The global endpoint security market is expected to grow at a CAGR of 8% from $13.99 billion this year to $24.58 billion by 2028. CrowdStrike (Nasdaq: CRWD), a leader in the space, recently reported its second quarterly results.

CrowdStrike’s Financials

Last month, CrowdStrike reported its second-quarter results that surpassed market expectations. Revenues grew an impressive 70% to $337.7 million, ahead of the Street’s forecast of $351.85 million. Non GAAP EPS was $0.11, compared with the market’s forecast of an EPS of $0.09.

Subscription revenues grew 71% to $315.8 million. Professional services for the quarter grew from $14.72 million last year to $21.85 million.

Annual Recurring Revenue (ARR) increased 70% to $1.34 billion, of which $150.6 million was net new ARR added in the quarter.

Among key metrics, it added 1,660 net new subscription customers to end with 13,080 subscription customers at the end of April. Its subscription customers who have adopted four or more cloud modules increased to 66% and those who have adopted five or more cloud modules increased to 53%.

For the third quarter, CrowdStrike expects revenue of $358-$365.3 million with an adjusted net income per share of $0.08-$0.10. It expects to end the year with revenues of $1.39-$1.41 billion and a net income of $0.43-$0.49 per share. Analysts were forecasting revenues of $363.68 million and net income of $0.10 per share for the quarter and revenues of $1.36 billion and net income of $0.40 per share for the year.

CrowdStrike’s Expanding Products

CrowdStrike recently announced the availability and FedRAMP authorization of CrowdStrike Falcon Forensics. Falcon Forensics quickens response time and the remediation of critical security incidents for agencies by providing increased visibility and automated analysis of attacker activity. Falcon Forensics for GovCloud will help address endpoint detection and response (EDR), vulnerability management, and threat detection capabilities by providing deep-level forensic triage data. It will gather historical forensic artifacts needed to bring visibility into the full threat context without additional queries and deliver an automated analysis of attacker activity to help customers identify impacted environments at-scale and rapidly return to normal operations.  

Earlier last quarter, CrowdStrike also entered into a distribution agreement with Ingram Micro, the global technology and supply chain services provider. As part of the agreement, UAE-based Ingram Micro will train, quote, and fulfill CrowdStrike’s offerings to reseller partners in the region. The move will help CrowdStrike expand its presence within the SMB segment of the Middle Eastern geography.

Its stock is currently trading at $241.86 with a market capitalization of $55.2 billion. It had climbed to a 52-week high of $289.24 in August. The stock has recovered from the 52-week low of $118.10 it had fallen to in October last year.