year growth.
- Non-GAAP operating income is expected to be in the range of $53.3 million to $54.1 million.
Non-GAAP net income per share is expected to be in the range of $1.16 to $1.18 per diluted share. This assumes 35.9 million weighted average diluted shares.
Conference Call Information
CyberArk will host a conference call on today, Thursday, November 3, 2016 at 8:30 a.m. Eastern Time (ET) to discuss the company’s third quarter financial results and its business outlook. To access this call, dial +1 844-237-3590 (U.S.) or +1 484-747-6582 (international). The conference ID is 93447199. Additionally, a live webcast of the conference call will be available via the “Investor Relations” section of the company’s web site at www.cyberark.com. Following the conference call, a replay will be available for one week at +1 855-859-2056 (U.S.) or +1 404-537-3406 (international). The replay pass code is 93447199. An archived webcast of the conference call will also be available in the “Investor Relations” section of the company’s web site at www.cyberark.com.