Data Security Company Beats Expectations

  • Varonis Systems’ shares rise 10% following Q2 results
  • Q2 loss narrower than expected at $23.9m vs analysts’ forecast of $34.7m
  • Revenue up to $130.3m from $115.4m in the same quarter last year
  • Term license subscription revenue increases to $62.7m from $85.4m in Q2 2023
  • Maintenance and services revenue at $22.8m vs $24.3m in Q2 2023
  • Third quarter revenue forecast: $140m-$143m, adjusted EPS 7-8 cents
  • Full year revenue forecast: $544m-$552m, adjusted EPS 22-24 cents

Varonis Systems shares rose by 10% to $53.53 after the company reported a narrower-than-expected second-quarter loss of $23.9 million, or 21 cents per share, compared to last year’s $38.7 million loss. Revenue increased from $115.4 million in Q2 2023 to $130.3 million this quarter, surpassing analysts’ expectations of $124.8 million. Term license subscription revenue grew to $62.7 million from $85.4 million in the same period last year, while maintenance and services revenue stood at $22.8 million compared to $24.3 million in Q2 2023. For the third quarter, Varonis anticipates revenue of $140-$143 million and adjusted EPS of 7-8 cents, exceeding analysts’ expectations of $141 million and 7 cents. The company forecasts full-year revenue of $544-$552 million and adjusted EPS of 22-24 cents, surpassing the $548.5 million and 23 cents predicted by analysts.

Factuality Level: 10
Factuality Justification: The article provides accurate information about Varonis Systems’ financial performance, including specific numbers and comparisons to previous quarters and analysts’ expectations. It also includes the company’s forecast for future revenue and earnings.
Noise Level: 6
Noise Justification: The article provides financial information about Varonis Systems’ quarterly performance, including losses, revenue, and future projections. While it does not delve into any in-depth analysis or provide actionable insights for readers, it is relevant to investors interested in the company’s financial performance.
Public Companies: Varonis Systems (VRNS)
Key People: Chris Wack (Author)

Track all markets on TradingView

Financial Relevance: Yes
Financial Markets Impacted: Varonis Systems stock price
Financial Rating Justification: The article discusses Varonis Systems’ financial performance, including its quarterly loss and revenue, which can impact the company’s stock price and potentially affect investors in the financial markets.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no mention of an extreme event in the article.

Reported publicly: www.marketwatch.com