When Zscaler Inc. (NASDAQ: ZS) released its fiscal first-quarter financial results after markets closed on Wednesday, the firm said that it had a $0.14 in earnings per share (EPS) and $142.6 million in revenue. That topped consensus estimates of $0.06 in EPS and $132.32 million in revenue, as well as $0.04 in EPS and $93.59 million in revenue posted in the same period last year.

For the most recent quarter, deferred revenue increased 51% year over year to $371.9 million, while calculated billings grew 64% to $144.7 million.

Cash provided by operations totaled $53.5 million during this quarter, compared to $21.4 million in the same period from last year. Free cash flow was $42.2 million, up from $9.4 million in the same period last year

On the books, Zscaler’s cash, cash equivalents and short-term investments totaled $1.42 billion at the end of the quarter, up from $1.37 billion at the end of the previous fiscal year.

Looking ahead to the fiscal second quarter, the company expects to see EPS in the range of $0.07 to $0.08 and total revenue of $146 million to $148 million. Consensus estimates call for $0.07 in EPS and $140.28 million in revenue for the quarter.

Management noted that customers are accelerating their digital transformation and this drove strong first-quarter results. The firm’s visibility and business momentum remain strong, and management is pleased to increase its guidance.

Zscaler stock closed Wednesday at $146.79, in a 52-week range of $35.00 to $163.80. The consensus price target is $153.79. Following the announcement, the stock was up about 11% at $163.00 in early trading indications Thursday.

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