June 3, 2025 — CrowdStrike Holdings, Inc. (NASDAQ: CRWD) reported its fiscal first-quarter 2026 earnings, revealing adjusted earnings per share (EPS) of $0.73, surpassing analyst expectations of $0.66. Revenue for the quarter reached $1.10 billion, marking a 20% year-over-year increase, though slightly below the anticipated $1.11 billion. [Barron’s]
Despite the earnings beat, shares of CrowdStrike fell by over 6% in after-hours trading, influenced by the company’s Q2 revenue forecast ranging between $1.14 billion and $1.15 billion, which falls short of the $1.16 billion projected by analysts. The company attributes this to softer spending from government and enterprise clients amid macroeconomic challenges such as high interest rates and persistent inflation. [Reuters]
Key performance metrics include:
- Annual Recurring Revenue (ARR) increased 22% year-over-year to $4.44 billion, slightly exceeding estimates.
- Net new ARR stood at $194 million, reflecting headwinds from customer renewal negotiations following a major 2024 software-induced global IT outage.
- Free cash flow impact of $29 million anticipated in Q2 due to the previous outage and related costs.
In response to the stock’s decline, CrowdStrike’s board approved a $1 billion share repurchase program to support its valuation. Analysts maintain a positive outlook on the company’s long-term growth, citing its expansion into comprehensive cybersecurity solutions and the increasing demand for integrated security platforms. [Investor’s Business Daily]
As of the market close on June 3, 2025, CrowdStrike’s stock price stood at $488.76, reflecting a year-to-date gain of 43%, despite the recent dip following the earnings announcement.
