• Reported GAAP EPS of -$0.09 down -200.00% YoY • Reported revenue of $850.48M up 25.43% YoY • Zscaler expects Q4 FY26 revenue of $875M to $878M, with non-GAAP income from operations of $206M to $208M, and full year non-GAAP net income per share of $4.10 to $4.11, raised from prior guidance.
Bullish
Zscaler achieved strong Q3 FY26 financial growth with record non-GAAP operating margin and expanded ARR, driven by strategic AI-driven innovation, key partnerships, and market expansion, reinforcing its competitive position in cloud security.
Bearish
Zscaler experienced declining cash flow margins and increased GAAP net losses in Q3 FY26. The company also faces structural risks related to AI platform usage, rapid technological evolution, and competitive market dynamics.