CrowdStrike leans on AI to deliver a stronger revenue forecast
CrowdStrike has lifted its outlook for the fourth quarter, saying demand for AI powered security tools is driving the company’s pipeline to record levels. The cybersecurity firm now expects revenue between $1.29 billion and $1.30 billion, comfortably ahead of analyst estimates of $1.22 billion, according to figures compiled by LSEG.
Shares rose about 1 per cent in extended trading after the announcement. The improved guidance comes as CrowdStrike continues to add AI driven features to its Falcon platform, including new detection and triage tools launched in September. The push is part of a broader strategy to offer more integrated security operations to customers who are tired of managing fragmented systems.
“We are capitalizing on the AI driven demand environment as customers consolidate on the Falcon platform,” said chief financial officer Burt Podbere, noting that the company’s sales pipeline has reached an all time high.
The upbeat forecast marks a shift in tone for the Texas based firm, which spent part of last year rebuilding its reputation after a faulty software update caused widespread outages across Windows machines and disrupted everything from hospitals to airports.
Demand for cybersecurity remains strong as companies continue to invest in systems that can counter increasingly sophisticated digital threats. For the third quarter, CrowdStrike reported revenue of $1.23 billion, a 22 per cent increase and slightly ahead of expectations.
The company has also raised its full year revenue outlook to $4.80 billion to $4.81 billion, a sign that the momentum behind AI powered security tools is not slowing down yet.
