CyberArk posts $1 billion in revenue with 33% growth and acquires Zilla for $165M
The acquisition of Zilla and strong earnings propel CyberArk to new heights as it nears a $20 billion market valuation.
CyberArk is coming off one of the best years in its history, positioning itself among the top Israeli companies on Wall Street. The cybersecurity firm, which specializes in identity management, has seen its stock surge 45% over the past year after successfully transitioning to a subscription-based software sales model. As a result, CyberArk is now trading at a valuation approaching $20 billion, with shares continuing to climb in pre-market trading in New York.
The company is reporting that its 2024 revenue will reach $1 billion, reflecting 33% year-over-year growth. Its annual recurring revenue (ARR) has climbed to $1.1 billion, while subscription revenue has surged 68% compared to 2023, reaching $977 million.
CyberArk completed the acquisition of U.S.-based Venafi for $1.5 billion in the third quarter of 2024, and for the first time, consolidated its financial results in its latest earnings report. As a result, fourth-quarter revenue jumped 41% year-over-year to $314 million.
Alongside its earnings report, CyberArk announced the acquisition of high-tech company Zilla for $165 million in cash, with an additional $10 million contingent on milestone achievements. Zilla has developed innovative technology for managing identities and permissions within organizations, further strengthening CyberArk’s position in the identity security market.
Annual operating profit, excluding certain accounting items, reached $151 million, representing 15% of total revenue. Free cash flow hit a record $221 million, while net profit almost tripled to $147.5 million, up from $52 million in 2023.
Looking ahead, CyberArk expects 2025 revenue to reach approximately $1.3 billion, maintaining its current growth rate of around 32%. Additionally, its operating profit margin is projected to rise to 17%, with net profit forecasted to increase to $220 million.
