Q3 25 EPS

$0.84

BEAT +10.77%

Est. $0.76

Q3 25 Revenue

$678.0M

BEAT +1.64%

Est. $667.1M

vs S&P Since Q3 25

-69.2%

TRAILING MARKET

ZS -46.4% vs S&P +22.8%

Market Reaction

Did ZS Beat Earnings? Q3 2025 Results

Zscaler delivered a convincing fiscal Q3 2025, posting revenue of $678.03 million, up 22.6% year-over-year and ahead of the $667.10 million consensus, while non-GAAP EPS of $0.84 cleared the $0.76 estimate by 10.77%, reflecting strong operating lever… Read more Zscaler delivered a convincing fiscal Q3 2025, posting revenue of $678.03 million, up 22.6% year-over-year and ahead of the $667.10 million consensus, while non-GAAP EPS of $0.84 cleared the $0.76 estimate by 10.77%, reflecting strong operating leverage across its Zero Trust Exchange platform. The results were underpinned by calculated billings rising 25% to $784.51 million and deferred revenue climbing 26% to $1.99 billion, metrics that signal the kind of durable forward demand driving analyst optimism and, in some corners, price targets well above current trading levels. CEO Jay Chaudhry pointed to an explosive surge in enterprise AI and ML tool usage, up over 3,000% in the past year, as a core tailwind reinforcing the urgency of Zscaler's security offerings. Looking ahead, the company raised its full-year FY2025 revenue outlook to approximately $2.66 billion and guided Q4 revenue to $705 million to $707 million, with non-GAAP EPS of $0.79 to $0.80.

Key Takeaways

  • 23% year-over-year revenue growth driven by expanding Zero Trust Exchange platform adoption
  • 25% year-over-year growth in calculated billings to $784.5 million
  • 26% year-over-year growth in deferred revenue to $1,985.0 million
  • Non-GAAP operating margin maintained at 22% of revenue
  • Enterprise AI/ML tool usage increased over 3,000% in the past year, increasing demand for AI security
24/7 Wall St

ZS YoY Financials

Q3 2025 vs Q3 2024, source: SEC Filings

“We delivered outstanding Q3 results as an increasing number of customers adopt our expanding Zero Trust Exchange platform. We enable customers to realize Zero Trust Everywhere while lowering operational cost and complexity.”

— Jay Chaudhry, Q3 2025 Earnings Press Release