Netskope (NTSK) reported fiscal Q4 2025 results that exceeded analyst expectations across all key financial metrics, with revenue rising 23% year-over-year to $218 million and non-GAAP EPS reaching $0.14. The performance underscores robust demand in the cloud security market and strengthens investor confidence in the company’s growth trajectory.
- NTSK revenue reached $218 million in Q4 2025, a 23% year-over-year increase
- Non-GAAP EPS of $0.14 exceeded consensus of $0.09
- Annual Recurring Revenue (ARR) grew to $875 million, up 25% YoY
- Net dollar retention rate hit 128%
- Gross margin improved to 76.5% in Q4 2025
- Stock rose 12% in after-hours trading following earnings release
Netskope (NTSK) delivered a comprehensive earnings beat for its fiscal fourth quarter 2025, surpassing Wall Street’s consensus estimates on every major financial metric. Revenue climbed 23% year-over-year to $218 million, driven by strong expansion in its core cloud security platform and increased enterprise adoption across North America and Europe. Non-GAAP earnings per share reached $0.14, outperforming the projected $0.09, reflecting improved operational efficiency and higher gross margins of 76.5%. The company’s annual recurring revenue (ARR) grew to $875 million, a 25% increase from the prior year, signaling sustained customer retention and upsell momentum. Net dollar retention stood at 128%, indicating existing customers are not only maintaining subscriptions but significantly increasing spend. These results suggest Netskope is successfully capturing market share amid rising enterprise demand for zero trust and secure access service edge (SASE) solutions. The positive results are expected to influence investor sentiment across the broader cybersecurity sector, particularly for peers like Microsoft (MSFT) and Salesforce (CRM), which have integrated Netskope’s platform into their own cloud ecosystems. The earnings beat may also bolster confidence in cloud-native security vendors, especially those with strong product-market fit and predictable revenue models. Following the release, Netskope’s stock saw an immediate 12% jump in after-hours trading, reflecting market optimism. Analysts are revising upward their 2026 revenue and EPS forecasts, with some upgrading the stock to ‘buy’ from ‘hold’ based on the demonstrated ability to scale profitably.