Palo Alto Networks Inc. Shares Gain On Q4 Rev Beat, Outlook

Palo Alto Networks Inc. PANW shares ticked up Tuesday after hours when the company posted higher-than-expected revenue for the fiscal fourth quarter and said top-line growth in the current quarter will beat consensus views. The Santa Clara, Calif., based network security company's Chief Executive Mark McLaughlin said increasing adoption of subscription services helped expand adjusted gross margin. Adjusted free cash flow grew 23 percent to $44.1 million. The company forecast first-quarter adjusted earnings of $0.12 a share, on revenue of $178 to $182 million. Wall Street expects earnings of $0.12 a share on revenue of $173.9 million. The fourth-quarter net loss widened to $32.1 million, or $0.41 a share, from $15.8 million, or $0.22 a share a year earlier. Adjusted income was $0.11 cents a share, up from $0.07 last year. Revenue grew 59 percent to $178.2 million, from $112.4 million a year earlier. Wall Street expected fourth-quarter adjusted earnings of $0.11a share, on revenue of $161.25 million. Palo Alto changed hands in extended trading recently at $92.60 a share, up 3.72 percent.