According to a Markets and Markets report, the global cloud security market is projected to grow at a 15% CAGR from $34.5 billion in 2020 to reach $68.5 billion by 2025. Cloud services security provider Qualys (Nasdaq: QLYS) recently announced its first-quarter results that surpassed market expectations. The company continues to add product upgrades and partners to expand its market reach.

Qualys’s Financials

For the first quarter of the year, Qualys’s revenues grew 12% over the year to $96.8 million, surpassing the market’s estimates of $95.12 million. Net loss of $2.7 million was worse than a net income of $20.4 million a year ago. On an adjusted basis, it reported an EPS of $0.74, ahead of the market’s estimates of $0.68.

For the second quarter, Qualys forecast revenues of $98.6-$99.2 million, with adjusted earnings of $0.37-$0.39 a share. The market was looking for revenues of $97.74 million with an EPS of $0.65 for the quarter. Qualys expects to end the year with revenues of $402.5-$404.5 million and EPS of $1.06-$1.11. The market was looking for revenues of $400.76 million with an EPS of $2.66 for the year.

Qualys’s Product Expansion

During the quarter, Qualys announced the extension of its partnership with HCL technologies. The partnership will give HCL’s CyberSecurity Fusion Center (CSFC) customers access to Qualys’s Vulnerability Management, Detection, and Response (VMDR) solution, giving them access to an all-in-one, cloud-based app that automates the vulnerability management cycle. The partnership will also allow for the management of asset discovery and inventory, vulnerability assessment, policy configurations, and patch detection. HCL CSFC customers will also have the ability to manage configuration compliance with the Qualys Policy Compliance app.

It also announced the expansion of its endpoint security solution, by adding the ability to detect and block threats in real-time. The expansion is an addition to its cloud agent’s comprehensive capabilities of inventory, vulnerability management, patching and endpoint detection and response (EDR). As part of its end-point security expansion, it added the use of the VMDR product to Android and iOS devices. The solution will be able to give customers a holistic view of all Android/iOS devices and installed apps across their enterprise, provide real-time visibility and assessment of vulnerabilities, and an end-to-end solution for mobile device security.  

Qualys also recently released patch support for Linux systems. With the addition, Qualys Patch Management now supports patching for Linux, Windows, and third-party apps from the same console with a common workflow. Qualys realizes that organizations are migrating to the cloud and Linux is becoming a leading operating system for cloud platforms and servers. The patch will allow customers to remediate at scale and easily patch in a single click.

Qualys’s stock is currently trading at $97.06 with a market capitalization of $3.8 billion. It touched a 52-week high of $148.84 in January and a 52-week low of $86.65 in October last year.