Check Point beats analysts with Q2 results

The second quarter results of cybersecurity co Check Point Software Technologies Ltd. (Nasdaq: CHKP) beat the consensus analysts' estimates. They also beat the company's own guidance on profit, and met its revenue guidance. Quarterly revenue totaled $526 million, 4.1% more than in the second quarter of 2020. Revenue from products and security licenses grew 5.7% to $303 million, while revenue from software updates and maintenance grew 2% to $223 million.

On a GAAP basis, Check Point posted a net profit of $186 million for the second quarter, down from $196 million in the corresponding quarter of 2020, as operating expenses rose. On a non-GAAP basis, excluding various accounting items, net profit was $217 in the second quarter of 2021, which compares with $225 million in the corresponding quarter. Earnings per share were $1.61, which compares with $1.58 in the corresponding quarter, and Is $0.05 above the consesnsus analysts' estimate.

Check Point's cash flow from operations was $264 million in the second quarter, representing a 4% increase year over year. At the end of the quarter, the company had cash and cash equivalents of $4 billion. Check Point has a market cap of $16.7 billion.

For the first half year, Check Point's revenue totaled just over $1 billion, representing growth of 4.2% in comparison with the first half of 2020,and non-GAAP net profit was $428 million, which compares with $431 million in the first half of 2020.

Check Point co-founder and CEO Gil Shwed said, "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%.

"We’ve seen a 93% 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."

Published by Globes, Israel business news - en.globes.co.il - on July 26, 2021