CrowdStrike forecasts upbeat quarterly revenue as AI adoption fuels growth

Dec 2 (Reuters) – CrowdStrike forecast fourth-quarter revenue above analysts’ estimates on Tuesday, as the cybersecurity firm ​benefits from growing adoption of AI across its ‌product suite.

Shares of the company rose about 1% in extended trading.

The ‌company has been rolling out AI-driven features on its Falcon platform, including new detection and triage tools launched in September, as part of a broader push to consolidate ⁠security operations and attract ‌customers seeking integrated solutions.

“We are capitalizing on the AI-driven demand environment as customers consolidate ‍on the Falcon platform, driving our pipeline to an all-time high,” CFO Burt Podbere said.

The demand for cybersecurity continues to ​be robust, as companies ramp up investments in AI-powered ‌security systems to counter a surge in sophisticated digital threats, benefiting companies such as CrowdStrike.

The upbeat outlook marks a turnaround for the Texas-based firm, which faced reputational damage last year after a faulty software update triggered ⁠widespread outages on Windows systems, and ​disrupted hospitals, banks and airports.

CrowdStrike ​sees fourth-quarter revenue between $1.29 billion and $1.30 billion, compared with analysts’ estimates of $1.22 billion according to ‍data compiled by ⁠LSEG.

The company also increased its full-year revenue outlook to between $4.80 billion and $4.81 billion.

For the third quarter, the ⁠company posted revenue growth of 22% to $1.23 billion, compared with estimates ‌of $1.22 billion.

(Reporting by Kritika Lamba in Bengaluru; ‌Editing by Krishna Chandra Eluri)