Check Point delivers a robust report, market anticipating future forecast publication

The Israeli cybersecurity company Check Point, founded by Gil Shwed, exceeded analysts’ expectations in its recent report. The company reported adjusted earnings per share of $2.04, a 13% increase from the previous quarter, on revenues of $598.8 million, a 6% increase. This performance surpassed both analysts’ predictions and the company’s own forecast, which expected adjusted earnings of $2 per share on revenues of $594.9 million. For the full year, Check Point expected revenue growth of about 6% to between $2.475-2.625 billion and a net profit of $8.7-9.3 per share.

Looking ahead, analysts are awaiting the company’s forecast for the next quarter, which is expected to be released at 16:00. They anticipate an adjusted profit of $2.16 per share on revenues of $623.3 million. The company’s cash reserves decreased to $3.04 billion compared to the corresponding quarter, and its cash flow was also lower at $361 million. Check Point continued its tradition of share buybacks, repurchasing shares worth $325 million.

Gil Shwed, the founder and CEO of Check Point, highlighted the company’s strong performance in the first quarter, with revenue and EPS at the upper end of their forecasts. He mentioned the launch of new technologies such as Quantum Force and Harmony SaaS, which enhance the company’s cybersecurity offerings. Shwed announced his retirement as CEO after more than 30 years in the role, and the process of choosing a new CEO is underway.

Check Point’s stock is currently trading at $161 per share with a market value of approximately $18.2 billion. Shwed’s total salary increased by 17.9 million dollars in the last year, primarily in capital compensation. He owns more than a quarter of Check Point’s shares, valued at over $4.6 billion. The company has around 6,450 employees, with a 6% increase in the number of employees in Israel.

In conclusion, Check Point’s strong performance and leadership transition mark a significant milestone for the company as it continues to innovate and grow in the cybersecurity sector.