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Net New ARR: $265 million, grew 73% year over year.

Ending ARR: $4.92 billion, 23% growth year over year.

Free Cash Flow: $296 million, 24% of revenue.

Operating Income: $265 million, 21% of revenue.

Total Revenue: $1.23 billion, 22% growth over Q3 last year.

Subscription Revenue: $1.17 billion, 21% growth over Q3 last year.

Non-GAAP Gross Margin: 78%.

Non-GAAP Subscription Gross Margin: 81% of revenue.

Non-GAAP Operating Expenses: $703.2 million, 57% of revenue.

Non-GAAP Net Income: $245.4 million, $0.96 per diluted share.

Cash and Cash Equivalents: $4.80 billion.

Q4 Revenue Guidance: $1.290 billion to $1.300 billion, 22% to 23% growth year over year.

FY26 Revenue Guidance: $4.797 billion to $4.807 billion, 21% to 22% growth over prior fiscal year.

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Release Date: December 02, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

CrowdStrike Holdings Inc (NASDAQ:CRWD) reported a record Q3 net new ARR of $265 million, growing 73% year over year, surpassing expectations by more than 10%.

The company achieved an all-time record operating income of $265 million, representing 21% of revenue.

CrowdStrike's Falcon Flex subscription model saw significant growth, with more than $1.35 billion in ending ARR, growing over 200% year over year.

The company's Next-Gen SIEM and cloud security offerings experienced strong demand, contributing to broad-based ARR acceleration.

CrowdStrike's partnership with AWS was strengthened, with Falcon Next-Gen SIEM being integrated into AWS's security console, expanding market reach.

CrowdStrike Holdings Inc (NASDAQ:CRWD) reported a GAAP net loss of $34 million, which included costs associated with a July 19 incident and acquisition-related expenses.

The company faced increased sales and marketing expenses due to their annual Fal.con conference, impacting operating expenses.

Despite strong performance, the company did not provide specific guidance on the impact of recent acquisitions, Pangea and Onum, on ARR.

There is a potential risk of increased competition in the SIEM market as CrowdStrike displaces legacy systems, which may require aggressive pricing strategies.

The company continues to face challenges in expanding its market share in the highly competitive cybersecurity industry, requiring ongoing innovation and strategic partnerships.

Q: Can you provide some color on how the emerging segments of the business are performing, particularly as you lap the initial CCP initiatives of last year? A: George Kurtz, CEO: The emerging products, including Next-Gen SIEM, Identity, and Cloud, have performed exceptionally well. Next-Gen SIEM has been a standout, delivering better outcomes and cost efficiencies for customers. The Flex license adoption has accelerated, and the endpoint segment had a fantastic quarter, driving other modules' growth.

Q: How is CrowdStrike capturing value in the SIEM market, and what is the timetable for legacy SIEM renewals? A: George Kurtz, CEO: The SIEM market is similar to the early days of replacing legacy AV. Customers seek better outcomes, faster results, and lower costs. All CrowdStrike customers are Next-Gen SIEM enabled, and Flex licensing accelerates adoption. The opportunity is a multiyear journey, similar to legacy AV displacement.

Q: How does CrowdStrike view the observability market, and is it a consolidation opportunity? A: George Kurtz, CEO: Observability is indeed a consolidation opportunity. With the acquisition of Humio (now LogScale), CrowdStrike already serves observability use cases. The platform's data collection capabilities and Onum's data fabric technology position CrowdStrike well to consolidate in observability.

Q: How sustainable is the tailwind from Flex licenses, and how does it impact net ARR growth? A: Burt Podbere, CFO: Flex licenses are designed for continuous net ARR growth, making it easier for customers to buy more over time. The program facilitates larger and longer deals, driving consolidation and lowering total cost of ownership for customers.

Q: How has AI changed customer conversations, and what differentiates CrowdStrike in this area? A: George Kurtz, CEO: CrowdStrike has moved beyond chatbots with Charlotte AI and related agents deeply embedded in the platform. This orchestration within the platform differentiates CrowdStrike, delivering results in minutes that would otherwise take days. Charlotte has become a key part of customers' success in their SOC.

For the complete transcript of the earnings call, please refer to the full earnings call transcript.