Commvault Systems Inc. and Check Point Software Technologies Ltd. reported earnings early today, to widely different investor reactions: Commvault shares plunged more than 16%, while Check Point shares rose more than 6% in regular trading.

Commvault

Commvault, for its fiscal second quarter ended Sept. 30, reported adjusted earnings per share of 91 cents, up from 83 cents per share in the same quarter of the previous year, on revenue of $276 million, up 18% year-over-year. The earnings per share came in below the 94 cents expected by analysts, while revenue came in ahead of an expected $273.34 million.

Subscription revenue rose 29%, to $173 million, term-based license revenue rose 10%, to $93 million, and software-as-a-service revenue jumped 61%, to $80 million.

Commvault’s annual recurring revenue rose 22% year-over-year, to $1.043 billion and subscription annual recurring revenue shot up 30%, to $894 million. Income from operations came in at $12 million and operating cash flow was $77 million.

Business highlights in the quarter included Commvault’s August launch of two new additions to its HyperScale portfolio: HyperScale Edge and HyperScale Flex. The new offerings are designed to strengthen cyber resilience and data protection for enterprises at a time when the amounts of data are increasing from remote offices and edge locations.

In September, the company announced a new partnership with identity and access security company BeyondTrust Corp. that sees the strategic integration of Commvault’s Cloud cyber resilience platform and BeyondTrust Password Safe privileged access management solution.

“Commvault delivered a strong quarter fueled by solid ARR and SaaS growth that accelerated a key milestone for the company – achieving $1 billion in total ARR – two quarters earlier than projected,” Chief Executive Sanjay Mirchandani said in the company’s earnings release. “As enterprises globally rely on Commvault to be resilient, our cloud-first, AI-enabled cyber resilience platform is more relevant than ever.”

For its fiscal third quarter, Commvault is expecting revenue of $298 million to $300 million, while for the full year, it expects revenue of $1.161 billion ro $1.165 billion.

Check Point

For its fiscal third quarter ended Sept. 30, Check Point reported adjusted earnings per share of $3.94, up from $2.25 in the same quarter of the previous fiscal year, on revenue of $678 million, up 7% year-over-year. Both figures were beats, as analysts had been expecting earnings of $2.45 per share on revenue of $673.28 million.

The company saw security subscription revenue of $305 million in the quarter, up 10% year-over-year and calculated billings of $672 million, up 20% year-over-year.

Business highlights in the quarter included Check Point entering a strategic partnership with MetTel Inc. to deliver an advanced mobile threat defense solution for enterprise customers in July and the acquisition of Lakera, an artificial intelligence cybersecurity provider, in September.

“Check Point delivered strong third quarter results, driven by increased demand for our portfolio including Hybrid-Mesh-Network, Workspace and External Risk Management,” CEO Nadav Zafrir, CEO of Check Point said in the company’s earnings release. “We also advanced our AI First strategy through the strategic acquisition of Lakera, strengthening our position to deliver a comprehensive, full-stack AI-powered security platform and expand our leadership in next-generation cyber defense.”

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