CrowdStrike has posted stronger-than-expected first-quarter results for fiscal year 2027, with the cyber security firm reporting record annual recurring revenue growth and raising its full-year outlook as demand for AI-driven security platforms continues to accelerate.
The company reported total revenue of US$1.39 billion for the quarter ending 30 April 2026, up 26 per cent year on year from US$1.10 billion. Subscription revenue also increased 26 per cent to US$1.32 billion.
Annual recurring revenue (ARR) rose 24 per cent to US$5.51 billion, with net new ARR reaching a record US$255.8 million during the quarter. CrowdStrike also delivered strong profitability improvements, reporting generally accepted accounting principles (GAAP) net income of US$27.8 million, compared to a loss of US$104.3 million in the corresponding period last year.
Founder and chief executive George Kurtz said the convergence of cyber security and frontier artificial intelligence was creating a significant growth opportunity for the company.
“In Q1, the worlds of cyber security and frontier AI collided: this was the Mythos moment. CrowdStrike is AI security infrastructure, critical to successful AI adoption,” Kurtz said in a statement.
“Our record Q1 net new ARR, QuiltWorks coalition, and AIDR innovation are indicators of our own AI inflection point. We’re seeing platform adoption from existing customers, new logo lands, and increased partner engagement, each giving me the conviction to significantly raise our FY27 net new ARR guidance.”
Chief financial officer Burt Podbere said the company exceeded expectations across all major financial metrics while expanding margins and cash generation.
“CrowdStrike delivered strong Q1 results, exceeding expectations across all guided metrics while accelerating growth and expanding profitability and cash flow,” Podbere said.
“We delivered record Q1 net new ARR of US$256 million, record cash flow from operations of US$591 million, and record free cash flow of US$468 million.”
Podbere added that the company was now forecasting full-year net new ARR growth of 27.7 per cent at the midpoint, representing an acceleration over the previous fiscal year.
“Our record Q2 pipeline, continued strong retention, Falcon Flex momentum, and the AI technology wave are each tailwinds giving us conviction in CrowdStrike’s growth trajectory,” Podbere said.
The company also announced a four-for-one stock split. Shareholders on record as of 25 June 2026 will receive three additional shares for every share held, with split-adjusted trading expected to commence on 2 July 2026.
CrowdStrike ended the quarter with US$4.55 billion in cash and cash equivalents, while cash generated from operations climbed to a record US$590.9 million, up from US$384.1 million a year earlier. Free cash flow reached US$468.5 million, compared with US$279.4 million in the prior corresponding period.
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David Hollingworth
David Hollingworth has been writing about technology for over 20 years, and has worked for a range of print and online titles in his career. He is enjoying getting to grips with cyber security, especially when it lets him talk about Lego.