Okta Shares Jump 15% After $805 Million Q2 Beat as AI Security Demand Lifts Outlook
Updated
Updated · CNBC · Aug 26
Okta Shares Jump 15% After $805 Million Q2 Beat as AI Security Demand Lifts Outlook
3 articles · Updated · CNBC · Aug 26
Summary
Okta rose about 15% in extended trading after posting fiscal Q2 adjusted EPS of $1.05 on $805 million in revenue, beating LSEG estimates of 97 cents and $795 million.
Revenue grew 11% year over year, net income climbed to $116 million from $67 million, and remaining performance obligations reached $4.86 billion, topping the $4.70 billion analyst estimate.
AI security helped drive the beat: new products made up 30% of bookings, Okta closed dozens of AI deals, and management said agentic AI and AI-driven hacks are pushing companies to secure more identities.
Okta also raised full-year guidance to $3.22 billion-$3.23 billion in revenue and $3.90-$3.94 in adjusted EPS, above prior ranges and Wall Street's $3.84 EPS view.
The company closed its roughly $200 million Permiso Security acquisition on Wednesday and said it will keep pursuing smaller tuck-in deals as its shares extend a 55% gain this year.