Israeli cybersecurity company Check Point Software Technologies Ltd. (Nasdaq: CHKP) has beaten the profit forecasts for the second quarter of 2023, despite a realtively modest growth in revenue. The company reported revenue of $589 million for the second quarter of 2023, up 3.1% from the corresponding quarter of 2022 but lower than the revenue growth reported last quarter.
Non-GAAP net profit in the second quarter was $238 million, up 13.9% from the corresponding quarter of last year, with non-GAAP earnings per share of $2.11, higher than the analysts' forecast and its own guidance. Check Point's GAAP net profit in the second quarter of 2023 was $202 million, up 16.4% from the corresponding quarter of 2022.
At the end of the second quarter, Check Point had $3.5 billion in cash compared with $3,68 billion as of June 30, 2022. Cash flow from operations was $191 million compared with $212 million in the second quarter of 2022.
Check Point founder and CEO Gil Shwed said, "The second quarter delivered robust profitability with over 22% growth in EPS. Our platform security strategy realized continued success, as Infinity revenues surpassed 10% of total revenues for the quarter. This was further emphasized by a 14% increase in security subscription revenues that encompasses our advanced security solutions such as ThreatCloud AI, CloudGuard, and Harmony E-mail. This mitigated some of the impact from customers delaying network security refresh projects. As we move forward, our priority remains driving revenue growth by delivering a prevention-first approach, with a focus on collaborative cyber security where multiple products work in concert to protect against the most sophisticated threats."
Check Point's share price rose 1.12% on Nasdaq yesterday to $128.71, giving a market cap of $15.543 billion.
Published by Globes, Israel business news - en.globes.co.il - on July 26, 2023.
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