Zscaler stock falls as execs focus on 'challenging' environment after beat-and-raise earnings

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Zscaler stock falls as execs focus on 'challenging' environment after beat-and-raise earnings
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Zscaler Inc.'s shares swung to a loss Tuesday after hours following an initial surge after the cybersecurity company's strong quarter and outlook.

Zscaler Inc.’s shares swung to a loss in the extended session Tuesday after the cybersecurity company’s strong quarter and outlook topped Wall Street’s expectations but executives said deals were taking longer to close in the current business environment.

“The global macro environment remains uncertain,” Chief Financial Officer Remo Canessa further explained, adding that with growing economic uncertainty, they were “mindful” in this environment that closing deals within 90 days “remains challenging.” Zscaler forecast full-year earnings of $2.20 to $2.25 a share on revenue of $2.05 billion to $2.07 billion and billings of $2.52 billion to $2.56 billion. Analysts had forecast $2.11 a share on revenue of $2.05 billion and billings of $2.47 billion.

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