Cybersecurity company Check Point Software Technologies (Nasdaq: CHKP) ended 2022 with 7.5% revenue growth, higher than in previous years. 2022 revenue totaled over $2.3 billion, of which $683 million was recorded in the fourth quarter of the year, handily beating the consensus analysts’ estimate. Revenue growth in 2021 was 4.9%. Non-GAAP earnings per share were also above the estimates, at $2.45 for the fourth quarter and $7.40 for 2022 as a whole.
"We delivered solid fourth quarter and 2022 full year financial results despite a volatile year-end macro-environment. Revenue and non-GAAP earnings per share came in at the top end of our projections," said Check Point co-founder and CEO Gil Shwed. "We continued building the future of cyber security with the prevention-first Infinity architecture and realized triple-digit growth in Infinity revenues."
Fourth quarter revenue grew 6.6% to $638 million, of which $440 million was form products and security subscriptions, and the rest from software updates and maintenance. On a GAAP basis, net profit in the quarter was $270 million, which compares with $260 million in the corresponding quarter of 2021. On a non-GAAP basis, excluding various accounting items, quarterly net profit was $301 million, 2.4% higher than in the corresponding quarter.
For 2022 as a whole, as mentioned, revenue totaled $2.3 billion, with growth both in products and security subscriptions and in software updates and maintenance. Higher expenses on a GAAP basis led to a 2.6% decline in operating profit to $884 million, and a 2.3% decline in net profit to $797 million. On a non-GAAP basis, the net profit for the year was $935 million, similar to the figure for 2021.
At the end of 2022, Check Point had $3.5 billion in ash and investments, after generating cash flow of $230 million in the fourth quarter and using $325 million to buy back its own shares at an average price of $125 per share. Check Point has a market cap of $15.9 billion.
Published by Globes, Israel business news - en.globes.co.il - on February 13, 2023.
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