Shares in SentinelOne Inc. were down around 13% in late trading today after the cybersecurity company reported a widening loss in its most recent quarter and gave a cautious outlook despite reporting beats in other core metrics in its fiscal 2025 third quarter.

For the quarter that ended Oct. 31, SentinelOne reported it broke even, up from a loss of three cents per share in the same quarter of the previous year, on revenue of $210.6 million, up 28% year-over-year. Both were beats, as analysts had expected an adjusted earnings per share loss of a penny on revenue of $209.7 million.

SentinelOne ended the quarter with its annual recurring revenue sitting at $859.7 million, up a healthy 29% year-over-year. The company saw customers with annual recurring revenue of $100,000 or more grow 24%, to 1,310.

It reported a net loss of $78.4 million, or 25 cents per share, up from a loss of $70.3 million, or 24 cents, a  year ago. Analysts had expected a loss of $209.7 million, or 20 cents. The higher loss was driven by increasing operating expenses, which came in at $246.5 million, up from $201.9 million a year prior.

Business highlights in the quarter included an expansion of SentinelOne’s artificial intelligence-driven capabilities, including the introduction of Singularity AI SIEM, a cloud-native security information and event management solution designed to provide real-time detection, investigation acceleration and automated responses. The company also announced enhancements to its Purple AI platform, including auto-alert triage and auto-investigations that assist with threat-hunting and investigation processes.

In the quarter, SentinelOne launched AI Security Posture Management, a service that enhances visibility into AI resource deployment and identifies vulnerabilities. Additionally, the company also showcased advancements in hyper-automation through the Singularity Hyperautomation platform, which introduced no-code automation tailored to modern security operations centers.

“Enterprises are increasingly selecting Singularity Platform for real-time, autonomous security,” Chief Executive Tomer Weingarten said in the company’s earnings release. “With our industry-leading innovations and broadening platform capabilities, Singularity is setting the standard for the future of AI-powered cybersecurity.”

For its fiscal fourth quarter, SentinelOne expects revenue of $222 million and, for the full year, $818 million. Both figures were ahead of an expected $220.6 million and $815.6 million, but given the increasing costs experienced by SentinelOne, the outlook was conservative and may have played a role in investor sentiment in after-hours trading.

Chris Boehm, global field chief information security officer of SentinelOne, spoke with theCUBE, SiliconANGLE Media’s livestreaming studio, in September, when he discussed behavioral AI and the company’s collaboration with Google LLC’s Mandiant:

Photo: SentinelOne