Shares in Tenable Holdings Inc. fell slightly in after-hours trading after the cybersecurity exposure management company reported beats on earnings and revenue in its fourth quarter but fell short of expectations with its forecast outlook.

For the quarter that ended on Dec. 31, Tenable reported adjusted earnings per share of 41 cents, up from 25 cents per share in the same quarter of 2023, on revenue of $235.7 million, up 11% year-over-year. Analysts had expected adjusted earnings of 34 cents per share on revenue of $231.54 million.

Tenable’s calculated current billings in the quarter came in at $302.2 million, up 11% year-over-year. Net cash from operating activities was $217.5 million, up from $149.9 million in 2023. The company was sitting on $577.2 million in cash, cash equivalents and short-term investments as of the end of December, up from $474 million a year prior.

Customer acquisitions drove the company’s strong results, with Tenable adding 485 new enterprise customers in the quarter, including 135 net new six-figure customers.

Business highlights in the quarter included Tenable adding security posture management capabilities for data and artificial intelligence solutions to the company’s Tenable Cloud Security platform in October. The capabilities are designed to reduce customer risk of exposure to misconfigurations and vulnerabilities.

The company’s Cloud Security service helps companies discover risk within hybrid and multicloud environments, including vulnerabilities such as excess privileges, risky entitlements and other misconfigurations that could lead to data leaks or leave sensitive AI data vulnerable.

Also launched in the quarter was Tenable Patch Management, an autonomous patch management solution built to quickly and effectively close vulnerability exposures.

More recently, in January and into its first quarter of 2025, Tenable announced that it planned to acquire exposure risk management firm Vulcan Cyber Ltd. for $150 million. Tenable will use the company’s technology to enhance its vulnerability detection and remediation platform.

“We continue to drive incredible value for our customers, resulting in a strong quarter for six-figure additions, many of which were Tenable One deals,” Mark Thurmond, co-chief executive officer and chief operating officer of Tenable, said in the company’s earnings release. “We are winning marquee, large deals with our exposure management products and are laser-focused on continuing to deliver on our customer-driven roadmap.”

For its fiscal 2025 first quarter, Tenable expects to see adjusted earnings per share of 28 to 30 cents and revenue in the range of $232 million to $234 million. Both figures were below the analyst consensus of 33 cents per share and revenue of $235.7 million.

For the full year, the company expects adjusted earnings per share of $1.52 to $1.60 on revenue of $971 million to $981 million. Analysts had expected $1.45 and $982.9 million.

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