Israeli cybersecurity company Check Point Software Technologies Limited (Nasdaq: CHKP) beat analysts in its financial results for the first quarter of 2024. The company reported non-GAAP earnings per share of $2.04, up 13% from the corresponding quarter of 2023, and revenue of $598.8 million, up 6%. For the corresponding quarter. The analyst consensus was for $2 per share and revenue of $594.9 million.
The company also beat its own guidance of $2 per share on revenue of $592.5 million. In 2024, Check Point expects revenue growth of 6% with revenue rising to $2.625 billion in 2024 from $2.475 billion in 2023 and non-GAAP earnings per share of $8.7-9.3 per share. Analysts see EPS of $9.07 and revenue of $2.56 billion.
The company had $3.04 billion at the end of the first quarter, down from $3.62 billion at the end of the corresponding quarter in 2023. Cash flow was $361 million in the first quarter compared to $386 million in the first quarter of 2023. Check Point's quarterly Repurchased shares for $325 million.
“The first quarter delivered great results with revenue and earnings per share at the top of our expectations,” said Gil Schwed, Founder and CEO of Check Point. “We achieved strong double-digit growth in Infinity Platform agreements, which now make up more than 13% of total revenue. Our total recurring revenue now represents 83% of total revenue.
He added: “We have introduced Quantum Force, a new line of security gateways that empower organizations of all sizes with next-generation firewall technology. Additionally, we have launched new technologies including Harmony SaaS that protects SaaS platforms and data.” , and Infinity AI Copilot, an artificial intelligence system.” A supported security assistant that enhances security effectiveness across organizations.”
Check Point's stock price closed 0.12% higher on Wall Street yesterday at $161, giving a market cap of $18.2 billion, near its all-time high. Check Point is the second-largest Israeli company traded on Wall Street after Mobileye, which has a market capitalization of $25 billion.
Check Point is searching for a new CEO after co-founder Gil Schwed said earlier this year that he would step down after more than 30 years in the role and become CEO. Shwed's wages in 2023 were NIS 17.9 million, down from $22.6 million in 2022.
At the end of 2023, Check Point had 6,450 employees, including 2,672 in Israel – a 6% increase from the previous year.
Published by Globes, Israel Business News – en.globes.co.il – on April 25, 2024.
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